Penang opposition condemns sale of strategic reserve land to fund expressway extension

Penang opposition assemblymen have denounced the state government's decision to auction 2.42 hectares of strategic reserve land in Bandar Tanjung Pinang to fund the final eight percent of the Ayer Itam Bypass to Tun Dr Lim Chong Eu Expressway. State opposition leader Muhammad Fauzi Yusoff argued that, despite claims of a cash-free land swap, the move shows the state is using valuable land to cover costs that should have been planned from the start.

He noted that Consortium Zenith Construction (CZC) has already been handed 4.69 hectares worth RM427.66 million, with a further claim of RM225.768 million still unresolved. Fauzi said the government's admission that CZC needs state assistance to monetize land signals a severe cash-flow problem for the project, slated for completion by April next year. He urged the government to explore other financing options, including early talks with private developers and issuing sukuk, rather than relying on further land swaps.