LTAPP expansion estimated at RM1.55 billion, almost fully funded by MAHB

GEORGE TOWN: The total cost of the expansion of the Penang International Airport (LTAPP) is estimated at RM1.55 billion, with almost all of it to be financed through a private financing initiative by Malaysia Airports Holdings Berhad (MAHB).

State Infrastructure, Transport and Digital Committee chairman Zairil Khir Johari said it was financed without any collaboration with other private companies and it involved expanding the airport’s capacity from 6.5 million passengers per annum (mppa) to 12 mppa upon completion.

“The LTAPP expansion project involves three packages, namely Works Package 1 (WP01) involving support building works and the construction of the Remote Digital Virtual Tower (RDVT); Works Package 2 (WP02) involving airside and apron infrastructure works.

“Works Package 3 (WP03) involves works on the main terminal and currently, the letter of award (LOA) for WP01 has been issued in July 2024,“ he said at the State Legislative Assembly sitting, here today.

He was responding to an oral question by Goh Choon Aik (PH-Bukit Tambun) who asked for a list of all direct flights to LTAPP, the number of domestic and international passengers for 2024, the status of the upgrade, infrastructure upgrade work and traffic dispersal around LTAPP.

Regarding the site of SJK (C) Chung San Chinese National Type School near here which is involved in the land acquisition for the LTAPP expansion project, Zairil explained that the gazetting process under Sections 4 and 8 of the Land Acquisition Act 1960 (Act 416) is currently being completed.

He said that once the land acquisition is completed, SJK (C) Chung San School Administrative Board can manage the acquisition of the school site and the construction of a new building using the land acquisition compensation that will be paid in accordance with the provisions of Act 486.

Zairil, who is also the Tanjung Bunga State Assemblyman, informed that the total number of domestic and international arrivals recorded from January to September 2024 were 1.34 million for domestic arrivals and 1.39 million for international arrivals respectively.

He said that LTAPP has 19 direct international flights including from Phuket, Guangzhou, Xiamen, Hong Kong, Medan, Jakarta, Surabaya, Banda Aceh, Taipei, Ho Chi Minh City, Dubai, Shanghai, Shenzhen, Chongqing, Kunming and Doha.

On Feb 27, Transport Minister Anthony Loke Siew Fook announced that the government had approved the expansion project and it was also announced by Prime Minister Datuk Seri Anwar Ibrahim when tabling the 2025 Budget on Oct 18.

Apart from the expansion of LTAPP, Anwar also announced the implementation of the Juru and Sungai Dua Elevated Expressway projects, the Penang Light Rail Transit (LRT) and the Batu Kawan Industrial Park 3 project in Penang.