Malaysia

Guan Eng - ‘Why was there no open tender for controversial reclamation project?’

The state's refusal to answer the queries posed in the state legislative assembly sitting has generated suspicions over the project, said the former Penang Chief Minister.

Updated 2 months ago · Published on 01 Jun 2026 1:08PM

Guan Eng - ‘Why was there no open tender for controversial reclamation project?’
"What reasons did the government deem important enough to forgo conducting an open tender?" the Air Putih assemblyman asked. - June 1, 2026.

by Ian McIntyre

LIM Guan Eng has continued probing the controversial Jelutong landfill rehabilitation and reclamation project, urging the Penang government to come clean on why there was no open tender bid for it.

The state's refusal to answer the queries posed in the state legislative assembly sitting has generated suspicions over the project, said the former Penang Chief Minister.

He submitted a written question on May 8, as to whether there was an open tender for the 70-acre reclamation project in front of Karpal Singh Drive.

The reply during the sitting only stated that the entire 84-acre Jelutong Dumpsite Landfill project was conducted by Request for Proposal (RFP).

A joint development agreement between the state and project delivery partner - PLB Engineering Bhd for rehabilitating the 84 acres of landfill dumpsite for RM 1 billion, was signed in 2020.

There was no mention of the RFP for the 70 acres of land reclamation in front of Karpal Singh Drive.

“Clearly, the RFP for the 84 acres of landfill dumpsite was issued by open tender.

“However, nothing was mentioned about an open tender or RFP for the 70 acres of land reclamation,” said Lim in a statement.

A check with public records also shows that no open tender was advertised for the 70 acres of reclaimed land in front of Karpal Singh Drive.

Open tenders have been the hallmark of a competent, accountable and transparent or CAT governance since Pakatan Harapan first took power in Penang in 2008.

“Open tenders have also been a standard reference point in every  Pakatan Harapan national or state general election manifestos since 2008.

"For this reason, both the Penang Chief Minister and PDC must come clean as to why there was no open tender for such a major reclamation project.

“At RM 600 per square foot, the 70 acres of reclaimed land in front of Karpal Singh Drive could have a market value of RM 1.8 billion."

Public interest demands a full accounting by the state government on the reasons why an open tender was not conducted for such a major project with wide implications for residents in the affected areas, he said.

Failing to conduct an open tender can only be justified by national security, the urgency of the subject matter or unique expertise possessed by the other contracting party, Lim explained.

"What reasons did the government deem important enough to forgo conducting an open tender?" the Air Putih assemblyman asked. - June 1, 2026.

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