GEORGE TOWN – Penang will not kick up a fuss over the Kulim International Airport (KXP) project as long as it remains a private initiative.
Penang Infrastructure and Transport Committee chairman Zairil Khir Johari said Kedah has the right to develop its economy, even if the airport project has faced criticism – including being a mere 53km away from the Penang International Airport (PIA) in Bayan Lepas.
“From what we understand, the Kulim airport is a private initiative between Kedah and the developer. It does not concern taxpayer money or Malaysia Airports Holdings Bhd,” he told The Vibes, adding that the airport operator is committed to expand PIA.
Zairil said Kedah’s KXP is designed to be a cargo gateway in view of its aim to increase its industrialisation capacity.
The proposed airport will be next to Kulim Hi-Tech Park, which supports the Bayan Lepas and Batu Kawan Free Industrial Zones that are vital for the global electronics and electrical supply chain.
On Seberang Jaya assemblyman Dr Afif Bahardin’s call for Penang to close PIA to accommodate KXP’s growth as a possible northern aviation hub, Zairil said this is misinformed.
“The Penang airport serves the growing needs of the industries here. It is essential and will be expanded.
“It also serves the needs of the services sector, such as tourism, trade and healthcare.”
He said Penang is confident that its airport can compete with others, including KXP, as “we have our strengths, and we know that the Penang airport is important for us”.
The Kedah government had last week signed a joint venture agreement with developer ECK Group to build the Kulim airport.
Kedah Menteri Besar Muhammad Sanusi Md Nor had said a special purpose vehicle (SPV) will be set up under the agreement to act as a project owner and developer.
Some 80% of the SPV stake will be owned by ECK, while the rest will be owned by the state via a Kedah State Development Corporation subsidiary, KXP AirportCity Holdings Sdn Bhd.
“(We expect) the KXP project to be completed by 2026,” said Sanusi.
“After that, we will be able to see significant changes in the economic landscape in Kedah.”
KXP is expected to contribute up to RM1 billion to the gross national income and create up to 18,000 jobs upon completion. – The Vibes, August 9, 2021
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