Penang Hill cable car project: Bid scheduled to be issued to successful bidder before the end of 2022

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THE Request for Proposal (RFP) evaluation process for the proposed Penang Hill cable car project is currently ongoing, Penang Transport and Infrastructure Committee chairman Zairil Khir Johari said.

 

Zairil said the ongoing evaluation process would be finalised soon, and the results would be submitted to the Technical Committee and the Steering Committee in accordance with the Penang Public-Private Partnership Project Guidelines (2021).

 

“The state government has decided to implement the proposed project with an RFP call to collaborate with the private sector on a joint venture (JV) or Build-Finance-Operate-Transfer (BFOT) basis.

 

“The Budget for the project, which was announced by the Federal Government, was withdrawn. No allocation was received from the Federal Government,” Zairil replied to a question from Lim Guan Eng (PH – Air Putih) during the question-and-answer session at the State Legislative Assembly today.

 

Zairil said the bid is scheduled to be issued to the successful bidder before the end of this year.

 

An RFP was called on Jan 13, 2021 and ended on Nov 30, 2021.

 

“Since this proposed project is a BFOT project through an RFP call, all construction and operating costs are borne by the successful bidder,” he added.

 

In his supplementary question, Lim questioned the conditions that would be imposed on the successful bidder.

 

Lim posing his supplementary question.

 

“The cost of the proposed project is not small. Can we know the estimated cost and how could the successful bidder get its return?

 

“Congratulations to the Penang government as the state does not have to provide any allocation for the proposed project, nevertheless, I am worried about its viability.

 

“The proposed project is a mode of public transport,” he said.

 

Zairil replied: “We provide flexibility and a suitable concession period to our bidders.”

 

“We also welcome them to propose their business and financial models, and value-added projects so that they can obtain a reasonable return within the stipulated period.

 

“We agree that we need to ensure the proposed project is viable,” Zairil said.

 

Separately, Zairil responded to Gooi Hsiao-Leung (PH – Bukit Tengah) on the state’s plan to address the worsening traffic congestion in Bukit Tengah.

 

Among the plans were to widen Jalan Permatang Tinggi, Seberang Perai Tengah; to widen Jalan Kebun Baru, Seberang Perai Tengah; to widen and implement contraflow in Jalan Kebun Nenas, Juru, Seberang Perai Tengah; and to implement the Bus Rapid Transit (BRT) system through the Permatang Tinggi – Seberang Jaya route, which is one of the modes of public transport under the Penang Transport Master Plan (PTMP).

 

Zairil said that the distance of the Permatang Tinggi – Seberang Jaya route is about 15km, of which 17 stations had been proposed.

 

“The implementation of this component is still under proposal and subject to future review and approval by the relevant agencies,” he added.

 

 

Story and pix by Christopher Tan