CHIEF Minister Chow Kon Yeow today reaffirmed Penang’s commitment to sustainable growth and global competitiveness, highlighting two landmark projects, Silicon Island and Andaman Island, as catalysts for the state’s long-term economic transformation.
Chow (PH – Padang Kota) stressed that Silicon Island is not merely a physical project, but a strategic blueprint to secure Penang’s role as Malaysia’s high-tech industrial hub.
“Silicon Island is designed to extend Penang’s industrial ecosystem, ensuring we remain at the forefront of global electrical and electronics (E&E) and semiconductor supply chains,” he said during his winding-up speech at the State Legislative Assembly sitting today.
The 700-acre Green Tech Park will anchor the development, built to global environmental sustainable goals (ESG) standards with smart, resilient infrastructure to support future technology companies.
Complementing this is the Heart of the Island (HOTI), an international commercial, social, and tourism centre featuring waterfront recreation, public spaces, and mixed-use housing, schools, and community facilities.
Silicon Island will also integrate with Penang’s public transport agenda, providing land for the LRT Mutiara Line depot, ensuring efficient operations without additional land acquisition.
According to Chow, economic projections are equally ambitious, with RM74.7 billion in investments, contributing up to RM1.1 trillion to Malaysia’s gross domestic product (GDP) by 2050, and creating more than 220,000 direct and indirect jobs.
The state government is expected to benefit from land premiums, annual tax revenue, and a 70:30 revenue-sharing arrangement with Silicon Island Development.
“This project is about building for the future, jobs, innovation, and a community that thrives in a sustainable environment,” Chow added.
Turning to Andaman Island, Chow recalled that the reclamation project dates back to a 1990 concession agreement, with Phase One completed in 2005 and Phase Two, the 760-acre Andaman Island, slated for completion in 2028.
Linked to the mainland via the Andaman Bridge and Gurney Bridge, the island is envisioned as a sustainable luxury destination, blending natural beauty with world-class amenities.
“Andaman Island is not just about its scenic appeal.
“It represents a sustainable development concept that will attract high-profile investors, entrepreneurs, and visitors from around the world,” Chow said.
The project promises premium resorts, a marina, international leisure activities, and high-quality commercial spaces, with a gross development value (GDV) of RM60 billion.
To date, land premiums collected amount to RM561.3 million, while annual land and parcel taxes are projected at RM5.18 million.
Chow emphasised that both Silicon Island and Andaman Island reflect Penang’s balanced approach, economic growth paired with sustainability and inclusivity.
“We are laying the foundation for Penang to remain a global destination for investment, lifestyle, and innovation. These projects will define our future,” he concluded.
Story by Kevin Vimal