GEORGE TOWN (June 10): The Penang state government will obtain a comprehensive report and feedback from the Department of Environment (DOE) before deciding on the proposed Jelutong landfill rehabilitation and sea reclamation project at Karpal Singh Drive here.
Chief Minister Chow Kon Yeow said they had held a meeting with the DOE on Monday, and the outcome of the discussions will be tabled at the State Executive Council meeting today.
"We met with the DOE to understand the considerations regarding the Environmental Impact Assessment (EIA) application for the site management project, meaning the process is still ongoing," he told reporters after attending the Penang Career Discovery Day X Penang HR Forward Forum 2026 here yesterday.
Chow was responding to a recent press statement by a non-governmental organisation (NGO), ProtectKarpal, which questioned whether the developer involved in the Jelutong Landfill Joint Development Agreement (JDA) was receiving extraordinary leeway.
The NGO claimed the project could significantly impact the environment and local community, urging the state government to uphold its previous assurance that no further extensions would be granted.
Previously, it was reported that the DOE had rejected the project’s EIA report, effectively halting its implementation.
Chow clarified that the state government has yet to decide on approving a new extension for the RM1 billion landfill rehabilitation and sea reclamation project, adding that the evaluation of the EIA application is still ongoing and not finalised.
He said the state government takes note of the allegations and concerns raised by the NGO, but any final decision must be based on a comprehensive assessment of all available information.
In a separate development, Chow said the increase in Penang’s cash reserves to over RM600 million was driven by a revenue surplus recorded in 2025, not the land tax hike implemented this year.
He added that the reserve increase occurred before the new land tax rates took effect on Jan 1, 2026.
"The figure as of Dec 31, 2025, was over RM500 million. This increase was due to a significant surplus in 2025 and is unrelated to the tax hike. When was the tax raised? On Jan 1, 2026. Therefore, the surplus is not linked to the land tax increase," he said.
Chow said this in response to criticisms that the rise in state revenue was achieved through the imposition of taxes, tariffs, and additional charges that burdened the people.
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