DAP urges Soi Lek to explain Penang Port claim

Penang DAP has called on MCA chief Chua Soi Lek, who is also Penang Port Commission chairperson, to explain his assertion that Penang Port Sdn Bhd (PPSB) was a loss-making outfit after the company’s managing director Ahmad Ibnihajar had yesterday stressed otherwise.

“Ahmad Ibnihajar told a press conference yesterday that PPSB made a net profit of RM15 million last year, which contradicts the Penang Port Commission chairperson’s assertion that the company was in the red,” said Penang DAP chief Chow Kon Yeow (left) and Bukit Bendera MP Liew Chin Tong in a joint statement today.

According to the duo, Ahmad had clarified that the RM1 billion expansion plan of Penang Port was completed in 2011, including the purchase of seven super panamax cranes at RM200 million, but plans to deepen the north channel were not done by the federal government despite Deputy Prime Minister Muhyiddin Yassin’s promise in 2010.

As such, they added that the super panamax cranes could not be put to use and mainliners and large vessels could not call on the port.

“Chua must explain why he objected to the dredging of the Penang Port at the National Economic Council (NEC) meeting in August 2011, and whether Chua’s intervention on behalf of Syed Mokhtar al-Bukhary has ruined Penang Port’s viability and ruined it’s expansion plan,” they said.

Chua had denied that he was responsible for putting a stop to the dredging, stating that it was a collective decision bythe NEC as the Finance Ministry planned to privatise the port to tycoon Syed Mokhtar.

The government had said that Syed Mokthar’s company, Seaport Terminal, which won the privatisation bid, will foot the bill of any dredging but did not specify whether it was a requirement in the deal.

“Seaport Terminal may request for the final price of the Penang Port to be reduced from RM450 million to RM150 million, in exchange for the government not dredging the Penang Port Channel that would cost RM350 million;

“As Syed Mokhtar also owns PTP and Johor Port, there is a plan to rationalise the two ports, which means closure of the container port of Johor Port. Seaport Terminal may bring the seven units of Super Port Panamax cranes from Penang to PTP and may bring the six quay cranes in Johor Port to place them in Penang. Essentially, Seaport Terminal may potentially engage in asset stripping.”