The long-awaited Penang Light Rail Transit (LRT) project has officially commenced following the issuance of a Notice to Proceed (NTP) by MRT Corp to Gamuda Bhd. According to a report by Free Malaysia Today, the notice was issued yesterday, allowing SRS Consortium—led by Gamuda with a 60% stake—to begin full-scale construction on the first civil works package.
This initial phase covers a 24km stretch from Komtar to Island A, part of the Penang South Island reclamation initiative, and includes 19 stations along the route. It forms part of the larger Mutiara Line, which will span 29.5km with 21 stations, linking George Town to a reclaimed island near Penang International Airport, and eventually extending to Seberang Perai via a cross-channel segment.
The RM8.31 billion civil works package was awarded in January, but construction had been delayed pending federal approval. With the NTP now issued, the six-year timeline for completion is officially underway.
The federal government assumed control of the LRT project from the Penang state government in March 2023, appointing MRT Corp—a unit under the Ministry of Finance—as the asset owner and project manager. SRS Consortium also includes Loh Phoy Yen Holdings and Ideal Property Development, each holding a 20% share.
The second package—covering the 5.5km cross-strait segment from Macallum to Penang Sentral—is scheduled to begin in 2026. Tenders for this portion have already been called. Meanwhile, the third package, which includes systems and rolling stock, was advertised in April, with submissions due by August 11.
Once completed, the LRT line is expected to serve 60,000 daily riders initially, with projections of up to 168,000 in the longer term. Transport Minister Loke Siew Fook had previously stated that breaking the project into three major packages would help streamline the tender process and minimise delays.