The Penang state government will discuss with the relevant authorities following reports that the Environmental Impact Assessment (EIA) for the proposed Jelutong landfill rehabilitation and reclamation project has been rejected by the Department of Environment (DOE).

Chief Minister Chow Kon Yeow said he was not aware of the rejection reflected on the EIA portal and would need to verify the information before commenting further.

“I am not aware of the matter yet. We will discuss it with the relevant authorities and obtain more information,” he said during a press conference at the Penang Skills Development Centre in Bayan Baru.

According to the DOE’s online portal, the EIA submission for the proposed project has been classified as “not approved”.

The RM1 billion proposal involves rehabilitating the former Jelutong landfill and reclaiming adjacent coastal land north of the Penang Bridge. The reclaimed land is intended to temporarily store waste excavated from the landfill before the area is eventually transformed into a mixed-use development.

The site spans about 65 hectares, comprising 36 hectares of the former landfill and 29 hectares of newly reclaimed land next to the Karpal Singh Drive waterfront.

The project was first formalised in 2020 when the Penang Development Corporation signed an agreement with PLB Engineering Bhd to undertake the rehabilitation and reclamation works. The works were expected to take four to five years to complete, although no visible work has commenced since the agreement was signed.

The proposal has faced opposition from residents and environmental groups, including those associated with the Protect Karpal Singh Drive Action Committee. The group recently urged the state government not to grant the developer additional time if the EIA was not approved.

Environmentalists have also expressed concerns that reclamation near the old landfill could impact public health and harm the nearby Middle Bank, a shallow coastal area known for its extensive seagrass beds and marine biodiversity.

The Middle Bank sanctuary covers about 10 square kilometres in the South Channel between Penang Island and the mainland and supports more than 400 species of flora and fauna, including endangered green turtles, dugongs, seahorses and the critically endangered horseshoe crab.

Previously, Chow said reclamation was necessary to provide sufficient space for the landfill rehabilitation works while ensuring the sensitive marine ecosystem at Middle Bank would not be affected. He added that the state government would take steps to avoid encroaching on the sanctuary area and consider public feedback received during the EIA process.

ADVERTISEMENT