Penang is strengthening its water supply infrastructure in South Seberang Perai (SPS) through a series of completed and upcoming projects aimed at meeting rising demand and improving long-term reliability.

Chief Minister Chow Kon Yeow, who also chairs the Penang Water Supply Corporation (PBAPP), said two key projects have already been completed under the state’s short- and medium-term strategy. These include the 6.4 million litres per day (MLD) Compact Water Treatment Plant (WTP) at Sungai Kerian and the Dissolved Air Flotation (DAF) plant at the Bukit Panchor Water Treatment Plant. Speaking during a site visit to both facilities, Chow said the projects are helping to address water supply challenges in the district while supporting future growth.

Further capacity expansion is already in the pipeline. An 80 MLD Water Treatment Plant at Sungai Kerian is expected to be operational by 2027 under a Build-Operate-Transfer (BOT) model, while a larger 114 MLD treatment plant is targeted for completion by 2030 as part of the Water Contingency Plan 2030. The RM600 million plan comprises eight water infrastructure projects, with the appointment of the contractor for the 114 MLD facility expected by the end of this year.

Once the new treatment plants are commissioned, treated water for SPS will be sourced directly from Sungai Kerian instead of being transmitted from the Sungai Dua Water Treatment Plant in North Seberang Perai. This will allow water currently channelled to SPS from Sungai Dua to be redirected to better serve North and Central Seberang Perai, improving the overall efficiency of the state’s water distribution network.

PBAPP chief executive officer Datuk K. Pathmanathan said the 6.4 MLD Compact WTP has been operating since March last year, supplying treated water to about 4,000 consumers in the surrounding area as an interim solution to meet growing demand. He added that the new facilities under the Water Contingency Plan 2030 will play a vital role in strengthening water supply resilience as Penang continues to experience rapid industrial, commercial and population growth.

Residents at three public housing flats in Relau are now benefiting from safer and more reliable lift services following the completion of lift modernization and repair works funded by the Penang State Government under the Penang Maximum 80% Maintenance Fund (TPM80PP).

Paya Terubong assemblyman Wong Hon Wai said a total of RM478,950 was allocated to upgrade and repair nine lifts across Taman Alor Vista, Desa Aman and Taman Desa Relau 2. The projects comprised one lift modernization and three lift repairs at Taman Alor Vista (RM103,600), two lift repairs at Desa Aman (RM168,800), and three lift modernization works at Taman Desa Relau 2 (RM206,550).

The works were carried out following applications submitted in 2025 by the Paya Terubong constituency office together with the respective management bodies to the Penang State Housing Board (LPNPP). All projects have since been completed and are now operational.

According to Wong, the completed upgrades have significantly improved the safety, stability and efficiency of the lift systems, while enhancing the daily convenience and overall living conditions of residents. He said the projects reflect the state government’s continued commitment to maintaining public housing and providing a safer, more comfortable living environment.

During the inspection, Wong also responded to recent claims by Penang Gerakan chairman Oh Tong Keong, who alleged that the state government allocates only RM50,000 annually for low-cost housing assistance. Wong described the statement as misleading, explaining that it confuses two separate funding mechanisms.

He said the TPM80PP is a long-term maintenance programme established to help strata communities repair and upgrade essential facilities such as lifts, water tanks and roofs. Under the scheme, the state government covers up to 80% of maintenance costs for eligible low-cost housing, with the balance shared by the management body. Medium-cost housing units are eligible for up to 60% funding.

The RM50,000 allocation cited by Oh, Wong clarified, refers instead to the Penang Island City Council’s Strata Building Assistance Incentive (MBPP), which serves as a supplementary fund for urgent repairs rather than the state’s primary maintenance programme.

Wong noted that between 2008 and 10 May 2026, the Penang State Government had allocated RM99.42 million under TPM80PP, supporting 1,049 maintenance projects. These included 556 lift upgrading or replacement projects and 347 water tank repair or replacement projects, underscoring the state’s long-term commitment to improving the safety and quality of life for residents in stratified housing developments.

Image source: Kwong Wah Yit Poh

The construction of the long-awaited bypass road linking Air Itam to Tun Dr Lim Chong Eu Expressway has reached 91% completion, with major structural works continuing to progress on schedule.

According to Paya Terubong assemblyman Wong Hon Wai, all bridge beams on the Bandar Baru Air Itam side have been successfully installed. Construction teams are now focusing on the bridge deck slabs and parapet works.

Sharing the latest updates following a project progress meeting with the construction team on June 30, Ng said the installation of bridge beams on the Gelugor side is also advancing steadily. Twelve bridge beams are expected to be lifted into place between July and August this year, while the remaining six beams are scheduled for installation in the third or fourth quarter of 2026.

He added that the contractor has reaffirmed the project remains on track and is expected to be completed as scheduled in April 2027.

Once construction is completed, the relevant government agencies will conduct a road safety audit before the Public Works Department (JKR) determines the official opening date for traffic.

The elevated road project is designed to provide a direct connection between the Air Itam and Tun Dr Lim Chong Eu Expressway, improving accessibility between Penang Island’s western and eastern corridors while easing congestion on several existing routes.

Meanwhile, the Penang Infrastructure Corporation (PIC) has announced that traffic flagmen previously stationed near the Farlim–Paya Terubong Market and along Thean Teik Highway have been withdrawn.

According to PIC, the flagmen were deployed to facilitate traffic management during the construction of the P21 and P22 portal structures, including the bridge beam lifting works in front of the Paya Terubong Market.

As the major daytime construction activities at these locations have now been completed, full-time manual traffic control is no longer required. Motorists are advised to follow the existing traffic light signals when passing through the area.

PIC also explained that removing the flagmen would help avoid confusion caused by simultaneous manual traffic control and automated traffic signal operations.

Malaysia’s residential property overhang continued to increase in the first quarter of 2026 (Q1 2026), with the number of completed but unsold homes rising to 32,801 units, up from 23,515 units recorded in the same period last year, according to the latest Property Market Status Report released by the National Property Information Centre (NAPIC).

The completed unsold residential units were valued at approximately RM16.37 billion, reflecting the continued mismatch between housing supply and market demand across several states and price segments.

Among the states, Perak recorded the highest residential overhang with 4,063 units, followed by Johor (3,852), Selangor (3,745), Kuala Lumpur (3,733) and Penang (3,165).

Penang overhang increases by 16%

Penang recorded 3,165 completed unsold residential units in Q1 2026, representing a 16% increase from 2,729 units in the corresponding quarter of 2025. The state ranked fifth nationwide in terms of residential overhang.

The latest figures show that Penang’s overhang remains heavily concentrated in the high-rise segment. Condominiums and apartments accounted for 2,215 units, or nearly 70% of the state’s completed unsold homes, while the remaining inventory comprised landed residential properties and flats.

This suggests that the challenge in Penang is largely centred on the supply of stratified residential developments, where market absorption has been slower than anticipated.

Majority of overhang falls within the RM200,000 to RM400,000 range

A breakdown by price range reveals that Penang’s residential overhang is not dominated by luxury homes. Instead, the largest number of completed unsold units falls within the RM200,001 to RM300,000 price bracket, with 708 units, followed by the RM300,001 to RM400,000 segment, which recorded 412 units.

The figures indicate that while affordability remains a key concern for many homebuyers, the overhang is also influenced by a mismatch between the type of homes being supplied and actual market demand. This mirrors the national trend, where completed unsold homes are spread across multiple price categories rather than being confined to either affordable or premium housing.

Better alignment between supply and demand

While Penang continues to benefit from strong long-term growth drivers, including the Penang LRT Mutiara Line, Silicon Island and the expansion of Penang International Airport, the latest NAPIC data underscores the need for future residential developments to better align with market demand.

With nearly seven out of every 10 completed unsold homes being condominiums or apartments, developers may need to place greater emphasis on product mix, pricing and buyer preferences to improve market absorption. As new infrastructure projects and economic investments continue to strengthen the state’s appeal, a more demand-driven approach to future housing supply will be crucial in reducing Penang’s residential overhang over the coming years.

Homebuyers seeking spacious landed living in a strategic location may find a unique opportunity at Urban Rize, a new residential development by Jayamas Property Group in Sungai Dua, Butterworth.

Comprising only 39 units of 2-storey Super Link terrace homes, Urban Rize combines generous living spaces, heritage-inspired architecture, and modern conveniences within a thoughtfully planned neighbourhood.

Limited Collection of 39 Super Link Homes

Designed for modern family living, each home features a generous land size of approximately 18′ x 97′, offering significantly more outdoor and indoor space compared to many conventional terrace homes in the market.

The homes are thoughtfully planned with:

• 4 Bedrooms
• 3 Bathrooms
• Up to 4 Car Parks
• Spacious Living & Dining Areas
• Practical Family-Oriented Layout

Whether for growing families, multi-generational households, or homeowners seeking additional space for work and leisure, Urban Rize offers a comfortable and versatile living environment.

Heritage-Inspired Design with Modern Comfort

Inspired by Penang’s rich architectural heritage, Urban Rize incorporates timeless design elements that create a distinctive streetscape while maintaining contemporary functionality.

The result is a neighbourhood that offers both character and practicality, providing homeowners with a unique living experience that stands apart from typical residential developments.

The Mill @ Urban Rize – A Lifestyle Hub at Your Doorstep

Complementing the residential component is The Mill @ Urban Rize, a commercial precinct located within the same development corridor.
Designed as a convenient lifestyle destination, The Mill is planned to feature a variety of amenities and services, including:

• Drive-Thru Outlets
• Grocery & Daily Essentials
• Cafés & Restaurants
• Retail Shops
• Service-Oriented Businesses

Located within walking distance, The Mill enhances the overall convenience and liveability of the Urban Rize community.

Well-Connected Location in Sungai Dua

Strategically located in Sungai Dua, Butterworth, residents enjoy easy access to major highways, educational institutions, healthcare facilities, commercial centres, and key destinations throughout Mainland and Island Penang.

The area continues to experience steady growth, making it an increasingly attractive location for both homeowners and long-term property investors.

Show Unit Grand Opening

Members of the public are invited to experience Urban Rize during the official Show Unit Grand Opening.

Date: 11 & 12 July 2026 (Saturday & Sunday)
Time: 10:00am – 4:00pm
Venue: Urban Rize, Sungai Dua, Butterworth
(Waze: https://maps.app.goo.gl/Pm6rProVHejLp1qW9)

Visitors will have the opportunity to tour the show unit, explore the spacious Super Link layout, and discover how Urban Rize combines heritage-inspired living with everyday convenience.