Penang LRT: Compensation quantum pending completion of land acquisition probe

GEORGE TOWN: The exact number of residents affected by the Mutiara Line Light Rail Transit (LRT) project will only be determined once an investigation under Section 12 of the Land Acquisition Act (LAA) 1960 is conducted.

State Infrastructure, Transport and Digital Committee chairman Zairil Khir Johari said the investigation would be conducted soon, as the gazetting of Section 8 of the LAA 1960 was only completed on April 10.

“The quantum of compensation will only be finalised after the investigation process under section 12 of the LAA 1960, on all stakeholders, is completed. As of now, the compensation assessment process has not yet been implemented, and this will be determined by the Land Tribunal,” he said.

He said this in his reply to an oral question from Muhamad Kasim (PN-Telok Bahang) on the progress of site preparation work and the route of the Mutiara Line LRT project, as well as the number of residents affected by land or property acquisition and the compensation involved.

Zairil said the LRT project is currently at the land acquisition stage, which has been gazetted under the LAA 1960 by the State Land and Mines Office, in collaboration with the project owner, Mass Rapid Transit Corp Sdn Bhd (MRT Corp), for the lots involved in Segment 1 of the line, stretching from Komtar to Permatang Damar Laut.

He said permission had been given to MRT Corp to use 86 government land lots so far, while preliminary works are underway following approval under Section 20A of the Town and Country Planning Act 1976.

Zairil added that the Mutiara Line LRT project is currently in the preliminary preparation phase, with a key focus on relocating existing utilities, an essential step that must be completed before the construction of any stations or flyovers can begin.

He also said that the state government is committed to ensuring the project is implemented transparently and efficiently in accordance with the set schedule, and has taken several proactive measures to that end.

Among them is the requirement for MRT Corp to submit monthly progress reports to the State Executive Council (MMK) meetings, chaired by Chief Minister Chow Kon Yeow, to enable periodic monitoring of the project’s development.

“In addition, construction activities are being closely monitored by the local authorities (PBT), and a mega project traffic management task force has been established in Penang specifically to oversee and ensure the smooth implementation of the project,” he said.

The physical works for the project, estimated to cost around RM13 billion based on the latest scope and design, are expected to begin in the third quarter of this year, with large-scale construction slated to commence in the fourth quarter of 2026.

The 29.5-kilometre Mutiara Line LRT will feature 21 strategically located stations and is designed to enhance connectivity between Penang Island and the mainland, reduce road congestion, and improve overall accessibility.

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