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Penang secures RM837 million for critical water security projects

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Johor State Election 2026

11 July 2026 Johor, Malaysia
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The federal government is investing over RM800 million in five major water projects to bolster Penang’s supply security and support future growth.

GEORGE TOWN: The federal government through the Ministry of Energy Transition and Water Transformation (PETRA) is actively implementing several major water supply projects in Penang with a total cost of more than RM800 million to strengthen the state’s water supply security.

Penang Water Supply Corporation (PBAPP) chief executive officer Datuk K. Pathmanathan said a total of five projects are being and will be implemented, involving the construction of new infrastructure and studies of raw water sources, with a total value estimated at RM837.5 million.

“Among the major projects is the construction of a new barrage on Sungai Muda in Rantau Panjang, Seberang Perai Utara (SPU) worth RM175 million which is expected to be completed in 2027 and it will replace the old structure of 1973 to prevent the entry of seawater into the upper reaches of the river and improve the efficiency of raw water intake.

“In addition, the final project of the Mengkuang Dam Expansion Plan (MDEP) worth RM214 million is expected to be completed in 2028 involving the construction of the Lahar Yooi Raw Water Pump House with a capacity of 440 million litres per day (MLD) and the installation of a 400-JLH two-way flow pipeline to the Enlarged Mengkuang Dam (EMD),” he said in a statement today.

He said through this component, the maximum discharge capacity of the EMD will be increased from 600 JLH to 1,000 JLH during the dry season or emergency situations, thus optimising its role as a backup water source for Sungai Muda.

Pathmanathan said the next project is the raw water source project in Sungai Kerian in Seberang Perai Selatan (SPS) involving the proposed expansion of the Bukit Panchor Dam and the construction of a riverside water storage scheme (TAPS) estimated to cost RM419 million with the implementation date to be determined after the feasibility study is expected to be completed this year.

He said the upgrading works of the water intakes in Titi Kerawang and Teluk Awak in Teluk Bahang were also being implemented at a cost of RM26.5 million and were expected to be completed in 2029, including the installation of a new pipeline to the Teluk Bahang Dam to speed up the replenishment process during the rainy season.

“In addition, a comprehensive study of raw water sources worth RM3 million will also be carried out as a reference for the development of future water supply projects in the state and the implementation of these projects will help reduce the risk of water supply disruptions throughout Penang, especially in the event of any incident involving Sungai Muda,” he said.

According to him, at the same time, these projects are complementary to the Water Contingency Plan 2030 (WCP 2030) worth RM2.1 billion and the Perak-Penang interstate water supply project that is currently being planned.

He said PBAPP also expressed its appreciation to the federal government for its continued commitment in strengthening the state’s water infrastructure and the limited continued support for all projects, which is very important considering that Penang is facing pressure from limited water resources but has high socio-economic development potential.

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