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Penang airport expansion set for completion by June 2028

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Johor State Election 2026

11 July 2026 Johor, Malaysia
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SEPANG: Malaysia Airports Holdings Bhd (MAHB) is on track to complete the Penang International Airport (PIA) expansion by June 2028, with phased construction already in progress. Group managing director Datuk Mohd Izani Ghani confirmed the RM1.55 billion project will double the airport’s annual passenger capacity from 6.5 million to 12 million.

The expansion is structured in three phases. Phase One involves relocating government offices, including the Civil Aviation Authority of Malaysia and the Malaysian Meteorological Department, from the airport site. Phase Two focuses on apron expansion, while Phase Three, covering terminal upgrades, is in final design stages.

“We aim for board approval and contractor appointment by year-end to meet the 2028 deadline,” Mohd Izani said during a media briefing on MAHB’s strategic plans.

The company also secured federal approval to expand Kota Kinabalu International Airport (KKIA), which is nearing its nine-million-passenger limit. MAHB is finalising plans to raise KKIA’s capacity to 12 million, with contractor selection expected by December.

Upgrades for tier-two airports in Tawau, Miri, and Kota Bharu are also underway. Kota Bharu’s Phase One was completed last August, with Phase Two set for early 2026. Tawau and Miri’s projects will be federally funded.

On Sarawak’s proposal for a new Kuching International Airport, Mohd Izani noted discussions are ongoing between state and federal authorities. MAHB holds the first right to manage new airports under its federal agreement, but economic feasibility for dual-city airports remains under review.

Langkawi International Airport, a four-time winner in the under-five-million-passenger category, recently upgraded its VIP lounge. However, Mohd Izani highlighted untapped tourism potential, urging stronger collaboration with tourism agencies to rival destinations like Bali and Phuket.

Subang Airport’s terminal expansion, completed last year, increased capacity to three million passengers annually. With AirAsia shifting jet operations to KLIA Terminal 2 and Firefly potentially exiting Subang, MAHB is reassigning slots, possibly to foreign airlines, pending Transport Ministry discussions. – Bernama

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