TROUBLE AHEAD FOR SYED MOKHTAR: Penang rejects privatization, Najib and Soi Lek condemned

Tycoon Syed Mokhtar Albukhary may be used to finding his way around the Umno circles due to his friendship with top leaders including Prime Minister Najib Razak. But he won't cut much ice with the Penang state government led by DAP Chief Minister Lim Guan Eng, especially over the privatization of the state's port.

Syed Mokhtar, ranked the 7th richest man in Malaysia, had through his Johor-based Seaport Terminal won the bid to take Penang port private with the condition that it pays for the dredging work to make the port competitive.

The news announced a day ago obviously rankled with Penangites, who are fiercely proud of their heritage. In fact, sensing such a consequence, Penang Port Commission chief Chua Soi Lek - who is also the MCA president - was quick to pass the buck last week, telling the press it was Najib who wanted the privatization.

“The state government has no part at all in this. There was no open tender, no consultation. The Penang government would not accept Penang port to be reduced to such a status, to be diminished to the level of being a feeder port, which is what Dr Chua and Tan Sri Syed Mokhtar are willing to let it become,” Guan Eng told reporters after chairing a state executive council meeting.

"Dr Chua, you have sold out the rights of the people of Penang. Of course, they can go ahead and carry out the port operations without consulting the state but do not forget — some of the pieces of land there are owned and belong to the state government."

3 resolutions - reject, demand and condemn

The council passed three resolutions during its meeting; (1) to reject the port’s privatisation; (2) to demand Putrajaya dredge the port’s channel; and (3) to condemn Penang Port Commission chairman Chua Soi Lek for “selling out” the rights of Penang folk.

Guan Eng also said it was unlikely that Syed Mokhtar’s Seaport Terminal had the expertise to carry out the work according to standard.

“If you want to make it a feeder port, would you dredge it properly? Of course, we hope it would not happen but what are the assurances? The federal government was supposed to spend the RM353 million. But it did not do so, saying since it is being privatised, let the company do it," said Guan Eng.

"But if you have no intention to make it into an international port, would you dredge properly? You may as well spend the money for your main port."

He was referring to Syed Mokhtar’s Port of Tanjung Pelepas (PTP) in Johor.

Clear bias

Guan Eng reiterated that the Penang government had written to Najib on December 2, 2010, expressing the state’s willingness to take over the privatisation process but did not received any answer.

DAP MPs have accused MCA president Soi Lek of a sinister plot to privatize the Penang port and reduce its importance compared to the Johor port. Soi Lek hails from Johor.

The entire episode has irked Penangites, sparking accusations of bias on Najib's part for not allowing their own state government to handle their port.

Malaysia Chronicle