Penang gets planning approval for logistics aeropark masterplan

GEORGE TOWN: The Penang government has secured planning approval for the Penang International Logistics Aeropark (PILA), a project aimed at supporting the state's industrial growth.

This was confirmed by Chief Minister Chow Kon Yeow today.

The project, a joint venture between Penang Development Corporation (PDC) and Malaysia Airports Holdings Berhad (MAHB), will strengthen the northern region's logistics ecosystem.

Chow said that PILA, which involves the development of a new cargo terminal, has moved into the implementation phase with earthworks and soil treatment underway.

He said the first phase of the air cargo warehouse, designated as a Free Commercial Zone facility, is expected to be operational by 2029.

"Overall, the PILA development is projected to handle cargo capacity of up to 500,000 tonnes annually by 2050, with more than two million square feet of warehouse space," he said in a statement.

For the initial phase, Chow said the air cargo warehouse alone is expected to support an additional capacity of up to 100,000 tonnes per year.

He said the collaboration between PDC and MAHB is crucial to meeting future logistics demands, particularly in the semiconductor, electrical and electronics sectors.

"This is in line with the Penang2030 Vision, the State Structure Plan 2030 and the expansion of Penang International Airport," he said.

Chow said preparations are underway for the official launch of PILA, which has secured tenancy commitments from international logistics companies and local industry players.

The launch is expected to be officiated by Prime Minister Datuk Seri Anwar Ibrahim.