KOTA Melaka MP Khoo Poay Tiong has questioned the validity and the abrupt revival of the RM42 billion Melaka Gateway development project, which was terminated in 2020.

He said the state government cancelled the concessionaire when the extension period given to the developer to complete the project had expired.

Khoo, however, told The Malaysian Insight the project was given back to the developer in March this year despite not having an environmental impact assessment (EIA) report.

“Why was the project revived when there was no EIA report and the project was initially cancelled?

“Our stand is that they should stop the project and get the developer to prepare the EIA report. The affected people want the project to be cancelled,” he said.

Malacca industrial and investment committee chairman Ab Rauf Yusoh had said they would allow KAJ Development Sdn Bhd to continue with the project as planned.

“We have no problem with KAJ Development continuing with the development,” Rauf had said.

The project was launched in 2014 by then prime minister Najib Razak. Work was to have started in 2018 for completion in 2025. It was, however, cancelled in 2020 by the Pakatan Harapan government.

Recently, the Barisan Nasional-led state government handed the project back to the developer.

The deal to reclaim 550ha of land in the Malacca Straits is projected to create more than 40,000 jobs, attract 2.5 million tourists yearly, and generate RM1.19 trillion for the local economy.

Khoo said the state government must explain why the project was allowed to proceed without an EIA report.

“The Department of Environment (DOE) should immediately issue a stop-work order pending a full investigation into the case.”

The DAP lawmaker said during the previous Dewan Rakyat sitting, he had asked Environment and Water Minister Tuan Ibrahim Tuan Man on whether the project has received EIA approval.

“On August 8, I received a written reply. Surprisingly, the minister disclosed that the Melaka Gateway project, under KAJ Development Sdn Bhd, had never submitted any EIA report to the DOE.

“The failure of the project to submit the EIA report contravenes section 34A of the Environmental Quality Act 2012 and the Environmental Quality (Prescribed Activities) (Environmental Impact Assessment) Order 2015.”

He said that an EIA report must be submitted and approved by the DOE for any land reclamation involving a man-made island or above 50ha in size.

“No project should begin until and unless the EIA has been approved by the DOE.

“So, we are questioning how the state government approved for this project to carry on when there is no EIA report.

“The Malacca DOE also needs to study the report and see if it is beneficial to the locals and if it affects the environment. After that, they can decide if the project should be allowed.”

Khoo said that so far they have not seen any activities, development or progress of the project in the area.

“Since its launch in 2014 even the first reclaimed island has not been completed. It has also not brought any economic value to the state.

“It has, however, affected the environment, destroying the coastline and affecting the livelihood of the fishermen here.”

Khoo said they are now looking to take legal action against the state government for approving the project when the developer had not furnished an EIA report.

“We are discussing the matter with our legal team on what needs to be done.

“We will wait for a response from the state government. If there is no response by year end then we will initiate legal action.” – September 9, 2022.