Penang set to get low-cost terminal (LCCT) at PIA

source: http://www.klia2.info

GEORGE TOWN -- Penang is set to get a low-cost carrier terminal (LCCT) at Penang International Airport in Bayan Lepas after the airport had surpassed its maximum capacity last year.

Finance Minister Lim Guan Eng said talks with Malaysia Airport Holdings Bhd and AirAsia had been positive in setting up a LCCT here.

"We are almost confirmed to set up the LCCT in Penang as the discussion with MAHB and AirAsia was quite positive. We are going to work on a different frame work here for the LCCT," he told reporters on the sideline of the Penang State Legislative Assembly.

He said the setting up of the LCCT in Penang will be based on Public Private Professional and People partnership (PPPP) framework.

“We can expand the existing airport but where to find money? That is why we are looking at LCCT. So that we can get the volume, and people are wiling to invest," he said.

He said that the new formula would enable AirAsia to construct and pay for the new terminal at their own cost.

AirAsia Group chief executive officer Tan Sri Tony Fernandes had voiced his intention to set up the LCCT during his courtesy visit to the Chief Minister Chow Kon Yeow's office recently.

Meanwhile, Lim who is also the Air Putih Assemblyman said the federal government and the MAHB had difficulty in coming out with the fund for the Penang International Airport expansion which was the reason the government opted for PPPP framework.

"We plan to use the same framework for the construction of Penang Port and we hope all these projects will go on smoothly as planned," he said.

It was reported earlier that the Penang International Airport which was designed to cater for 6.5 million passengers annually had reached 7.2 million last year.

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