
Recently, the Penang government said it would call for tenders to build two hotels on the colonial-era hill resort. It was reported that the state government plans to build hotels behind the Convalescent Bungalow (about 200 rooms) and at Coolie Lines (about 100 rooms).
However, AnakPinang said that that Penang Hill Corporation (PHC), a state agency which manages the site, will only be repurposing the site where existing dilapidated bungalows are located.
Its spokesperson Timothy Tye said PHC would also call for a request-for-proposal for the best environmentally sound and financially viable option.

“It will not be a mega project as insinuated by certain NGOs. They are making a mountain out of a molehill,” he said in a statement after a visit to the proposed sites.
While Tye did not name the NGOs, Penang Forum – A Penang-based coalition of NGOs – and Pertubuhan Pelindung Khazanah Alam (Peka) have spoken out against the state’s plan for the site.
Tye said Penang Hill is a living heritage and there are people, including farmers, residing there.
The area to be redeveloped, he said, is not a deserted rainforest as “certain civil groups would like to imply”.
He then took a swipe at the NGOs who claimed to represent Penang’s public interest but objected to the plans for Penang Hill.
“AnakPinang disagrees. They do not represent AnakPinang’s interests, neither do they represent all the residents on the hill.”
Tye went on to say the development in Penang should be balanced with equal attention given to the wellbeing of the people and protecting the environment.