Loke said the work would be undertaken by Malaysia Airports Holdings Bhd (MAHB), which he added was “more than happy” to fund the project.
“We have worked out an investment recovery model (for the project), the cost for which will be borne by MAHB, and I’m sure it will be a profitable airport.
“The project will commence by the second or third quarter of this year, and we hope that in three years (it will be completed),” he said during the launch of Routes Asia 2024, hosted by MAHB and Tourism Malaysia.
Last October, the federal government approved an RM93 million allocation to support land acquisition and infrastructure enhancements for the expansion of the Penang airport.
Prime Minister Anwar Ibrahim had said he would look into expediting the channelling of funds for the project.
The Penang International Airport has a capacity of 6.5 million passengers per year and was given the green light to double this by the then Pakatan Harapan (PH) government.
Then finance minister Lim Guan Eng said a private company would be picked through open tender to expand the airport at a cost of RM1.2 billion by the end of 2019.
However, the airport’s expansion was delayed after the change of federal government and the Covid-19 outbreak in 2020.
Loke’s predecessor, MCA president Wee Ka Siong, previously claimed that the delay was caused by the former PH government changing the method of financing for the project.
Loke said some of the expenses for the expansion would be borne by the Penang government, particularly infrastructure work like expanding the roads near the airport.
Meanwhile, MAHB acting group CEO Rastam Shahrom said MAHB had identified 17 airlines from seven regions that could potentially operate flights to and from Malaysia.
“With the support of Malaysia’s tourism bodies and the government, we hope to continually foster international connections, stimulate tourism, and promote economic development in the regions that we serve,” he said.
Separately, Steven Small, the director of Routes – a firm which organises airline and airport networking events – said Routes Asia 2024 saw over 110 airlines represented, including the 10 largest Chinese carriers such as China Eastern Airlines, Air China, and China Southern Airlines.
Small said Routes Asia, its largest exhibition ever, was a platform for both MAHB and Tourism Malaysia to showcase significant growth opportunities to aviation stakeholders.
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