The port’s “ultimate” handling capacity is expected to rise from the present 2.3 million TEUs to 6.8 million by 2053, or in 27 years’ time, transport minister Loke Siew Fook said today.
Taking part in the 70th anniversary celebration of the Penang Port Commission, Loke said Port Klang would remain the country’s main gateway, while Penang would focus on supporting the northern industrial base, including cargo linked to southern Thailand.
He said the ministry’s current focus was to raise operational efficiency at Penang Port, including extending the rail siding inside the port by about 500m.
A rail siding is a short stretch of track inside a facility where trains can pull in, park and load or unload cargo without blocking the main rail line or nearby roads.
He said the longer siding would allow a full train to enter the port area, after wagons previously extended onto a public road, causing congestion.
No plans to revive iconic ferries
At a separate event, Loke said there was no plan to revive the old iconic ferries for daily passenger service, citing maintenance problems and terminals that are no longer suited to the ferries.
He said commuter services would continue with the new ferries, with four now in service, and a requirement for at least five under the agreement if demand stays high.
Under the port’s privatisation deal, Penang Port Sdn Bhd (PPSB) runs the ferry services as part of its wider port package.
Although the government controls the fares, Loke said, the ferry services are not meant to be profit-making on their own.
Instead, PPSB is expected to treat it as a public service duty and cover any losses through cross-subsidy from its other port-related operations.
This obligation also includes providing 12 days of free ferry rides each year on selected public holidays, he said in response to a question on why PPSB has yet to record a profit despite having record passenger numbers.
PPSB recorded a total ferry passenger ridership of 3.13 million in 2025, up from 2.87 million in 2024. The new ferry services were launched in August 2023.