RM1b for Pengerang water project

Business Times 21 Dec 2012

By Jassmine Shadiqe

A TOTAL of RM1 billion is needed to develop commercial infrastructure for the supply of raw water in the Pengerang Integrated Petroleum Complex (PIPC).

Johor Petroleum Development Corp chief executive Mohd Yazid Jaafar said the National Economic Council will bear 10 per cent of the cost of the water supply infrastructure, while the remaining will either come from the state government or via privatisation.

"The infrastructure will include building underground piping that will provide raw water needed for commercial use in the 8,800-hectare PIPC," said Mohd Yazid, who earlier attended a closed-door briefing on the PIPC with Deputy Prime Minister Tan Sri Muhyiddin Yassin.

"It will also be used to process raw water for domestic use, that includes portable water," he said.

Later, at a press conference, Muhyiddin expressed satisfaction with the PIPC progress and said Dialog Group's segment was expected to be ready by 2014.

Dialog, in cooperation with Royal Vopak NV and the state government is building an LNG terminal facility in the PIPC.

Muhyiddin said social amenities such as primary and secondary schools were also being built, and several school relocations would be carried out.

"The project will create 8,000 job opportunities in the short term and another 40,000 later. There are also training opportunities for local youth," Muhyiddin said.

The projected investments in PIPC are expected to reach RM 170 Billion.