The reported ‘bad news’ that a bridging loan for phase one of the controversial RM46bn Penang land reclamation and transport plan may not be forthcoming from the federal government would actually be good news for Penang.
The lack of a federal bridging loan would make it more difficult for the mega Pan Island Link highway and the single-route elevated light rail transit to proceed: the project proponents were obviously relying on this loan to provide the capital for the construction.
The Penang chief minister later said it would be premature to talk about a bridging loan when key approvals for phase 1 of SRS Consortium’s expensive land reclamation and transport mega plan had not yet been received. His statement came after the consortium maintained the state government should stick to the proposal for the state to cough up RM1bn in public funds as a loan. Full article on Aliran website