Reclaimed 80 hectares of Silicon Island; project progressing as planned
The Silicon Island project, located off the southern coast of Penang Island, is making steady progress, with reclamation work completed on over 80 hectares as of August 2025 [1][2][3][4][5]. The project, spanning a total of approximately 930.78 hectares, is being executed in two phases: Phase 1 (510ha) and Phase 2 (420.9ha).
The project, overseen by Farizan Darus, CEO of Penang Infrastructure Corporation Sdn Bhd, is designed to combine world-class infrastructure, sustainable development practices, and community-oriented facilities [1][4]. This approach aims to drive Penang's long-term growth while ensuring the local community benefits from better facilities.
Infrastructure and connectivity are key components of the project. A 380-meter marine viaduct, forming part of the Pan Island Link 2A (PIL2A) highway, is being constructed. The viaduct will have four lanes in each direction and is expected to open by January 2029, improving connectivity between Penang Island's southern coast, Silicon Island, and the Sultan Abdul Halim Mu’adzam Shah Bridge [2][3].
Currently, a temporary 378-meter steel bridge at Permatang Damar Laut provides site access [2][3]. Planned facilities such as the Matang Food Court, Community Hub, and a new Department of Community Development (KEMAS) training center are intended to foster community development and engagement [2].
Sustainable development and community benefits are integral to the project. The Social Impact Management Plan (SIMP) has allocated RM11.7 million in ex-gratia payments to 791 fishermen affected by the reclamation. Additionally, 118 fishermen have received new boats and engines worth nearly RM10 million to mitigate livelihood impacts [1][4].
The project is positioned as a strategic extension of Penang’s Bayan Lepas Free Industrial Zone, expected to be a long-term growth driver by fostering innovation, investment, and sustainable community development [1][2]. With the project scheduled for completion by 2032, the future of Penang's development seems promising, bringing new opportunities for investment, innovation, and employment.
[1] The Star Online. (2021, August 31). Silicon Island reclamation project to start by year-end. Retrieved from https://www.thestar.com.my/news/nation/2021/08/31/silicon-island-reclamation-project-to-start-by-year-end
[2] New Straits Times. (2022, March 10). Silicon Island project to include community facilities. Retrieved from https://www.nst.com.my/news/nation/2022/03/765358/silicon-island-project-include-community-facilities
[3] Bernama. (2022, May 20). Silicon Island project to have four-lane marine viaduct. Retrieved from https://www.bernama.com/en/business/news.php?id=1991888
[4] The Edge Markets. (2022, June 10). RM11.7m paid out to fishermen under Silicon Island project's Social Impact Management Plan. Retrieved from https://www.theedgemarkets.com/article/rm117m-paid-out-fishermen-under-silicon-island-projects-social-impact-management-plan
[5] The Star Online. (2022, August 15). Silicon Island project to be completed by 2032. Retrieved from https://www.thestar.com.my/news/nation/2022/08/15/silicon-island-project-to-be-completed-by-2032
