Selangor reviewing terminal operators as Carey Island port awaits MOT licence for September start, says MB

BANDUNG, July 10 — Selangor is ready to break ground on the proposed third port terminal on Carey Island as early as September, subject to the Ministry of Transport’s (MOT) approval of the port licence, as the state reviews potential operators for the terminal, Menteri Besar Datuk Seri Amirudin Shari said.

With land-related matters largely resolved, regulatory approval has become the final hurdle before construction can begin.

Amirudin said the state government is now waiting for the ‘green light’ from the MOT before proceeding with the project.

“I believe that the plans can be finalised by September. Right now, we are waiting for the licence from the ministry.

“Once it has been issued, we can start immediately, and I believe that we have settled the land matters with regards to the development of the port,” he said to Bernama when met at the launch of SIBS@Asean in Bandung, Indonesia.

In Malaysia, a port licence refers to the authorisation to carry out maritime, shipping or commercial activities within a port area regulated by statutory authorities such as the Port Klang Authority.

Responding to a question on the terminal operator, Amirudin said an announcement would only be made after all matters, including the issuance of the port licence, have been finalised.

He said several parties have expressed interest in operating the port over the past two years, including MMC Corporation Bhd (MMC Corp).

MMC Port Holdings Sdn Bhd, the port operations arm of MMC Corp, is the owner of Northport (Malaysia) Bhd, and it is also the operator of Port of Tanjung Pelepas, Johor Port and Tanjung Bruas Port.

Asked about the state government’s role in the development of the third terminal, Amirudin said the state government would oversee the project’s development and regulatory coordination, while a state-owned subsidiary would represent Selangor by holding an equity stake in the port’s operations.

He said the move was important to enable the state to generate a steady stream of income from the port’s operations, in addition to tax revenue.

“The state-owned subsidiary will represent the state by holding a stake in the terminal’s operations, ensuring that the third port generates a steady stream of revenue for Selangor, not only through taxes but also from operating profits,” he said.

On the project’s timeline, Amirudin said it could take at least a decade before the port becomes fully operational.

The proposed Carey Island development is expected to complement the ongoing Westports Phase 2 expansion as Malaysia seeks to strengthen Port Klang’s position as a regional maritime hub.

Port Klang currently has an annual handling capacity of about 15.1 million twenty-foot equivalent units (TEUs), which is projected to increase to around 28 million to 29 million TEUs upon the completion of Westports Phase 2.

By comparison, Singapore’s Tuas Megaport is designed to handle up to 65 million TEUs annually upon its full completion, highlighting the scale of regional competition and Malaysia’s ambition to strengthen Port Klang’s competitiveness.

On another development, in his keynote address at the launch of SIBS@Asean, Amirudin called on the littoral states of the Strait of Malacca to cooperate closely and stand united in safeguarding the sovereignty of the strategic waterway.

“The Strait of Malacca belongs to us. We must not allow anyone to take it or dictate anything concerning it. Ultimately, it belongs to all of us and is regulated by us,” he added.

Comparing the Strait of Hormuz and the Strait of Malacca, he said only about 20 per cent of the world’s energy passes through the Strait of Hormuz, while close to 30 per cent passes through the Strait of Malacca.

“The peace in the Strait of Melaka should be protected,” he added. — Bernama