The Malaysian government plans to build a massive port and industrial complex on Carey Island, a 20-year project that will cost an estimated RM200 billion ($44.8 billion) and cover an area of about 100 square kilometers, the chairman of Port Klang Authority (PKA) and Malacca Port Authority disclosed in a press conference this week.
The enormous new port will be able to handle more cargo than the two existing ports combined, the port authorities’ head Tan Sri Kong Cho Ha said.
The project, which will be divided into three phases comprising the port, industrial zone, and commercial and residential areas, could exceed RM1 trillion in total gross development value, Kong said.
The proposed design of the port is projected to have an annual capacity of 30 million TEUs (twenty-foot equivalent units) of container cargo, he added.
By comparison, Port Klang, Malaysia’s largest port and the world’s 12th busiest container port, which lies just to the north of the proposed Carey Island project, last year handled 13.2 million TEUs, according to PKA statistics.
“The whole of Port Klang is very congested now, and the ports are reaching maximum capacity. So we need to build another deep-sea port and develop capacity now to cater for our needs and growth,” Kong was quoted as saying in an interview with Malaysian newspaper The Star.
“If we do not do anything now, we will continue to play second fiddle to Singapore and will not get a share of the bigger pie in future,” he added.
The Port of Singapore handled 30.9 million TEUs of cargo in 2015, data from the Port of Singapore Authority (PSA) website indicated.