This article first appeared in The Edge Financial Daily on October 24, 2019 - October 30, 2019

PORT KLANG: The Port Klang Free Zone (PKFZ) Master Plan aims to increase the utilisation of its 380ha industrial zone and transform its 20ha commercial component.

Speaking at the launch of the PKFZ Master Plan here yesterday, Transport Minister Anthony Loke said that the government hopes the PKFZ can remain self-sustainable financially and repay its RM3.8 billion debt to the ministry of finance over the next 29 years.

He said the PKFZ is paying the MoF RM220 million a year or RM55 million every quarter under the debt repayment scheme.

“The whole master plan today is to have higher utilisation of the PKFZ. We have [a] hotel and convention centre here, but they are not being used, so we want to make sure all these strategic assets become valuable to the PKFZ.

“There will be no capital injection from the government. The PKFZ’s master plan will be funded internally. The PKFZ and the Port Klang Authority (PKA) must stand on their own, make themselves sustainable to service the loan, [and] there will be no obligation from the government to pay the loan. That is very clear, they are working hard for that,” Loke said.

PKFZ chairman Chan Leng Wai was also present at the launch.

On the 380ha industrial zone, he said the PKFZ leased out 256ha of open land and 512 light industrial units.

“We are now working with our tenants to market the two million sq ft of warehousing space they have built. We are now embarking on strategic redevelopment of the industrial zone,” Chan said.

On the 20ha commercial zone, Chan said the PKFZ intends to rebrand it into an integrated hub with education, lifestyle and hospitality components.

During the first phase of the master plan, Chan said the PKFZ will launch a few initiatives including a Maritime Logistics Academy and Maritime Science Discovery Centre.

At the launch, the PKFZ inked six memorandums of understanding, including one with China Ocean Shipping Co Ltd to develop a regional vocational training centre. Another is with Pestech Sdn Bhd to instal solar panels on light industrial units.