Northern Perak Flood Project Requires Additional RM400 Million

The flood mitigation initiative in northern Perak, which includes the development of the Kerian Integrated Green Industrial Park (KIGIP), needs an additional RM400 million (approximately USD94.8 million) in funding, according to Bernama.

Energy Transition and Water Transformation Minister Datuk Seri Fadillah Yusof explained that the project, spearheaded by Sime Darby through private sector investment, has encountered difficulties due to the area’s soft soil and low-lying geography, which makes it vulnerable to flooding.

“The developer initially proposed building a levee to raise the river embankment and prevent overflow. However, detailed studies revealed that this would only protect part of the area,” he said at a recent press conference.

Following further assessments and workshops, authorities decided to integrate the project with the Sungai Samagagah flood mitigation initiative in Penang. This combined approach would offer broader protection, covering northern Perak, including Kerian and nearby regions.

Fadillah said the project is progressing, but full implementation depends on an additional funding request submitted to the Ministry of Economy, which will be reviewed under the 13th Malaysia Plan.

“We must wait for the upcoming budget approval before final decisions can be made. In the meantime, parts of the project may move forward in phases using existing allocations,” he added.

Speaking earlier at the national-level World Rivers Day event at Sungai Batu Tegoh, Fadillah also announced that the water transfer project from Sungai Perak to the Bukit Merah Dam is expected to begin next year.

“The Cabinet has approved the project, and the Finance Ministry is finalising the arrangements, as it involves international funding,” he said.