GEORGE TOWN: Chief Minister Chow Kon Yeow has revealed that Penang has rare earth elements (REE) worth RM100 billion
Chow (DAP-Padang Kota) said it was based on sample testings in various locations in Teluk Bahang, Balik Pulau and around Nibong Tebal by the Department of Mineral and Geoscience.
"For Penang, sample testings in several sites in Teluk Bahang, Balik Pulau and around Nibong Tebal by the Department of Mineral and Geoscience found REE worth RM100 billion.
"The Penang State Secretary Office is arranging a meeting with the department for advice," he said in his winding up speech at the state legislative assembly sitting here today.
Elaborating, Chow said, at present, Penang has the Mineral Enactment 2001, which came into force on Jan 1, 2006.
"To ensure the smooth implementation of this Mineral Enactment, the Penang Mineral Regulations need to be established which, among other, requires for the determination of fees, rents and royalties and methods of collecting them and others," he added.
According to Chow, the National Mineral Council meeting and the National Land Council meeting have been held and discussed because at the federal level they have agreed on the preparation of the Rare Earth Element (REE) Production Guidelines.
"However, the ministry has yet to distribute to the states and it is possible that the conditions that should be included are being refined.
"This SOP document explains holistically about the chain of mining activities and the procedures that need to be followed so that the activities carried out meet the relevant legal and safety requirements," he said.
In addition, he said, the procedure was established to preserve the sustainability of the mining industry, the safety and wellbeing of the population as well as the protection of the environment.
Meanwhile, Chow said the state government does not deny that the 2024 Budget showed a projected deficit amounting to RM514.52 million compared with the deficit in 2023 amounting to RM467.12 million, which is an increase of RM47.40 million.
''However, taking into account all the commitments of the state government and the estimated revenue of the state government for next year which is limited to RM533.08 million, then this budget deficit cannot be avoided.
"Management expenses amounting to RM1,047.60 million need to be budgeted to ensure that the state administration machinery operates efficiently, provide a conducive platform to regenerate the state's economic activities and ensure that welfare programmes and assistance to the people can continue," he said.
Last Friday, Chow tabled its 2024 Budget, which projected a higher deficit of RM514.53 million compared with RM467.12 million last year.
This is its 13th consecutive deficit budget since 2011.
