GEORGE TOWN: Zip lining, hiking, glamping as well as regular camping will be among the activities available for future visitors to a RM40mil agro-tourism project in Paya Terubong.
A letter of agreement on the project was signed by the Penang Development Corporation (PDC) and KAT Resources Sdn Bhd in Komtar on Thursday (Sept 14), witnessed by Penang Chief Minister Chow Kon Yeow.
Chow said the project would create 400 jobs upon completion and would become the state's latest tourist attraction.
"The signing of a 45-year lease agreement between the PDC and KAT Resources will allow for systematic and planned development to benefit both the state and the tourism industry," he told a press conference after the signing.
He also stressed that there would be no repeat of illegal land clearing such as the incidents at Bukit Botak or Bukit Relau several years ago.
He said Kat Resources Sdn Bhd would get all relevant approvals, including environmental impact assessment reports, before starting work on the project which is expected to take a year to complete.
The project covers 165ha (about 408 acres) of PDC land which includes hills up to 70m in height, he added.
It will also take drainage, slope protection and valley conservation into account, he added.
The development would include a durian orchard, livestock feeding and viewing areas, campsites and a host of recreational activities.
"We may even involve those farming illegally at the site now by granting them leases for smaller plots," he said.
Chow noted that this was among the challenging projects taken on by the state over the last few years such as the cable car, LRT and Bukit Kukus paired roads.
He pledged to continue implementing projects that can stimulate the state's economy.
PDC was represented by its chief executive officer Datuk Aziz Bakar while KAT Resources Sdn Bhd CEO Teh Kok Aun signed on its behalf.
Other state government leaders present included agrotechnology, food security and cooperative development committee chairman Fahmi Zainol and housing and environment committee chairman Datuk Seri S. Sundarajoo.
Aziz said PDC would determine the level of green cover to be retained.
"We will get help from the Agriculture Department to set guidelines to make sure the greenery level is protected," he said.
He said the lease deal would benefit the state government to the tune of about RM24mil over 45 years.
Teoh said the project was estimated to collect RM3mil per year from agriculture yield and RM5mil annually from tourism activities.
He said this did not include the spillover effect from hotels, transport and food and beverage industries from nearby areas.