The Johor government’s decision to task the establishment of the Pengerang Local Authority to Johor Corporation (JCorp) was something I announced in the 2016 Johor Budget.
The selection of JCorp was based on its 32 years of experience in leading and taking care of the Pasir Gudang area, from when it was opened as an industrial area and port in 1977 to 2009.
Based on JCorp’s track record, we were confident it was the best decision at that time. To have the local authority’s administration based on corporate culture is very important. Pengerang will need more local and international firms to invest in the Pengerang Integrated Petroleum Complex (PIPC), which is expected to begin operations in 2019.
At the Pengerang Industrial Park (PIP) area, which will be developed by JCorp, we can expect the setting up of 266 factories that will offer 15,846 jobs. All this will bear witness to a new boom and dynamism in the area.
Since Jan 1, the local authority’s machinery has been officially mobilised with a team of 110 professional officers and skilled support group. I hope that with the trust placed on JCorp, it will be able to display the same excellence in Pengerang, Insya Allah. Last Monday’s launch was proof of the role and function that is played by a local authority.
The pace of development, efficiency of the implementation of policies and success of an introduced agenda, rely greatly on the efficiency and effectiveness of a local authority’s operations.
Without a local authority that functions well and smoothly, much of the development agenda and government policies will not be executed effectively and they will not be impactful. It is the same with the Pengerang area, which has huge potential and a great future. As an economic development region that is experiencing rapid growth and expansion, the local authority will play a very big and critical role.
Besides ensuring the smooth management and affairs related to state government procedures, the local authority will shoulder an important responsibility. It will ensure that the rapid development in Pengerang is organised, safe, sustainable and conducted in an effective manner. It requires a high level of commitment, efficiency and skills.
The development in Pengerang is intended to position it as the catalyst for growth for the east Johor corridor. The state government hopes to transform it into an economic district of global importance. This hope is based on two reasons and observations.
First, the positioning of Pengerang as Johor’s eastern economic corridor will balance development in Johor. Johor’s east coast has yet to be developed on a large scale. There are many economic benefits that can be garnered in east Johor. The area is the closest region to East Asia. China, Vietnam, Taiwan, South Korea and Japan are closer to east Johor than the Straits of Malacca and the west coast of the peninsula.
Why has this strategic location never been exploited? Well, now is the time to change the status quo. We must bring large-scale world-class economic projects to this area. It must be a new growth area for the region, not only for Johor. The PIPC is just the beginning.
PIPC has also indirectly convinced the people that Johor’s development is not merely about Johor Baru or Iskandar Malaysia. It involves all of Johor. I intend to position Pengerang as the East Johor Development Corridor because I believe it has made a good start.
It would be unreasonable for Johor, which received big investments from the Federal Government in Pengerang, to limit them only to PIPC. East Johor has big potential. There are areas that have not been tapped, such as turning it into a fisheries hub or global-scale industrial areas for the downstream oil palm industry, or a regional ship repairs centre. All these can succeed and become big economic contributors to Johor and Malaysia.
The rise of Pengerang could change the economic landscape of Peninsular Malaysia’s east coast. This will boost the confidence of investors.
I hope Johoreans will make the effort to turn Pengerang into a development corridor and an east Johor economic centre. This is the best way for us to thank the Federal Government for opportunities given to Johor.
It is hoped that more globally-renowned projects can be brought to east Johor for the benefit of Johor and its people.
Second, since Pengerang is poised to become a local and regional oil and gas industry processing hub, we must take the opportunity to make it into a global brand for Johor.
Johor has world-class facilities and infrastructure, especially when it comes to logistics and port services. We must use all our plus points to shape Pengerang.
The area is not a new name in trade and shipping. It was frequented by merchant ships centuries ago. Pengerang was well known in the Malay Archipelago at that time. It was a stopover for traders and mariners between the east and west. They berthed and traded. It was where they obtained water, firewood and food before resuming their journeys.
From China to Europe, all mariners in the old days knew Pengerang as an important trade route that was a gateway to the Singapore Straits and an exit point from the Straits of Malacca.
The name Pengerang and the sea route of east Johor were recorded in historical documents, including the writings of Munshi Abdullah in Kisah Pelayaran Abdullah dari Singapura ke Kelantan in 1838.
Congratulations JCorp and Pengerang Local Authority. Use this opportunity to give the best services to all, locals, Johor and, most of all, investors. Be professional. Work with dedication, honesty and integrity.
To all parties, give your time, opportunity, support, input and constructive opinions to the Pengerang Local Authority team, which is led by its president, Bukhari Abdul Rahman.
Datuk Seri Mohamed Khaled Nordin is Johor menteri besar