The Department of Environment (DoE) in Malaysia has approved the environmental impact assessment (EIA) report for the Pan Island Link 1 highway project (PIL1). PIL1 is a part of Malaysia's Penang Transport Master Plan (PTMP).

The PTMP is a long term comprehensive plan formed by the Penang state government to improve transportation within the State of Penang. The plan is expected to cost RM27 billion (US$6.65 billion), and includes more alternative transportation modes to fight traffic congestion across the state.

The PIL1 project is a 19.5km highway that will form a second north-south spine road to improve traffic congestion on Penang island and will consist of 7.6km of viaduct sections, four tunnel sections totaling 10.1km in length and embankment sections totaling 1.8km. PIL1 links Gurney Drive to Bayan Lepas and will have six interchanges connecting all major hubs.

The EIA report was carefully reviewed by the EIA Technical Review Committee and the report was found to fulfill all requirements of the Environment Quality Act 1974, the department concluded.

The DoE has given the conditional EIA for the project, and the government will seek other necessary approvals needed to start the construction of the project. Now that the EIA is approved, the state can move on to obtaining the design, land acquisition and appointing contractors for the project through open tender.

Penang Chief Minister Chow Kon Yeow said that project delivery partner SRS Consortium and the state will both provide bridging finance to pay for the construction costs and that the estimated construction cost for the highway will be around MYR 7 billion (US& 1.69 billion).

The construction of the highway is planned to start in July 2020 and is expected to be completed by June 2026.