Penang Island parking rate increase by 50% beginning March 2025 deemed unjustified by local association

The announced increase of parking rates in Penang Island beginning March 2025 has not been well received by Penang Ratepayers Association (PRA), The Star reports. According to its president, Lee Kim Noor, the reason given for the increase that it has not been raised in the past few years is not acceptable.

Earlier this week, it was revealed parking rates in Penang will be increased by 50% at designated locations on the island for Penang Smart Parking (PSP) users. The new rates are RM0.40 to RM0.60 for 30 minutes, RM0.80 to RM1.20 for an hour, and RM6 to RM9 for a full day. On the flipside, annual parking rates have been lowered from RM1,800 to RM1,200 between March and December next year, while monthly charges will remain unchanged at RM150.

“Penang’s parking rate on the island is one of the highest, considering Butterworth’s parking fee is only RM0.40 per hour. The Penang Smart Parking system was recently implemented, which has caused an increase in parking fees for maintaining the parking sensors and other upgrades unjustified,” said Lee.

“Before deciding on a system, it is important that relevant authorities look at long-term maintenance to avoid increasing parking fees. Our mayor in announcing the increase said it is to ensure fair access for everyone. We recommend that the basic RM0.40 for the first half an hour be maintained and increasing the charge for additional hours,” she added. Lee also urged the state government and local council not to place additional burden on ratepayers and stop any increases.

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