Melaka Gateway



Melaka Gateway is an off-shore development of artificial islands in Malacca, Malaysia. It was launched on 7 February 2014 by Malaysia's Prime Minister, Dato' Seri Najib Bin Tun Abdul Razak, witnessed by Malacca Chief Minister Idris Haron. It was expected to be open in 2018 and finished completely by 2025. The project was planned to consist of four artificial islands including Melaka Island and one adjacent natural island – Panjang Island, with mixed residential and commercial development, leisure-cum-tourism amenities, free-trade zone, port and industrial zone. However, a series of obstacles led to the project scaled down to only Melaka Island alone with a cruise terminal.

In November 2020, the project was reported as scrapped by the State government. Malaccan Chief Minister Sulaiman Md Ali was quoted as saying the Melaka Gateway project will not be abandoned but will be taken over by a new developer saying "The development will continue, but we have some technical issues that we need to fix."

KAJ Development Sdn Bhd (abbreviated as KAJD, ) remains the master developer of the project.

As of February 2022, the project has resumed the development of its first island – Pulau Melaka East 1 (PME1), after receiving approval from the State Government through an agreement signed on 23 February.

Reactions
In 2017, Chief Minister of Malacca, Idris Haron said he was serious in developing the state into a nautical gem of this region and could no longer tolerate any hiatus in proposed development projects laid by interested developers. The Kristang community at the Portuguese Settlement however said that they were not consulted by this project. The Portuguese community has been protesting the project ever since they found out about it. In May 2018, 200 villagers participated in a demonstration outside of the KAJ Development's office.

China's then-Minister of Transport, H.E. Yang Chuantang said: "With Malacca as the forefront flagship in support of the One Belt, One Road program initiated by the People's Republic of China, we will soon taste the fruits of success, especially with the plans for infrastructure,...China is confident in Melaka Gateway's project."

Forbes described Malaysian Prime Minister Mahathir Mohamad as the "strongest opponent of Melaka Gateway". Mahathir said of the project "We are very concerned because in the first place we don’t need any extra harbor."

The chief executive of KAJ reacted to the cancellation saying that KAJ were contemplating taking legal action against the state saying "We are left with no choice. Our project is canceled after we spent millions of our own resources to conduct various environmental studies and pay licensing fees." In December 2020, the company filed a judicial review challenging the termination notice issued by the Malacca State Government. In February 2021, the judicial review was dismissed by the court.

In March 2023, Transport Minister Anthony Loke announced that the project may be revived in discussions with the State government.

Return
Melaka Gateway’s return is marked by new investors, shareholders and team, and the resumption of construction of the Melaka International Cruise Terminal (MICT).

In March 2022, KAJD signed a Memorandum of understanding with the Dubai Integrated Economic Zones Authority to collaborate on the investment and operations of the free trade zone on the project’s first island (PME1). The first MoA was exchanged between KAJD and MG Velocity Sdn Bhd, X Infinity Property Sdn Bhd and Total Group Bhd for the development of the MICT on PME1. The second MoA was exchanged between KAJD and Assetwall Sdn Bhd for the development of a theme park on PME1.

In March 2023, it was announced that the Sultan of Johor is the second largest shareholder of the project.

On 20 June 2023, Dato’ Mircle Yap was appointed as the Independent Non-Executive Director of KAJD and Non-Executive Advisor of the project.

On 12 September 2023, the project is back on track, following support and approvals from the state and federal governments.