SERDANG, March 18 — A proposed undersea tunnel project to connect Bagan Datuk, Perak to Sumatra, Indonesia, is being planned, according to Datuk Seri Ahmad Zahid Hamidi.

The Deputy Prime Minister said the project’s physical planning has been agreed to in principle, but requires more work.

“An feasibility study must be conducted, and the project also needs the full approval of the federal and state governments.

“Diplomatic protocol must also be adhered to, as the project must also be agreed to by the Indonesian central government and several provincial governments in Sumatra where the project will take place,” he said after speaking at the TN50 Bagan Datuk dialogue session here.

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Zahid said the government would do its part, but the private sector is also needed to convince external investors to fund the project. He added the tunnel may cost up to US$20 billion (RM78.18 billion)

When completed, the tunnel will be linked to the ongoing East-Coast Expressway project which is slated for completion next year.

During the dialogue session which was attended by 2,500 Bagan Datuk residents, Zahid, who is also its parliamentarian, called upon them to work together for the betterment of the town.

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He discussed several clusters including industrial development projects within the vicinity aimed at providing job opportunities for the populace, the construction of several new schools and colleges, as well as public housing for residents and civil servants.