KUALA LUMPUR, March 5 — The government plans to increase the frequency of flights from Kuala Lumpur to Labuan as part of its efforts to revive the duty-free island’s economy.

Minister in the Prime Minister’s Department (Federal Territories) Dr Zaliha Mustafa said that the proposal is currently under review within the Labuan Structure Plan 2040 study, poised to serve as a game changer in boosting the local economy.

“We also want to improve the quality of the ferry service between Sabah and Labuan by adding more ferry operators, increasing the frequency, and examining opportunities for ferry enhancements to shorten travel time.


“In addition, we will build new air cargo facilities in stages according to current needs and requests to accommodate cargo activities,” she said during the Minister’s Question Time at the Dewan Rakyat today.

She said this in response to a supplementary question from Datuk Dr Suhaili Abdul Rahman (PN-Labuan), who sought clarification on whether the government has formulated a comprehensive plan to revive Labuan’s economy.

Responding to Suhaili’s original question about the water and electricity supply issue and the status of programmes planned for Labuan, Dr Zaliha said relevant agencies have undertaken measures and are working to improve infrastructure, particularly water and electricity supply on the island.


She said that this includes plans to construct a new power station with a capacity of 100 to 130 megawatts (MW), with operations expected to commence in 2028, alongside initiatives to upgrade the supply system to strengthen the electricity supply in Labuan. In addition, she said that the project to enhance the generation capacity of the Enoe Main Distribution Substation is in its final stages and is expected to be completed by the end of this month to further increase energy supply.

To tackle the water supply issue, Dr Zaliha said among the projects that have been implemented were replacing the pumping system, enhancing water storage capacity, installing additional raw water reservoirs, and replacing water pipes.

“Currently, four short-term projects worth RM25 million are being implemented, with an expected completion date in 2025.

“These projects include the replacement of the pump system and related works on Pulau Enoe, along with repair works for mechanical and electrical equipment in Bukit Kallam, Kerupang and the Arsat pump house,” she said. — Bernama