The Penang state government has instructed the Penang Island City Council (MBPP) and Seberang Perai City Council (MBSP) to immediately suspend the use of the Automated Number Plate Recognition (ANPR) system for parking enforcement and to review its implementation, effective August 9, 2026 [1, 2].
The decision follows widespread public criticism regarding the ANPR system, particularly complaints that motorists were given insufficient time to pay for parking before receiving a compound [3, 4, 5, 1, 6, 2]. Chief Minister Chow Kon Yeow said the suspension decision came after a Penang Pakatan Harapan leadership council meeting held on August 8, 2026. "We agreed that the state government must continue to be sensitive and listen to the pulse of the people, and take appropriate steps to help ease their burden," Chow said [3]. He added, "What is important is that we listen to the voice of the people, review what needs to be reviewed and ensure that every policy implemented truly takes into account the interests of the people of Penang" [4].
Later on August 8, Chow met with Penang DAP chairman Steven Sim and vice-chairman Zairil Khir Johari to discuss issues affecting residents' daily lives including economic pressures and the ANPR issue [3, 4, 5, 1, 6, 2].
The ANPR system, introduced on April 24, 2025, was meant to upgrade Penang’s parking enforcement by reducing human error and improving efficiency [3, 4, 5, 1, 6, 2]. MBPP operates two ANPR patrol vehicles staffed by two enforcement officers each, capable of issuing about 7,000 parking compounds per vehicle monthly [3, 4, 5, 1, 6, 2]. Penang Island City Council manages around 20,000 parking bays where the system is deployed [1, 2].
MBPP Mayor A. Rajendran defended the grace period, saying council tests showed that a one-minute window was sufficient for motorists to open the Penang Smart Parking app and complete payment. He stressed that payment is required as soon as a vehicle is parked, even if the driver remains inside with the engine running [3, 4, 5, 6].
Despite these efforts, the program caused unease and concern among Penang residents, including support from former Chief Minister Lim Guan Eng [1, 2].
The state government has now directed both city councils to halt the ANPR enforcement and conduct a review to address public concerns [3, 4, 5, 1, 6, 2].