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THE BRITISH COMES TO PENANG

Before the 19th century, Penang was a territory of the State of Kedah. The British, in their
quest to conquer more territories in the form of British East India Company (BEIC), was particularly
interested to seize Kedah due to her status as a maritime power, but was met with the fact that it is
a vassal state of Siam, a strong kingdom in Southeast Asia.

Image 1: Map of Kedah, Penang and Perlis

The British decided to focus on Penang due to the strategic location of the island and its
suitability to be made a

(i) Port of call (ii) Centre to collect trade
 For ships to obtain  Tea was particularly
supplies of water, a precious
food and ship commodity in
maintenance Europe.
services before  The BEIC needed
sailing on to Canton, gold, silver, tin and
China. black pepper to be
 As a temporary stop traded with tea in
while waiting for the China.
change in the course  Penang was suitable
of monsoon winds. to be made a centre
to collect such goods
that are found in the
Malay Archipelago.
(iii) Military base
 The British and the
French are fierce
competitors in trying
to seize control of
trade in India.
 Penang would make
good military base to
defend British
territory from French
attacks.
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In the meantime, the sovereignty of Kedah was under threat due to the following incidents.
Image 2: Bunga mas, a tribute gift made of gold and silver
(i) Heir issue (ii) Threat of the Bugis
 Sultan Muhammad  Raja Haji led Bugis
Jiwa appointed forces on an assault
Tunku Abdullah as on Alor Setar and
the Raja Muda of Kuala Kedah,
Kedah to inherit the causing Sultan
throne in 1770 but Muhammad Jiwa to
was met with retreat to Kangar.
opposition by the  The Sultan turned to
royal members the Jourdain Sullivan
themselves as Tunku and de Souza firm for
Abdullah Mukarram military assistance to
Shah was not of pure counter-attack the
royal blood. Bugis.
 The Kedah royal  In 1771, Francis
members in turn Light was sent to
sought assistance negotiate with Sultan
from the Bugis in Muhammad Jiwa,
Selangor to oppose who gave permission
the Sultan’s action. to the firm to trade in
Kuala Kedah as
exchange for military
aid.
 The firm refused to
render such
assistance because
the deal was stuck
with Francis Light but
not with the firm.
(iii) Siamese threat
 When The Burmese-
Siamese Wars broke
out between 1753
and 1781, Kedah
stopped sending the
tributary bunga mas
to Siam. Having
emerged as the
victor, Siam
demamded bunga
mas, currency and
labour from Kedah.
 Now Sultan Abdullah
Mukarram Shah, he
offered Penang to
the BEIC in
exchange for military
assistance to face
potential Siamese
invasion.
 Although the BEIC
wanted to protect
their trade interest
with Siam, Francis
Light accepted the
attractive offer as the
island had great
potentials being a
port and a military
base.
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The conditions in Light’s agreement with Kedah in 1786 include:

(a) The BEIC agrees to assist Kedah if Kedah is attacked by enemies.
(b) The BEIC cannot accord protection to enemies of Kedah.
(c) THE BEIC shall pay the Sultan of Kedah with an annual reputation amount of 30,000
Spanish dollars.

Upon settling in Penang, Francis Light renamed Penang as Prince of Wales Island while
naming the BEIC settlement as Georgetown. As a result of BEIC refusing to provide
military assistance to Kedah, Sultan Abdullah ordered Light to leave Penang but latter
defied the order and offered to pay compensation instead.

In response, Sultan Abdullah led the Kedahan navy to attack Light from Seberang Perai
with the help of sultanates of Riau, Siak and Selangor. However, Light came to know of
the Sultan’s plans and with the help of the British army, attacked the Sultan’s
stronghold. In defeat, the Sultan had to sign a peace treaty at Fort Cornwallis of which
the BEIC officially annexed Penang from Kedah and the Sultan is paid 6000 Spanish
dollars each year.

Not content with Penang Island, the BEIC intend to own Seberang Perai to turn it to a
defensive bulwark against mainland attacks and hinterland for growing food. The BEIC
pressed the sultan at the time, Sultan Dziauddin Mukarram Shah, who needed military
assistance to face off Siamese threats, to sign a treaty with Governor George Leith to
annex Seberang Perai, which the BEIC renamed as Province Wellesley.