Penang is one of the 13 states of Malaysia and is situated in the north of the Peninsular. Local Government is the third tier in the Malaysian Government administrative structure. Local Government has been in existence in Penang since 1856.
The Municipal Council of Penang Island was established on 15 December 1976 under the Local Government Act 1976.

The Penang State Authority agreed on 25 June 2010 that the Municipal Council of Penang Island be elevated to City Council of Penang Island based on the provisions under Section 4(2) of the Local Government Act 1976 (Act 171). Accordingly, the Municipal Council of Penang Island was elevated to City Council of Penang Island on 1 January 2015.

The City Council of Penang Island administers an area of approximately 305.77 square kilometers with a multi racial population of 722,300. The Council is an organization which provides Local Government services on the island. The Council’s activities and operations have a direct bearing on the quality of life of the people.

The Council’s administration consists of a Mayor and 24 Councillors who are appointed by the State Government under the Local Government Act 1976. The Councillors serve for a one year term.