The real NYE celebrations won't be taking place in Batu Ferringhi as that's basically just a tourist resort. You'll be dependant on whatever each hotel puts on.
For the real happening events you need to be somewhere like the Esplanade in George Town, Komtar, Auto City or one of the malls. You'll find a night of entertainment with music, performances, food and fireworks at midnight. I'd go and stay in George Town if you want to celebrate, as the roads will get absolutely jammed afterwards and you won't be able to find a taxi anywhere for quite some time.
Food can be very cheap, and you can get a plate of food for less than a £1 in one of the hawker centres. Alcohol is very heavily taxed and much more expensive than in the UK. Don't expect to go out for a cheap night's drinking! Best to stock up with cans of beer from one of the supermarkets instead. If it's wine you want, a drinkable bottle of white will start at around £9 and go upwards to whatever you can afford.
Nightlife in Batu Ferringhi mainly centres around a couple of beach bars, but there is live music at the Hard Rock hotel. For more again you need to be down in George Town.
Thank you PSS for your reply, it's much appreciated.
It's our first time in Penang we usually go to Thailand, which we love but thought we'd try elsewhere. We are staying at the Lone Pine Hotel. I'm hoping that it's not going to be too quiet for us. Don't get me wrong we are no longer into the party scene, but we do like a choice of busy bars and restaurants. :)
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