07 December, 2009

Give Assurance That Deferment of 50% Bumi Quota Does Not Freeze “Malay Reserve Land” Swapping Application

I refer to the announcement by the PAS-led Kedah state government today to defer the implementation of the 50% bumi quota for housing development in Kedah involving swapped “Malay Reserve land” (the previous quota was 30%).

This policy applies to swapped Malay Reserve land in Kedah whereby, a Malay Reserve land is converted into a non-Malay Reserve land. The process involves swapping the land’s Malay Reserve status with a similar size non-Malay reserve land (plus 5%). Thus, every swapping process would actually lead to the increase of 5% in size of the Malay Reserve land and there is no decrease of Malay Reserve land in Kedah.

Under the previous administration of the state by Barisan Nasional, the housing development on such swapped Malay Reserve land is subject to a 30% Bumi Quota. The swapping normally occurs in the area of Alor Star whereby majority of the land in the city are designated as “Malay Reserve” area. It is done to promote housing development and to create more affordable houses in the city.

However, since September last year, the PAS-led Kedah state government had increased the Bumi Quota to 50% for housing development on swapped Malay Reserve land, notwithstanding strong objection from all corners of the state.

Today, I would like to state my appreciation to the PAS-led Kedah state government for putting a hold on the implementation of their policy to increase the bumi quota from 30% to 50% for housing development in Kedah involving swapped Malay Reserve land.

Although it took more than a year for the PAS-led Kedah state government to realize their irrational policy, any further delay in cancelling this policy would cause further damage to the housing industry in Kedah as well as losses to the people in Kedah.

However, to avoid any confusion, I hope that the PAS-led Kedah state government would clarify and give assurance that the deferment of the implementation of the 50% bumi quota would not eventually lead to the freezing of the “Malay Reserve swapping application” for land in Kedah designated for housing development, particularly in Alor Star.

Otherwise, the deferment of the implementation of the 50% bumi quota would only cause more damage than solving anything to the stagnant housing industry in Kedah.