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Encik Wong Sing Nang: Thank you, Tuan Speaker. I rise to take part in the debate on the 1997 Budget presented to this august House by the Honourable Minister for Finance and Public Utilities on the 22nd November, 1996.

Tuan Speaker, in his speech, the Finance Minister said, I quote:

?The thrust of the budget will be to accelerate the pace of development including greater involvement by the private sector to effect high growth. Secondly, to address social issue and enhance the quality of life. And thirdly, to facilitate equitable distribution of development, focusing on both ulu and rural area.?

Tuan Speaker, in our effort to achieve a competitive and a balanced Sarawak economy, it is necessary to appreciate our plan and the functioning of the global economic transcend-national borders. The sustained growth of the global economy is associated with its emphasis on private enterprise and market oriented price mechanism. On a closer look, the global economy is a system of interlinked economy that is absorbing consumers and cooperation without regard to national frontiers. One important feature of the global economy is the huge size and strength of the Multi -National Corporation (MNC) that are turning into global corporation.

Tuan Speaker, the process of globalisation and development of multi-national companies through the manifestation of strict toward efficiency, the hallmark of market economy. Malaysia, including Sarawak, has scrambled to the globalisation process and will continue to do so. The National Development Policy (NDP) forecast an open Malaysia economy which will not only foster local enterprise but will also promote foreign investments and enterprise.

Tuan Speaker, in the book Vision 2020 - Way Forward, I quote: ?It leads the challenge of establishing a prosperous society with an economy that is globally competitive, dynamic, robust and resilient as a nine strategy challenge that we must have to face in the future?. In order to sustain Malaysia?s industralisation momentum or industrial competitiveness, there is a need to look into a broad base industrial programme. For industrial programme, there is a need to move to high value-added economic activities.

It is happy to note that the State is now experiencing strong momentum in its industrialisation effort to develop the manufacturing sector as a growth catalyst in the economy as pointed out by the Finance Minister. I quote: ?Based on the value of investment approved from 1991-1996 for the state amounting to RM11 billion, Sarawak is fifth in the nation.? The Finance Minister also pointed out that we recognised the manufacturing sector still lacks backward and forward linkage which are necessary to provide the link between the small and medium industries (SMI), supporting and accelerating industry and the big industrial establishment.

More industrial zones or parks should be opened up for the private sector participation in the industrialisation programme. In Sibu, there is a great urgency to have such industrial zone or park for the SMI. This will reduce the SMI industry to use residential houses for industrial purposes and to accelerate the industrialisation programmes. The SMI plays a vital role in our industrialisation programme. Efforts should be made in this SMI to quantum leap our SMI into the mainstream of the industry.

Tuan Speaker, the Finance Minister in his speech also pointed out that and I quote:

?Todate, the total value of investment approved for the electronic and hi-tech support industry in Sama Jaya Free Trade Industrial Zone is approximately RM5.82 billion, involving 16 companies by existing and proposed establishment. This is very commendable and the government should consider to take into regional balance in allocating industries.?

Tuan Speaker, I propose that the Government should also consider to allocate more industries at the Tanjung Manis, Sarikei, together with infrastructure development to enable the deep-sea harbour facilities once completed to achieve their fullest potential.

Housing Development Commission

Tuan Speaker, the allocation of RM160.8 million to the Housing Development Commission is very, very commendable because the construction of low-cost housing is a very pressing issue in the social agenda which ought to be continued and be given priority by the State Government. In the Federal Budget Speech, the Deputy Prime Minister who is also the Federal Finance Minister Datuk Sri Anwar Ibrahim, said, I quote:

?Under the low-cost housing fund, a total of 116,449 units of low-cost houses has been approved for construction. In addition, under the Seventh Malaysia Plan, a total of 170,000 units will be built by the public sector while 380,000 units will be built by the private sector. The EPF is also involved together with the private sector to build 5,820 units. To accelerate the programme for low-cost and medium-cost housing, I wish to announce that the establishment of a national housing company with a start-up capital of RM1 billion. This company will assist developers to build more low-cost and medium-cost houses and provide more opportunity for the people to own house.?

The State Finance Minister in his speech pointed out that a sum of RM160.8 million was allocated to enable Housing and Development Commission (HDC) to implement various low-cost housing schemes approved for implementation in 1997. I welcome the Government?s effort to allocate more funds for the construction of low-cost housing.

Open Registration Scheme

I also gather that phase one of the low-cost housing scheme in Sibu will be completed soon and the successful applicants will be moving in sometime in March 1997. Tuan Speaker, it is most welcome and the Government should also, as I have pointed out, consider to have an open registration system for the low-cost and medium-cost schemes to enable the Government to forecast the number of units required for the year 2000. The system should be implemented as soon as possible so as to enable both the private and public sectors to participate in. It is also the obligation of the private sector to share their responsibility towards the construction of affordable low-cost houses.
Tuan Speaker, I would also propose to the State Government to consider and allow statutory bodies like LCDA and SEDC to participate in the low-cost housing project in order to meet the house owning concept by our fellow Sarawakians. The private sector should be also given the chance to participate. For example, for any housing project, 30% should be allocated for the low-cost housing and this will accelerate and help the Government in implementing the house owning concept for the benefit of our fellow Sarawakians.

Internal Audit Division

Tuan Speaker, one very essential element pointed out by the Finance Minister in his budget speech is the setting up of an Internal Audit Division. This is most welcome. Indeed the Finance Minister had said: ?The recent establishment of Internal Audit Division in the ministry with the view to ensure full compliance by government agencies with finance procedure and prudent spending of approved allocation as well as to conduct regular review and improved existing financial procedure as practised in order to prevent abuses of expenditure incurred for the purpose intended?.

I would like here to cite a good example why I welcome this Internal Audit Division. I have read from a copy of the report of the Auditor-General of the State of Sarawak 1993 who said that a total sum of RM5.58 million in lieu of provision of car parking lots were not made by the developer concerned and there was no action taken by the State Government to recover this RM5.58 million from the various developers. This is the Report of the Auditor-General, of Sarawak. I quote:
?Arrears of payment in lieu of car parking lot that is paragraph 56 of the said report for those projects which has been completed and already in operation, the total amount of RM5.58 million has not been collected to date. The Land and Survey Department has not sent any reminders to the developers who failed to settle the arrears. Neither the Land and Survey Department nor the City Municipal Council have ever consider taking legal actions against the developers concerned.?

That?s why I say, I welcome the setting up of an Internal Audit Division by the ministry to check why this sort of money supposed to be collected but never collected. I don?t know why up to now the RM5.58 million has still not been collected as stated in the Report. Therefore suggest that the Internal Audit Division check on various departments to see whether money which ought to be collected have been collected and not just to leave them there without even sending reminders to defaulting developers. Can the Ministry tell this august House whether any action has been taken against defaulting developers and who are the developers. Have these developers been issued with letters of demand to pay the arrears which they owed to the State Government?

In Paragraph 61 of the Report it further stated and I quote: ?However until March 1994, RM11.19 million is outstanding from the Federal Land Commission involving 21 applications approved during the year 1979 to 1992 at Sibu, Miri, Sarikei, Bintulu and Limbang Land and Survey Divisional offices.? Tuan Speaker, the delay in settling the bills will not only affect the State Government?s revenue but also further delay subsequent development process. One case involved Bintulu Divisional Police Office where the building was constructed in 1982 but the outstanding amount in the sum of RM2.59 million determined 11 years ago has still not been paid to the Director of Lands and Surveys Sarawak. The Report further reflected the inefficient management of the Lands and Surveys Sarawak. Action and plan must be taken to revitalize the Lands and Surveys Department to make it more dynamic, aggressive and progressive in land management.

Land Title and Premium

Another issue which I wish to raise, Tuan Speaker is regarding the land development. A lot of land title, will expire soon some of which within the next five to ten years and some of them have even already expired. Many landowners are very worried about their land title. The problems they face are once the terms stipulated in their land title expire, how much premium do they have to pay and how many years extension will the Government grant to the affected title? Whether or not their application for the extension or renewal of the title will be approved? All these are uncertainties. Tuan Speaker, we need to introduce a set of rules to overcome this.
There were instances where the term of title was only for a period of 30 years and luckily after pressure from various groups, the Government extended them to 60 years. One example is Sibu OT No.4939 (now is Lot 849 Block 10 Seduan Land District). Another instance was that the landowner concerned applied for an extension and renewal of his land title in 1992 but to the best of my knowledge, there is no official reply up to now whether the extension has been approved or not but in the meantime the land title has already expired. And, that is in the case of Aiyan anak Langgak, K 373370 (Sarikei OT 2576). He made the application in 1992 in Sarikei Lands and Surveys but to-date the land title is still not extended.

In the third instance, even if the land title is to be extended, what is the premium to be imposed on the extension. This is a very, very important issue as I anticipate a lot of the landowners would be affected within the next five to 15 years because their land title would be expired by then. So, does the Government intend to introduce a set of rules to let the public know, the premium they have to pay once their land title expired. Tuan Speaker, I wish to cite an example where a landowner was asked to pay a premium equaled to 50% of the land cost and this example is....(Interruption)

Tuan Speaker: Honourable Member, you have only five minutes more.

Encik Wong Sing Nang: Thank you. That is Lot 2504 Block 4 Sungai Merah Town District (formerly in Sibu Lease Number 55763). On 21st August, 1989, the landowner applied for an extension of the term of his land title for a period 60 years and he was asked by the Land and Survey Department, Sibu to prepare AVTC and sub-division of his land. On 29th April, 1991, the landowner wrote another letter to the Lands and Surveys, Sibu to inquire about the application. On the 1st August, 1992 the Lands and Surveys, Sibu in reply to the landowner said that the AVTC had been approved. On 20th May, 1994, the Lands and Surveys Department, Sibu approved the landowner?s application for the extension of the land title but subject to payment of premium and subject to a few other conditions. The premium payable was RM50,940.00 and the term of title was extended for 60 years from the 1st January, 1994 and the quit rent payable was RM91. What was more one of the conditions attached to the land title was that the land be used for the purpose of erecting dwelling house and of other necessary appurtenances thereto. But conditions (iii) was most unfair as no transfer affecting the land may be affected without the consent in writing of the Director of Lands and Surveys Department. There was no such sub-condition in the old land title. Furthermore, the sub-condition that no sub-lease affecting the land may be affected without the consent in writing of the Director of Land and Survey Department during the initial period of five years from the date of registration of this lease was also not stated in the old land title. Tuan Speaker, the landowner of course was very unhappy about the premium imposed and eventually he went to see the then Deputy Chief Minister and also Y.B. Robert Law Hui Chui, Y.B. for the .....(Interruption)

Tuan Speaker: Honourable Member, refrain from mentioning names. Would you withdraw those name?
Encik Wong Sing Nang: Thank you, Tuan Speaker. Yes, I will. The landowner went to see a few Y.B. and eventually the land premium was reduced to RM45,846.00, a reduction of RM5,000 plus. Therefore, my proposal is that there should a set of rules introduced to let the landowners know how to proceed with the application for extension of land title and how much premium they will have to pay for an extension of their land title after expiry thereof. This will bring certainty to the Land Code and the landowners would appreciate that. For example landowners would then know for certain how much premium they would have to pay for extension of their land title for various purposes such as agriculture industrial or residential. Tuan Speaker, I would also like the Minister concerned to tell the House by the year 2000, and between 2005 and 2010, how many land titles will expire. I therefore propose to the State Government to set up a committee to look into these matters urgently and draw up a set of statutory rules and guidelines for the extension and renewal of land title to bring certainty into this urgent land matters and also to impose minimum premiums as administration charges.

Tuan Speaker, we are very willing to participate and to offer constructive opinions and views if called upon by this House to do so and, this will certainly bring certainty to areas where a lot of people now are very worried about.

Sibu New Hawkers Centre

Tuan Speaker, as time is running out, I will make it short and will raise just one or two other matters. The Sibu New Hawker Centre will be completed very soon and a lot of the hawkers? stalls will be moving into the New Hawkers Centre. The hawkers along Jalan Khoo Peng Loong and Jalan Tua Pekong Wharf and along the waterfront will also be moving into it. I would propose that the State Government allocate certain sum of money to beautify the waterfront in Sibu and the Tua Pekong Wharf as has been done in Sarikei and Bintangor and even in Kanowit. This will make them look beautiful as a lot of people including passengers are using the waterfront as the gateway to Sarikei or to other divisions.

And lastly, regarding the land development, I know that there are a lot of applications by developers for the approval of city construction plan and they are facing problems of delay. In order to accelerate the approval, Tuan Speaker, I would also urge the State Government to consider, drawing up a comprehensive guideline for the civil servants to follow when approving new township extension so as to accelerate the construction industry.

Guidelines For Civil Servants

Tuan Speaker, the plan for the new township extension would be a change of direction where Sarawak are moving into and I hope clear guidelines be drawn up so that civil servants giving approval to the plan can be guided by them and can approve it very speedily and in a very efficient manner. This will certainly, accelerate or speed up the development process in the construction industry. For example in 1989, the Government acquired the land in Kanowit for Kanowit new extension, and in 1995, another parcel of land was also acquired for the Kanowit new township extension but up to now nothing has been done. I want to ask the State Government or the Minister concerned whether the proposed Kanowit township extension is going to be materialized. If so, when will it be materialized? If not, then the land acquired for that new township extension should be revoked so that the landowner can develop his own land in the Kanowit township extension. So, I propose that this Government draw up a comprehensive guideline for civil servants to follow in approving city and town planning plans so as to accelerate township development by the private sector.

Feri Malaysia

Tuan Speaker, the idea by the Minister for Tourism to relaunch the Feri Malaysia, I think is very timely and encouraging and the Ministry of Tourism has done a good job to promote tourism. As more people are using cruise liner for traveling, the State Government should immediately relaunch the Feri Malaysia, which can be operated by a joint-venture between the State Government and the private sector.

For the Sibu Rajang gateway, the Minister had also said yesterday in Sibu, there would be a tourism industry study plan to be implemented in Sibu for the central region. I think that was also very encouraging. The proposed Theme Park in Sibu has to be considered seriously and we can have similar plan for it as the Sunway Lagoon Theme Park in Semenanjung or even the Jelutong Park in Brunei where a lot of people are now going there.

I have been there and it is really a very beautiful place, just like the Disney Land. If there is a Theme Park similar to either Jelutong Park or the Sunway Lagoon, I am sure Sibu would become a booming town as a lot of people would come to Sibu as a tourist destination. Now, we have two direct flights from Kuala Lumpur to Sibu, and from KK to Sibu. In future, we may have flights from Penang to Sibu and, Sibu Rajang Central Region will be a gateway for the other areas for example Kanowit, Bintangor, Sarikei and Kapit...(Interruption)

Tuan Speaker: Honourable Member, you have to conclude.

Encik Wong Sing Nang: I intend to conclude. One more sentence, Tuan Speaker, I hope the Government will consider my proposals or my opinions seriously in implementing the projects and the guidelines as soon as possible. Thank you, Tuan Speaker.