This section contains two major elements i.e. Government and CIDB. Industry initiatives is an effort by those involved in the construction sector with cooperation from authorities to enhance, facilitate, modernise and complement the industry via various initiatives. All these sectors would develop and expand dynamically in line with the changing times. Directly under the auspices of the Government there are 3 components (CIMP, NeTI, Grants & Assistance), whereas within the CIDB, it has 6 sub-sectors (International Division, CIDB FAQ, IBS, Asset & Facilities Management, Partnering, Complementary Industry).

The following agencies are amongst government  initiatives to facilitate the industry ;

Jabatan Kerja Raya Malaysia (JKR)

Pusat Khidmat Kontraktor (PKK)

Lembaga Lebuhraya Malaysia (LLM)

Board of Engineers Malaysia

Board of Quantity Surveyor Malaysia

Board of Architect Malaysia

 

Editor's Pick Of The Week

 

Private Sector Has a Lot to Gain in Public-private Partnership Development

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

Public-private partnership (PPP) is nothing new. In plain language, PPP is joint ventures between the private and public sectors to achieve specific national development objectives.

Governments around the world have started such partnerships, which, through PPPs, a government aims to secure investment and greater efficiency in the delivery of necessary public services such as infrastructure, health care, and education by getting the private sector to take them on.

As an incentive, the government may choose to offer concessions, tax breaks, or grants to the relevant private sector players to create a business case.

The biggest, and most ambitious, PPP in Malaysia so far is the Economic Transformation Programme (ETP).

Part of the 10^th Malaysia Plan, the ETP with 131 entry point projects (EPP) and 60 business opportunities that could potentially create 3.3 million jobs and propel Malaysia into high-income nation status, defined by the World Bank as having a gross national income (GNI) per capita of US$15,000.

Projects valued at RM30 billion under the Public Private Partnership (PPP) expect to carry out this year.

513 projects have been implemented, in which 113,487 jobs have moved from the government to the private sector.

This equal to savings of RM163.8 billion on capital expenditure (CAPEX) and RM8.9 billion on operating expenditure (OPEX).

PPP is indeed an important alternative that can be utilised, in today's challenging economic times, when we need to find increasingly innovative ways to improve the nation's infrastructure and services to meet the needs of the people.

The prime minister, Dato’ Seri Mohd. Najib Tun Abdul Razak said that to increase private sector involvement in economic activities, the government would further intensify the PPP initiative and implement in 2011 several PPP projects identified under the 10^th Malaysia Plan through private investment of RM12.5 billion. The government would allocate RM1 billion from the Facilitation Fund.

Among the PPP projects are the Ampang-Cheras-Pandan Elevated Highway, Guthrie-Damansara Expressway, Damansara-Petaling Jaya Highway, West Coast-Banting-Taiping Highway, Sungai Dua-Juru Highway and Paroi-Senawang-KLIA Highway.

A 300-megawatt Combined-Cycle Gas Power Plant in Kimanis, Sabah, to increase electricity generation capacity to meet rising demand.

The International Islamic University Malaysia Teaching Hospital in Kuantan, the Women and Children's Hospital as well as the Integrated Health Research Institute Complex in Kuala Lumpur;

The Academic Medical Centre, a joint venture between Academic Medical Centre Sdn Bhd and Johns Hopkins Medicine International as well as Royal College of Surgeons Ireland which involves private investment of RM2 billion.

Dato’ Seri Mohd. Najib also said the government would encourage the private sector to resume an active role in the economy through several high-impact strategic projects.

These projects included the Kuala Lumpur International Financial District (KLIFD) valued at RM26 billion, which would implement from 2011 by 1Malaysia Development Berhad (1MDB) in collaboration with Mubadala Development Company, an investment arm of the Government of Abu Dhabi.

Also, under the High-Impact Strategic Development, Dato’ Seri Mohd. Najib announced to develop another landmark in Kuala Lumpur, Wisma Merdeka, and a 100-storey tower.

The integrated development project costing RM5 billion will keep the Merdeka and Negara stadiums as national heritage. The tower will complete by 2015 and the whole project by 2020.

Dato’ Seri Mohd. Najib also said the Mass Rapid Transit (MRT) in Greater Kuala Lumpur (Klang Valley), with an estimated private investment of RM40 billion, would be implemented in 2011 and was expected to be completed by 2020.

Also to be implemented beginning next year is the development of the Malaysian Rubber Board land in Sungai Buloh covering an area of 2,680 acres by the Employees Provident Fund (EPF). It would be a mixed development comprising affordable houses as well as commercial, industrial and infrastructure facilities.

The entire development is estimated at RM10 billion and is expect to complete by 2025.

As part of the effort to reinvigorate private investment, Dato’ Seri Mohd. Najib also said the Bumiputera Property Trust Foundation (BPTF) would provide opportunities for bumiputera ownership of prime commercial properties in major towns.

The BPTF will set up a fund to enable ownership of prime commercial properties in the Klang Valley, through a group ownership scheme.

For this, he said, the BPTF would launch a syariah-compliant Bumiputera Property Trust Scheme this year with a size of RM1 billion.

All approvals related to the public-private partnership projects, privatisation and funds conducted by the Public-Private Cooperation Unit (UKAS) would expedite. 

This is in line with the government's approach under the New Economic Model that focuses on the private investment as a key national economic driver.

UKAS managed to get a commitment for an investment of RM40 billion last year.

That achievement had exceeded the target of RM30 billion set for the public-private partnership projects, privatisation and funds.

 

High-Speed Broadband Public-Private Partnership Project

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

High-Speed Broadband (HSBB) will bring the era of teleworking, digital homes and telehealth into reality.

The Ministry of Energy, Water and Communications (MEWC) now known as Ministry of Information, Communication and Culture (MICC) and Telekom Malaysia Berhad (TM) has signed the Public-Private Partnership agreement to launch Phase 1 of the national High-Speed Broadband (HSBB) initiative.

Phase 1 of the project will cover the Inner Klang Valley, all key economic and industrial zones throughout the country, the Iskandar Malaysia Region, all IPTAs throughout the nation and all IPTS within the rollout areas.

The infrastructure will roll out over 10 years with the Government investing RM2.4 billion and TM RM8.9 billion to provide high-speed broadband access to over 1.3 million properties by 2012.

HSBB is a premium broadband service with speeds of 10Mbps (Megabits a seconds) to 100 Mbps for residential customers and up to 1Gbps (Gigabits a second) for businesses for high economic impact areas delivered by fibre optic infrastructure.

HSBB benefits the country, by contributing significantly to economic growth as it will strengthen the nation’s competitiveness in the region.

HSBB will act to spur developing the local content ecosystem as well as help attract international content providers to move their operations to Malaysia thus helping the country to save costs in the long run for consumers and businesses.

HSBB positive impact of broadband services towards the annual GDP will be 1% with an estimated 135,000 new jobs created by 2010.

HSBB alone is estimate to increase the country’s GDP by 0.6%.

More significantly, for consumers, it promises a new lifestyle experience from all such as teleworking, telehealth, infotainment, virtual shopping, and high resolution video on demand, gaming, distance education among others.

Businesses will be able to improve management efficiency through new applications in managed services in accounting, supply chain or customer relationship management and can enjoy better integration with business partners worldwide

HSBB will spur to develop an IT savvy society, with knowledge capital development that will help in bridging the digital divide

Under the HSBB initiative, TM will roll-out last mile access network to homes and businesses to ease HSBB services using 3 main technologies, i.e. fibre-to-the home (FTTH), Ethernet-to-the-home (ETTH) and Very High Speed Digital Subscriber Line (VDSL2).

HSBB importance is not ignore or overstate as it will provide huge benefits to Malaysia and its citizens. Therefore, it can no longer view as a luxury.

In developing the HSBB infrastructure, the Government had evaluated several implementation models and based on findings it decides that HSBB is to roll out quickly in a cost-efficient.

The Government will ensure that other players can access the HSBB network on fair terms and at a reasonable wholesale price.

The Government wants HSBB to be a competitive market with healthy competition. It could go through a sound regulatory frame work.

Realising the importance of contributing this industry to the country’s growth, The Ministry has taken many initiatives to speed up carrying out projects and activities to increase penetrating broadband in Malaysia.

The Ministry is responsible in ensuring the smooth implementation of the HSBB project and its success. This includes ensuring an open network and a clear regulatory frame work to ensure the network infrastructure is useful to all telecommunication companies including TM.

TM is fully commit in supporting the Malaysian Government in the HSBB initiative, which will go a long way towards achieving the goals defined under the National Broadband Plan. 

 

Sports Facilities in Malaysia

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

Construction projects inevitably create enormous and complex sets of information.

Now a day, members of the construction industry are facing biggest challenges and need to meet today’s market demands.

To meet today’s market demands, needs to manage information.

Effectively managing this bulk of information to insure its availability and accuracy is an important managerial task.

Poor or missing information can readily lead to project delays, uneconomic decisions, or even the complete failure of the needed facility.

Better information, the problem could have identified earlier. Both project design and control are importantly dependent on accurate and timely information, as well as the ability to use this information effectively.

At the same time, too much unorganised information presented to managers can result in confusion and paralysis of decision making.

As project advances, the types and extent of the information used by the various organisations involved will change, include:

·           cash flow and procurement accounts for each organisation,

·           intermediate analysis results during planning and design,

·           design documents, including drawings and specifications,

·           construction schedules and cost estimates,

·           quality control and assurance records,

·           chronological files of project correspondence and memorandum,

·           construction field activity and inspection logs,

·           Legal contracts and regulatory documents.

These sets of information change as the project advances. Some important at one stage of the process but May then ignored.

Common examples include planning or structural analysis databases which not used normally during construction or operation.

However, it may be necessary at later stages in the project to re-do analyses to consider needed changes.

In this case, archival information storage and retrieval become important. Even after completing construction, a historical record may be important for use during operation, to assess responsibilities in case of facility failures or for planning similar projects elsewhere.

Control and flow of information is important for collaborative work environments.  This is where professionals are working on different aspects of a project and sharing information.

Information technology has made the effort in managing information and delivers high-quality information to the decision-makers at the right time.

It automates the process of data collection and refinement.

Thus construction industry needs effective and efficient information management to gain all the benefits and to manage all the data and information accurately, timely and consistently.

More importantly, construction industry needs a standard and complete integrated system to consolidate and handle the data. Lack of such complete integrated system may affect badly for Construction Industries in the long run.

As part of the process to achieve its set objective, to develop the capacity and ability of the construction industry through increasing quality and productivity by placing great emphasis on  professionalism, innovation and knowledge in the effort to improve the quality of life, CIDB (Construction Industry Development Board) has set up The CIDB Construction Industry Resource Centre (CIRC).

CIRC primary focus is to provide cost-related information arose from the traditional causes of production (man, materials and machinery) perspective as an assistant  to the players in the industry to be more competitive towards realising the CIDB objective and mission.

 

How Safe is Our Roads?

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

It is a fact that road conditions also contribute to accidents. 

There are dangers lurking on roads when they are not properly maintained and unsuspecting drivers may be in jeopardy from these hazards.

A study ordered by the Pacific Institute for Research and Evaluation (PIRE) has found that poor road conditions are the leading reason for highway fatalities.

The study revealed, about 31.4 per cent of all accidents each year in America cause by the poor condition and lack of maintenance of roads.

Even if road conditions are not sole cause of accident, the conditions can cause crash injuries to be more severe.

Poor road conditions increase the severity of an injury from minor to moderate or even fatal.

Some of the dangers that drivers face from poor road conditions may include potholes and uneven pavement, loose gravel, steep shoulder drop-offs, trees or other obstacles blocking drivers' view or blocking portions of the road, broken or defective guardrails, broken or missing signs, inadequate night-time lighting, poor road and intersection planning, bridges and roads that is too narrow to handle traffic and inadequate or missing road reflectors and lines.

Because of these dangers, drivers are at risk of involved in a serious accident.

Motorists have a reasonable expectation that roads are maintain and keep in good condition by city, state or federal government agencies.

Some stretches of roads in Malaysia suffer from poor design and maintenance, damage and internal management issues of the responsible parties.

Series of fatal accidents near the old Jelapang Toll Plaza is a good example where the road itself was a major factor in contributing to the series of tragic events.

In 2008 PLUS Expressways Berhad redesigned its Ipoh stretch to upgrade safety aspect and improve traffic flow.

The new stretch opened to public in July 2009 and since then there were no serious tragedies recorded on the stretch.

The government of Malaysia recognise the huge economic and social costs (over RM9 billion) incurred from the numbers of Malaysians killed crippled or injured in road accidents every year.

Introducing Malaysian Guidebook for Traffic and Road Safety Audit (METRA) by Malaysian Institute of Road Safety Research (MIROS) is an initiative to help the effort made by the government in increasing road safety in Malaysia.

METRA complement the Ministry of Work's Road Safety Audit Guidelines for safety audits on roads and road projects in Malaysia.

METRA help the local governments, engineers, auditors, researchers and institutes of higher learning to learn more of the road conditions in the country.

 

Industry Sustainable Development Initiatives in Malaysia: Panasonic Malaysia 

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

Sustainable development means inculcating the process of maintaining human needs while preserving the environment for future generations.

It also means we must use the available resources efficiently so they will be available for many years to come. A sustained economic development without excessive waste and pollution, and protect natural resources and biodiversity.

To achieve sustainable development, sense of citizenship must be developed. It can be done by education, review of our core values, and empowering communities to decide on future they want both for us and our children.

Malaysia Productivity Corporation (MPC) in 2010 has release a report on sustainable development initiatives by the industries player on their green practices.

One of the industry players studied by MPC was Panasonic Malaysia Sdn Bhd.

Panasonic Malaysia involved in many environmental related initiatives to help conserve the environment in various aspects.

Some of the environmental friendly efforts include Go Green Campaign, Computer Recycling project, and World Forestry Day sponsorship.

The sustainable development practices at Panasonic Malaysia focus on 4Rs: reuse, reduce, recycle and respect. This 4R based on promoted by Kenyan environmentalist Professor Wangari Maathai who was awarded the Nobel Peace Prize in 2004, and who educates children not to waste.

The company takes all these initiatives as their CSR (Corporate Social Responsibility) which includes educating the young in schools through the Mottainai Grandma learning activities. “Mottainai” – a Japanese expression that means “what a waste!” An elderly woman as the mascot is to “drive home” the advice on “Mottainai” is when something of value is being wasted or used without careful consideration.

As a manufacturer of electronic products, Panasonic takes responsibility on the importance of preserving the natural environment that sustains life on earth for future generations.

Sustainable Development is an effort to save the natural resources through efficient usage of electricity, water and paper from our daily activities.

Panasonic Malaysia are also encourage to manage daily activities including business activities from dangerous substances, emission of carbon dioxide (CO₂), disposal of wastes, safety and health.

Through this effort, Panasonic Group leads the way with ‘eco ideas’.

‘Eco ideas’ is originally initiated by the Panasonic group in Japan. This global direction is inculcated by implementing and projecting Panasonic as a manufacturer of electronic products while preserving the natural environment for sustainability of the future generation.

Panasonic takes initiatives to produce environmental friendly products that minimise noise and air pollution as a continuous effort to improve the logistics-related activities.

The practise of ‘eco ideas’ in Malaysia started in October 2008. Since early 2009, Panasonic Malaysia has embarked as an organisation-wide showcase on ‘eco ideas’ to introduce Eco activities to the nation.

There are three main parts or declarations on ‘eco ideas’: Eco ideas” for Products which produce energy efficient products, “eco ideas” for Manufacturing which will reduce CO₂ emissions across all their manufacturing sites, and last “eco ideas” for “Everybody,

Examples of the clear environmental performance of the ‘eco ideas’ products are:

(i)    Washing machine – saving 110 litres or using 70% less water in every wash because of the front-load technology as well as 20% less electricity with the Intelligent Inverter Technology;

(ii)   Refrigerator – uses 40% less electricity through the Intelligent Inverter Technology that uses only the exact amount of power needed;

(iii) Air-conditioner – the Intelligent Inverter Technology coupled with “Eco Patrol” enable up to 60% energy savings on air-conditioners with precise power adjustments and compressor that keep a set temperature for comfortable airflow and reduce energy consumption; thus cutting CO2 emissions; and

(iv) An almost 80% energy savings of the Panasonic energy saving bulb compared with the normal bulb through the Inverter Ballast Technology that lasts 15 times longer.

‘Eco ideas’ for manufacturing promote various activities that reduce environmental impact in manufacturing processes starting from product planning and design to production, distribution, sales and recycling.

The ideas stress on reducing CO₂ emissions globally, factory energy conservation and waste from factories.

‘Eco ideas’ for “Everybody Everywhere” stress on sustaining life and existing in perfect harmony with the environment.

As an initiative for the third ‘eco ideas’, Panasonic Malaysia has adopted an area in Perhentian Island, Terengganu, for marine conservation project to preserve one of nature’s endangered resources. The aim is to create coral reef garden through artificial reefs.

After introducing ‘eco ideas’ in October 2008, Panasonic Malaysia have taken a step about heighten this. In 2009, this initiative does not only focus on the Panasonic employees, they also share this awareness with the public especially children.

 

Rehabilitation of Abandoned Housing Projects

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

Malaysia has made impressive strides in providing affordable housing in support of successful efforts of poverty eradication.

From 1990 to 2009, about 808,000 units of low-cost affordable housing were providing to support Malaysians in need.

The demand for houses is it low- cost, medium-cost or high-cost, has not decreased. It is different story on supply.

There are some rogues developers have sketchy financial resources and taking advantage of loopholes in the law to “hit-and-run” – deceiving house buyers and do not complete the project.

House buyers are made to progressively pay the developers when they are building the houses. In other words, developers are using their customers’ funds for their capital needs.

Thus, if businesses fail or run into cash flow problems, the houses are not complete and the house buyers are leave in a lurch.

It is a nightmare as buyers have to pay loans though they yet to stay in their new house.

Even if the housing project is long abandoned, they have to honour the monthly payments. If they default on payment, the unfortunate house-buyers are fine or sue.

This is the reason on why the government has channel vast amount money to revive abandoned housing projects that causing untold hardship to those who are unfortunate to involve.

The Government will continue to provide aid towards rehabilitating abandoned housing projects.

Referring to the Ministry of Housing and Local Government, “Abandoned Projects” are defined as projects that meet the following:

·       The project is not complete within or later than the delivery date stated in Sale & Purchase Agreement and no significant activity is noticed at the construction site for six continuous months, or

·       ‘Petisyen Penggulungan’ has been registered in the High Court under Section 218 of the Companies Act 1966, or

·       Company is under Receiver and Manager, or

·       Developers cannot notice in writing to the ‘Pengawal Perumahan’, and

·       Confirmed as abandoned project by the Ministry of Housing and Local Government under Section 11 (1) (c) of Act 118

The Government has launched ‘The Housing Revival Initiative’ in September 2009 in which the Ministry of Housing and Local Government (MHLG) as mediator to resolve whatever issues that may arise on the project revived.

A green lane is set for corporate organisation involved, to help it in all its future dealings with the MHLG.

The MHLG has also set up for monitoring and enforcement of housing projects delayed, ailing and abandoned.

Developers need to present progress report two times a year or at a rate determine by the Controller of Housing by section 7(f) of Act 118, increased visits to the project sites and premises for projects that identified as problematic projects.

Developers must also present audited annual financial report to ensure that accounts of the developer and the Housing Development Account (HDA) are correctly and properly maintained besides meeting with default developers to identify problems and solutions.

MHLG taking action to strengthen the effectiveness of existing enforcement and monitoring mechanisms such as improving report 7(f) under Act 118 with more information by providing financial details of the HDA transactions.

In addition, the frequency of reporting the progress of the projects would increase from two times to four times a year.

The developer also needed to provide an extra report, on the work schedule of the project and the projected cash flow.

Some initiatives undertaken include visiting project sites within two months after the license issued to housing developers for early monitoring, taking action against professionals such as lawyers, auditors, architects, engineers and others who have committed offences under Act 118 and displaying statistics and the status of abandoned housing project on MHLG’s website periodically for the buyer’s information and awareness.

The Government also amend the existing housing development act in 2011 to further regulate the property industry and protect the homebuyer's interest.

The revised Act is to lessen the cases of developers leaving their projects and running off with the homebuyer's deposits.

The authorities would impose an element of criminality to apprehend fly-by-night developers and hold delinquent developers accountable.

Developers are expecting to give a report, corroborated by Bank Negara's Central Credit Reference Information System (CCRIS).

CCRIS details the companies' financial capacity, while the amended Act also look into tracing these developers to ensure they do not set up shop elsewhere after a failed project.

Legal action taken against errant developers and if guilty, they are fine RM250, 000 to RM500, 000 or a maximum of three years in jail, or both.

Further, the deposit needed to secure a developer's licence will rise from the present RM200, 000.

Besides the government's initiative to lessen abandoned housing projects, the authorities were promoting the build-then-sell (BTS) scheme to developers.

By 2015, all developers are on BTS basis, and abandoned housing projects are the past issues.

MHLG statistic revealed that as up to 15 November 2011, 22 Abandoned Housing Projects place in the Restoration Plan involving 11, 445 houses of 8, 544 buyers.

4, 931 houses of 3,082 buyers from 32 projects are removed from MHLG Abandoned List as on 15 November 2011.

62 Projects involving 25,987 houses of 16,953 buyers are in revival by the Developer/ Rescuer/ SPNB as on 15 November 2011.

 

Malaysia Government Initiatives on Sustainable Energy Development

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

Energy is always an essential element for the generation of social and economic growth in a country. It is everyday life need.

The National Energy Policy introduced in 1979 has three main objectives.

The first objective aimed at ensuring an enough, secure and cost-effective energy supply based on the maximum use of indigenous resources.

The second objective is the utilisation that calls for promoting efficiency and conservation measures as a way to cut out wasteful and non-productive patterns of energy consumption.

The third and final objective is the environment which states that in achieving the supply and utilisation objectives, environmental concerns will not neglect.

Renewable energy is starting to emerge from a niche industry into a significant power supplier for many European countries. Renewable energy can deliver clean and green energy.

However the same circumstances lacking in many Asian countries, Malaysia is one of them.

Sources of renewable energy such as solar thermal and wind need to explore. Although solar thermal, for example, is mainly use for hot water supply, it has great potential in solar assisted air conditioning technology which is yet to explore and exploited.

Alternatives energy initiative that should consider adapting actively is Building Integrated Photovoltaic (BIPV) technology. 

On July 2005, Malaysia launches The Malaysia Building Integrated Photovoltaic (BIPV) Technology Application Project - MBIPV.

The project spearheaded by Pusat Tenaga Malaysia, under the authority of the Ministry of Energy, Water and Communications, with supports from United Nations Development Programme (UNDP), and Global Environment Facility (GEF).

MBIPV intended to induce the long-term cost cut of the non-emitting Greenhouse Gas (GHG) technology (i.e. the photovoltaic or PV) by integration of PV technology within building designs and envelops.

It aims in creating a sustainable BIPV market in Malaysia that will create widespread BIPV applications.

Over the lifetime of the expected installed BIPV capacity from the project, the energy produced will avoid 65,100 tons of CO₂ emissions from the country’s power, as well as contributing towards the national energy policy objectives.

The MBIPV project specifically focus on the market development for BIPV technology, and building the national capacities on three major areas:

a. policy and education;

b. technical skill and market implementation;

c. technology development support

The project catalyse BIPV technology acceptance among the public, policymakers, financiers and building industry, which will lead towards a sustainable BIPV market beyond completing the project.

The project objectives achieved by a multipronged approach:

1. BIPV information services, awareness and capacity building programs;

2. BIPV market enhancement and infrastructure development;

3. BIPV policies and financing mechanisms program;

4. BIPV Industry Development and R&D enhancement program.

BIPV is an innovative power generator. It has dual role of integral part of a building as well as an energy generator.

BIPV also contributes to the overall energy efficiency in buildings without sacrificing aesthetics and sustainability of building materials.

BIPV technology is still at an infant stage in Malaysia, thus, this technology demand for extensive promotion campaigns and on BIPV to create awareness and improve local competency.

It expects BIPV applications and technology will be demonstrated at selected building where impacts of demonstrations would be most tangible of BIPV project.

The BIPV applications will apply on building elements such as roofs, sun shading devices and canopies.

Launching the Building Integrated Photovoltaic (BIPV) project in July 2005 marked another effort by the government to promote sustainable source of energy and at the same time reduce emission of greenhouse gas into the environment.

The MS 1837:2005 provides guideline for BIPV installers in managing BIPV projects thus provide confidence to the consumers for installation of BIPV in their homes.

 

Reviewed Housing Policy Ensuring Quality of Affordable Housing Developments

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

Malaysia has made impressive strides in this effort to provide affordable housing playing a key role in supporting successful efforts of poverty eradication.

From 1990 to 2009, about 808,000 units of low-cost affordable housing were provided to support Malaysians in need with about 128,000 of these built during the Ninth Plan period.

It is one of Malaysia’s long-standing development objectives is providing affordable housing for Malaysians in both rural and urban areas, with focus on lower-income groups.

Today, the housing issue for Malaysia is about ensuring there are enough houses for various parts of society.

It is also about having houses in safe, healthy and comfortable built environment fitting the socio-economic status of the country.

During the Tenth Malaysia Plan (10MP) period, 78,000 units of new affordable public housing build by the Federal Government across the nation.

Low-cost public housing units are providing to qualified individuals and families with household income less than RM2, 500 a month.

The Government typically subsidises about 30% to 75% of total construction costs for public housing units.

To increase the efficiency of housing provision, the Government rationalise and streamline the role of several federal agencies involved in public housing to only one federal agency. It responsible for offering federally funded housing, with the private sectors are expect to play a greater role in these efforts.

To address the issue of poor housing maintenance, the Government will set up a Housing Maintenance Fund with first funding of RM500 million. It is to help the residents of both public and private low-cost housing units.

The fund will use for major repair and maintenance works such to replace lifts and water tanks.

This fund will base on a matching grant where half of the contribution comes from residents through their joint management body or management corporation.

The other fund known as Tabung Perumahan 1Malaysia was set up in February 2010. It provides support for the maintenance and major repairs of low-cost private housing in Kuala Lumpur with contributions from the Government and a few large private corporations.

During the 10MP period, existing laws, including the Uniform Building By-Laws 1984, are review to incorporate minimum specifications of housing quality, on ensuring quality in providing affordable housing.

Construction Industry Development Board (CIDB) entrusted to encourage housing providers to accredit for the use of skilled and qualified labour and improved construction processes.

The Government will review tax incentives, such as tax breaks for buildings and designs that are environment friendly, incorporating green design like solar panels for heating, rainwater harvesting facilities and water conservation features.

Environmentally friendly townships and neighbourhoods are encouraged through introducing Green Guidelines and a Green Rating System.

Putrajaya and Cyberjaya will be the flagship Green Townships.

There will also be focus on creating public spaces within housing projects that well-landscaped and equipped with basic amenities, such as parks and playgrounds, to reinforce interaction and integration among local communities.

To encourage developing public spaces, the Government will support local authorities in creating a seamless network of interconnected green spaces within the cities, connecting major hubs and housing sites, and equip with facilities such as amphitheatres, cycling and pedestrian pathways and other amenities.

Companies are encouraged to provide support in setting up and maintenance of green spaces as part of their corporate social responsibility programmes.

The Government will ease the sale of collectively owned developments by amending laws governing the sales of property and land to allow collective sale of properties, including land, when majority consent gain, or an en-bloc sale.

This will create market incentives for private redevelopment of ageing properties in prime locations.

At the same time, Government are strengthening monitoring and enforcement law to protect the interests of house buyers, especially on quality of housing construction.

Housing developers are encourage to adopt the Build-Then-Sell (BTS) approach through providing more incentives such as shortening the approval for land and building plans and exemption of deposit for licensing housing developments.

Islamic banks have agreed to provide shariah-compliant financing and undertake construction risks, with instalments only starting after the house is complete.

This scheme is for houses costing RM600, 000 and below.

 

 

Second Year of 10MP; Gearing for Rigorous Development

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

The year (2012) is the second year Tenth Malaysia Plan (10MP) has rolled out.

10MP has allocated RM230 billion, and aims to push Malaysia towards a high-income economy that is knowledge and innovation based as the country tries to achieve the goal of becoming a developed country by the year 2020.

55% of this RM230 billion, will spent on the economic sector, 30% on the social sector, 10% on the security sector, and the remaining 5% will used for general administration.

Overall, 60% will spent on physical development while 40% will spent on non-physical development, an increase from 22% in the Ninth Malaysia Plan.

Five key thrusts of the 10MP

1.    Creating the environment for unleashing economic growth

2.    Moving towards comprehensive socio-economic development

3.    Developing and uphold a first world talent base

4.    Building an environment that increase the quality of life

5.    Transforming government to Transform Malaysia

 

Promoting Private Sector and Innovation-Led Growth and Making Malaysia Competitive Globally

To form a private sector led economy, the government resolve:

·         Modernise business rule

·         Liberalise the services sector to improve productivity and attract new investment

·         Remove market distortions by rationalizing subsidies

·         Introduce competition legislation

·         Improve the contact between government and business

To keep innovation-led growth, the government fortitude:

·         Shape a supporting economic system for innovation by developing human capital, investing in innovation

          infrastructure, and using economic incubators

·         Create innovation opportunities by improving the public procurement system and reforming rules

·        Put in place innovation enablers to reduce inefficiencies in government institutions that support research and design

         (R&D) and upgrade intellectual property rules

·         Fund innovation through the Mudharabah Innovation Fund

 

The government will also support small and medium-sized enterprises (SMEs) by:

·         Reducing the regulatory costs borne by SMEs

·         Building the capacity and capabilities of SMEs through training programmes

·         Supporting creating an entrepreneurial culture through university-based programmes and initiatives

·         Strengthen support systems for SMEs to promote the development and acceptance of SME products and services

·         Improve access to financing for SMEs by using programmes that allow early stage SMEs in new growth areas to get

          financing

·         Set up a Skills Upgrading Programme to improve the technical, supervisory, and managerial skills of SME workers

 

To help Malaysia competes globally, the government resolve:

·         Improve competitiveness by expanding export markets, helping Malaysian firms trying to break into export markets,

          developing FTAs, and reducing transaction costs

·         Attract foreign talent and investment to Malaysia by highlighting benchmarks, empowering MIDA, and investing in

          talent recruitment

 

Promoting Private Sector and Innovation-Led Growth and Making Malaysia Competitive Globally

To develop education to maintain innovation-led growth and competitiveness, the government propose to:

·         Reform the education system to increase student outcomes and improve the skills and employability of Malaysian

          graduates

·         Expand access to and improve the quality of technical education and vocational training (TEVT) programmes

·         Implement the Knowledge Transfer Partnership (KTP) programme in 2011 to increase collaboration between

          industry and relevant universities and provide industrial-based training for graduates

·         Provide a Skills Development Fund to help workers and school leavers gain new skills

 

To further aid in attracting and keeping talent, the government will:

·         Liberalise the entry of skilled professionals as outlined by the ASEAN Framework Agreement on Services (FAS)

·        Set up a Talent Corporation (TC) to promote developing Malaysian talent and work with both the public and private

         sectors to develop a National Talent Plan by 2011

 

Government will adjust its role by:

·         Strengthening its role as a policymaker and independent regulator as the private sector increases its participation in

          the economy

·         Extending opportunities for private sector investment to include the delivery of front-line public services

·         Transferring non-core operating functions to the private sector to improve outcomes and lower costs, and also

          reducing government ownership in selected companies and provide companies with a level playing field to ease

          private-sector competition

 

 

 

Public Housing Programmes Expected Provide Further Opportunities

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

 

The Government recognises the housing sector is a key driver of the Malaysian economy.

Before the global financial crisis the Government invested RM330 million in the 2009 Budget, allocated to Government agencies to build the Public Housing Programme.

In current economic climate, more to do to ensure that housing remains a buoyant part of the economy and affordable for Malaysians.

That is why the Government dedicated RM1.2 Billion from the RM7 Billion fiscal stimulus package to add further investment in the housing sector.

These programmes aim to increase affordability by making special funds accessible to greater cross-section of community who have capacity to service a loan but cannot get loans because of an inability to show proof of steady earnings.

These public housing programmes expected provide further opportunities for the almost 140 trades which are programmes or indirectly connected to the property and construction industries.

In his 2012 budget speech, Prime Minister, Dato Seri Mohd. Najib bin Tun Abdul Razak announced the Government intent of expanding the My First Home Scheme.

This scheme introduced in March 2011 to meet the demand for houses from those earning below RM3, 000.

The Government proposes to increase the limit of house prices from a maximum of RM220, 000 to RM400, 000. This improved scheme will be available to house buyers through joint loans of husband and wife beginning January 2012.

The Government also set up the 1Malaysia People’s Housing (PR1MA) as the sole agency to develop and keep affordable and quality houses, specifically for middle-income group.

PR1MA will play a main role in ensuring delivering the housing units are transparent and fair through an open balloting. In 2011, 1,880 houses will be built in Putrajaya and Bandar Tun Razak.

PR1MA is the developer for projects on land owned by the Government. The Government intends to develop several plots of Government-owned land around Sungai Besi and Sungai Buloh.

The Government will also identify areas around MRT, LRT and other public transport system to develop by PR1MA for housing projects.

In addition, PR1MA also welcomes the cooperation with private sector to develop similar projects.

, Several private developers responded to the Government’s call to provide affordable and quality housing.

In 2012, 7,700 houses will be built in Cyberjaya, Putra Heights, Seremban, Damansara and Bukit Raja.

House prices under PR1MA scheme are lower than market prices as the land and facilitation funds are provide to developers.

The Government will also provide 100% stamp duty exemption on loan instruments for the purchase of houses.

To protect buyers from risks of projects being delay or abandon, the Government will encourage building more houses using the build then sell.

, Islamic banks have agreed to provide shariah-compliant financing and undertake construction risks.

Instalments only begin after the house is complete. This scheme is use for houses costing RM600, 000 and below.

As for Program Perumahan Rakyat (PPR) targeted for the lower income group, Government will build 75,000 units of affordable houses nationwide under the 10MP.

In 2012, RM443 million is allocated for building 8,000 units for sale and 7,000 units to rent.

While under Rumah Mesra Rakyat (RMR) programme, those with land but without a house or live in run-down houses are eligible for financing to build a house.

RMR which is managing by Syarikat Perumahan Negara Berhad (SPNB) will continue to help the low-income group to own decent houses.

SPNB will build 10,000 units in 2012. For this, the Government will allocate RM200 million. Each house costing RM65, 000 will sell for RM45, 000 and the Government will subsidise RM20, 000.

The Government successfully rehabilitated and got the Certificate of Fitness (CF) for 82 projects involving more than 15,000 units through the Abandoned Housing Rehabilitation Programme.

Government agree to allocate a sum of RM63 million in 2012 to rehabilitate 1,270 abandoned houses a part from the RM40 million allocation for restoration and maintenance of public and private low-cost housing.

Further, to complement government efforts, GLCs and the private sectors are encourage offering houses through their corporate social responsibility (CSR) programmes.

The private sectors are encouraged to develop more affordable medium-cost housing. Further, efforts are undertake to integrate facilities that will encourage greater community development and better access for older people and people with disabilities.

 

Developing a Public-Private Partnership in Infrastructure Development

(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of CIDB 1BINA.my)

RM62.7 billion will use to create public-private partnerships.

To decrease role of government in business and influence the abilities of the private sector, the government will:

·   Increase privatisation and public-private partnerships to improve efficiency in delivery of services and reduce the financial load on government

·  Use a facilitation fund (RM20 billion) to support private sector projects with strategic value for the nation (in infrastructure, education, tourism, health, etc.)

·   Achieve a proper balance between government, GLCs, and the private sector that ensures Malaysian firms can effectively regionalise and globalise

 

Some areas of infrastructure the government aim to progress are:

·    Broadband Internet services (target of 75% household penetration by 2015)

·  Physical infrastructure that increases access and connectivity (multimodal transport services, rail development, maritime infrastructure, and airport development)

·    Energy sourcing and delivery (by encouraging existing industries to expand into high-value added activities and attract new investments)

·  Public-private collaboration will improve to encourage industry participation in course provision and industrial attachments

The government’s Special Task Force to Facilitate Business (PEMUDAH) has already helped make Malaysia an easier place to do business through developing public-private partnerships

 

To help ease public-private partnerships in infrastructure development, the government will:

·    Use about 40% of the total funding for the 10MP for developing soft infrastructure, compared with 22% in the Ninth Malaysia Plan, focusing on skills development and innovation rather than physical infrastructure

·    Provide opportunities for private sector investment to invest in physical infrastructure alongside with the delivery of services

 

Promoting Inclusive Growth by Improving the Livelihoods of the Bottom 40% of Society

To improve the livelihoods of the bottom 40% of households, the government intends to:

·         Increase income generation potential through education and entrepreneurship programmes

·         Strengthen access to basic amenities

·         Tailor programmes to target groups with specific needs such as the Bumiputera in Sabah and Sarawak as well as Orang Asli communities

To further enable an inclusive society along the 1Malaysia idea, the government plans to:

·         Develop programmes to encourage the inclusion of marginalised groups (women, youth, children, the elderly, and persons with disabilities)

·         Pay special attention to the family unit as a part of society that needs tailored economic support

·         For specific development for rural areas, the government plans to:

·         Build 72% of the 10MP’s 3,580km of total planned roads in Sabah and Sarawak

·         Extend electricity coverage to rural areas using alternative systems such as mini-hydro and solar-hybrid energy systems (100% coverage in Peninsular Malaysia and 99% in Sabah and Sarawak by 2015)

·         Increase rural coverage of treated water supply to 99% in Peninsular and 98% in East Malaysia by 2015

·         Build 197 new clinics (156 in rural areas and 41 as community health clinics) and 50 1Malaysia clinics

·         Build four new hospitals and four replacement hospitals between 2010 and 2012

·         Increase the number of mobile clinics, flying doctor services, and village health promoters in rural areas

·         Build 78,000 new affordable public housing units with low-cost units given to qualified individuals and families with incomes lower than RM2, 500 a month.

·         Set up a Housing Maintenance Fund for residents of low-cost housing units to conduct repairs

·         Poverty eradication agencies such as the Ministry of Housing and Local Government will give greater mandates to cover and help the bottom 40% of households