SHTDA depends on JV projects to survive: Rubin
Published on: Monday, March 02, 2015
Kota Kinabalu: The Sabah Housing and Town Development Authority (SHTDA) is fully dependent on its joint-venture development projects to generate income and cover operational costs of about RM20 million annually.Chairman, Datuk Rubin Balang said incorporated in 1967 as a government agency, SHTDA's main mission was to plan and implement public housing as well as develop new townships in Sabah."As a committed government agency, SHTDA is providing affordable homes and functional townships such as the Kepayan Ridge subject to availability of land, basic infrastructure, funds and others," he said.
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As the SHTDA had been instructed by the government to be independent, the agency totally depends on income from its joint-venture projects to cover its operational cost, he said.Rubin was commenting on DAP Sabah organising secretary, Junz Wong's call on the Ministry of Local Government and Housing to set up a special committee to investigate the approval of the SHTDA project at Austral Park in the Daily Express on Feb. 10 entitled "Rubin Is Told To Clear The Air."Wong had been reported as alleging SHTDA had "secretly" proposed a housing project of 36 units of semi-detached and 22 units of detached houses at the said lands in Austral Park without the knowledge of the residents.Wong said that a RM17.6 million agreement was signed on Dec 8, 2009 between Rangkai Juta Construction and Magnum Setiajaya and that only after 21 days, SHTDA signed a RM9.855 million contract with Rangkai Juta Construction.
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According to him, the SHTDA had already identified locations to build low-cost houses for eligible people while the joint venture housing projects were to expand and create new towns in Sabah."At the same time, the joint-venture projects are also to generate SHTDA's economy. If not SHTDA will not have its income source. How can SHTDA survive?" he asked.
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As a government agency that practised an open and investor-friendly policy, any quarters could apply to develop state land owned by SHTDA, be it for joint-venture development, low-cost housing or for other purposes allowed by the SHTDA Enactment."SHTDA cannot just leave its lands idle to the extent of inviting the mushrooming of illegal squatter colonies that only complicates as well as causes an eyesore to the city's surrounding," he said.Rubin said all the proposed joint-venture development submitted to the SHTDA was prepared by professional consultants and the land cost had been evaluated based on the current value by accredited quantity surveyors.All proposals are also subject to approval by the Central Board based on comments from the local authorities as well as agencies like Fire Department, SESB, Water Department, Drainage and Irrigation Department, Health Department, Environment Department and Public Works Department."Therefore nobody can force me to make the decision to approve or otherwise," he said.On the agreement letter dated Dec. 8, 2009 between Rangkai Juta Construction Sdn Bhd and Magnum Setiajaya, Rubin said it was up to Wong to conduct his own investigation.Stay up-to-date by following Daily Express’s Telegram channel.
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