Thursday, November 17, 2011

Rehda: Swopping land for projects not the only way


GEORGE TOWN: Land swapping should not be the only instrument used for funding four infrastructure projects for Penang.
Real Estate & Housing Developers’ Association (Penang) chairman Datuk Jerry Chan said since Penangites were the beneficiaries of the projects, one possibility was to consider raising quit rent and building assessment charges.
He added that land should not be the only instrument used, as Penang Chief Minister Lim Guan Eng had claimed that the price of land in the state was expected to increase three times in the future.
“In light of this expectation, the state government should not swap it all at once.
“It should keep some and sell it only when the prices go up.
“Land swapping should therefore be used to fund partially the three roads and the tunnel project.
“Increasing quit rent and building assessment charges should also be considered as complementary means to fund the projects,” Chan said in an interview here yesterday.
Chan said the three by-pass roads were necessary but the state government had to determine the timing for a tunnel project.
“This is because the traffic to the first Penang Bridge is coming largely from South Seberang Prai and from Kuala Lumpur, whereas the traffic flow from North Seberang Prai to the island may not be that substantial,” he said.
Penang Consumer Protection Association president K. Koris said the land swap was a good idea, as the financial burden on the state to develop the projects would be reduced.
“The bottom line is that the project must bring benefits to Penangites.
“If there are toll charges, the state government should ensure that the toll is minimal and will not be a burden to the people.
“The state government should look into having bicycle lanes on the roads and the tunnel project and allowing cyclists to use them toll-free, as cyclists contribute towards a greener environment,” he said.
Penang Master Builders & Building Materials Dealers’ Association immediate past president Datuk Finn Choong said more details relating to the projects and the deal with the would-be developer or developers need to be disclosed.

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