Pakatan’s AES will benefit poor

Lim Guan Eng says the Equitable Economic Agenda will help the people more than Barisan Nasional's Automated Enforcement System.

GEORGE TOWN: Pakatan Rakyat state government’s Equitable Economic Agenda (AES) would strive to wipe out poverty in Penang by next year, unlike Barisan Nasional’s AES – the Automated Enforcement System.

Chief Minister Lim Guan Eng said by installing “1Malaysia” cameras without any open competitive tender, BN’s AES would punish the people to just enrich private companies.

He said BN’s AES was solely to benefit crony companies through commissions for traffic summonses issued.

In contrary, he said Pakatan’s AES (Agenda Ekonomi Saksama) was to make Penang the first state to be poverty free by 2013, benefiting some 2,000 poor families regardless of their ethnic, religion and language backgrounds.

“This highlights the different policy approach towards economic development,” Lim stressed in a blog posting.

He boasted that Penang was the first state to wipe out hardcore poverty in 2009. Hardcore poverty is defined as households earning below RM400 monthly income.

Under zero poverty scheme, he said Pakatan’s AES would ensure all households in Penang have a minimum RM770 monthly income.

Originally, the state government planned to wipe out poverty by 2015, but now had brought deadline two years forward.

Lim’s government confidence to achieve its zero poverty target by 2013 had been boosted by its good financial performance in 2011.

He said some RM20 million had been allocated for this historic poverty eradication initiative.

The federal government has defined poverty line below RM720 monthly household income, which Lim’s administration had dismissed as low and outdated.

But the state government has raised the bar by fixing RM770 as its minimum monthly income goal for all families in Penang.

Lim believes due to his government can achieve zero poverty due to its CAT principles of competency, accountability and transparency.

Under the state scheme, families with below RM770 per month after receiving all forms of aids will be “topped-up” by the state government to earn at least RM770 per month.

For instance, if a family receives only RM500 after all financial assistance, the family will receive RM 270 monthly “top up” from the Pakatan government to earn RM 770.

The scheme will begin by Jan 1, 2013 and Lim aims to achieve zero poverty by end of that year.

Lim pointed out that the 2011 Auditor-General’s Report had confirmed that Penang had reduced its debts by 95% and recorded the highest budget surplus ever in history of RM138 million, a 312% increase from 2010’s budget surplus of RM33 million.

He also noted Penang had managed to record a budget surplus every year since 2008 despite projecting a budget deficit every year due to CAT governance.

He claimed that CAT governance focused on cutting down cost and maximising revenues without sacrificing quality through open competitive tenders, compliance with rule of law, choosing the competent or right person for the right job as well as adopting rigorous auditing and internal control mechanisms.

“Hence the state government can achieve its zero poverty target by next year,” Lim boasted.