Don’t interrupt development of New Villages, govt told

MCA man urges government to continue channeling funds to New Villages and stay out of its development.

PETALING JAYA: An MCA man has urged Putrajaya to continue channeling funds to New Villages and stay out of its development.

MCA New Villages Affairs Bureau chairman & Central Committee member Hoh Khai Mun was responding to a recent report that the Ministry of Urban Wellbeing, Housing and Local Government was expected to cease direct funding to the 607 New Villages in Peninsular Malaysia for “infrastructural development”.

“I urge the Housing Ministry to continue with its existing practice to channel funding directly to all the New Villages,” Hoh said in a press statement today.

He disclosed that when MCA announced  they would not accept any government posts, “most of the appointed village chiefs or village development and security committee (JKKK) officers had relinquished their posts”.

“They were thus unable to apply for funding or propose development plans which caused the development of New Villages and design works to be either delayed or cancelled,” Hoh explained.

He noted that the Housing Ministry previously directly channelled funds to 607 New Villages for “local development and maintenance projects such as the construction and maintenance of roads, bridges, multipurpose halls, drainage, markets”.

“If this programme no longer provides funding, existing projects may face delays and development issues,” he said, giving example that projects might be handed over to Class F (Bumiputera) contractors who are unfamiliar with the projects and might not complete them successfully.

He disclosed that the government has been providing an annual allocation averaging at least RM50 million funding for New Villages for the past 10 years.

“These funds are directly allocated to the New Villages. For example, within two years from 2010 to 2011, RM100million was allocated as microcredit loan for 607 New Villages and fishing villages.

“Previously, MCA members who wielded positions as village heads or JKKK officers could apply for funding from the Government for development purposes,” he said.

“As the Housing Ministry is now headed by a new cabinet minister, for projects under local councils responsible for handling future New Village development applications, there is substantial change,” he lamented.

He praised previous Housing Minister and MCA vice president Chor Chee Heung for establishing a RM100 million microcredit fund for New Villages.

“The villagers could apply for loans to start a small business, carry out home repairs, refurbishment or renovation works and to settle land premiums or extend leasehold titles,” he said.

“Whether the said New Village Department will be able to continue carrying out funding of the said microcredit loan scheme is of great concern as it has far-reaching impacts on the development of New Villages,” he lamented.

“I hope that the Housing Ministry will continue with its policy of to channel fundings to New Villages.”