Thursday, 18 October 2012

GLIMPS OF SABAH BUDGET 2013





THE PAKATAN Rakyat Sabah Alternative Budget 2013 entitled ‘Merakyatkan Ekonomi, Kebangkitan Sabah’ is the first Sabah state budget proposed by the opposition coalition.

It outlines a detailed strategy on how PR Sabah will allocate resources in the state such that Sabah’s wealth is more equitably distributed, its growth prospect reinvigorated and its marginalized lifted out of poverty. It shows the fundamental differences between the governing and spending philosophy of PR Sabah as compared to the BN.

This state alternative budget comprises of five thrust - Making our Land Work, Raising Disposable Incomes, Social Outreach for All, Enabling and Empowering Local Communities and Improving Connectivity.

These are the highlights in the alternative budget:

THRUST 1 - Making our Land Work
1.1       Setting up a Sabah Land Tribunal as a permanent commission of enquiry to resolve NCR dispute with an annual allocation RM50 million.
1.2       RM2 billion to be spent over the next five years in order to achieve the twin goals of 0 idle land and 0 hardcore poverty.
1.3       Encourage integrated farming approach based on food as well as cash crops and being supported by downstream and related cottage industries. RM350 million to develop the idle land agriculturally and its post harvest facilities.
1.4       Review FELDA agreement based on its original objective – as settlement scheme.
1.5       Introduce nominal premium for the extension of 99 year leaseholds for land owner.

THRUST 2 - Raising Disposable Income Sustainably

2.1       Allocate RM648 million to assist employees in increasing employer's wages gradually to meet monthly minimum wage per worker, RM1,100 in 5 years.
2.2       Abolish the unpopular cabotage policy as well as other local monopolies in sugar, sand, rubber and cement production which are partly responsible for artificially increasing the cost of goods and services in our state.
2.3       Establish Oil & Gas Sabah (OGS) as a 2nd tier oil and gas company with a capital injection of RM1 billion in 5 years, with RM200 million allocation for 1st year in power.
2.4       Allocate RM100 million to establish Sabah Agro Industry Board to mainly promote downstream activities in developing alternative uses for biomass.
2.5       Improving irrigation system to enhance agricultural output with RM70 million allocations.
2.6       To assist and promote SMEs with allocating RM50 million for SME development fund.
2.7       Improving forest management with allocation RM25 million.
2.8       RM300 million as initial allocation to build 50,000 units of affordable public housing costing approximately RM50,000 each.

THRUST 3 – Social Outreach for ALL
3.1       RM6 million to set up Tabung Anak Sabah - RM200 for each new born child, benefit 30,000 children.
3.2       Introduce Skim Mesra Warga Emas, RM2500 will be given to the families of these senior citizens upon their passing to help pay for the funeral costs RM12 million. In addition, every senior citizen above the age of 60 will be given RM200 as a sign of appreciation, benefit 100,000 senior citizens, costing RM20 million.
3.3       Under Skim Bantuan Perubatan, RM40 million set aside for create Treatment Transit Hostels to help alleviate the financial burden of those in the rural area seeking tertiary health care treatment.
3.4       Free water for the first 20 cubic meters to the approximately 280,000 households with personalized water meter pipes in Sabah with costing RM60.5 million per year.
3.5       Under Skim Bantuan Makanan, all households below the poverty line will be given 1 free gas cylinder for each family every month which cost RM25.2 million, and 2 bags of 10kg rice which cost approximately RM30.3 million, expected to benefit 70,000 households.
3.6       Under Skim Galakan Pendidikan, RM240 allocated for children in rural areas as a practical strategy of decreasing school drop-out rates. It costs the state government RM43.2 million and benefit approximately 180,000 households.
3.7       RM200 million to establish a Tabung Warisan Sabah for poverty eradication programs.






THRUST 4 - Enabling & Empowering Women & Local Communities.

4.1       RM50 million allocated for vernacular, religious, government aided and independent schools.
4.2       Under Skim Graduan Anak Sabah, RM2,000 will be given to each student pursuing tertiary studies for households earning less than RM2,000 a month. This initiative is expected to cost RM14.4 million and is expected to benefit approximate 7,200 students.
4.3       RM50 million to provide scholarships for all those who seek tertiary education in the state. Priority will be given to train doctors and teachers.
4.4       Provide RM150 million for religious bodies including mosques, churches and temples, including RM 3 million Bantuan Haji.
4.5       Provide a special allocation for NGOs for community service and social outreach at cost RM10 million.
4.6       RM20 million fund to showcase cultural diversity through innovation and creativity.
4.7       RM40 million for the purposes of cultural and heritage preservation.
4.8       Start up grant of RM20 million to set up Sabah TV for the purposes of making programs to showcase the cultural heritage and diversity of our state.
4.9       Provide an RM20 million allocation for the disabled community, senior citizens and single parents.
4.10    Every first newlywed will be given RM2,000 as allowance. This initiative is expected to cost RM21.6 million and benefit up to 11,000 newlyweds.
4.11    Set aside RM50 million for the local councils for crime fighting activities such as the installation of more CCTVs and also the provision of    a local auxiliary police force.
4.12    Set aside RM100 million for an Environmental Conservation Fund to undertake environmental rehabilitation and conservation activities which can enhance the lifestyle of the local communities such as rehabilitation of polluted rivers, improved landscaping for public parks and wetlands restoration.
4.13    RM10 million to promote eco-tourism activities

THRUST 5 – Improving our Connectivity

5.1       Allocate approximately RM5 billion over the next 5 years to build and upgrade in addition to 5,000km of roads over the next five years or 1,000 km per year. RM600 million will come from this budget.
5.2       RM1.5 billion over the next 5 years to improve port facilities and infrastructure in Kota Kinabalu, Sepanggar, Sandakan and Tawau. An initial sum of RM300 million in this budget to kick-start the port infrastructure improvement activities.
5.3       RM100 million to kick start the expansion of railway network in Sabah involving 50km from Tenom to Keningau.
5.4       RM200 million for electricity generation projects involving renewable energy, particularly for mini hydro generators and low cost solar panels. An initial RM100 million in funding for the Feed in Tariff (FiT) while waiting for the SAIDI levels to drop further and for the 1% tariff to kick in.
5.5       RM200 million to fund low-cost but effective local water treatment and        supply systems.
5.6       RM50 million for expanding the free WIFI coverage in the state starting with the areas with state owned buildings and open public spaces in the towns           and cities.
5.7       RM200 million to improve public transportation system including introduce a Bus Rapid Transit (BRT) system in Kota Kinabalu.
5.8       Provide RM100 million as the start up grant to uplift the status of Sabah Air to engage in commercial activities, especially connecting Sabah interior area to main towns.

Conclusion

This is an ambitious budget in that it charts new territory for PR Sabah as well as for the state as a whole as we imagine and plan for how to allocate a significant increase in our budget as a result of the increase in oil royalties from 5% to 20%.

This budget shows that PR in Sabah is more than ready to step up to the plate to govern responsibly and balance the long term development needs of the state with the shorter term social outreach programs that will benefit all Sabahans, especially the marginalized in our community.

The winds of changing are blowing in the land beneath the wind. May this wind blow the corrupt BN government out of the power at the state and federal levels and usher in a new era of a caring, clean and competent PR government.
Ubah sekarang, Selamatkan Sabah, Selamatkan Malaysia!

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