Reserves to be boasted about or to be prudent?



21 OCTOBER 2013


The Selangor Government, under the leadership of YAB Tan Sri Dato’ Seri Abdul Khalid bin Ibrahim (TSKI) places much importance on the financial stability of the state in efforts to continue excellence in state administration.

TSKI has also prepared some detailed planning to use state reserves collected since leading Selangor as a result of prudent and orderly spending practices. Even more so when the Federal Government failed to respect the spirit of federalism, thus causing many infrastructural developments in Selangor to not receive proper provisions from the Federal Government.

Although the Selangor State is the largest contributor to the national economy in terms of tax revenue of over 23% in 2012, federal allocations for state development is not commensurate. Responsibility to provide infrastructure in the state has always been neglected despite the responsibility being under the jurisdiction of the Federal Government, which is extravagantly collecting various forms of taxes.

As a dignified state government, the Selangor Government will not beg to implement development in this state but has in our best, prepared by providing a strong economic and financial position.

Although the Federal Government has promised to build a third bridge in Klang to reduce traffic congestion, and in fact has held a glorious ground-breaking ceremony for the project, after losing in the GE-12 in 2008, not even a stick can be seen to this day.

The Pakatan Rakyat Government had to use at least RM300 million of state reserves to fulfil the promise which was not kept by the Federal Government to the people of Selangor.

This is similar to the attitude of the Federal Government which often deflects the issue of finalising the restructuring of the water industry which has made TSKI more cautious in using savings in preparation for when the Federal Government continues to favour concessionaires and betray the rights and interests of the people of Selangor. The State Government is determined to acquire the water industry in line with the laws enshrined in the Water Services Industry Act or WSIA.

TSKI’s administration has also provided funds from the state reserve in preparation for the need to construct a new hospital in Klang if case the Federal Government continues to be indifferent towards the fate of the people, who are forced to sleep on the sidewalk at the Tengku Ampuan Rahimah Hospital at the moment because of overcrowding and the lack of beds. The Selangor Government is willing to provide funds even though the construction of hospitals is solely the responsibility of the Federal Government.

Actually, the three examples above are among TSKI’s plans in spending the state reserves accumulated over years since 2008. Indeed, the practice of saving is far more difficult than spending. It requires high commitment and personality, that it is hard to find an example and role model today. While there is a line-up of examples given in the Auditor-General’s Report of leaders who are “clever to spend” (spendthrift).

Definitely, the bitterness of collecting state funds is merely to implement development for the welfare of the people, even that was after thorough planning. To have a large amount of state reserves is not done with intent to show a beautiful figure on the closing date of the account. It is far from wanting to boast on paper. It only sounds naughty and childish.

It is TSKI’s natural attitude to not want to talk about a plan before any results can be seen. Thus, all the plans above are not publicly touted.

As a result, TSKI is often labelled as the stingiest Chief Minister because it is said to be difficult to approve spending using state reserves. In fact, the constraints and discrimination by the Federal Government is the main reason why TSKI is so careful in spending, even more so since this term has just begun and the period for the GE-14 to conquer Putrajaya is still a long way.

TSKI knows the various labels and nicknames given to him. In fact, he is open and very much appreciates constructive criticism from any leader, be it from Pakatan or Umno-BN. At the same time, TSKI also celebrates the views of the people by having the Budget Dialogue every year to serve as a guide for the state government before presenting budget projections. During the dialogue this time, it was unanimously agreed that the state’s funds should be spent according to the needs and priority, not just a means.

TSKI is confident that the people of Selangor understands and agrees with the manner and approach of the State Government in managing public funds responsibly and based on principles of transparency and accountability. At the same time, the interests of the people is not put aside when a total of over RM1,000 million was spent through programmes under the Merakyatkan Ekonomi Selangor agenda since it was introduced on the 100th day of the Pakatan Rakyat administration. This is evident when Pakatan Rakyat received the 2/3 majority in the 13th General Election because the same approach was adopted in the previous term.

People are still surprised with the disclosure made by the Auditor-General in the Audit Report 2012. The people feel frustrated, angry and many curse leaders when their money is spent fraudulently and wastefully.

Thus, Selangor should remain prudent in spending policies and austere because the mandate and expectations of the people given to leaders is to manage and administer the people’s property, rights and interests. The mandate and responsibility rests squarely on the shoulders of the State Government leadership team under the helm of TSKI.


Khalid: “I am Stingy Because I Safeguard the People’s Money”

Abdul Khalid Contests in Port Klang, Seeks to Redeem Mistakes


PORT KLANG, 14 Apr: Tan Sri Abdul Khalid Ibrahim assumes that his nomination for the Port Klang State Legislative Assembly (DUN) seat as a chance for him to redeem “mistakes” five years ago.

This is because, according to his political secretary, Faekah Husin, the Port Klang incumbent, Badrul Hisham Abdullah, was selected by Abdul Khalid himself.

In the 12th General Elections in March 2008, Badrul Hisham won the Port Klang seat with a majority of 4,407 under the PKR ticket.

In October 2009, Badrul resigned from PKR and declared that he had left the party and declared himself as an Independent Assemblyman.


In his speech, Abdul Khalid admitted his previous mistake in choosing Badrul Hisham and said that then, he was met by the Port Klang PAS President, Ismail Arshad.

“He said that (choosing) Badrul was not right, PAS did not agree with him…So I had to find someone to replace him, he said PAS had a replacement.

“I said to wait because I wanted to rectify this problem. I could not do anything. I was the one who chose Badrul. Even I, did not know what to do.

“That’s a lesson to me, the people we choose may not be right,” said Abdul Khalid in an evening together with the Chief Minister here at Pandamaran Jaya yesterday.

If elected, Abdul Khalid promised to earnestly solve the problem in that area which has been neglected by Badrul Hisham for five years.

“There are many problems in Port Klang that no one dares to solve. When I am the Assemblyman, I will solve it. Problems such as factories and land ownership, we will solve it.

“It could be the PKFZ (abandoned project), I will solve it,” said Abdul Khalid who was celebrated by cheers from 300 Pakatan Rakyat supporters who were present at a ceremony at the Pandamaran Jaya Multipurpose Hall here yesterday.

Abdul Khalid will leave the Ijok constituency chair which will be contested by the Federal Territory PKR Chief, Dr Idris Ahmad.

Also present at the ceremony was Klang MP, Charles Santiago and former Pandamaran Assemblyman, Ronnie Liu.

Faekah: Suit Against State Government Politically Motivated


KLANG, 29 Mar: The suits by Umno leaders, who supposedly want to help single mothers and senior citizens, against the State Government is politically motivated in order to create a negative perspective about the Selangor Pakatan Rakyat Government.

Political Secretary to the Chief Minister, Faekah Hussin said that lawyers of Umno leaders have also used tricks to collect signatures for the suit by promising money to those who provide signatures.

Faekah said that the purpose of this action is only for Umno-BN to win in the election and to snatch Selangor, but not to win a case in court.

“When we appealed to cancel the case, the court rejected and wanted to hear the case on trial.(Datuk Seri) Noh Omar tweeted, me 1 -0 Faekah (single mother case), I was patient.We tried to cancel the senior citizen case, the court also rejected it.

“Noh Omar tweeted again, me 2 – 0 Faekah. I replied to the Datuk Seri’s lawyer, we have yet to compete; there has been no trial yet. He replied that politically, he had won.

“Which means their goal is incitement and propaganda,” he said at a PR talk titled ‘Women’s Voice, The Voice Of Change’ at Kampung Naga here last night.

Faekah added that according to information received, the case will be closed after the election is over.

The nature of how the collected signatures from single mothers and senior citizens was also carried out through trickery by Umno appointed lawyers, she stressed.

These efforts are an attempt to link the State Government by promising financial support to those who signed the forms distributed throughout Selangor.

Whereas, she said, the signatures collected are intended to sue the State Government.

“He wants to compete at Kota Anggerik, that is what he is showing, that he is more Umno than Umno. That is why he has gathered all the women.

“From information received, at homes in Puchong, he wrote asking if any single mother wants RM1,000 from the State Government and for them to write down their names and their signatures,” she said.

Recently, Selangor Exco, Elizabeth Wong revealed that forms have been distributed to senior citizens promising that the Selangor Government will provide an allowance if they provide their signatures.

CM Meets With PR Leaders Today To Discuss DNS Dissolution


SABAK BERNAM, 26 Mar: Top leaders of Central Pakatan Rakyat will be meeting today to discuss the date of the Selangor State Assembly (DNS) dissolution.

Chief Minister, Tan Sri Abdul Khalid Ibrahim said that at the meeting, they will also be discussing the suitable date to dissolve State Legislative Assemblies (DUN) involving states under the Pakatan Rakyat Government.

“It is to determine a suitable date for Pakatan Rakyat to announce the dissolution.

“The results of this meeting will be announced today or tomorrow morning.

“This is because the Prime Minister is still hesitant to give a date. That is why we will discuss in order to set a fixed date and to not leave the people questioning,” said Abdul Khalid.

He said this during a press conference after the Ladang Air Manis Penchang Bedena Mixed Housing Development and the Rest and Recuperation (R&R) Centre Groundbreaking Ceremony here,

Also present was the Housing, Building Management and Squatters Exco, Iskandar Abdul Samad, the Sekinchan Assemblyman, Ng Suee Lim and the Chief Executive of Permodalan Negeri Selangor Berhad (PNSB), Datuk Ahmad Omar.

Previously, based on the growing speculation talked about recently, the Selangor DNS is expected to dissolve this week seeing that the date for the state Exco meeting was shifted to yesterday (Monday) instead of the normal Wednesday meetings.

This resulted in almost 40 journalists from various media agencies to be present at the press conference after the meeting at the State Secretariat Building to wait the important announcement.

Water Issues: Waterloo Clash


PANDAN INDAH, 22 FEB: The Chief Minister’s Political Secretary, Faekah Husin informed that Tan Sri Abdul Khalid Ibrahim’s move to defend the water services acquisition although the effort has been disputed by several Umno-BN leaders, is characterised as a Waterloo clash.

Faekah further explained that the Chief Minister informed her that the move to takeover the water industry is not a political gimmick but it is larger than the acquisition of Guthrie shares in 1981.

Therefore, to resolve this problem, the people have to ensure Pakatan Rakyat’s (PR) victory in the upcoming elections and to govern Putrajaya to facilitate the acquisition of water from the concessionaires who are still stubbornly refusing the offer submitted.

“This is because, the Central Government’s golden share amounting to one percent can be used in absolution to order the Selangor Water Supply Company (Syabas – Syarikat Bekalan Air Selangor) to accept the offer submitted by the Selangor Government to enable the acquisition of water management operations in the Klang Valley and Selangor to be carried out,” she said at the Selangor Water Forum in Pandan Indah.

She added that is the concessionaires reject the offer, it is no longer classified as a business transaction but it is politicised, therefore the Selangor Government will react politically.

According to Faekah, the Selangor Government will offer only 50 percent off the current price for the acquisition should the concessionaires continue to be adamant and refuse the offer price given.

“Dissolve the Assembly (Selangor State Assembly), dissolve the Parliament, water belongs to you (the people) and we will take it (back for you).

“And if they (the concessionaires) refuse, we are now offering RM9.65 billion. If we (continue to) govern Selangor, we takeover Putrajaya, we will offer no more than RM5 billion. That’s our plan,” she said

She explained that the offer price of RM9.65 billion which was announced by Abdul Khalid in the middle of this week, the concessionaires cannot refuse the price offered unless they bring up objections to the offer price for an arbitration process as stipulated in the 2004 privatisation agreement.

The offer will give a return of 12 percent per annum of the equity to the companies and is the latest effort by the State Government to restructure the water industry to be more efficient.

At this point, the operations of treated water is being managed by concessionaires, Puncak Niaga Sdb Bhd, Syarikat Pengeluar Air Sungai Selangor Sdn Bhd (SPLASH) and Konsortium ABASS Sdn Bhd.

CM: Selangor Ready To Dissolve State Assembly


SHAH ALAM, 30 JAN: The State Government will dissolve the Selangor State Legislative Assembly earlier if the Federal Government still will not give any indication of the date parliament will be dissolved.

Chief Minister, Tan Sri Abdul Khalid Ibrahim said that the State Government is of the opinion that the 13th General Elections (GE-13) cannot be further delayed and is ready to dissolve the State Assembly earlier to give mandate to the people to elect a new government.

“If the Prime Minister, Datuk Seri Najib Razak still does not announce the dissolving of parliament, the State Government proposed to dissolve the State Legislative Assembly earlier, which is after Chap Goh Meh,” he said in a press conference at the State Secretariat Building here today.

Abdul Khalid said that previously, the State Government refused to dissolve the State Assembly simultaneously with the Federal Government if the dissolving took place in June last year because of wanting to complete the State Government’s annual budget which was still incomplete.

“We refused to join the GE-13 if the dissolving took place in June last year because I had to wait a full year to manage the previous 2011 budget,” he added.

During the 12th General Elections (GE-12) which was held in March 2008, Pakatan Rakyat (PR) had the mandate from the people of Selangor to form a new State Government.

HKR 112 Interesting Pictures Vol. 1


State Reserve Funds are only for Special Projects NOT for Administration Expenditures

SHAH ALAM, 19 Nov: The State Government will only use state reserves to fund special projects and not to shoulder administration costs, said Chief Minister Tan Sri Abdul Khalid Ibrahim.

Reserve funds also cannot be used to pay for management expenditures and other such expenses by the State Government because it reflects inefficient financial management.

The presentation of the budget’s deficit to cover administrative expenses also reflects the failure of efficient financial management and demonstrates the failure to control spending.

Abdul Khalid said this when explaining the State Government actions in using state reserve funds to finance four projects at a cost of RM500 million.

“The project we are doing is separate so that its (the reserve funds) usage is more transparent.”

“The people do not want the reserves to be used to cover administrative expenses.”

“If this happens, people will think that the government can spend extravagantly, so with the separation, we cannot spend extravagantly,” said Abdul Khalid in a press conference at the State Assembly Annex Building lobby.

Abdul Khalid presented the 2012 Budget today, the first day of the Third Meeting of the Fifth Session. The Budget is themed ‘Selangor, Leader of Malaysian Economy’.

When presenting the budget, Abdul Khalid announced the decision to build the third bridge in Klang costing RM300 million, the implementation of Storm Water (RM100 million), upgrading and repairs of drainage systems (RM50 million) and the building of fully-furnished affordable housing (RM50 million).

However, these projects are not included in the 2013 Budget, instead it will be using State reserves.