Sheda president Datuk Zaidi Ahmad (right) presents a memento to Abang Johari.

KUCHING: The government will continue to allocate funds and resources for the building of affordable houses, assured Chief Minister Datuk Patinggi Tan Sri Adenan Satem.

For instance, 2,000 units of such houses would be developed next year under the People’s Housing Scheme for low-income earners, he said.

“The various special measures to make home ownership more attractive as announced by the prime minister in Budget 2015 are also a testimony of the government’s strong commitment in addressing housing affordability issue.

“The state government, through the Ministry of Housing, will continue to lobby hard for greater allocation to be given to Sarawak to build more affordable housing units within the next five years under the 11th Malaysia Plan,” he said at Sarawak Housing and Real Estate Developers’ Association’s (Sheda) annual dinner cum excellence awards here on Saturday.

His text-of-speech was read out by Housing Minister Datuk Amar Abang Johari Tun Abang Openg, also Minister of Tourism.

Adenan said the government had to involve private housing developers to meet the demand for affordable homes, particularly for those in the lower income group.

“It is just a matter of having the right policy and practical approach in addressing this issue by both sides.”

He said his administration was reviewing the housing policy for the low income group.

“We want to ensure the new approach would be in line with the current housing trends and market situation, while safeguarding house buyers’ interests.”

He said the Housing Development (Control and Licensing) Regulations 2014 had been enforced since last Nov 1.

Given this, the licensing criteria had been amended, he said. For instance, there is flexibility based on the size of the project, the amount of progress payment in the Third Schedule had been adjusted to suit industry requirement, and the rate of liquidated ascertained damage for failure to complete common facilities in time for strata titled building had been revised downward to reflect more equitable proportion between developers and buyers.

The damages for failure to deliver vacant possession to be paid by a vendor, he said, had also been amended from a fixed rate to three per cent per year of the purchase price.

“This new rate is much less compared to Peninsular Malaysia and Sabah, which is eight and 10 per cent respectively.”

Adenan advised developers to take public interests into account when planning and undertaking housing projects and building new townships. He said they must also think beyond the traditional concept of providing basic shelter. He wanted them to help promote healthy and sustainable lifestyles to meet the expectations of the contemporary society.

“The government will continue to review old rules and regulations to keep abreast of the time and to provide flexibility for best ideas and concepts to thrive and flourish.”