Penang warns local, foreign developers not to flout regulations

Penang state government warned both local and foreign developers to adhere to provisions set by the local councils when carrying out their projects or be prepared to face the consequences.

Chief Minister Lim Guan Eng said the state government would not tolerate developers who clearly defied directives issued by the councils.

Lim expressed his anger at the developer of the RM70 million Gurney Plaza expansion project who, despite a warning by Penang Island Municipal Council (MPPP) president Datuk Zainal Rahim Seman, continued to carry out construction works until 3am.

The developer was issued the directive in April to stick to the 8am to 6pm schedule but continued to carry on with the extended working schedule.

“Unfortunately, despite Datuk Zainal giving them a warning and requesting them to comply with the set time from 8am to 6pm, they continued working till 3am. I want to impress upon all developers to comply with provisions set by the council and to adhere to all directives issued as these are issued with my knowledge.

“The instruction is given with the support of the state government and in this respect, I am disappointed that the developer — this company from Singapore — is unable to comply with the directives issued.

“We hope this company can exercise the same compliance with the law that they are required to do in Singapore. Failure by anyone to comply will result in action being taken,” Lim said.

He added that unlike the past where developers might have not been penalised, the present state government was serious about running a government with competency, accountablity and transparency.

He said developers could hold discussions with MPPP if they could not comply with certain requirements so there can be certain allowances made, but they should not assume they could get away with breaking laws or provisions.

“Come and discuss with us and we are not going to be very strict or unreasonable. We want to find a solution that can benefit everyone but in this case, carrying construction works till 3am causing residents hardship is too much.

“A chance was given to stop, but it was ignored and we will take the necessary action against the developer. This is one of a few cases involving big projects where laws were not followed and complied with.

“While we want projects to be completed for Penang, it does not mean anyone can break the rules. We want to send a clear message to developers that we take this very seriously; there will be no compromise,” Lim added.

The RM70 million Gurney Plaza expansion, scheduled for completion by August, is now 70% complete.

The property is managed by Singapore-based CapitaLand Limited which acquired the 700,000 square ft shopping mall with more than 300 specialty shops.

The project will increase the floor space of the complex by 150,000 sq ft of retail space with a new departmental store to be managed by an anchor tenant and 83 shoplots. - By The Edge Daily

1 comment

June 12, 2011 at 3:20 PMYunos

Make an example of the developer, not just a threat or a slap on the hand, you mean business. Penalty of 10% of the cost of the development, they will soon learn to follow the rules and regulations. Shape up or ship out.