State Assembly passes RM1 billion Supplementary Supply Bill

On Monday, the State Legislative Assembly approved the Supplementary Supply Bill (2013) amounting to RM1 billion to meet the government’s various requirements and additional expenditures.

Chief Minister Datuk Seri Panglima Musa Aman, who tabled the Bill as the State Minister of Finance said about RN740.2 million was voted merely to balance the State's account as required by accounting regulation.

The remaining RM202.8 million was allocated to meet expenditures already incurred. They include RM38 million to pay the state civil service salaries including bonus for 2012 that was only paid out in January this year;

Another RM26.5 million was voted to pay the water concessionaires and the water Bulk Supply Rate; RM26 million for government official functions, events and celebrations and RM20 million for outsourcing the maintenance and service of water treatment plants.

An additional RM104.8 million was given to six ministries involving 14 allocation votes, he said, adding that the cash would come from the State Consolidated Fund (RM83 million), federal loan (RM20 million) and federal reimbursement allocation (RM2 million).

The extra allocations were needed to complete ongoing projects such as the Privatisation of Sandakan-Tawau Water Supply Scheme, Privatisation of Kota Kinabalu Water Project and Privatisation of Lahad Datu Water Supply totaling RM49.5 million.

"We also require RM20 million for the acquisition of land for KKIP project, SOGIP in Sipitang, Sandakan Education Hub, flood mitigation project in Taman Merpati in Sandakan.

“There is also the need to clear payment amounting to RM426,264, for works at the Sabah Biodiversity Centre that were completed last year but was not paid under 2012 financial year,” he said.

He also said a total of RM2 million was proposed for the upgrading of the Kota Kinabalu Sports Complex floodlight and another RM500,000 for the improvement works on the golf course in Kundasang.

Musa also informed the House that some of the larger amounts were dividends that the state government had received from State-owned companies and reinvested in these companies.

"They include state-owned companies such as Innoprise Corporation Sdn Bhd (RM225 mil), Sabah Economic Development Corporation (RM144.42 mil), Sawit Kinabalu Sdn Bhd (RM74 mil), Sabah Energy Corporation Sdn Bhd (RM57.2 mil) and Warisan Harta Sabah Sdn Bhd (RM41.67 mil)," he said.

He also disclosed that a total of RM184.04 million was needed for adjustment of Advance Accounts involving emergency works to restore damaged infrastructures, utilities, such as pipelines and water treatment plants, irrigation and drainage systems as well as the railways.

Musa expressed his gratitude to the Federal Government for its decision to grant new loans for two projects under KKIP Sdn Bhd, that is, the Automotive and Steel projects and upgrading of electricity supply for which RM20 million had been set aside for the off-site preparatory works in KKIP.

Source: Insight Sabah