Global Supply Crisis: Melaka Financial Position Remains Under Control - Ab Rauf

MELAKA, April 27 (Bernama) -- Melaka’s fiscal position remains sound, with control measures being implemented within the existing budget framework amid the global supply crisis following the conflict in West Asia, the State Legislative Assembly sitting was told today.

Chief Minister Datuk Seri Ab Rauf Yusoh said that, therefore, the state government had no plans to table a mini budget, but would instead optimise expenditure, reduce operating costs and implement more targeted programmes to ease the impact on the people.

“The state government will continue to assess the current situation from time to time and is committed to working closely with the federal government to ensure that every intervention measure implemented is effective and delivers optimal impact on the well-being of the people as well as the stability of the state economy,” he said here today.

He said this in response to a question from Low Chee Leong (PH-Kota Laksamana) on whether the state government intended to introduce the Melaka Mini Budget 2026 to address the global energy crisis following the conflict in West Asia.

Elaborating, Ab Rauf said that under the existing budget, the state government had set aside RM300,000 to safeguard rice supply security, with part of the allocation channelled towards an additional one-off Ploughing Incentive of RM30 per 0.4 hectare this year, involving a total of 607 hectares of padi fields, to assist rice farmers affected by the energy supply crisis.

He said the state government had also allocated RM300,000 for the development of cooperatives in several clusters, including manufacturing, micro, small and medium enterprises and kariah masjid.

“This initiative places emphasis on empowering cooperatives, supports the continuity of existing programmes and strengthens the role of cooperatives in boosting Melaka’s economy,” he said.

Ab Rauf also said local authorities (PBT) had introduced an initiative offering one month of free rental or a 30 per cent discount to tenants of their business premises as well as those owned by state government subsidiaries, involving an estimated cost of RM2.8 million, in addition to a 50 per cent discount on hawker licence renewals for small traders in all PBT administrative areas.

He said the state government had also introduced the Melaka PBT Special Incentive, which allows for the extension of Planning Permission without the need for a new application, provided the application is submitted within 12 months of the expiry of the original approval, with applicants only charged a penalty of 50 per cent of the original fee, thereby reducing both costs and processing time.

“In addition, there will be a full exemption of construction deposit for new building plans, together with an extension of the validity period of Form B for plans approved in 2026, subject to compliance with the prescribed technical conditions.

“This incentive is also extended to the public through a compound reduction of up to 80 per cent for all offences, except court cases, land works, and those related to waste and entertainment centres, as well as lower service charges for property assessment tax, which also benefits the people of Melaka,” he said.

-- BERNAMA