While several letters have appeared on the housing discount for bumputeras, the situation is worse for cooperative housing societies. As a member of a housing cooperative in Johor which is due to celebrate its 50th anniversary next year, I would like to add my views on providing affordable housing for all Malaysians.

Cooperatives are based on the basic principle of 'All for one, and one for all'.where 'profit' is not the motive but rather 'service' is the objective. For this same reason, 'profit' is actually termed 'surplus'.

The other important principle in cooperatives is that no matter how large one's share capital is, in the society, the member has only one vote. It therefore follows that members are truly shareholders of the society's assets like its land bank and the housing projects undertaken, and have every opportunity to actively participate in the running of the organisation through annual elections.

Cooperatives therefore occupy a unique position, where they are neither 'public' nor 'private' enterprises, focusing on 'self-help' for its members. What is distressing is that housing cooperatives, too, are compelled to comply with government policies on housing by reserving 30 percent of their houses for bumiputeras, which may remain unsold for sometime, leading to damage by vandalism, and thus further loses on these unsold units.

Further, the cooperatives are compelled to give a discount of 10 to 15 percent to bumiputeras, who have as yet not participated in the accumulation of share capital and assets of the cooperative, thus leading to more frustration among existing members, who end up paying a higher price to cater for the discount policy for would-be bumiputera members.

These factors put a great strain on cooperatives, trying on the one hand to provide a service to its members while at the same time trying to compete with the private sector, and yet have to comply with all the political guidelines, while straining to be a 'self-help' organisation, the membership of which is open to all Malaysians irrespective of creed, colour and religion.

These regulations imposed upon on housing cooperatives by state governments, run contrary to the basic principles and philosophy on which cooperatives are founded upon. How much longer can housing cooperatives survive in such trying circumstances?

I wonder.