Penang Chief Minister Lim Guan Eng said Urban Well-Being, Housing and Local Government Minister Abdul Rahman Dahlan’s statement about the price cap for affordable housing in Penang has “backfired”.

Lim said he was caught indirectly admitting in his statement last night that Prime Minister Najib Razak and PR1MA had fixed the maximum price of affordable housing at RM400,000.

This was stated in the Budget 2013, he added.

Lim was referring to Abdul Rahman’s remark in Parliament on Wednesday when he accused the chief minister of lying for saying that it was the federal government which determined the price of affordable housing at RM400,000.

Abdul Rahman said Lim lied for saying that the price was not determined by the state government.

Yesterday, he also insisted that the maximum price of RM400,000 for affordable housing units was never determined by the federal government, but was within the purview of state governments.

“But he admitted to my reponse that the Economic Report 2013/2014 and Budget 2013 by Najib had stated the maximum price for affordable housing is RM400,000 per unit,” said the Bagan MP.

“He continued to claim that although PR1MA was allowed to sell the units at RM400,000, 84 percent of the homes under PR1MA was sold below RM300,000,” Lim added.

“What is the point of denying the truth when he himself revealed that as early as Budget 2012, it was the prime minister and PR1MA which determined the price of affordable housing at RM400,000 per unit?” Lim asked.

He said Abdul Rahman contradicted himself when he said on Jan 18 at a monitoring committee meeting – attended by state execute councillor Jagdeep Singh Deo – that all state governments fine-tune six recommendations discussed, including the selling price for affordable housing.

This meant that the National Housing Council has yet to decide on the maximum price for affordable housing for each state, he added.

“Who lied now? Let the people decide!” Lim said.