Penang DAP has questioned the state government's sincerity in reviving housing projects abandoned by cash-strapped developers, who were hard hit by the 1997 financial crisis.

Its state organising secretary Danny Law Heng Kiang said for all its bragging, the state government until today had only managed to revive the 987-unit Taman Sri Bayu in Bayan Lepas, located in the rural Southwest district.

However, he said abandoned projects in urban areas, where housing shortage is felt most, had not been given priority.

"The state government is not sincere and genuine in its so-called efforts to revive abandoned housing projects. Records for the past six years showed it has neglected its public duty," he told malaysiakini .

Taman Sri Bayu, which has low and low-medium cost apartments, was revived in 2001 through collaboration with the Syarikat Perumahan Nasional Berhad (SPNB) - which injected RM4 million to ready the project, which was abandoned for 11 years.

Among the housing projects to be revived through the state government's efforts are Taman Cemerlang (1,369 units), Taman Sri Semarak (1,316 units), Taman Terubong Indah (3,027 units), Fettes Villa (883 units) and Taman Hijau (2,225 units) in George Town, Taman Penaga Jaya (1,021 units) and Taman Sejahtera (417 units) in Seberang Perai Utara; Taman Widuri (1,619 units), Taman Pekatra (1,260 units) and Taman Nuri (362 units) in Seberang Perai Selatan (1,619 units); and Taman Perwira (258 units) in Seberang Perai Tengah.

Negotiations underway

Penang Housing, Culture, Arts and Heritage Committee chairperson Syed Amerrudin Syed Ahmad said the state government is engaged in serious negotiations with the original and new developers, financial institutions and SPNB to revive these projects which are scattered all over the state.

Negotiations are being carried out with the help of the Housing and Local Government Ministry and local municipalities.

In the last general election campaign, Chief Minister Dr Koh Tsu Koon and his trusted political lieutenant Dr Teng Hock Nan told voters that the Barisan Nasional (BN) government would go all out to revive all abandoned housing projects.

They even claimed that the BN government was genuine in providing affordable homes to the state's ever growing urban population, especially for the lower and middle-income groups.

Commenting on this, DAP's Law said the chief minister's promise had 'genuinely' become an election gimmick to fish votes.

If revived, the projects would provide about 15,000 low and low-medium flats to Penangites, especially in George Town, for the next five years.

As the state government claims that it is seriously negotiating the revival of all projects, the people have began to lose faith and patience.

Due to serious lack of affordable houses, more urbanites are leaving George Town and moving to rural areas, Bayan Lepas, Teluk Kumbar and Balik Pulau, and to neighbouring states.

'Ghost city'

"One can see that George Town is a ghost city now - lacking houses, dynamism, vibrancy, business opportunities and night life.

"The heartbeat of the state is dying and the state government is yet to revive abandoned projects," said Law.

He also hit out against the lack of protection to house buyers under the housing laws when projects had been abandoned.

"The house buyers are left in the dark and forced to service bank loans for abandoned projects," he said.

In most negotiations being carried out by the state government to revive the projects, house buyers are being told to fork out extra money to have their homes ready.

This has heavily burdened frustrated house buyers since they have already been servicing bank loans that they secured to purchase the houses. Thus house prices face an enforced inflation.

Taman Sri Bayu was, however revived without forcing house buyers to pay extra.

"The state government should negotiate with SPNB to revive other projects too in similar way. Otherwise, it's unfair to the house buyers," said Law.

ATHI VEERANGGAN is malaysiakini 's Penang-based stringer.