The Penang government today denied claims that it has marginalised federal agencies such as the UDA (Urban Development Authority), Perda (the Penang Regional Development Authority) and JKP Sdn Bhd, a federal developer firm.

State executive councillor Jagdeep Singh said towards this, opposition leader Mohamad Yusoff Mohd Nor's (BN-Sungai Dua) view that the mainland (Seberang Perai) was marginalised was merely a "perception".

"The mainland is not a stepchild," Jagdeep, who is local government, housing and town and country planning executive councillor, said during his winding-up speech at the state assembly.

"These agencies' applications for approval have been rejected due to technical issues and either because the development did not come with an affordable housing component or the cost of the houses are too high," said the DAP Dato Keramat assemblyperson.

Jagdeep said he was committed to helping them as long as their housing agenda included affordable housing as the basis of development.

The state had previously been criticised for neglecting Seberang Perai and focussing development only on the island.

To a question, if state assemblypersons would be allowed to participate in the preparation of the Penang Island City Council and Seberang Perai Municipal Council's budgets, Jagdeep said the two councils will be organising their annual dialogue session to prepare for the budget.

He added the session would be attended by assemblypersons, councillors, heads of departments, associations and residents.

"The preparation of the budget will always take into account the views and proposals raised during the dialogue session so that the budget can be balanced and fair," Jagdeep said.