The Government Asset Management Policy should be reviewed to make it more relevant to ensure all assets are being managed systematically, holistically and sustainably, said Works Minister Baru Bian.

He said the policy was implemented in March 2009 to outline the direction, principles and strategy of asset management which all government agencies should comply with.

He said the review would be a catalyst to ensure effectiveness and quality of the government’s service delivery system in an effort to overcome financial and economic challenges.

“For example, the asset maintenance design should be applied earlier at the early stage of the asset planning.

“The review of the policy is hoped will address problems of unsuitable building design, maintenance, as well as operations cost of government asset management,” he said at the National Asset and Facility Management Convention 2018 (NAFAM 2018).

According to Bian, statistics on the management system of immovable assets showed that there are 38,000 premises, including more than 170,000 building blocks, registered as government assets.

He said a huge allocation was set aside every year by the government for operation and maintenance of assets and public infrastructure.

Last year, he said, the government spent RM1.9 billion for facility management services contract for the Works Department, while the maintenance cost of federal roads was RM832.7 million.

“This is just a small fraction of the government’s total expenditure for the operations and maintenance of national assets.

“Total government spending on asset management is about RM10 billion a year,” he added.

--Bernama