The Malacca state government will reportedly restrict the abilities of four local councils to issue contracts, especially those involving the collection of funds from the public.

According to the Star, the directive will apply to the Malacca Historic City Council (MBMB); the Hang Tuah Jaya Municipal Council (MPHTJ); the Alor Gajah Municipal Council (MPAG); and the Jasin Municipal Council (MPJ).

The local councils will be required to secure approval directly from state housing, local government and environment committee chairperson Tey Kok Kiew before they can award or implement any contracts.

“In a nutshell, each document should be viewed by me to enable the detection of ‘abnormal’ developments that need the immediate intervention of the state government,” Tey said.

The new measure comes after a payment booth for a parking lot in Taman Nirwana, Klebang Besar was torched yesterday by residents who were reportedly unhappy that the lot had been privatised.

Thirteen companies had reportedly been awarded private parking concessions by the local councils last month, and eight of the companies started collecting parking fees on Jan 1.

The incident in Taman Nirwana reportedly prompted the Malacca state government to review how local councils awarded contracts.

Previously, the local councils would award small-scale contracts via open tender and approvals at local council meetings.