The Sarawak state government will handle the controversial land rate issue with care, compassion and understanding, said Chief Minister Abdul Taib Mahmud.

Speaking at a Chinese New Year gathering last night he appealed to the people, especially the Chinese community, to trust the state government on the matter.

According to a Bernama report, he said the current rate in the state had not been changed for the past 36 years.

"This is a situation not enjoyed by any country in the region where the rates are adjusted every five years," he added.

Taib said the government was proposing for a new rate in order to have a new income source to pay for its particularly costly development projects for ultimately the people's own "better quality of life".

"For example, in Sibu the government has to spend RM200 million for its Phase One Flood Mitigation scheme. In Kuching, it spent RM200 million on the barrage project and needs to spend another RM300 million," he said.

Decent budget

Taib said the state government is now also looking at improving the public transport system in our towns too.

"No government can ever remain functional without a decent budget and a growing revenue. We certainly cannot depend solely on the present sources," he was quoted as saying.

But Taib said the revenue must grow in accordance with the ability of the people to pay.

"I know there are some poor Chinese but we do have a policy to help the poor. We have subsidies like in the provision of medical treatment, in education to name a few," he noted.

Taib said the government would charge people who could make a profit from raising land prices as they could afford them.

"The land rate issue is actually not really a big issue but a lot of misunderstandings spread by naughty people," he added.

He said the state still charged only RM100 for one acre (0.4 hectare) which he described as the lowest in the whole country.