PSM urges Nga to defer URA bill to next year

PSM has urged Housing and Local Government Minister Nga Kor Ming to defer the tabling of the Urban Renewal Act (URA) to next year, citing unresolved issues raised by residents’ groups, civil society, and political parties.

In an open letter to Nga, PSM chairperson Dr Michael Jeyakumar Devaraj said the proposed bill must be improved to address legitimate concerns and ensure wider consensus before being re-tabled in Parliament.

“These concerns have to be addressed so that a wider consensus is attained before the amended and improved bill is tabled,” said Jeyakumar.

Among others, the former Sungai Siput MP argued that the bill is silent on the issue of tenants, particularly low-income families residing in dilapidated flats targeted for redevelopment.

“Some of the rundown flats have many low-income families staying there because the rents are low. The redevelopment plans must take into account their residential needs,” he said.

On Oct 4, Nga reportedly expressed readiness to postpone the tabling of the bill until after the passing of Budget 2026 in Parliament this week, in response to a PAS-led anti-URA rally in Kuala Lumpur.

Important community consultation

PSM also called for mandatory community consultation before redevelopment plans are finalised, with Jeyakumar stressing that urban renewal often leads to higher population density and infrastructure strain.

He said residents living within one kilometre of the redevelopment area should be given opportunities to provide feedback and raise objections through a structured process.

Jeyakumar said the public consultation process must be added to the new law, with clear channels for complaints, including access to the proposed Mediation Committee under Section 14(2) of the bill.

He also called for Sections 10(3) and 11(3), which deem silence within 30 days as consent, to be removed, describing them as “heavy-handed and undemocratic.”

On the Urban Renewal Mediation Committee mechanism, Jeyakumar cited concerns that the draft allows the same executive body that approves projects to appoint members of the committee, creating a conflict of interest.

“The mediation committee can only be impartial and fair if it is not under the direct control of the executive committee,” he added.

He went on to propose that an independent selection committee - comprising retired judges, senior professionals, trade unionists, and residents’ representatives - oversee appointments, with state rulers or governors formalising the selections every three years.

The senior politician added that the government should demonstrate leadership by engaging meaningfully with all stakeholders and amending the URA bill to reflect public concerns.

“We hope the government will set a good example by taking the concerns expressed by various groups seriously,” he said.

In an Oct 7 parliamentary written reply to Pokok Sena MP Ahmad Yahaya, the Housing and Local Government Ministry said the bill, tabled for first reading on Aug 21, had gone through a Regulatory Impact Analysis (RIA) to assess the social and economic implications of introducing or amending regulatory frameworks.

According to the ministry, the bill was also discussed by the Parliament's Special Select Committee on Infrastructure, Transport and Communications on Oct 17, 2024, Aug 13 this year, and most recently, on Oct 2.

The original bill was widely panned by critics who claimed that it would sideline the Malays.

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