Affordable housing project lagging behind target of 1.1 million homes

KUALA LUMPUR: The affordable housing project is far from reaching its target of 1.1 million units by 2018, with only about 23% of the homes completed at this point.
Urban Wellbeing, Housing and Local Government Minister Tan Sri Noh Omar said that the government has completed the construction of a total of 255,341 affordable homes since 2013.
He however blamed the state governments for the delays, stating that there was lack of cooperation from the states.
"A total of 285,097 or 25.6% of the houses are under construction while another 432,415 units or 39% are in various planning stages," he told the Dewan Rakyat.
Noh said the remaining 138,775 units or 12.4% have yet to make it to the planning stage.
He was responding to Khalid Abdul Samad (Amanah-Shah Alam), who had asked the government to state its plans to achieve the commitment to build 1.5 million affordable housing units by next year.
Noh, who refuted claims that the target was set at 1.5 million, stressed that the initial target for constructing affordable houses for a five year period from 2013 to 2018 was 1 million units, but was later revised to 1.1 million units in view of the high need for affordable houses.
Among the major projects under the affordable housing project were the People's Housing Project (PPR), the 1Malaysia People's Housing Scheme (PR1MA), the Youth Transit Home scheme, the MyHome and MyDeposit programme, as well as the revival of various abandoned projects.
The projects are implemented nationwide through the federal and state governments as well as the private sector.
"While the private sector focuses more on market demand, the government concerns itself with providing adequate, affordable and quality housing for all, particularly the middle-income group (M40) low-income group (B40)," Noh said.
He said the commitment to deliver the houses has to be supported by the state governments as well.
"For example in Selangor, we wanted to construct 51,992 units but could only deliver 11,000 because cooperation from the state government is lacking. In fact, these state governments should give us special approval to construct these affordable homes," he said, adding that the federal government is spending up to RM2.2 billion for the project.
Citing a report by PR1MA, Noh said that Kelantan was very cooperative with the federal government, putting behind their political differences.
"Selangor, on the other hand, gives us land at a premium, the same it would give a private company. We are then forced to make these houses under Rumah Selangorku and are forced to raise the prices of these homes."