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New committee to assess State public-private partnership and concession projects

Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor chairing the CMD post-cabinet meeting

KOTA KINABALU:The State Cabinet has approved the establishment of the State Public-Private Partnership and Concession Project Management Committee, aimed at strengthening governance and oversight of joint ventures involving the State Government and the private sector.

Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor said the newly formed committee will replace the State Privatisation Committee, which was set up in 1991.

Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor chairing the CMD post-cabinet meeting

He explained that unlike the previous committee, which focused solely on privatisation proposals, the new body will evaluate projects under three distinct categories, allowing for a more comprehensive and structured assessment framework.

“Under the new mechanism, any proposed public-private partnership project must first be initiated by the relevant ministry before being referred to the Technical Committee, which is chaired by the State Economic Planning Unit,” he said.

Once a project is assessed as viable, it will be escalated to the Main Committee, chaired by the State Secretary, for further evaluation before being submitted to the State Cabinet for final approval.

“This process is intended to ensure clarity and accuracy in project scope, particularly for initiatives involving concessions such as water supply, road infrastructure and housing developments,” Hajiji said.

He added that all joint ventures involving the State Government are now required to undergo scrutiny through this committee to ensure transparency, accountability and long-term sustainability.

The Chief Minister made these remarks while chairing the first Chief Minister’s Department post-Cabinet meeting following the formation of the new State Government at Menara Kinabalu here today.

During the meeting, the State Cabinet also approved enhancements to the Rumah Mesra Sabah Maju Jaya (SMJ) initiative for this year.

Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor leaving the meeting State Secretary Datuk Seri Panglima Haji Safar Untong, Assistant Minister to the Chief Minister Datuk Joniston Bangkuai and State Forest Conservator Chief Datuk Frederick Kugan.

Hajiji announced that the construction cost for SMJ houses built with pillars has been revised to RM95,000 per unit, while units without pillars will now cost RM85,000.

The increase, he said, reflects additional expenses such as transportation of building materials, land reclamation works, and the installation of basic utilities including electricity poles and water piping.

He also announced that the Hala Tuju Sabah Maju Jaya (SMJ) 2.0 Development Plan for the period 2026 to 2030 will be officially launched on January 30, in conjunction with the Chief Minister’s Keynote Address to the State Public Service, Government-Linked Companies and Statutory Bodies.

More than 7,000 personnel are expected to attend the event.

–ENDS