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PR White Elephant >>>

PR White Elephant Project # 2: sPICE Exhibition Center, Penang.

The side concessions unrelated to sPICE defy the normal business practice, and this sPICE contract is scandalous as Plus Highway and IPP agreements.

Latest news break is the contract was never approved by the MPPP full council meeting. I am not a legal expert, no sure this contract is still valid or not.

My high expectation on PR is being a better and cleaner government than BN is totally shattered to pieces after sPICE contract was sealed without following CAT.

I hope Tony Phua as DAP Economist should come forward to explain this sPICE matter to public members. I believe he will shake his head in disbelief behind his party boss.

I repost several legitimate questions from Anil Netto,

– Have all MPPP councillors been given a copy of the agreement? Chinese press reports suggest rumblings of discontent among MPPP councillors.

– Was there a MPPP full council meeting to approve the agreement and the RM50m cost (to be absorbed by the MPPP) before the agreement was signed by the MPPP and SP Setia? When was the MPPP budget for this approved?

– Is the traffic impact assessment for ‘academic purposes’ only? Why no social impact assessment?

– Is it true that only 2000 parking bays are to be provided even thought the capacity of the convention centre will be 6000?

– Am I seeing correct regarding the 1500 additional homes allowed to SP Setia in return for building Spice? Not only 87 units/acre but now 120 units/acre in some places? Are these densities higher than what is allowed under the Penang Island Local Plan, which has not yet been revealed even though it was approved in 2008?

– How much do all the waivers add up to plus the land to be provided by the local government for affordable housing? These should be added into the state/MPPP’s cost.

This project initiated by PR Penang state government is a good project but it comes with dubious and smelly execution.

I concluded the contract is a lopsided contract totally tilted to developer, Eco Meridian Sdn Bhd (EMSB), a wholly owned subsidiary of SP Setia after a scrutiny on its contract.

The project estimated cost is RM300 million, with RM50 million free money from MPPP.

The concessions given by MPPP to EMSB is too lucrative to be believed. For an example, 1500 extra housing units are granted to SP Setia can rake in RM700 million profits for the company. Its ROI details can be found from here.

The shocking fact is MPPP got no profit-sharing from RM50 million investment. This is another BN-like contract under PR government.

Besides, there is no EIA study on its impact on traffic flow and environment before the contract was sealed.

This is so-called transparency, but without accountability and competency, a mockery of LGE’s CAT “Competency, Accountability, Transparency” slogan.

Repost my posting in Anil’s blog.

MPPP or LGE (LGE overstepped MPPP) said three companies have bid for the project.

Did LGE show you the other bidders’ offers when you met up with MPPP and LGE some time ago?

IF LGE is talking transparency, he should also list down two other biddings (the companies name can be omitted) for people to see SP Setia is truly the best bidder or not.

Display a signed contract for public to read is not transparency, is a political stunt.

In the end, the whole sPICE bidding and tender process is no different with the BN black box tender system because people still in the dark on how a contractor was selected and why RM50 million public money injected for a private BOT project.

More shocking revelations by BN opposition (In Mandarin) about sPICE after the agreement was opened for public reading.

– 3.1 acres land sold to developer at merely RM100 per sq ft which is much below market price of RM300 per sq ft. Potential losses are estimated at RM 27 million.

– The developer is allowed to build 450 units max 650 sq-ft medium cost house with minimum selling price of RM 72500. The land is supplied by state government. Estimated extra profit for the developer is RM10 million

This clause is designed to protect developer, not the rakyat.

– 1500 extra housing density given to developer to rake in extra RM450 million on land utilization alone. The abnormal concession can rake in RM700 million profit at the present value.

Public fund for sPICE : RM 50 million

Losses from the side concessions unrelated to sPICE :  RM737 million

Number of PR White Elephant Project monitored : 2

Total accumulated cost/losses: RM 792 million.

The nkkhoo.com comment board with Facebook account.
Ali Setan says:

nkkhoo can experience bumpy ride along the 77km Senai-Desaru Highway in Johor (roadworks that ‘did not meet specifications’ according to AG report).

http://www.malaysiakini.com/news/179593

No need to go Sentosa for those expensive rides.
More thrills FOC in Johor for your family here!

nkkhoo says:

Don’t need to drive to Senai, the road from Panchor to Pagoh is bumpy since day one.

Dabangg of Muar says:

aiyoh, every one thinks of leaving then where’s the 3rd force to bring positive change to Malaysia ?
SAD 🙁

nkkhoo says:

Bashing on internet can be going on from any place on the earth.

Third force is not going to win in the election, the existence is merely to check and balance two evil forces from running wild.

Note: I will not post any comments irrelevant to the subject in future. Please post in [About Blogger] section for misc. matters.

Dabangg of Muar says:

nkkhoo,
do a feature on Najwa Latif – she from Batu Pahat makes us proud that we have another good “folk” musician in the making !

nkkhoo says:

Why don’t you write something about him? I have no problem to re-post your write-up.

Ra.Na.Rajan says:

“nkkhoo” Who are you, sir? Have you investigated thoroughly the sPICE project before you make your comments?
For a long time I have known that the PDC is being controlled by crooks and they have been honorably corrupted since the time when KTK was the head of the state of Penang.
Can you straighten the crooked tail of a Dog?
Who will lick if honey is coming out of a Dog’s anus?
Can your good-self answer the above questions correctly?

nkkhoo says:

I am not a DAP running dog for sure.

I followed up sPICE from day one. I did not attend the round table meeting with LGE and MPPP because I was in KL.

Ask LGE to appoint me as PDC Chairman, I will transform PDC to a world-class organization in 3-5 year. Otherwise please do not asking accountability for PDC from the blogger like me.

Too Lan says:

All civil servants have been BTNized, no cure. BTN has no need for accountability, and close one eye for corruption. Even if you are a Chairman of PDC, you cannot influence those kakitangan to work efficiently.

nkkhoo says:

PDC staff will change if they know UMNO is not going back to power in Penang for some time.

PDC was doing a good job under BN when the GM is a Thai descendant. I know this because I deal with them when I was in Penang in 90s. I was a free “model” in one of their promotional videos for on-the-job training program.

Lau says:

Wah lao-eh.

Like that also can say.

nkkhoo says:

This is your intelligent point?

Why not DAP running dog blames Koh Tsu Kun again?

SharpLooker says:

LGE thinks that he is in control of everything. Bullshit! PDC Consultancy is full of corruption! PR and BN are all the same… all are greedy and corrupted bastards! Tell LGE assign a contractor as a spy to tender for PDC projects… you will hit a can of worms!!! All open tenders are just cover ups! The tender documents and drawings are just piece of shit… Have a look at the tenders if you don’t believe! …

nkkhoo says:

BN took 50 year to be a pirate while PR took 3 year to be a thief.

Malaysia is a condemned nation with no choice for its people, you either to live with a pirate or with a thief.

Too Lan says:

Go check up the white elephant Persada in JB. How can it be an international convention centre when it can only hold furniture fair, electrical fair, IT show for locals?
Very shameful. No wonder Johor Corp is losing money big time and have to blame Tan Sri Ali as a scapegoat.

nkkhoo says:

I can only find a civilized English word to describe UMNO, MCA and MIC, they are pirates with unlimited greedy and national interests always come last.