A great trade-off

By ANITA GABRIEL

WHEN the Terengganu Investment Authority (TIA) was set up with its much-touted air-tight governance structure, no one doubted that the biggest test to its paper-perfect concept would be in its execution. What we weren’t prepared for was how soon that test would come. Rhetoric, meet reality.

For as long as the RM5bil was “pretend” money which had yet to be raised, everything was fine. Sadly, however, as soon as the coffers were filled up with RM5bil, raised through a government-guaranteed bond issued in late May, it is believed to have sparked a disconnect between the state and federal governments. Then, a couple of other states were also eager to set up a similar entity and as expected, had approached the Government to provide a guarantee for the funds it hoped to raise.

With that, it is isn’t hard to understand how TIA had morphed into 1Malaysia Development Fund – a federal-based Sovereign Wealth Fund with a wider developmental agenda covering all states and this – there is no doubt (hence no wrangling) over who the money ultimately belongs to. With that, TIA, wholly owned by the Menteri Besar of Terengganu (MB Inc) is now 1MDB, wholly owned by the Ministry of Finance, Inc, reporting directly to the Prime Minister.

TIA had raised much hope and anticipation in promising to be a structure that would put the people of the state above politics and self-interest. Now, for the people of Terengganu, one of the poorest states in the country despite the fact that it is oil-rich, the elephant has returned to the room – how will the state’s oil royalties flow down to them, increase economic activity and be utilised for the long-term economic and social sustainability of the state, all of which formed the very premise for the establishment of TIA? Will it form a new investment arm to meet these objectives?

And what about the utilisation of the oil royalty which has long been shrouded in secrecy – would there be more accountability and clarity? Without a doubt, these are the issues the Menteri Besar of Terengganu Datuk Ahmad Said will need to tackle urgently in line with discharging his responsibility to the people and to silence the sceptics. Let’s also not forget that the climate is somewhat more unforgiving today.

As for the setting up of 1MDB, not many are scrambling to get their bearings, least of all the bondholders. Let’s face it – the papers were government-guaranteed and the ownership has transferred from state to federal, which is hardly worry-worthy from an investor’s perspective.

Similarly, 1MDB will be governed by a check and balance system comprising the board of directors, board of advisers and a senior management team. It is believed that Felda Holdings group managing director Datuk Mohd Bakke Salleh will be appointed chairman of the board of directors which will comprise Tan Sri Azlan Zainol (the Employees Provident Fund CEO), Datuk Ismee Ismail (Lembaga Tabung Haji group managing director/CEO), Tan Sri Lodin Wok Kamaruddin (Lembaga Tabung Angkatan Tentera CEO) and Shahrol Halmi, who it is believed will also be CEO.

The establishment of 1MDB, however, does throw up some other questions. How different is it from Khazanah Nasional Bhd? Khazanah describes itself as a “trustee of the nation’s commercial assets” with the main objective of contributing to the nation’s long-term economic interests. On the other hand, 1MDB aims to “drive sustainable, long-term economic development for Malaysia by forging strategic global partnerships and promoting foreign direct investment (FDI).” Same difference, you say?

If there is more than one “sovereign” vehicle in the country eyeing multiple opportunities, could it dilute the “fire power” of any one of these entities in the event there is an overlap? The one striking difference, however, is that 1MDB will be run on the concept of matching FDIs.

Ultimately, however, whether it’s state-owned or federal-owned, the benchmarks ought to be the same in terms of accountability and transparency. This begs the question – now that it is federal-owned, should we be less concerned? -The Star

RM4.3 juta bantu keluarga miskin

KUALA TERENGGANU 21 Julai - Kerajaan membelanjakan kira-kira RM4.381 juta untuk membantu 1,919 keluarga miskin tegar yang tinggal di bandar-bandar di negeri ini bagi meningkatkan kualiti hidup sejak empat tahun lalu.

Timbalan Menteri Perumahan dan Kerajaan Tempatan, Datuk Seri Panglima Lajim Ukin berkata, peruntukan itu disalurkan dalam pelbagai bentuk bantuan di bawah program Bantuan Pembasmian Kemiskinan Bandar (PPKB).

Katanya, daripada jumlah peruntukan itu, kira-kira RM2.267 juta diberikan dalam bentuk bantuan sewa rumah, bantuan pengurangan beban keluarga (RM2.029juta), bantuan ihsan (RM83,000) dan pendidikan serta latihan (RM1,800).

''Peruntukan yang diberikan untuk Terengganu itu merupakan sebahagian daripada RM97 juta yang diperuntukkan di bawah Program Pembasmian Kemiskinan Bandar dalam tempoh tersebut," katanya.

Beliau berkata demikian selepas Majlis Penyampaian Bantuan Pembasmian Kemiskinan Bandar di Stadium Negeri di sini hari ini.

Turut hadir Pengerusi Jawatankuasa Kebajikan, Pembangunan Masyarakat dan Wanita negeri, Asha'ari Idris dan Datuk Bandar Kuala Terengganu, Datuk Mat Razali Kassim.

Sebanyak 478 keluarga miskin di Kuala Terengganu menerima pelbagai bantuan berjumlah RM702,770 di majlis tersebut.

Lajim berkata, kerajaan komited membasmi kemiskinan dengan sasaran mengurangkan kadar keselurahan kepada 2.9 peratus menjelang 2010.

''Saya percaya bantuan yang disalurkan dapat memberi sedikit keselesaan kepada keluarga terbabit, selain dapat meringankan beban keluarga.

''Bagaimanapun, keluarga miskin perlu berusaha menambah pendapatan dengan menjalankan aktiviti ekonomi seperti menanam atau berniaga dalam usaha keluar daripada belenggu kemiskinan'' ujarnya.

Gout no hindrance to Terengganu MB

KUALA TERENGGANU: Terengganu Mentri Besar Datuk Ahmad Said is carrying on with his duties despite suffering from gout.

Ahmad arrived at the Istana Maziah yesterday to witness the investiture ceremony of the Terengganu Regent as the patron of the state scout movement.

The 52-year-old Mentri Besar, when met after the ceremony, said he suffered severe pain in the morning but had no choice as he had already made arrangements to attend the event.

“I had to be here today. But otherwise, my health is fine,” he said.

MB: Kuala Terengganu stinks

KUALA TERENGGANU: The level of cleanliness in the city here is still far from satisfactory and a lot more needs to be done to make it a tourism hub, said Mentri Besar Datuk Ahmad Said.

“It stinks!” he said when commenting on the level of cleanliness in the city.

Ahmad said the local residents’ lackadaisical attitude when it comes to keeping their surroundings clean made the situation worse.

“A high level of hygiene is crucial, especially if the city is to become a tourism hub and generate income for the state,” Ahmad said after welcoming 42 passengers on FireFly’s inaugural direct flight from Singapore at the Sultan Mahmud Airport here yesterday.

Ahmad added that the apathy over hygiene was apparent among hawkers and to some extent restaurant operators.

He also chided food operators for charging exorbitant prices.

“Efforts by the state government to turn the city into a major tourist attraction will be negated if food prices remain high,” he said.

Earlier, Firefly Sdn Bhd managing director Eddie Leong told reporters that the budget airline had received overwhelming support for its Singapore-Kuala Terengganu route with more than 60% bookings.

“This is a very good sign despite the sluggish world economy and the influenza A (H1N1) scare.

“We are also confident that the demand will continue to go up,” said Leong.

There are currently three flights a week to and from Singapore.

Leong added that Firefly was also looking at promoting intriguing destinations in Terengganu, including Tasik Kenyir, besides the popular islands in the state.

No EXCO Reshuffle In New Futuret: Ahmad Said

KUALA TERENGGANU, July 15 (Bernama) -- The Terengganu state executive council will not be resuffled in the near future, said Menteri Besar Datuk Ahmad Said Wednesday.

Speaking to reporters after chairing the weekly exco meeting here, he said changes in the exco line-up was not in his plans right now.

"Who said (there will be an exco reshuffle). Not till now...others say, I dont't know," he said when asked about talk that an exco reshuffle would happen soon.

Ahmad said as of now he was satisfied with the exco line-up and the councillors should be given space to give their best service to develop the state.

"It would not be fair (to have a reshuffle). Give then a chance to hold their positions for the full term, as the first year is like a honeymoon year and in the second they can make plans," he said.

In another development, Ahmad said the Terengganu state government through Kolej TATiUC and TATI Production Sdn Bhd had signed a memorandum of understanding with two renowned universities in Ireland and the United Kingdom (UK) and a company in the UK.

He said the agreement was reached during his visit to the two countries on July 5-12.

The MoU involves Kolej TATiUC and Queens University of Belfast (QUB), Ireland together with Northampton University, UK besides an agreement between TATI Production and San Precision Engineering Co. Ltd, UK.

In the MoU with QUB, Ahmad said students of TATiUC could continue education to undergraduate level and PhD level especially in chemical and petroleum engineering and as well as electical and mechanical engineering.

With Northhampton University, he said cooperation would be in Non Destructive Testing which had high demand in the oil and gas industry.

"The MoU with San Precision is for valve manufacturing and distribution and other oil and gas equipment. San Precision has agreed to move factory opearations from Coventry, UK to Telok Kalong, Kemaman this year," he said.

Meanwhile, Ahmad said 10,000 Terengganu folks in the region especially from Selangor and Kuala Lumpur were expected to attend the Terengganu Food and Fruits Fair on August 1.

He said the fair was billed as 1T3F and was free and would be held at parking lot B of the Bukit Jalil Stadium from 6pm till midnight.

-- BERNAMA

Terengganu Belanja RM8.3 Juta Untuk Kurma Dan Air Zamzam

July 03, 2009 16:59 PM

KUALA TERENGGANU, 3 Julai (Bernama) -- Kerajaan Negeri membelanjakan RM8.3 juta untuk membeli kurma dan air zam-zam untuk diagih kepada umat Islam di Terengganu pada bulan Ramadan ini.

Menteri Besar Datuk Ahmad Said berkata kerajaan merancang untuk mengagihkan 300,000 bungkus buah kurma dan air zam-zam itu kepada 300,000 buah rumah di seluruh negeri.

"Program agihan air zam-zam dan kurma ini akan dibuat pada minggu pertama atau kedua bulan puasa ini, dan semua umat Islam di negeri Terengganu akan menerimanya tanpa mengira fahaman politik mereka," katanya di sini Jumaat.

Beliau berkata pengagihan akan dilaksanakan oleh pihak Jawatankuasa Keselamatan dan Kemajuan Kampung (JKKK) serta pejabat-pejabat Dewan Undangan Negeri.

Ahmad berkata kerajaan negeri sudah mengarahkan Pejabat Setiausaha Kerajaan supaya dapatkan senarai rumah-rumah termasuk taman-taman perumahan daripada JKKK bagi tujuan itu.

-- BERNAMA

Konsultan UK Dilantik Siasat Bumbung Stadium Runtuh

KUALA TERENGGANU, 4 Julai (Bernama) -- Kerajaan Terengganu melantik sebuah konsultan dari United Kingdom (UK) bagi menyiasat punca sebahagian bumbung Stadium Sultan Mizan Zainal Abidin dekat Gong Badak, runtuh pada 2 Jun lepas.

Menteri Besar Datuk Ahmad Said berkata konsultan itu yang mempunyai cawangan di Kuala Lumpur dijangka menyerahkan hasil siasatan dalam tempoh tiga bulan akan datang.

"Kita bersetuju melantik sebuah firma dari United Kingdom untuk mengendalikan kerja-kerja siasatan runtuhan bumbung stadium itu," katanya kepada pemberita di sini Sabtu.

Pada kejadian kira-kira pukul 9.30 pagi pada 2 Jun lepas, Stadium Sultan Mizan Zainal Abidin hampir musnah apabila kira-kira 60 peratus struktur bahagian bumbungnya runtuh.

Stadium berharga RM292 juta itu baru siap kira-kira setahun lepas dan dirasmikan oleh Yang di-Pertuan Agong Tuanku Mizan Zainal Abidin pada 10 Mei tahun lepas.

Mengulas lanjut, Ahmad berkata stadium itu ditutup sehingga kerja-kerja membaikpulih dilakukan sepenuhnya dan ia akan dibuka setelah mendapat jaminan keselamatan daripada kontraktor yang dilantik.

Katanya kerajaan Terengganu bersetuju melantik konsultan swasta itu kerana berpendapat perlunya dua pihak yang menjalankan siasatan tersebut, iaitu bagi kerajaan pusat dan negeri.

Beliau berkata segala perbelanjaan untuk khidmat perunding dari UK itu akan dibiayai sendiri oleh kerajaan negeri.

Berikutan kejadian itu, beliau berkata beberapa gelanggang yang ada di stadium itu seperti gelanggang skuasy dan bola sepak terpaksa ditutup dan kejohanan-kejohanan yang sepatutnya diadakan di situ, dipindahkan ke tempat lain.

-- BERNAMA