Kota Kinabalu: Residents in Austral Park, Luyang, are concerned over a mixed-development project planned near the area.
One of the residents feared the welfare of the existing residents would be compromised if the project is continued.
“It will affect our environment, increase traffic volume, noise pollution and accessibility to our houses,” he said after a meeting between the residents and Luyang Assemblyman Phoon Jin Zhe, Thursday.
“Even now, the situation is already so bad due to the two schools.” More than 40 residents attended the meeting.
Phoong who is State Industrial Development and Entrepreneurship Minister said he would seek more information about the development project.
“I was told by the residents that when they bought the houses, the said area had been earmarked to be developed as a sports and recreational site.
“But now, it seems a condominium will be built there, but I have yet to receive full information on the project.
“As such, I need to gather information not only from the developer, but also City Hall and the Local Government and Housing Ministry. I will write to City Hall so that a dialogue can be held with the residents,” he said.
Meanwhile, Phoong said the Ministry is looking into the plea by the Sabah Scrap Metals Recycle Association (SSMRA) on revising or reducing the tax imposed on scrap export.
“We have to get comments from the Finance Ministry as it is related to tax,” he said.
“Of course, on the policy side, it is done by my Ministry…so, we (the Finance Ministry and the Industrial Development and Entrepreneurship Ministry) are working together and hopefully we can come up with something good.”
He said he had met SSMRA on the issue.
SSMRA President Edwin Chen said scrap dealers have been struggling to cope with the RM200 per tonne export tax enforced since February last year which left them no choice but to sell to a single local steel mill operator.
In the event of exporting scrap iron to peninsula, scrap dealers are required to pay the tax in advance before Customs declaration which not all scrap dealers are able to fulfil.
On average, he said, Sabah can produce up to 15,000 tonnes of scrap iron. It was said that the sole local steel mill can only absorb 6,000 to 8,000 tonnes a month, and scrap dealers have no choice but to export these materials.
If they were to export 3,500 tonnes of leftovers, then they are required to pay RM700,000 which is a huge sum.
Chen claimed the current tax also created an absolute advantage to the sole operating steel mill in Sabah in controlling the local market.
It could dictate the prices of scrap iron which are lower price than that of the peninsula.
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