DAP Chief Minister irresponsibly manipulating facts to confuse the rakyat

Penang DAP Chief Minister Lim Guan Eng is confusing Penangistes with the annual budget allocations for Penang and in the same breadth, politicize the ‘division of annual economic’ by the Federal Government.

The Star has the story:

Published: Saturday December 26, 2009 MYT 5:39:00 PM

Penang got just 3% of what it had contributed: CM


GEORGE TOWN: Penang has only received RM794mil in federal grants in the last eight years even though it had contributed RM25,670mil in taxes and custom duties.

Chief Minister Lim Guan Eng said the numbers were revealed by Finance Minister Datuk Seri Najib Tun Razak in a written reply in the recently concluded Parliamentary sitting.

“Penang received only a shocking 3% of what it had contributed from 2001 to 2008.

“The state has been left out of the development mainstream too long and that has resulted in a slower rate in the building of public infrastructure compared to other states,” he said in a statement on Saturday.

He added that even Singapore’s Minister Mentor Lee Kuan Yew had made the observation that Penang was developing slower compared to other towns like Ipoh or Seremban.

“The Penang government will seek a fair deal from the Federal Government to allow all Penangites equal opportunity for success and prosperity regardless of race or background.

“Our efforts in ensuring that everyone has a share in the fruits of economic success has led Penang to become the first state to wipe out hardcore poverty with every family receiving at least RM500 a month,” he said.


The fact is that, the Federation of Malaysia is about the practice of a centralised government. It means that income of the nation is collected by the Federal Government. Income taxes, import taxes, excise duties and such, are all incomes as stipulated by the Federal Constitution. Income and taxes derived from land matters such as rates, assessment rates and conversion fees are incomes as per stipulated by state constitution.

So are the expenses, meant for the nation. Federal Government pays for security (Police, Military and Martime Enforcement), education (primary, secondary and tertiary), health, infrastructure development such roads, bridges, ports, airports, electrification and social development such as labour, human capital development, agriculture, entrepreneur development and welfare matters.

As so, state governments no longer needed to look into these investments and spending. They should just focus on state programs, especially programs under local authorities and state agencies. Local authorities themselves collected a huge amount of income annually.

For Lim Guan Eng to quote Lee Kuan Yew that Penang is left far behind in development compared to Seremban is utterly false. In a short instance, Penang enjoyed Federal Government capital and operational expenses of the Penang Bridge, Penang International Airport and USM, as compared to Seremban. 35 years ago, UDA invested on the Komtar in Penang, instead in Kuala Lumpur. Penang is one of the states which immensely benefitted from Federal Government contiunous trade and investment programs abroad, which include trade missions and dialogues. Malaysia Airlines, which is a Federal Government GLC even operate directly to major world cities from Penang International Airport.

In the terms of security, Penang is a state where an infantry division is based. There is also a TUDM air base in Butterworth, which is operational despite is strategic and operational utility is doubtful (considering TUDM developed more strategic bases in Kuantan, Pahang and Gong Kedak, Terengganu). The Penang CPO is the rank of Deputy Commissioner of Police. This post was elevated together with Johor and Perak, to join the ranks of the states such as Kuala Lumpur, Selangor, Sabah and Sarawak. This was even earlier as compared to Pahang and Kedah.

This statement by the DAP Secretary General depicts their Chinese Chauvinist attitude of continuously rubbishing the Malay controlled Federal Government, even by manipulating facts and circumstances. As a chief executive of one of the most productive economy in the Federation of Malaysia, it is irresponsibile for Lim to make this statement, especially in this tone. Penang is contributing to the national wealth undoubtably resulted from Federal Goverment’s continuous ‘investments’  and ‘promotions’ for the state.