LIVING THE DREAM - Iskandar Regional Development Authority
Transcription
LIVING THE DREAM - Iskandar Regional Development Authority
LIVING THE DREAM Here and Now #G-01, Block 8, Danga Bay, Jalan Skudai, 80200 Johor Bahru, Malaysia Tel : +607 233 3000 | Fax : +607 233 3001 IRDA Satellite Office Iskandar Regional Development Authority (IRDA) Suite 5-3 , 5th Floor, Block 3B Plaza Sentral, Jalan Stesen Sentral 5 50470 Kuala Lumpur, Malaysia Tel : +603 2260 6777 | Fax : +603 2260 7999 Email: [email protected] Iskandar Service Centre: 1 800 88 3010 www.iskandarmalaysia.com.my ISKANDAR REGIONAL DEVELOPMENT AUTHORITY ANNUAL REPORT 2011 Iskandar Regional Development Authority Annual Report 2011 LIVING THE DREAM Here and Now Many important milestones have been achieved in Iskandar Malaysia since its launch in 2006. The completion of major infrastructures, iconic developments and catalytic projects has not only sparked the imagination of a nation, but has created a vibrant and lively regional hub where people from all over the world – can come to invest, work, live and play. As such, this Annual Report aims to highlight the developments that have changed people’s lives for the better – through a series of testimonials that offers us a glimpse of how people in Iskandar Malaysia are living their dreams, here and now. 3 4 Iskandar Regional Development Authority Annual Report 2011 I’m so lucky to be living here in Iskandar Malaysia, because when I finish secondary school, I have so many choices of universities waiting for me in EduCity@Iskandar Malaysia, Nusajaya, Bandar Dato’ Onn and Bandar Seri Alam, City of Knowledge. Umi Syazana binti Salim A student from SMK Tasik Utara, Johor Bahru, on how she is looking forward to a world-class education in Iskandar Malaysia. 5 6 Iskandar Regional Development Authority Annual Report 2011 I love shopping ho opping in the e JJoho Johor or P Premium remium Outlets w with It’s ith my family. amily. It t’s convenient co onvenient and hass a all ll the branded randed g goods oo o ods tthat hat I’m m looking ffor. or. Truly uly amazing. amazing g. Thanendren a/l S.Kanagalingam A college student Bahru spend the ent in Johor Bah ahru ru o on n how w he h likes to sp spe end d th he weekend with his fam family. mil ily. y. 7 8 Iskandar Regional Development Authority Annual Report 2011 As a civil servant, I love working in the environment that Kota Iskandar provides. The surroundings are very conducive and its well connected to the city. Admi binti Tugiman A Johor Bahru resident who works in the Agriculture Department in Kota Iskandar. 9 10 Iskandar Regional Development Authority Annual Report 2011 Contents ISKANDAR MALAYSIA & ISKANDAR REGIONAL DEVELOPMENT AUTHORITY SOCIAL INCLUSIVENESS Social Development Iskandar Malaysia Economic Drivers for Growth Five Flagship Zones The Economic Clusters 15 - 16 17 18 19 - 20 Iskandar Malaysia 5 Year Progress Iskandar Malaysia 5 Year Anniversary Snapshot of Projects Iskandar Regional Development Authority IRDA’s Vision & Mission 2011 Calendar of Key Events 21 - 22 23 - 24 25 - 26 27 - 28 29 - 30 31 - 32 93 - 106 INVESTMENT & PROMOTION Economic & Business Iskandar Service Centre Strategic Communications 109 - 114 115 - 118 119 - 122 OPERATIONAL SUPPORT Human Capital Management Legal & Secretarial Services Corporate Performance Management Commissioner’s Office 125 - 126 127 128 - 129 130 CO-CHAIRMEN’s & CE’s STATEMENTS Co-Chairmen’s Statements Chief Executive’s Statement 35 - 38 39 - 40 MEMBERS OF THE AUTHORITY & COMMITTEES The Members of the Authority & Committees Profiles of the Members of the Authority Profiles of Advisory Council EXCO Members IRDA Committees 43 44 - 48 49 - 50 51 52 - 56 FINANCIAL REPORT Statement of Corporate Governance Internal Controls & Compliance Annual Financial Review Certificate of the Auditor General Statement by the Members of IRDA Statutory Declaration Financial Statements 133 134 - 135 136 - 137 138 139 140 141 - 170 IRDA’s ORGANISATION Senior Management Team Organisation Structure 59 - 65 66 INFRASTRUCTURE DEVELOPMENT Planning & Compliance Flagship Development 69 - 87 88 Information & Communications Technology (ICT) 89 - 90 DISCLAMER This report was prepared pursuant to Section 17 of IRDA Act 2007 and is an account of works and activities done by IRDA. Neither IRDA nor any of its employees make any warranties, expressed or implied, or assume any legal liability for the accuracy, completeness or usefulness of any information or process disclosed or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial trade name, trademark, manufacturer or otherwise does not necessarily constitute or imply its endorsement, recommendation or favouring by IRDA. The views and opinions expressed by authors herein do not necessarily state or reflect those of the Malaysian Government or the State Government of Johor or any agencies thereof. 11 12 Iskandar Regional Development Authority Annual Report 2011 Iskandar Malaysia & Iskandar Regional Development Authority (IRDA) Iskandar Malaysia Economic Drivers for Growth Five Flagship Zones The Economic Clusters Iskandar Malaysia 5 Year Progress Iskandar Malaysia 5 Year Anniversary Snapshot of Projects Iskandar Regional Development Authority IRDA’s Vision & Mission 2011 Calendar of Key Events 13 15 - 16 17 18 19 - 20 21 - 22 23 - 24 25 - 26 27 - 28 29 - 30 31 - 32 14 Iskandar Regional Development Authority Annual Report 2011 Iskandar Malaysia Located at the southernmost tip of Peninsular Malaysia, Iskandar Malaysia (within the state of Johor) is strategically positioned on the world’s busiest shipping routes, and its rich endowment of natural and human resources has both underpinned Johor’s past successes and underscores Johor’s future potential. Iskandar Malaysia is transforming the socioeconomic landscape of Peninsular Malaysia’s southern state of Johor. An initiative of the Malaysian Federal Government and the Johor State Government, the 2,217 square-kilometer main southern development corridor is three times the size of Singapore and stands on record as the single largest development project ever to be undertaken in the region. Malaysia has undergone tremendous economic transformation to be one of the fastest growing economies in the region. Iskandar Malaysia was conceived to secure the country’s competitiveness in a rapidly changing global economy. As envisaged by the master-planners, Iskandar Malaysia would be a project ahead of its time, where living, entertainment and business would seamlessly converge in a vibrant and sustainable metropolis of international standing. A great deal of careful Flagship A Johor Bahru City Centre 15 planning has also gone into ensuring that the development would be sustainable, taking into consideration the direct and indirect needs of its respective stake-holders. As part of the Indonesia-Malaysia-Singapore Growth Triangle, Iskandar Malaysia’s strategic location and proximity to some of the world’s most dynamic economies is a key differentiating factor for the development. Located at the cross-roads of the important East-West trade routes, it is mid-way between the region’s two economic power-houses, China and Japan. Easily accessed by air, land and sea, the development also enjoys a standard of living comparable to some of the region’s more developed economies, but at a much lower cost. Other advantages include a multi-lingual and educated work-force and a vast land-bank for any future development. Kuala Lumpur Johor It is also positioned as an international metropolis to decrease trade barriers and increase human mobility. Iskandar Malaysia has also been identified as one of the projects that can obtain financing under a Facilitation Fund provided under the Tenth Malaysia Plan and this is manifestation of clear political will to make the development a Malaysian success story. Flagship B Kota Iskandar, Nusajaya Flagship C Port of Tanjung Pelepas Flagship D Johor Port, Pasir Gudang Flagship E Senai International Airport 16 Iskandar Regional Development Authority Annual Report 2011 Five Flagship Zones Economic Drivers for Growth N W E S Since its official launch in November 2006, the vision of Iskandar Malaysia has been taken off the drawing board and is rapidly being transformed into a next generation metropolis. Iskandar Malaysia has become a powerful brand name that resonates across investment communities all over the world. With Phase 1 (2006-2010) just completed, a critical mass has been established with the timely delivery of major infrastructure and several iconic investment projects. Iskandar Malaysia has now progressed into Phase 2 of the Comprehensive Development Plan. FLAGSHIP A FLAGSHIP B FLAGSHIP C (JOHOR BAHRU CITY CENTRE) (NUSAJAYA) (WESTERN GATE DEVELOPMENT) • Central Business District • Danga Bay Integrated Waterfront City • Upgrading of Central Business District • Tebrau-Plentong Mixed Development • Customs, Immigration and Quarantine Complex (CIQ) • Johor - Singapore Causeway • Lido Boulevard • Conservation and Heritage • • • • • • Kota Iskandar Puteri Harbour Medini Legoland EduCity Southern Industrial & Logistics Clusters (SiLC) • Afiat Health Park • International Destination Resort • Housing and Residential Projects • Port of Tanjung Pelepas (PTP) • Tanjung Bin Power Plant • Malaysia - Singapore Second Link • RAMSAR World Heritage • Tanjung Piai – Southernmost Tip of Mainland Asia • Free Trade Zone FLAGSHIP D FLAGSHIP E (EASTERN GATE DEVELOPMENT) (SENAI-SKUDAI) • Tanjung Langsat Industrial Complex • Tanjung Langsat Port • Johor Port • Pasir Gudang Industrial Park • City of Knowledge - Seri Alam 17 • • • • Senai Airport City Senai Cargo Hub Senai High-Tech Park Sedenak Industrial Park • MSC Cyberport City • Johor Technology Park • Johor Premium Outlets 18 Iskandar Regional Development Authority Annual Report 2011 The Economic Clusters THE ASPIRATIONS 2005 2025 (projected) Population Size (million) 1.4 3.0 GDP (PPP) in USD (billion) 20.0 93.3 14,790 31,100 0.61 1.27 GDP per capita (PPP) in USD Employment (million) Source: Comprehensive Development Plan 2006–2025 and updated as per IRDA’s latest projections To achieve these aspirations, Iskandar Malaysia would need to generate sufficient momentum by sustaining a GDP growth of 8.0% annually up to the year 2025. A total investment of RM382.0 billion (USD115.7 billion) would be required over the 20-year period. Year CATALYSTS FOR GROWTH Iskandar Malaysia had been identified as one of the key catalysts and highimpact developments under the Ninth Malaysia Plan 2006-2010. The Comprehensive Development Plan (CDP), launched by the Malaysian Prime Minister on 4 November 2006, provides a framework for the comprehensive development of Iskandar Malaysia in a holistic and sustainable fashion, placing emphasis on creating a healthy investment climate that is attractive to local and foreign investors. Under a cluster development approach adopted by the CDP, nine major economic clusters have been identified to spearhead and fast-track the development of the corridor. 19 Growth will be led by the services and manufacturing sectors: Total Investment Target 2006 - 2010 RM 47.0 billion 2011 - 2015 RM 73.0 billion 2016 - 2020 RM 107.0 billion 2021 - 2025 RM 155.0 billion Source: Comprehensive Development Plan 2006–2025 SERVICES • • • • • • Healthcare Services Education Services Creative Industries Financial Services Tourism Logistics The target for Phase 1 has already been achieved, with total aggregate, domestic and foreign investments amounting to RM69.48 billion, which surpasses by 148%. The Comprehensive Development Plan 2006-2025 outlines in detail the vision and development blueprint for Iskandar Malaysia and is available on www.iskandarmalaysia.com.my. MANUFACTURING • Electrical & Electronics • Petrochemical & Oleochemical • Food & Agro Processing * Exchange rate of USD1: RM3.42 has been used throughout the report (Source: Bank Negara Malaysia’s published rate on 31 December 2009) 20 Iskandar Regional Development Authority Annual Report 2011 Iskandar Malaysia 5-Year Progress Iskandar Regional Development Authority (IRDA) is established via an Act of Parliament, IRDA ACT 2007 IRDA holds inaugural meeting, co-chaired by the Prime Minister of Malaysia and the Menteri Besar of Johor The Malaysian Government announces a range of financial incentives, including tax exemptions, for companies that invest in specific sectors in Iskandar Malaysia Phase 1 of SiLC in Nusajaya is launched New Iskandar Malaysia brand is launched by the Prime Minister of Malaysia New road infrastructure projects for Iskandar Malaysia worth a total of RM3 billion is announced by the Menteri Besar of Johor An allocation of RM200 million to implement public housing in Iskandar Malaysia is announced by the Prime Minister of Malaysia 6 out of 32 planned blueprints have been completed Kota Iskandar, the new Johor State administrative centre, is officially opened Ulu Tiram Interchange Agreement to develop Pinewood Iskandar Malaysia Studios is signed Agreement for Marlborough College Malaysia is signed Agreement to develop Puteri Harbour Family Indoor Theme park is signed Yahya Awal Interchange EduCity stadium and sports complex construction begins Agreement for Netherlands Maritime Institute of Technology is signed Medini Iskandar Malaysia is launched 2007 2009 2008 Agreement to develop Johor Premium Outlets signed Iskandar Investment Berhad, the catalytic developer for Iskandar Malaysia, is incorporated Agreement to develop Newcastle University campus is signed Comprehensive Development Plan for Iskandar Malaysia is released Iskandar Malaysia (then known as the South Johor Economic Region) is officially launched by His Royal Highness the Sultan of Johor Agreement to develop LEGOLAND Malaysia is signed Construction of Coastal Highway commences Work on Perumahan Rakyat Iskandar Malaysia project begins Iskandar Malaysia records RM16 billion in committed investments; cumulatively, more than RM41 billion in investments have been committed since its launch 21 Bas Iskandar Malaysia service is launched 16 out of 32 planned blueprints have been completed Iskandar Malaysia records RM13.81 billion in committed investments; cumulatively, more than RM55 billion in investments have been committed since its launch 21 out of 32 planned blueprints have been completed Newcastle University Medicine Malaysia (NUMed) is launched Johor Premium Outlets is launched Agreement for Gleaneagles Medini Hospital is signed Rumah Iskandar Malaysia is launched Columbia Asia Hospital commences operations 2006 Agreement for University of Southampton campus is signed 2010 Agreement for Raffles University Iskandar is signed 2011 12 Community Police Posts established 11 drainage projects and 5 rivercleaning projects completed Khazanah Nasional and Temasek Holdings announce a joint-venture to develop an iconic wellness township project Iskandar Malaysia records RM13.92 billion in committed investments; cumulatively, more than RM69 billion in investments have been committed since its launch Iskandar Malaysia records RM77.82billion in committed investments, as of September 2011 Skudai – Senai Highway Senai-Desaru Highway Jalan Kolam Ayer Upgrading Jalan Abu Bakar – Jalan Skudai 22 Iskandar Regional Development Authority Annual Report 2011 Iskandar Malaysia 5-Year Anniversary Launching the Iskandar Malaysia 5-Year Progress Report in commemoration with Iskandar Malaysia’s 5-Year Anniversary Celebration. Prime Minister’s opening speech at the Rumah Iskandar Malaysia Launching Ceremony. Left: Prime Minister’s openng speech at Puteri Harbour. Left: Prime Minister receiving a memento at the launch of Rumah Iskandar Malaysia. Right: Prime Minister receiving a Memento of Iskandar Malaysia. Left: Launch of Police Auxiliary Unit Right: Launcing of Nusajaya Flagship B 23 Right: Prime Minister planting a tree to commemorate the the launch of Rumah Iskandar Malaysia. Left: Prime Minister at the Rumah Iskandar event. Right: Prime Minister presents keys to new Rumah Iskandar homeowners. 24 Iskandar Regional Development Authority Annual Report 2011 Snapshot of Projects JOHOR SENAI - SKUDAI JOHOR BAHRU CITY CENTRE EASTERN GATE DEVELOPMENT NUSAJAYA WESTERN GATE DEVELOPMENT N W 25 E 26 Iskandar Regional Development Authority Annual Report 2011 Iskandar Regional Development Authority Following the official launching of Iskandar Malaysia in November 2006, IRDA was set up on February 2007 by a Federal Act of Parliament known as the Iskandar Regional Development Authority Act 2007. As a Federal Government statutory body, IRDA plays a pivotal role in the development of Iskandar Malaysia. The IRDA Act 2007 spells out its functions and responsibilities in relation to establishing national policies, directions and strategies for the development of the corridor. The core functions and primary roles of IRDA can be summarised as follows: PLANNING • Integrating and recommending planning policies of the key partners, Federal State government and other agencies to advance and realise the vision of Iskandar Malaysia • Identifying and developing strategies to enhance infrastructure, skills, science and technology research for the development of Iskandar Malaysia PROMOTION • Serving as the brand guardian of Iskandar Malaysia as an investment hub • Providing Consultancy and information on investment support in Iskandar Malaysia • Wide promotion of Iskandar Malaysia is to the general public and potential investors in both local as well as international markets FACILITATION • Monitoring and aligning sector developments and required enablers in line with the Iskandar Malaysia Vision • Acting as the principal coordinating agent on behalf of relevant Government agencies for the processing and expediting of requisite approvals for investors • Assist existing investors in the resolution of issues affecting their business environment. 27 28 Iskandar Regional Development Authority Annual Report 2011 IRDA’s Vision & Mission Vision To create Iskandar Malaysia as the first choice to invest, work, live & play Mission Vision Mission & Shared Values Iskandar Malaysia is set to become one of the most developed economic regions, where living, entertainment, environment and business seamlessly converge within a bustling and vibrant metropolis. To drive economic growth of Iskandar Malaysia into a strong and sustainable metropolis of international standing Shared Values • INTERNATIONAL STANDING We must benchmark against other sustainable world class organisations interms of the Iskandar Malaysia’s vision, our mindset, displaying the right behaviours and deploying international standard best practices • INTEGRITY We uphold integrity by doing the right thing ethically and professionally, regardless of job security or popularity and without fear of scrutiny • ENVISION We have the foresight to drive Iskandar Malaysia’s vision through exemplary leadership, innovativeness and pro – activeness whilst being relevant and sensitive towards our environment and stakeholders • ENABLE We strive for strong collaborations with partners, stakeholders and especially investors to facilitate achievement of desired results and outcome • ENGAGE We are fully committed in engaging with stakeholders with humility, assertiveness and intelligence to achieve effective and continuous communication at all times 29 30 Iskandar Regional Development Authority Annual Report 2011 2011 Calendar of Key Events January - May Iskandar Malaysia Small Medium Enterprise (IM SME) Outreach Awareness/Dialogue Programs BN Youth Job Fair 25 - 27 March 2011 PWTC, Kuala Lumpur Major Traffic Division at TAR Interchange Trade and Investment Mission to Europe 15 June 2011 TAR Interchange September 2011 5th Investor Dialogue GES 2011 27 - 28 June 2011 The Zone Hotel 17 - 19 October 2011 Resorts World Singapore Symposium on Low Carbon Asia Research Project & Launching of Low Carbon Society Study for Iskandar Malaysia Opening of Interchanges June - December 13 January 2011 Persada Johor Special Committee - Iskandar Malaysia - Coastal Highway – Last Pour Concrete Brunei 7 April 2011 Coastal Highway 31 January 2011 Visit By UK Trade & Commission Of British Commission 9 & 10 February 2011 IRDA Office Invest Malaysia 2011, Kuala Lumpur 12 April 2011 Shangri-La Kuala Lumpur 29 October 2011 Kulai Interchange, Coastal Highway Interchange & Abu Bakar Interchange 4 July 2011 Puteri Pacific Hotel Launching of CPP Flat Sri Stulang 5th Iskandar Malaysia Open Day 19th February 2011 Flat Sri Stulang 22 - 24 April 2011 City Square Johor Bahru Launching of Bextra Trade and Investment Mission to South Korea Trade and Investment Mission to Japan Iskandar Johor Open 2011 April 2011 July 2011 17 - 20 November 2011 Horizon Hills Golf & Country Club Visit By Ambassador of Poland Launching of 9 Sector Booklets JB Raya Open House Iskandar Malaysia 5th Anniversary 10 March 2011 IRDA Office 5 May 2011 Putrajaya 8 September 2011 Persada Convention Centre Johor Ulu Tiram Flyover Opening The Wealth of Iskandar KL Raya Open House Malaysia (TWOIM) 18 March 2011 Ulu Tiram 24 - 26 May 2011 Persada Johor 19 September 2011 Sime Darby Convention Centre 1 March 2011 31 RAMP OPENING 30 July 2011 Iskandar Malaysia 5th Year Appreciation & Recognition 14 November 2011 Thistle Hotel 11 December 2011, Puteri Harbour PM Visit - Launching of Rumah Iskandar Malaysia 11 December 2011 Tapak Perumahan Iskandar Malaysia (PRISMA) 32 Iskandar Regional Development Authority Annual Report 2011 Co-Chairmen’s & Chief Executive’s Statements Co-Chairmen’s Statements Chief Executive’s Statement 33 35 - 38 39 - 40 34 Iskandar Regional Development Authority Annual Report 2011 Co-Chairmen’s Statements Dato’ Sri Mohd Najib Tun Abdul Razak Co-Chairman, IRDA, Prime Minister Of Malaysia Three highpotential economic sectors have been earmarked to fasttrack growth and improve the quality of life in Iskandar Malaysia - the Tourism, Education and Oil & Gas sectors will bring in RM139.3 billion in investment by 2020 as well as generating 68,000 jobs in Iskandar Malaysia The New Straits Times This is a time of great opportunity and progress for Iskandar Malaysia. Year 2011 marks its 5th year in its quest for the Malaysian southern corridor development and our vision for the future has never been brighter. This year, Iskandar Regional Development Authority (IRDA) successfully concluded Phase One – the first 5 years of the ISKANDAR MALAYSIA Comprehensive Development Plan – and celebrated noteworthy advances in infrastructure deliveries, progress in new and realized investments, reaching out to community for social wealth sharing through awareness efforts, education and jobs creation and opportunities. Iskandar Malaysia needs to further harness its strength and manage current challenges to embark on opportunities that will have implications on Phase 2 of the Iskandar Malaysia mission for years to come. Launched five years ago, Iskandar Malaysia was, by any standard, one of the critical developments to achieve the nation’s vision of a developed country by 2020, raising the national income level, providing investment from manufacturing to services and, most importantly, rejuvenating Johor Bahru city whilst focusing on Safety and Security. Its goal was to transform the region to lead in the next century to remain relevant and competitive. Most significantly, the Iskandar Malaysia development is centred on multi collaborative efforts of federal, state and local authorities; business catalyst partners and the community buy-in of the economic growth which addresses some of the community’s most complex problems. Iskandar Regional Development Authority (IRDA)’s dedicated employees, collaborative business, agency partnerships and other key stakeholders clearly share the belief in Iskandar Malaysia’s role and importance. Despite the global economic crisis of European financial markets and investors’ uncertainties, we congratulate the achievement of the cumulative committed investment of RM84.78 billion with a 45% realised investment. Johor Premium Outlets, the nation’s first ETP was successfully launched on 11 December 2011, on schedule and to expectations. We expect the actualisation of the 2012/2013 Tipping point projects to record further success and make a significant contribution to the local and national economy. A landmark achievement is the ability to capitalise on the international education sector with the success of EduCity@Iskandar Malaysia, Nusajaya and Bandar Seri Alam, City of Knowledge. The ability to attract international universities and faculties to Iskandar Malaysia is essential for developing our human capital. I am also particularly pleased with IRDA’s work on human capital readiness, which will ensure a ready supply of talent and workers to meet the demands of implementation plans. The on-going engagement with the community, the provision of entrepreneurial support and training for up skilling for the new market environment is to be applauded. As extraordinary as that, the real significance of the early success of Iskandar Malaysia is to have enabled the region, state and the Rakyat to participate in the work of this large scale development in this century. Great regions are a long-term commitment and investment, we need to continue to take risks; enhance programs to innovate, pioneer new ideas and technologies with the Rakyat in mind. Congratulations to IRDA and all the partners of Iskandar Malaysia. Iskandar Malaysia needs to further harness its strength and manage current challenges to embark on opportunities that will have implications on Phase 2 of the Iskandar Malaysia mission for years to come. Dato’ Sri Mohd Najib Tun Abdul Razak Co-Chairman, IRDA, Prime Minister Of Malaysia 35 36 Iskandar Regional Development Authority Annual Report 2011 Co-Chairmen’s Statements Dato’ Haji Abdul Ghani bin Othman Co-Chairman, IRDA, Chief Minister of Johor With major improvements in the economic and infrastructure developments, the catalytic Economic Transformation Programme in Iskandar Malaysia would accelerate positive social developments in making Malaysia a modern and developed nation by 2020 Berita Harian Iskandar Malaysia continues to make steady progress, with a number of key deliverables taking shape and delivered as scheduled, giving a good indication that things will continue to be on track for the next phase of development in the years to come. The most visible and tangible milestone was the completion of major road exchanges and expansion of the region’s transportation infrastructure, which has proven to be immensely beneficial to the public and greatly improved accessibility to many parts of Iskandar Malaysia. Without doubt, the massive infrastructure development and associated economic activities spurred by Iskandar Malaysia over the past 5 years are not only changing the landscape of southern Johor, but also a clear affirmation of our commitment to success. The year 2011 also saw the deployment of a state-led reach out programme, Karnival Kerjaya Perniagaan dan Kemahiran (KEPAK) that began its statewide tour in the second quarter of the year, to ensure that public is informed and has better access to the jobs and business opportunities spurred by development and economic growth. Social inclusion programme continues to be a priority with deployment of projects such as public housing, squatters’ relocation, and public transit service to enhance livability within Iskandar Malaysia without marginalizing any segment of the population. As our objective is to create a balanced environment that puts equal emphasis on economic growth and social expansion, it is therefore imperative that there is continued emphasis to embed enhanced public amenities and services in development programmes within Iskandar Malaysia that will benefit everyone. The need to create a competitive and resilient economy that enables sustainable growth in the face of economic turbulence and increased competition will be a major challenge that will require not only hard work and perseverance, but also the ability to expand our business linkages. Therefore, while we continue to seek investments that will drive economic growth, it is also important for Iskandar Malaysia to foster strong and mutually beneficial relationships with ASEAN countries, as a strong regional presence and extensive connectivity is crucial for sustained economic growth and a major attraction for future investments. As Malaysia strives to be a high-income nation, the State Government of Johor is confident that Iskandar Malaysia will be pivotal in enabling Johor to contribute towards this economic objective. As Malaysia strives to be high-income nation, the State Government of Johor is confident that Iskandar Malaysia will be pivotal in enabling Johor to contribute towards this economic objective. Dato’ Haji Abdul Ghani bin Othman Co-Chairman, IRDA, Chief Co-Chairman, IRDA, Chief Minister of Johor 37 38 Iskandar Regional Development Authority Annual Report 2011 Chief Executive’s Statement Datuk Ismail bin Ibrahim Chief Executive, IRDA IRDA would attract investments for all flagship zones, where each of them has its own strength and potentials Borneo Post Sarawak In 2011, Iskandar Regional Development Authority (IRDA) aggressively pushed forward to ensure that the first five-year milestones of Iskandar Malaysia were met and achieved. There were also significant entries of investments and major catalytic project launches. The first ETP project, Johor Premium Outlets (Flagship E), was opened on schedule on 11 December 2011 by the Prime Minister. More than 40% of the RM84 billion committed investments were realised with the top 3 investors from Singapore, Spain and Japan. Nusajaya (Flagship B) is also aggressively completing the iconic projects of Puteri Harbour Indoor Theme Park, the Traders hotel and, Legoland Theme Park which is scheduled to open in 2012. The development plans are moving forward for the transformation of Johor Bahru city as the centre of Arts, Culture. Iskandar Malaysia was also pleased to welcome Newcastle University (NuMed) into Educity@Iskandar Malaysia, Nusajaya. The opening of NuMed was officiated by Prince Andrew, Duke of York. Great strides were made in 2011 with the completion of major roads and the opening of interchanges at Jalan Tun Razak, Horizon Hills and Jalan Abu Bakar. These infrastructure works have improved traffic flow and connectivity as well as enhanced business opportunities in the surrounding communities. IRDA would like to thank the Prime Minister and Chief Minister of Johor for supporting our key implementations and for their presence at the inaugural launching of Rumah Iskandar Malaysia. The handing over of keys to lucky tenants on 11 December 2011 was a significant and memorable moment for all of us at IRDA and for the people of Iskandar Malaysia. To achieve our vision of “A Sustainable Metropolis of International Standing” and to meet the global challenges of tomorrow, 39 IRDA participated in the Corridor and City Lab driven by PEMANDU and organised an internal IRDA-led Lab in late 2011. Both these labs were aimed at providing the details and focus plans that will drive the 2nd Phase of the Comprehensive Development Programme. Interestingly, during the last quarter of 2011, IRDA also conducted a research to measure the brand awareness of Iskandar Malaysia; the result showed a 58% awareness (2009 - 43% awareness). This brand recognition has shown that there has been a great stride made towards reaching out to target communities through engagement and communication on the Iskandar Malaysia economic region. We believe in making Iskandar Malaysia a model for Smart City developments in Malaysia. We must continue to move forward, to innovate and to pioneer new territories of liveability and investor friendliness. IRDA was founded on the idea that the Iskandar Malaysia development could and should benefit the Rakyat at all times. We will continue to seek opportunities where we are able to make contributions that will support economic growth and advance business discoveries. When Prime Minister Dato’ Seri Mohd Najib exhorted the battle cry of ‘People First & Performance Now’, IRDA took leadership to mobilise and educate its stakeholders so that they could participate and become of greater service to the public. The events of this past year has exemplified that and we believe that it is just the beginning. As we go forward, IRDA will continue to explore new opportunities to live up to that charge and serve the Rakyat of Iskandar Malaysia. We thank all our partners, federal and state agencies, vendors, staff and the people of Iskandar Malaysia for their continuous belief and trust. IRDA was founded on the idea that the Iskandar Malaysia development could and should benefit the Rakyat at all times. We will continue to seek opportunities where we are able to make contributions that will support economic growth and advance business discoveries. Datuk Ismail bin Ibrahim Chief Executive, IRDA 40 Iskandar Regional Development Authority Annual Report 2011 The Members of The Authority & Committees The Members of the Authority & Committees Profiles of the Members of the Authority Profiles of Advisory Council EXCO Members IRDA Committees 41 43 44 - 48 49 - 50 51 52 - 56 42 Iskandar Regional Development Authority Annual Report 2011 The Members of the Authority & Committees The Iskandar Regional Development Authority was established by an Act of Parliament, Iskandar Regional Development Authority Act, 2007. Section 4 of the Act states that the objective of IRDA is to develop the Iskandar Development Region into a Strong and Sustainable Metropolis of International Standing. As stipulated by Part II of the IRDA Act 2007, IRDA is governed by a Board officially known as the Authority. The primary responsibility of MEMBERS OF THE AUTHORITY The Authority is assisted by an Executive Committee (EXCO) which consists of six (6) Members appointed by the Authority. The day-to-day administration of IRDA is entrusted to the Chief Executive. The Authority met twice, in April and November in the year under review, 2010. There are eight members in total. The Co-Chairmen, Members and Secretary of the Authority are: THE CO-CHAIRMEN • Dato’ Sri Mohd Najib Tun Abdul Razak Prime Minister of Malaysia • Dato’ Haji Abdul Ghani bin Othman Chief Minister of the State of Johor, Malaysia TWO REPRESENTATIVES FROM FEDERAL GOVERNMENT • Tan Sri Dr. Wan Abdul Aziz bin Wan Abdullah Secretary-General, Treasury, Ministry of Finance • Datuk Noriyah binti Ahmad Director-General, Economic Planning Unit, Prime Minister’s Department • Dato’ Sri Dr. Ali bin Hamsa Director General, Public Private Partnership Unit (3PU) (Rep. to Datuk Noriyah binti Ahmad) 43 the Authority includes but is not limited to the setting of strategies, directions and policies relating to the development within Iskandar Malaysia and other functions in connection therewith. Profiles of the Members of the Authority Dato’ Sri Mohd Najib Tun Abdul Razak is the Prime Minister of Malaysia and Minister of Finance. Prior to the premiership, Dato’ Sri Mohd Najib Tun Abdul Razak was the Deputy Prime Minister of Malaysia since 2004. He was appointed twice as the Minister of Defence from 1990 to 1995 and from 1999 to 2008. The Authority is Co-chaired by the Prime Minister of Malaysia and the Chief Minister of Johor. The other six members of the authority comprise two representatives each from the federal government, state government and private sector. Other Cabinet ministerial posts held were Minister of Education (1995–1999), Minister of Youth and Sports (1987–1990) and Minister of Culture, Youth and Sports (1986–1987). He also served as Chief Minister of Pahang from 1982 to 1986. TWO REPRESENTATIVES FROM JOHOR STATE GOVERNMENT Prior to that, he was the Deputy Minister of Finance (1981–1982), Deputy Minister of Education (1980–1981) and Deputy Minister of Energy, Telecommunications and Posts (1978–1980). Dato’ Sri Mohd Najib pursued his tertiary education at the University of Nottingham, UK where he graduated in 1974 in industrial economics. Dato’ Sri Mohd Najib Tun Abdul Razak • Dato’ Haji Abd. Latiff bin Yusof State Secretary, State Government, Johor • Dato’ Hamsan bin Saringat Director, State Economic Planning Unit (UPEN), Johor TWO PROFESSIONAL REPRESENTATIVES • Tan Sri Dato’ Azman bin Haji Mokhtar Managing Director, Khazanah Nasional Berhad • Tan Sri Dato’ Tan Kay Hock Chairman and Chief Executive, Johan Holdings Berhad SECRETARY • Ismail bin Ibrahim Chief Executive, IRDA Dato’ Haji Abdul Ghani is the Chief Minister of the State of Johor, a position that he has held since 1995. Dato’ Haji Abdul Ghani was previously the Minister of Youth and Sports at the Federal Government-level (1993–1995). Prior to that, he was the Deputy Minister of Finance (1990–1993) and Deputy Minister of Energy, Telecommunications and Posts (1987–1990). Dato’ Haji Abdul Ghani bin Othman Dato’ Haji Abdul Ghani was a Colombo Plan scholar and graduated with an Honours Degree in Economics from La Trobe University, Melbourne, Australia and a Master’s Degree in Political Economy from the University of Queensland, Brisbane, Australia. He was conferred an Honorary Doctorate of Laws by La Trobe University in 1998. 44 Iskandar Regional Development Authority Annual Report 2011 Profiles of the Members of the Authority Tan Sri Dr. Wan Abdul Aziz bin Wan Abdullah Tan Sri Dr. Wan Abdul Aziz is the Secretary-General, Treasury, Ministry of Finance, a post he assumed in February, 2007. He served various divisions in the Prime Minister’s Department and Ministry of Finance since 1975. He was appointed the alternate Executive Director, World Bank Group, Washington DC, USA (on secondment from the Government of Malaysia) representing Brunei Darussalam, Fiji, Indonesia, Laos PDR, Malaysia, Nepal, Singapore, Thailand, Tonga and Vietnam. He is currently on the Board of various organisations such as Federal Land Development Authority (FELDA), the Retirement Trust Fund (KWSP), MISC Berhad, Inland Revenue Board (IRB), Malaysia Airlines System Berhad (MAS) and Petroliam Nasional Berhad (PETRONAS), to name a few. Tan Sri Dr. Wan Abdul Aziz graduated with a Bachelor of Economics (Hons) in Applied Economics from the University of Malaya. He pursued his Master’s in Philosophy (Development Studies) at the University of Sussex, UK and later his Ph.D (Business Economics) from the University of Leeds, UK. Datuk Noriyah binti Ahmad (Retired on 17 October 2011) Datuk Noriyah is the Director-General of the Economic Planning Unit (EPU) of the Prime Minister’s Department. Prior to her appointment in June 2009, Datuk Noriyah held the positions of Deputy Director-General (2005–2009) and Senior Director (2003–2005) of the Economic Planning Unit. Before that, she served in the Ministry of Energy, Communications and Multimedia from 1998 to 2003, and in the Ministry of Domestic Trade and Consumer Affairs from 1993 to 1998. Datuk Noriyah holds a Degree in Applied Economics (Hons) from the University of Malaya and a Degree in Development Economics from the University of Kent, UK. Dato’ Sri Dr. Ali bin Hamsa Dato’ Sri Dr. Ali is the Director General of the newly established Public Private Partnership Unit (3PU) in the Prime Minister’s Department. At 3PU, Dato’ Sri Dr. Ali is responsible for Privatisation and Private Finance Initiative (PFI) projects, Public Private Partnerships, facilitation funds, regional development through Corridor initiatives and energy projects implemented by Independent Power Producers (IPP). Prior to that, he served in various positions in a number of public sector agencies including the Ministry of International Trade and Industry, Ministry of Transport, INTAN and the Economic Planning Unit from 1981 to April 2009. Dato’ Sri Dr. Ali is also actively involved in the development of various statutory bodies in his capacity as a board member. These include the Penang Port Commission, Energy Commission and Johor Corporation (JCorp). Dato’ Sri Dr. Ali graduated from the University of Malaya in 1979 with a Bachelor of Arts (Hons) degree. In 1986, he obtained a Master in Science (Economics) from Oklahoma State University, USA, and a Ph.D. in Environmental Economics in 1997 from the same University. 45 Dato’ Haji Abdul Latiff has been the State Secretary of Johor since October, 2006. Prior to his appointment as State Secretary, he was the Mayor of Johor Bahru. He also held various positions including District Officer for the districts of Mersing, Kluang and Muar, respectively. He also served as Secretary of the Johor City Council. Dato’ Haji Abdul Latiff bin Yusof (Retired on 13 March 2011) In the year 2000, Dato’ Haji Abdul Latiff was appointed Chairman (Yang Dipertua) of Batu Pahat Town Council. He has previously served as Private Secretary to the Chief Minister of Johor. Dato’ Haji Abdul Latiff holds a Bachelor of Arts Degree from the University of Malaya. Dato’ Hamsan has been the Director of Economic Planning Unit, State of Johor since 2006. Prior to this appointment, he was the District Officer for Pontian (2005–2006) and Batu Pahat (February–December 2006). Dato’ Hamsan bin Saringat Dato’ Hamsan also served as the Deputy Financial Officer of Johor (January–December 2004). Dato’ Hamsan began his service in the Johor Civil Service in 1976 and has been serving the Johor State Government for 30 years. Dato’ Hamsan holds a Bachelor of Economics Degree (Hons) from the University of Malaya. Tan Sri Dato’ Azman is the Managing Director of Khazanah Nasional Berhad (Khazanah), the strategic investment arm of the Government of Malaysia. Prior to his appointment in June, 2004, he was Managing Director and co-founder of BinaFikir Sdn Bhd, a financial consultancy; Director, Head of Country Research, Salomon Smith Barney Malaysia and Director, Head of Research, Union Bank of Switzerland, Malaysia. Before that, he held various positions in Tenaga Nasional Berhad (TNB, formerly known as National Electricity Board, LLN). Tan Sri Dato’ Azman bin Haji Mokhtar Tan Sri Dato’ Azman is the Chairman of Iskandar Investment Berhad, Axiata Group Berhad (formerly known as TM International Berhad), Valuecap Sdn Bhd and holds various Board memberships, including UEM Berhad. He serves on various public service bodies including the Advisory Board for Cluster of Excellence Schools, the Board of Governors of the Malay College, Kuala Kangsar, the Malaysian Directors Academy, Yayasan Khazanah and the Executive Committee of Malaysia International Islamic Financial Centre (MIFC). He is also a member of the Kuala Lumpur Business Club, the Asia Business Council and the INSEAD East Asia Council. He obtained his Master’s of Philosophy in Development Studies from Darwin College, Cambridge University, UK. He is a Fellow of the Association of Chartered Certified Accountants (ACCA) and a Chartered Financial Analyst (CFA). He also holds a post-graduate Diploma in Islamic Studies from the International Islamic University, Malaysia. 46 Iskandar Regional Development Authority Annual Report 2011 Profiles of the Members of the Authority Tan Sri Dato’ Tan Kay Hock Tan Sri Dato’ Tan Kay Hock is a lawyer by training, having been called to the Bar by Lincoln’s Inn, UK in 1971. In 1972, he was admitted as an advocate and solicitor to the Supreme Court of Malaysia. He is the Chairman and Chief Executive of Johan Holdings Berhad and a Non-Executive Chairman of George Kent (Malaysia) Berhad, both listed on Malaysian Bourse (Bursa Malaysia) as well as a Non-Executive Chairman of Jacks International Ltd, a public company listed on the Singapore Exchange Trading Limited. He also sits on the Malaysian-Philippines Business Council and the Steering Committee of ASEAN-Japan Business Meeting. Datuk Ismail bin Ibrahim joined IRDA on 1 January 2010 as Chief Executive. Born in Muar, he received his early education at the Malay College, Kuala Kangsar and later at the Heriot-Watt University in Edinburgh, Scotland majoring in town planning. In 1990, he was awarded the British Council Fellowship to specialise in Planning Law at Newcastle University in England. Datuk Ismail bin Ibrahim He joined the Malaysian Civil Service in 1983 and is registered with the Board of Town Planners. In February 2006, he was seconded to Khazanah Nasional Berhad as the Senior Vice President of Special Projects and the following year, he was seconded to Iskandar Regional Development Authority (IRDA) as the Senior Vice President. In addition to that, he is a trustee of the Malaysian Humanitarian Foundation. Dato’ Haji Obet bin Tawil Appointment Date: 14th March 2011 Dato’ Haji Obet was appointed as the State Secretary of Johor on March 2011. Prior to that, he was the Director of Johor Land and Mines Department. He has served the public sector since 1979, in various government agencies, including Land Office of Mersing, Kluang and Muar. He is also the Director of Johor Corporation. Dato’ Haji Obet Tawil holds a Bachelor of Commerce (Accountancy) from the Universiti Kebangsaan Malaysia. Datuk Dr. Rahamat Bivi binti Yusoff Appointment Date: 18th October 2011 Datuk Dr. Rahamat Bivi is the Director-General of the Economic Planning Unit (EPU). He was appointed as the first Federal Commissioner for the Authority in October that same year and member of the Approval and Implementation Committee (AIC). He is a Board Member of the Board of Town Planners Malaysia, Vice President of the Malaysian Institute of Planners (MIP), Board Member to the Badan Warisan Malaysia and a member of Harvard Business School alumni. He is also a member of the Malaysia Singapore Business Council, an Exco member of the National Biotechnology Implementation Council, an Advisory Board Member of the Iskandar Malaysia UTM Research Centre(IMREC) and Committee member of the Johor State Town Planning Department. Prior to her appointment in October 2011, she was the Deputy Secretary General (Systems & Control) in the Ministry of Finance. She has served the public service for almost 30 years. She also sits on the board of the Malaysia Maritime Academy (ALAM), Farmer’s Organization Authority Malaysia, University of Malaya and Hang Tuah Jaya. Datuk Dr. Rahamat Bivi holds a Doctorate from the Australian National University and has a Masters in Economics from the University of Western Michigan, USA. 47 48 Iskandar Regional Development Authority Annual Report 2011 Profile of the Advisory Council The Advisory Council was established by resolution at the First Authority Meeting on 19 February, 2007. The Council consists of eminent Malaysians and foreign nationals who are, in the view of the Prime Minister with the concurrence of the Chief Minister of Johor, in the position to provide advice and guidance to promote the aspirations of Iskandar Malaysia as a metropolis of international standing. There are presently five members in total. Tun Musa bin Hitam Tun Musa Hitam before becoming Malaysia’s fifth Deputy Prime Minister and Minister of Home Affairs (1981–1986), Tun Musa Hitam held a number of key government posts, including Chairman of Federal Land Development Authority (FELDA), Deputy Minister of Trade & Industry, Ministry of Primary Industries and Minister of Education. Between 1990 and 1991, he was Malaysia’s Special Envoy to the United Nations and from 1995 to 2002, the Prime Minister’s Special Envoy to the Commonwealth Ministerial Action Group (CMAG). He led Malaysia’s delegation to the UN Commission on Human Rights from 1993 to 1998 and Chairman of the 52nd Session of the Commission in 1995. Mr. Kuok is the Chairman of Kerry Group Ltd. He retired from most of his businesses in 2000. The Kuok Group of Companies are active in commodity trading, development of sugar and palm-oil plantations, property development including hotels and their management, logistics, shipping, insurance and general investments. The Group consists of a few private companies and a number of public-listed companies in Malaysia, Singapore, Hong Kong, China PRC, Thailand and the Philippines. He is also a Joint Chairman of Malaysia-China Business Council, Chairman of the World Islamic Economic Forum, Chairman of the Eminent Persons Group on the ASEAN Charter and Special Envoy of the Commonwealth Secretary-General to the Maldives. Datuk Seri Panglima Andrew is presently the Chief Advisor to the China Banking Regulatory Commission and a board member of the Qatar Financial Centre Regulatory Authority and Sime Darby Berhad, Malaysia. Tan Sri Samsudin is presently the Chairman of the Employee Provident Fund and the President of Putrajaya Corporation. Tan Sri Samsudin has over 37 years of experience in the public sector. From Febuary 2001 until September 2006, he served as the Chief Secretary to the Government of Malaysia. Prior to that, Tan Sri Samsudin was the Director-General of Public Services Department. Other positions held were Secretary-General, Ministry of Home Affairs; Secretary-General, Ministry of Domestic Trade and Consumer Affairs; Federal Secretary of Sabah (1990); Deputy Secretary-General, Ministry of Transport (1978); Deputy Director (Academic), National Public Administration Institute (INTAN) (1986–1987); Deputy Director (Administration), INTAN (1985 1986); Head of Finance and Account Management Centre, INTAN (1982); Special Officer to the Chief Secretary to the Government of Malaysia (1977) and Assistant Secretary/ Principal Assistant Secretary, Public Service Department (1969). Tan Sri Kishu Tirathrai He has served as Director of Bank Negara Malaysia, the National Productivity Corporation and the Malaysian Industry - Government Group for High Technology. Tun Musa Hitam has held posts at the international level at various times. These included Chairman of the Commonwealth Parliamentary Association, member of the Board of United Nations Educational, Scientific and Cultural Organisation (UNESCO) and leader of various Commonwealth Missions. Tun Musa is currently Chairman of three public-listed companies, i.e. Lion Industries Berhad, UM Land Berhad and Sime Darby Berhad. Tun Musa Hitam received his Bachelor of Arts Degree from the University of Malaya, a Master’s Degree from the University of Sussex, UK and is a Fellow at the CFIA, Harvard University, USA. He also holds Honorary Doctorates from the University of Sussex, UK; University Malaysia Sabah and the University of Malaya. He is a Fellow of the Malaysian Institute of Management and Member of the Advisory Board of the Malaysian Journal of Diplomacy and Foreign Relations. Tan Sri Samsudin bin Osman Tan Sri Kishu is currently a Court Fellow with the Malaysian Institute of Management, Fellow of the Malaysian Institute of Directors, Advisory Council Member to the Corporate Malaysia Roundtable and a member of the Malaysia-British Panel of the Roundtable. Mr. Kuok Hock Nien (Robert Kuok) Datuk Seri Panglima Andrew L.T. Sheng He is also Adjunct Professor at the Graduate School of Economics and Management, Tsinghua University, Beijing, China PRC and the University of Malaya. In addition, he is a member of the Labuan Offshore Financial Services Authority, Malaysia (LOFSA), the Governing Council of the International Centre for Education in Islamic Finance, Malaysia (INCEIF) and the Advisory Council of the National Institute of Securities Market, India (NISM). Datuk Seri Panglima Andrew was Chairman of the Securities and Futures Commission of Hong Kong from October 1998 to September 2005. Between October 1993 and September 1998, he was the Deputy Chief Executive responsible for the Reserves Management and External Affairs Department in Hong Kong Authority. Between 1989 and 1993, he was Senior Manager of the Financial Sector Development Department, World Bank. From 1976 to 1989, he held various positions with Bank Negara Malaysia, including Chief Economist and Assistant Governor in charge of Bank and Insurance Regulations. Datuk Seri Panglima Andrew chaired the Financial Stability Forum’s Task Force on Implementation of Standards in 1999. From October 2003 to September 2005, he chaired the Technical Committee of the International Organisation of Securities Commissions (IOSCO). He currently chairs the annual OECD. Tan Sri Samsudin has a Bachelor of Arts (Hons) and a Diploma in Public Administration from the University of Malaya and a Master’s Degree in Public Administration from Pennsylvania State University, USA. 49 50 Iskandar Regional Development Authority Annual Report 2011 EXCO Members IRDA Committees The Executive Committee was formed in 2008 to strenghten the Authority’s performance by helping it function productively. It has a responsibility for approaching operated decisions which would normally be under the purview of the Authority MALAYSIA-SINGAPORE JOINT MINISTERIAL COMMITTEE (JMC) Members of the JMC are : Co-Chairman • Tan Sri Nor Mohamed bin Yakcop Minister in the Prime Minister’s Department, Malaysia • Mr. Mah Bow Tan Minister, Ministry of National Development, Singapore Dato’ Haji Abdul Ghani bin Othman Dato’ Haji Abd. Latiff bin Yusof Chief Minister of Johor State Secretary of Johor (Retired on 13 March 2011) Tan Sri Dr. Wan Abdul Aziz bin Wan Abdullah Secretary-General, Treasury, Ministry of Finance Members • Dato’ Haji Abdul Ghani bin Othman Chief Minister of Johor, Malaysia • Mr. Raymond Lim Minister, Ministry of Transport, Singapore Joint Secretaries Datuk Noriyah binti Ahmad Director-General, Economic Planning Unit (EPU) (Retired on 17 October 2011) Datuk Ismail bin Ibrahim Hilmi bin Mohd Nashir Chief Executive, Iskandar Regional Development Authority Chief Operating Officer, Iskandar Regional Development Authority • Dato’ Sri Dr. Ali bin Hamsa Director General, Public Private Partnership Unit, (3PU) Prime Minister’s Department, Malaysia • Datuk Ismail bin Ibrahim Chief Executive, IRDA • Ms. Chang Hwee Nee Deputy Secretary, Ministry of National Development, Singapore JMC NOTABLE ACHIEVEMENTS FOR 2011 1. JMC Lab was held from 19 to 20 March 2011 at Marriot Hotel, Putrajaya 2. 8th JMC Meeting was held on 30 March 2011 at Grand Hyatt Hotel, Singapore 51 Dr. Nungsari bin Ahmad Radhi Dato’ Haji Obet bin Tawil Datuk Dr. Rahamat Bivi binti Yusoff Executive Director, Research and Investment Strategy, Khazanah Nasional Berhad State Secretary of Johor Appointment Date: 14th March 2011 Director-General of the Economic Planning Unit (EPU) Appointment Date: 18th October 2011 3. Signing of the “Agreement Between the Government of Malaysia and the Government of Singapore to Implement the Points of Agreement on Malayan Railway Land in Singapore Between Government of Malaysia and Government of Singapore and the Joint Statement on Singapore - Malaysia Leaders’ Retreat of 24 May 2010” by YB Tan Sri Nor Mohamed Yakcop, Minister in the Prime Minister’s Department and H.E. K Shanmugam, Minister for Foreign Affairs and Minister for Law, Singapore on 27 June 2011. 52 Iskandar Regional Development Authority Annual Report 2011 IRDA Committees APPROVALS & IMPLEMENTATION COMMITTEE (AIC) Pursuant to AIC roles and functions, the following was established: AIC is chaired by Dato’ Haji Abdul Ghani bin Othman, Chief Minister of Johor and Members consist of representatives from federal and state agencies. ISKANDAR INCENTIVES COMMITTEE (IIC) • To further enhance the roles and functions of IRDA, the Committee is chaired by the Chief Executive of Iskandar Regional Development Authority (IRDA) and its permanent members are from Ministry of Finance (MOF), Malaysian Investment Development Authority (MIDA) and Ministry of International Trade and Industry (MITI). It serves a dual-purpose: The AIC met on 31 March, 15 August and 29 November in 2011 Chairman • Dato’ Haji Abdul Ghani bin Othman - Chief Minister of Johor, Malaysia a. To evaluate and recommend to the Minister of Finance, applications for Approved Developer, Approved Development Manager and IDR Status Companies to Medini. b. To evaluate and recommend to the Minister of Finance, applications for customised fiscal incentives for investors outside Medini. Members • • • • • • • • • • • • • • • Datuk Ismail bin Ibrahim - Chief Executive, IRDA Senior Representative - Ministry of Finance Senior Representative - Companies Commission of Malaysia (CCM) Senior Representative - Ministry of Home Affairs Senior Representative - Ministry of International Trade & Industry (MITI) Senior Representative - Ministry of Natural Resources & Environment Senior Representative - Malaysian Industrial Development Authority (MIDA) Senior Representative - Economic Planning Unit (EPU), Prime Minister’s Department Senior Representative - Public Private Partnership Unit (3PU) Senior Representative - State Economic Planning Unit (UPEN), Johor State Director of Department of Lands and Mines, Johor State Town & Country Planning Director, Johor IRDA Federal Commissioner IRDA State Commissioner Presidents of all local councils in Iskandar Malaysia, Johor - Mayor of JB City Council, Johor - District Officer of JB Tengah Town Council, Johor - District Officer of Pasir Gudang Town Council, Johor - District Officer of Kulaijaya Town Council, Johor - District Officer of Pontian District Council, Johor Secretary Amerul Muner bin Mohammad (until 30th June 2011) Balbeer Singh Jessy (effective 1st July 2011) Secretariat • Iskandar Service Centre, IRDA • Legal & Secretarial Services, IRDA Among other things, AIC had approved the proposed guidelines to facilitate, streamline and standardise timelines for approval processes with five Local Councils (PBT’s) within Iskandar Malaysia. This resulted in a Service Level Agreement (SLA) with them for a 30-day approval process for all development applications through the Iskandar Service Centre (ISC). AIC had also approved a number of blueprints for Iskandar Malaysia. 53 54 Iskandar Regional Development Authority Annual Report 2011 IRDA Committees THE SOCIAL DEVELOPMENT COMMITTEE (SDC) The Social Development Committee was formed in 2007 to advise IRDA on matters relating to policies, procedures and implementation of social development programmes in Iskandar Malaysia. The SDC met twice on 5 April and 3 October 2011, both times being at IRDA’s Office, JB. • Tan Sri Dato’ Azman bin Hj Mokhtar Managing Director, Khazanah Nasional Berhad • Tuan Haji Kamaruzzaman bin Abu Kassim Chief Executive Officer, Johor Corporation • Datuk Dr. Rebecca Fatima Sta Maria Secretary General, Ministry of International Trade & Industry • Dato’ Dr. Noorul Ainur Mohd Nur Secretary General, Ministry of Women, Family and Community Development • Dato’ Abd Jabar bin Che Nai Secretary General (Social), Ministry of Rural and Regional Development Joint Secretaries • Social Development Division, IRDA • State Economic Planning Unit (UPEN), Johor SOCIAL PROJECT FUND COMMITTEE (SPF) The Social Project Fund Committee was established to ensure that funds are utilised in accordance with the provisions of the Act as well as the Comprehensive Development Plan (CDP). Chairman Chaired by the Co-Chairman of the Authority, the Chief Minister of Johor, the members of the SDC comprise representatives from the Federal Ministries, State Agencies and GovernmentLinked Companies (GLCs). There are 11 members in total. The Chairman, Members and Joint Secretaries of the SDC are: Chairman • Dato’ Haji Abdul Ghani bin Othman - Chief Minister of Johor Members • Datuk Ab. Rahim bin Md. Noor Secretary General, Ministry of Higher Education • Dato’ Ahmad bin Hj Kabit Secretary General, Ministry of Housing and Local Government • Dato’ Haji Abd. Latiff bin Yusof State Secretary of Johor • Dato’ Hamsan bin Saringat Director, State Economic Planning Unit • Datuk Ismail bin Ibrahim Chief Executive, Iskandar Regional Development Authority • Tuan Haji Mohd Azam bin Abid Director, State Town & Country Planning Department • Encik Nor Rizan bin Mohd Thani State Development Officer, State Development Office 55 • Dato’ Dr. Haji Shahir bin Nasir (former State Secretary of Johor) Members • Dato’ Haji Abd. Latiff bin Yusof State Secretary of Johor • Dato’ Hamsan bin Saringat Director, State Economic Planning Unit (UPEN), Johor • Datuk Ismail bin Ibrahim Chief Executive, IRDA • Dato’ Ghazali bin Mohd Ali Managing Director, Boustead Group (Private Sector Representative) Secretary • Social Development Division, IRDA 56 Iskandar Regional Development Authority Annual Report 2011 Iskandar Regional Development Authority’s Organisation Senior Management Team Organisation Structure 57 59 - 65 66 58 Iskandar Regional Development Authority Annual Report 2011 Senior Management Team Datuk Ismail bin Ibrahim Chief Executive Datuk Ismail joined IRDA on 1 January 2010 as Chief Executive. Born in Muar, he received his early education at the Malay College, Kuala Kangsar and later at the Heriot-Watt University in Edinburgh, Scotland majoring in town planning. In 1990, he was awarded the British Council Fellowship to specialise in Planning Law at Newcastle University in England. He joined the Malaysian Civil Service in 1983 and is registered with the Board of Town Planners. In February 2006, he was seconded to Khazanah Nasional Berhad as the Senior Vice President of Special Projects and the following year, he was seconded to Iskandar Regional Development Authority (IRDA) as the Senior Vice President. He was appointed as the first Federal Commissioner for the Authority in October that same year and member of the Approval and Implementation Committee (AIC). He is a Board Member of the Board of Town Planners Malaysia, Vice President of the Malaysian Institute of Planners (MIP), Board Member to the Badan Warisan Malaysia and a member of Harvard Business School alumni. He is also a member of the Malaysia-Singapore Business Council, an Exco member of the National Biotechnology Implementation Council, an Advisory Board Member of the Iskandar Malaysia UTM Research Centre (IMREC) and Committee member of the Johor State Town Planning Department. Hilmi Mohd bin Nashir Chief Operating Officer Hilmi joined IRDA on 1 February 2009 and has a Degree Economics (Hons), majoring in Analytical Economics from University of Malaya in 1979. Hilmi previously was the Managing Director/CEO of MISC Integrated Logistics Sdn.Bhd and held directorship in several international joint-venture companies having operations in Malaysia, Singapore, Sri Lanka, United Arab Emirates and Sudan. He was also a member of the MISC Management Committee. He joined PETRONAS in 1979 and remained with the PETRONAS Group of Companies for 29 years, 7 of which were at MISC Berhad. He held several senior positions within PETRONAS with multiple roles and experience ranging from Project Evaluation, Internal Audit, Tenders and Contracts, Vendor Development, Treasury Operations and Project Management. Misran bin Basir Federal Commissioner Misran joined IRDA on 16 March 2009 as Federal Commissioner. He was an Administrative and Diplomatic Service Officer attached with the Economic Planning Unit, Prime Minister’s Department. His last position was the Director of Foreign Investment Committee (FIC), Economic Planning Unit. As the Regional Economic Director, he was actively involved in the planning, project approval and development budgets for the Iskandar Development Region during the preparation of the Ninth Malaysia Plan. Dr Badrul Hisham bin Kassim State Commissioner Dr. Badrul holds a law degree (LL.B. Hons) from Staffordshire Polytechnic, MBA from Leicester University, and a PhD on the regulation of privatised water companies, from University of Glamorgan, Wales. His PhD was fully funded by the Johor State Government. Nor Hisham joined IRDA on 1 March 2007 as the Senior Vice President of Finance. He is now the Head of Finance & Corporate Services overseeing the Finance, Procurement and Administration functions of IRDA. Nor Hisham graduated from the University of Kent at Canterbury in United Kingdom obtaining a Bachelor of Accounting and Management Sciences Degree in 1991. Nor Hisham bin Mohd Yusof Head, Finance & Corporate Services Nor Hisham started his career as a Trainee Accountant with a Chartered Accountant firm in London, United Kingdom and qualified as an Associate Member of the Institute of Chartered Accountants in England and Wales before returning to Malaysia in 1996. In Nor Hisham’s 20 years of professional experience, he has held executive positions with a number of government linked companies and multinationals in areas of finance, corporate planning, corporate governance, audit, risk management and corporate affairs obtaining valuable experience locally and abroad. As the Head of Finance & Corporate Services, Nor Hisham plays a crucial role as the intermediary between IRDA and a number of key federal and state agencies in matters relating to financial allocation and performance reporting. Nor Hisham is a Chartered Accountant with the Malaysian Institute of Accountants and a Chartered Member of the Institute of Internal Auditors (Malaysia). He is also a Certified Internal Auditor (United States). Zainol joined IRDA on 1 June 2007. He is responsible for the planning and implementation of the Ninth Malaysia Plan projects, and also assists and provides technical support to the other Divisions within IRDA. He holds a Degree in Business Administration from the University of BATH, UK (1996). Zainol Rashid bin Zainuddin Head, Technical & Projects Prior to joining IRDA, he was a business development and project management consultant. He also sat on the board of several private limited companies. He graduated with an Honours Degree from University of Malaya in 1975. In career spanning 30 years, Zainol has held senior positions in various organisations, including Project Director, Solutions Protocol Sdn.Bhd; Executive Director Pembinaan Kekal Mewah Sdn.Bhd; Managing Director, Kualiti Alam Sdn. Bhd; General Manager (Technical), PLUS Bhd and a Senior Engineer position with the Public Works Department. Misran left IRDA on 1 July 2011 Zainol left IRDA on 1 June 2011 He held various positions in EPU and was largely involved in the planning, budgeting, implementing and monitoring of the infrastructure, privatisation and regional economic projects as well as in the preparation of the five years development plan. 59 Dr. Badrul is Deputy Director (Sector and Development) at the Johor State Economic Planning Unit. He joined the Johor Civil Service in 1992 and served at the Johor State Secretariat. He has since worked in various State departments such as the land office and Menteri Besar’s Office, as well as being on secondment to state and federal GLCs. His latest secondment was in 2006, when he was sent to Khazanah Nasional to join a task force for Iskandar Malaysia. He is now the Deputy Director (Sector Development) in the Johor State Economic Planning Unit, and the State Commissioner for Iskandar Regional Development Authority (IRDA). 60 Iskandar Regional Development Authority Annual Report 2011 Senior Management Team Nor Hisham bin Hussein Head, Sosial Development Nor Hisham joined IRDA on 1 May 2007 and is responsible for the development of Iskandar Malaysia’s Human Capital Blueprint that looks at the Human Resource and talent requirements of the nine targeted economic clusters of Iskandar Malaysia are adequately met. Nor Hisham is also in charge of monitoring and facilitating the implementation of the initiatives formulated under the Human Capital Blueprint and other initiatives under the Social Development Division. Nor Hisham oversees Strategic Communications for a period of 10 months until November 2010. His wide exposure to business began with a basic career grounding of sales and marketing of fast moving consumer goods, gained during his tenure with multi-national company. The marketing orientation served him well in his consulting years, especially in dealing with local and international clients in businesses as diverse as hospitality, furniture and construction industries. He began his career at MBF Berhad in 1992. Subsequently, he expanded his career and joined Celcom Berhad where he rose through the ranks from Human Resources Development and Operations to HR Strategy and finally as the Head of Human Resource Development Division in year 2000. The lessons of value creation were further enhanced with his involvement as an entrepreneur by taking over a chain of food stores specializing in local food. His working experience also include automotive vendor where he has operational responsibilities for 3 manufacturing facilities, one wholly owned subsidiary and one R & D unit. Nor Hisham joined PWC Consulting in year 2000 and served as Project Manager in the Petronas-MISC Business Transformation Project. He was recruited back to Celcom in year 2003 and played an instrumental role in the Manpower Rationalisation and Merger exercise with TM Touch, a Telekom Malaysia subsidiary. Prior to joining IRDA, he was the General Manager of Business Development and Solutions with a leading logistics company. Nor Hisham obtained his degree in Social Science and Humanities from UKM in 1991 Rugayah Yasmin binti Ibrahim Head, Human Capital Management Rugayah joined IRDA on 5 September 2007 as the Vice President of Human Capital Management and in July 2010 she became the Head of Human Capital Management. Rugayah is responsible for all human capital matters within IRDA which involves organizing, integrating and directing all human capital management activities, supporting the overall business strategy and design. Rugayah obtained her degree in Business Administration from the University of Ohio, Athens, USA in 1983. Rugayah’s career in Human Resources began in 1983 when she joined Advanced Micro Devices, a multinational company in Penang, as a Human Resource Officer. In 1989 she joined Projek Lebuhraya Utara Selatan (PLUS) Berhad, a company under the Renong Group, as an Assistant Manager where she was tasked to oversee the compensation and benefits unit under the Human Resource Division. Rugayah was later transferred to PROPEL in 1995 to head the Human Resources and Administration Division. The following year she was head hunted to join LITRAK, an associate company of GAMUDA Group. In 2004, she joined Pos Malaysia Berhad as the Deputy General Manager directly involved in the transformation intiatives. Amerul Muner bin Mohammad Head, Legal & Secretarial Mohammad Ismail joined IRDA on 1 June 2009 as the Head of Iskandar Service Centre (ISC). He obtained his Bachelor of Social Sciences from University Putra Malaysia in 1978. Amerul joined IRDA on 1 November 2007 bringing with him 14 years experience as a legal practitioner. He was in active legal practice since 1994 and was a partner in a well established legal firm in Johor Bahru. He started his career as an internal auditor with a commercial bank prior to being called to the Malaysian Bar. He was involved in a wide range of legal services which included laws related to commercial, banking, planning, international trades, maritime, civil and criminal litigation, arbitration, advisory roles to public-listed companies, government agencies and other aspects of legal practice. Safuan joined IRDA in March 2009 as Chief Information Officer. He obtained his Master degree from Cambridge University, United Kingdom in Computer Speech & Language Processing in 1993. Safuan has more than 17 years of valuable experience in business and IT management gained from various well known Multi-National Companies (MNCs) and Public Listed Corporations. Mohammad Ismail bin Hj Ibrahim Head, Iskandar Service Centre Safuan bin Yusof Chief Information, Communication and Technology Prior to him working in Malaysia, Safuan has worked with a large IT company (DEC Ltd) in the United Kingdom for about one year. Upon his return to Malaysia, Safuan started his career as an Analyst Programmer in Shell Malaysia in 1993. Among the companies that he has worked with are EON Berhad, MISC Berhad, British American Tobacco (M) Berhad, DHL and Titan Chemicals Corporation Berhad. Mohd Yazid joined IRDA on 17 August 2009 as Senior Vice President in Sector Development. In 2010 he was tasked to head the Economics and Business Division. Mohd Yazid bin Ja’afar Head, Economics & Business He brings with him 15 years of solid experience in the techno-commercial area of the engineering and chemical business both within Malaysia and in the international scene. Prior to joining IRDA, he worked with a number of multinational organisations for 10 years in various capacities in technical, marketing, business analysis and customer relationship management roles in Malaysia as well as in the UK. He then moved his career back to Malaysia to join a joint-venture middle distillate chemical company in Sarawak with shareholders such as Sarawak State, Mitsubishi, PETRONAS and Shell. There, he spent 5 years in various roles including managing the commercial aspects of the global business unit in specialty products. Yazid holds a Master’s of Engineering in Chemical Engineering from the Imperial College of London. He is also a member of the Chartered Institute of Marketing and a member of the City and Guilds, London Institute. He graduated from the Royal Military College and obtained his law degree from the UK (1995). Mohd Yazid left IRDA on 12 December 2011 Amerul left IRDA on 9 July 2011 61 62 Iskandar Regional Development Authority Annual Report 2011 Senior Management Team Engku Ahmad Kamel bin Engku Taib Head, Corporate Performance Management Mohamad bin Sa’elal Head, Integrated Planning (Planning & Compliance) Engku Kamel joined IRDA on 1 February 2010 and heads the Corporate Performance Management Division, which oversees the Corporate Planning and Programme Management Office functions in IRDA. He has close to 30 years of national and regional experience in Banking, Oil & Gas, IT Consultancy, Automotive Manufacturing and Business Process Outsourcing, managing a wide range of retail banking services, oil & gas marketing operations and retailing, and system implementation activities locally and internationally. He started his career as a CID Investigation Officer in Kuching, Sarawak. He later served at the Political & Social Desk for the Sarawak Special Branch. In 1994, he was transferred to the Federal Police Headquarters in Bukit Aman where he served as the Legal Officer of the Research & Development Branch and later as the Assistant Director of Training (Examination). He has also managed a manufacturing & sales systems environment and has headed a selfservice terminals outsourcing outfit. At various times, he has been based in a number of locations in Malaysia and his work has also taken him for stints to the UK, Singapore, Thailand and Philippines. In 2004, he was appointed as the Deputy Chief Police Officer of the Royal Malaysia Police, Malacca contingent. In 2006, he became the Commandant of the Royal Malaysia College in Kuala Lumpur. Prior to joining IRDA, he was the Chief of Staff (Inspector General of the Police’s Secretariat) for the Federal Police Headquarters. Engku Kamel graduated in Mathematics from Lancaster University, UK (1982) and has an MBA from Cranfield University, UK (1990). He holds a Master’s in Comparative Laws (1996) and an LLB (Hons) from the International Islamic University Malaysia (1994). Mohamad was appointed as the Head of Integrated Planning on 17 February 2010. Mohamad is responsible to lead the team to formulate the policy and strategy on land use planning, environment, transportation and safety & security for Iskandar Malaysia. Mohamad is also involved in project implementation and stakeholder management. Mohamad has more than 25 years in various positions with property development companies in Malaysia. The portfolio of the projects include The Curve, Ikea Mutiara Damansara and University of Nottingham, Malaysia Campus in Selangor, Kota Iskandar and Puteri Harbour in Nusajaya, Johor. Mohamad was also involved in training of contractors and construction site personnel in collaboration with Construction Industry Development Board (CIDB). Mohamad graduated from University of Technology MARA with a Bachelor of Civil Engineering in 1982. He is also a registered trainer with the Chartered Institute of People and Development, UK. Hanizah binti Muhammad Dato’ Benjamin heads the Commissioner’s Office under the CEO Office department. He joined IRDA on 1 May 2009. Hanizah joined IRDA on 16 November 2009 and heads the Internal Audit Department. She reports directly to the Audit Committee. Head, Internal Audit She started her career working for a Chartered Accountancy firm in United Kingdom for 2 years before returning to Malaysia. Since then she has worked in Internal Audit with various organisations for 18 years where she held executive positions in Sapura Holdings Berhad, Pengurusan Danaharta Nasional Berhad, Faber Group Berhad and RapidKL. She is a Certified Internal Auditor (CIA) and a Chartered Member of the Institute of Internal Auditors Malaysia (CMIIA). In 2004/2006, Hanizah was on the Editorial Board of the Institute of Internal Auditors Malaysia (IIAM) and contributed in writing articles and reviews for the IIAM’s magazine. Zaini joined IRDA on 8 November 2010 and is responsible for the overall strategic marketing and communications which encompasses the areas of stakeholder management, media management, promotion and advertisement, branding and events. Dato’ Benjamin Hj Hasbie Head, Commissioner’s Office (Federal Commissioner) Zaini binti Long Head, Strategic Communications Zaini started her career in product management at Johnson & Johnson Sdn Bhd in 1989. Subsequently she expanded her career to join Avon Malaysia as Marketing Director in 1990 and soon was promoted as Executive Director Regional Marketing in 2002 and was based in Bangkok. Prior to joining IRDA she was heading Bursa Malaysia Berhad’s marketing division as Head of Group Marketing. Zaini has a combination of 24 years of vast and professional experience in marketing and promotion including event management, media relations and public relations activities. Zaini obtained her tertiary education from Institute of Marketing, ITM in1978 and various management courses from University of Columbia. Balbeer joined IRDA on 20 June 2007 as Assistant Vice President, Strategic Communications and in July 2011, he became the Head of Legal & Secretarial. Balbeer Singh A/L Swaran Singh He started his career working as an Assistant TV Producer for University Sains Malaysia (USM). Subsequently, he joined the News Straits Times where he served in various positions including Sub Editor, Bureau Chief, Journalist, Acting Editor and Assistant News Editor. He later moved into advertising and became Group Account Director and General Manager of Public Relations for Ale Advertising Malaysia. Head, Legal & Secretarial He holds a Master’s of Business Administration from the University of New England, Australia (2003), an LLB (Hons) from the University of London and a Bachelor of Arts (Hons) from University Sains Malaysia. He also has a Certificate in Legal Practice (CLP) from the Malaysian Qualifying Board. Hanizah graduated in Accounting from Lancashire Polytechnic, Preston, UK in 1988. 63 64 Iskandar Regional Development Authority Annual Report 2011 Senior Management Team Mohd Noor bin Abdul Salam Head, Flagship Development Organisation Chart Mohd Noor joined IRDA on 17 January 2011 as the Head of Flagship Development. He brings with him 27 years of working experience in both Government and Private organisations. His journey into land development became a 10 year working journey with Dewan Bandaraya Kuala Lumpur (DBKL). He swiftly moved up the ranks and left to join a private organisation as executive director in 1992, mainly being involved in privatisation of various utilities and infrastructure works. Members of the Authority Chief Executive Officer Before joining IRDA, he was a General Manager attached to United Malayan Land Bhd where he served for three years. Audit Board Mohd Noor obtained his Bachelor of Civil Engineering, UTM (1983) Internal Audit Chief Operating Officer Office of Commissioners Corporate Services Federal Information & Communications Technology State Legal & Secretarial Economic & Business Planning & Compliance Flagship Development 65 Social Development Human Capital Management Corporate Performance Management Strategic Communications Iskandar Service Centre 66 Iskandar Regional Development Authority Annual Report 2011 Infrastructure Development Planning & Compliance Flagship Development Information & Communications Technology (ICT) 67 69 - 87 88 89 - 90 68 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance DEVELOPING A SUSTAINABLE METROPOLIS Since its official launch in November 2006, the vision of Iskandar Malaysia has gone off the drawing board and is rapidly being transformed into a next generation metropolis. With Phase 1 (2006-2010) completed, a critical mass has been established with the timely delivery of major infrastructure and several iconic investment projects. Iskandar Malaysia has now progressed into Phase 2 of the Comprehensive Development Plan. eprint Phase 2 of the Comprehensive Development Plan targets for completion of all required blueprints, which in 2011, 20 blueprints were duly completed and approved. Final Blueprints Approved 69 1 Social Development 2 Safety and Security 3 Housing Management 4 Investment & Marketing Strategies 5 1. 13 PUBLIC BOOKLETS ON THE ISKANDAR MALAYSIA BLUEPRINT In December 2011, Planning and Compliance held the Iskandar Malaysia Sustainable Metropolis Conference 2011 with the theme of “Developing a Sustainable Metropolis 2011”. During the seminar, 13 public version blueprints were launched. These public version blueprints complement IRDA’s planning objective to inform the stakeholders and public on the bases for quality built environment, efficient enablers and protection of natural environment benchmarked against best practises around the world. The main agencies – State Secretary on Local Authorities, 5 local authorities (MBJB, MPJBT, MPPG, MPKu and MDP), PTG, and JPBD had been officially delivered the hard and digitized copies during the conference. Key Programs and activities 1 13 -SPC Approved Blueprints printed in booklets 2 Conference”Developing a sustainable Metropolis 2011” (December 2011) PDG Housing, Neighbourhood and Facilities 3 Improving connectivity through public transport 6 Human Capital 4 7 Integrated Land Use Completion of critical road infrastructure RMK 9 and 10 8 Integrated Solid Waste Management 5 9 Area Character Statement Low carbon framework International recognition 6 7 Ops Lumpur Program 3K (Kebersihan, Keceriaan dan Kemudahan) 10 Information & Communications Technology 2020 11 Shoreline Management 12 Tg Puteri – Tourism 8 Heritage and Cultural Programs 13 Transport 9 JB Transformation Program 14 Environment Planning 15 Road Layout Design 16 Renewable Energy and Energy Efficiency 17 Drainage Storm Water Management 18 Maintenance Operational Plans 19 Electricity Blueprint 10 No Blueprint Title Description Key implementations to date 1 ICT Blueprint 2020 for Iskandar Malaysia A comprehensive master plan that encompasses a TO-BE state of ICT infrastructure (including Telecommunication) and service roll out, for a “win-win” partnership between ICT operators, users/citizens and regulators that is world-class for Iskandar Malaysia. • HSBB at Nusajaya and Nong Chik Heights • Smart City 2 Safety and Security Blueprint for Iskandar Malaysia A basis to coordinate the activities of key safety & security stakeholders in Iskandar Malaysia and address safety & security concerns to support investment, economic development and community safety and satisfaction. • Community police post • Auxiliary police • CCTV • Workers enclave • Rapid Response Vehicle 3 Area Character Statement Blueprint for Iskandar Malaysia Addresses and identify special identity, architectural or historical interest/event that may influence the overall character and appearance of a particular area and provides a framework to preserve or enhance the existing character of areas within IM. • Street signage at JB old town area • Conservation of buildings • Training and awareness 4 Integrated Land Use Blueprint for Iskandar Malaysia A Management Plan which provides framework for delivery of regional economic strategies, coordinates land use development with planning and provision of infrastructure public amenities, protects and enhances the region’s natural environment, urban biodiversity and green network, and identifies actions for implementation and prioritizes their implementations. • Amendment of Johor Bahru District Local Plan • Demarcation of Flagship boundary • JB Transformation plan Participation in the Regional City and Corridor lab program organised by PEMANDU 70 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance 71 No Blueprint Title Description Key implementations to date No Blueprint Title Description Key implementations to date 5 Drainage and Stormwater Management Blueprint for Iskandar Malaysia Storm water management plan, Improvement measures for existing drainage system, provision for retention pond and detention ponds and compliance to MASMA. • Training and awareness 11 Environmental Planning Blueprint for Iskandar Malaysia Improvement of new standards for road design of international standing and in line with promotion of public transportation and livable community. • Training and awareness 12 6 Environmental Planning Blueprint for Iskandar Malaysia Environmental planning through management, protection, conservation and enhancement of natural landscapes, pollution, climate change, carbon credits and establishment of Iskandar Malaysia Green Standards. • Low Carbon society • Awareness programs Renewable Energy (RE) & Energy Efficiency (EE) Blueprint for Iskandar Malaysia Roadmap on RE and EE for Iskandar Malaysia through policy guidance, planning design and guidelines for RE and EE in line with development strategies outlined for Iskandar Malaysia. The blueprint will implement and support the country’s policy on RE and EE • Training and awareness 7 Maintenance & Operational Plans Blueprint for Iskandar Malaysia Document address analysis and assessment of current maintenance and operation plan and propose improvement program as well as Improvement of PBT’s business model related to township maintenance and operation. • 3K programs 13 Integrated Solid Waste Management Blueprint for Iskandar Malaysia Strategic framework for integrated, cost effective, efficient and environmental friendly solid waste management system for Iskandar Malaysia towards achieving a clean, healthy and liveable community. • 3R programs (Reduce, Recycle and Reuse) 8 Shoreline Management Plans for Iskandar Malaysia The management plan provide sreconciliation of development requirements with the need to protect, conserve and, where appropriate, improve the landscape, enhance environmental quality, wildlife habitats and recreational opportunities of the coast. • RAMSAR Management plan 9 Electricity Blueprint for Iskandar Malaysia Establishment of policy guidance, development strategies, planning and design guidelines, implementation plan and programme for reliability, safety, quality and efficient distribution of electricity supply for IM which is sustainable and on par with international standard. • SAIDI Improvement • FiT tariff 10 Transportation Blueprint 2010- 2030 for Iskandar Malaysia Establishment of a public transport policy framework and public transport master plan with emphasis on bus and rail and an implementation plan including establishing funding needs and regulatory changes required. • Bus Iskandar Malaysia (Social route) • BeXtra • BRT 72 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance 2. IMPROVING CONNECTIVITY THROUGH PUBLIC TRANSPORTATION Social Routes Iskandar Regional Development Authority (IRDA) continues its initiative to bring about better public transportation in Iskandar Malaysia through the continuation of Bas Iskandar Malaysia services on 17 social routes. The services served more than 1.7 million riders and achieved the targeted 30% average daily ridership through continuous campaigns and promotional activities. Service schedules and time tables are updated to ensure correct information reaches the public. The reliability and consistency of the bus services have been imperative in attracting higher ridership. In addition, IRDA and PBTs have been engaging the community and various stakeholders to seek feedback on Bas Iskandar Malaysia services and other related activities. IRDA has taken proactive measures to improve the public bus service through collaboration with various operators to cater for the pressing needs of the community living near the city centre. For instance, the communities in Taman Iskandar, Sri Stulang, Kim Teng Park and others are now better connected through the introduction of city bus services in these areas. IRDA also introduced the Bus Express Transit known as BeXTRA. It is a variation of stage bus services with limited stops operating during peak hours. Branded as TransISKANDAR, the BeXTRA service is expected to bring about greater value to the stage bus services by delivering premium services that offers faster travelling time, coupled with user friendly, safe and comfortable buses. The 3 main services were introduced in 2011 are: 1. Kulaijaya Terminal – Johor Bahru City Centre, 2. Ulu Tiram – Johor Bahru City Centre and 3. Taman Universiti – Johor Bahru City Centre. Left: Bas Iskandar Malaysia Right: BeXTRA IRDA’s role is to advise, monitor progress and ensure compliance to the Iskandar Malaysia performance expectation and KPIs. IRDA as the authority, shall initiate the formation of Iskandar Malaysia Transport Council (IMTC) – the governance structure that guides the overall implementation by PAIM. IMTC will act as an advisory body and leverage on the authority and power of its members, as necessary, via engagement and consultation with federal/state authorities and related agencies on public transportation. SPAD shall remain the authority in all land transport matters and shall be referred to for approval of any scheme and licensing. The year 2011 also witnessed the implementation of Iskandar Malaysia Corridors and Cities Lab. Under the Urban Public Transport and Road Network Lab, 12 Key Result Areas and 35 projects are identified, aimed at improving the public transport system and towards the end establish a world class transportation system for Iskandar Malaysia. Urban Transportation Systems 6 principles: • Connect: Enhance passenger connectivity, mobility and accessibility to public transport modes, ensure efficient road linkages and transit priority to reduce congestion; • Transit: Encourage and increase the usage of public transportation as the mode of choice, by implementing an urban public transport system that caters to the existing and future population, as well as socio-economic activity; • Walk: Provide an effective and conducive pedestrian environment; • Cycle: Encourage cycling as a healthy and convenient mode of transport for short distance travel; • Transit Oriented Development (TOD): Encourage optimum density and land use for sustainable urban development; and • Transport Demand Management: Introduce and implement measures to restrain traffic in order to reduce auto dependency and congestion. Left: The year 2011 also witnessed the implementation of Iskandar Malaysia Corridors and Cities Lab Perbadanan Pengangkutan Awam Iskandar Malaysia (PAIM) In 2011, Perbadanan Pengangkutan Awam Iskandar Malaysia (PAIM) is incorporated as a State Special Purpose Vehicle (SPV) to drive public transport improvements in Iskandar Malaysia. The strategic thrust in the formation of PAIM is to look at the overall improvement in the quality of bus services in Iskandar Malaysia. One of PAIM’s main tasks is to promote public transportation as a mode of choice and enhance public transport accessibility and connectivity to relieve road congestion and improve environment and lifestyle. 73 Right: Improve and maintain road network quality 74 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance 12 KRAs to achieve sustainable transport system: The first 6 KRAs aim to address the fundamental shortcomings in the current system. • KRA 1: • KRA 2: • KRA 3: • KRA 4: • KRA 5: • KRA 6: Improve and expand bus services and network • Increase bus network and services as well as improve basic facilities Improve and maintain road network quality • Expand the road capacity and connect missing linkages Capacity building and enforcement • Develop transport capabilities and improve the industry image Rehabilitation and integration of Terminals • Upgrade and improve terminal facilities at 5 locations and provide convenient passenger activity areas Common Ticketing System • Establish a single cashless mode of payment across all public transport operators to provide a seamless journey Taxi Reform • Provision of transport services through Demand Responsive Transport system 3. COMPLETION OF CRITICAL ROAD CONSTRUCTION FROM RMK9 AND RMK10 FUNDS RMK9 & RMK10 PROJECTS Details of Projects, Current Progress and Accomplishments Under the Rancangan Malaysia Ke-9 (RMK9), IRDA has been entrusted to develop and implement infrastructure projects that will spur Iskandar Malaysia into becoming a Metropolis of International Standing. They are: i. ii. iii. iv. Seven (7) packages of road projects, Two (2) packages of river cleaning projects, One (1) package of urban drainage projects and One (1) package of “Rumah Iskandar Malaysia” Road Projects 3 KRAs will provide continued momentum to achieve the goal of increasing ridership to 25% by 2015 and 35% by 2020. In total, 7 road projects have commenced since 2008 with 2 projects completed in 2010. The rakyat has benefited from the improved access and traffic flow. 3 more projects were completed 2011 and the balance of 2 projects will be completed in 2012. • KRA 7: Table 1a – Completed projects • KRA 8: • KRA 9: Increase bus service coverage and ridership • To complete the extension of 3 pilot BRT lines and implement 3 new lines on high density corridors Enhance road network and reduce traffic bottlenecks • Upgrading of roads and urban highways and building critical road links Establish pro-transit programmes • Prepare comprehensive Transit Oriented Development guidelines • Implement Intelligent Transport System to enhance traffic efficiency • Implementation of park and ride facilities and parking management parallel with the bus service improvement and implementation of Bus Rapid Transit System Package Detailed Project Project Cost (RM) Commencement Date Completion Date 195,417,908.69 29 Oct 2008 22 June 2011 29 Oct 2008 28 April 2011 2 Upgrading Abu Bakar - Skudai 6 Upgrading Skudai - Senai 69,655,036.55 8 Kulai Interchange 36,236,712.20 14 April 2010 13 October 2011 Long term sustainable transport system that meets future demands. Upgrading Abu Bakar – Skudai • KRA 10: Enhance public transport network & implement rail based services • To complete BRT implementation on 10 corridors which includes BRT line extension and implementation of new BRT lines • Evaluation and implementation rail services i.e. Downtown People Mover (DPM) for inner city circulation and Commuter Rail Services • KRA 11: Enhance Transport Demand Management • Implement traffic restraint measures to divert heavy vehicles from the central business district • Improve traffic management and efficiency • KRA 12: Low Carbon Society • Implement green technology buses and other green initiatives aligned to Iskandar Malaysia’s Green Agenda, to achieve reduction on carbon footprint / GHG emissions. 75 Left: During Construction Right: After Completion 76 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance Upgrading Skudai – Senai Left: During Construction To date, all the road projects are progressing on time. The list of all packages and their current progress are illustrated in Table 1b. Table 1b – On-going projects as at 30 December 2011 Right: After Completion Pack- Detailed age Project 1 3B Kulai Interchange Coastal Highway Project Cost Commencement Completion Schedule (RM) Date Date (%) Actual (%) 945,798,602.35 23.12.2008 31.4.2012 99.80 99.80 Abu Bakar 141,709,315.12 Interchange 29.10.2008 30.3.2012 96.50 97.11 Coastal Highway Left: During Construction Right: After Completion The road projects are expected to ease the traffic flow and reduce the travelling time across the city and sub-urban areas. It will also create an economic spill-over effect for the people and local businesses. The physical developments also create and support the growth of small contractors within Iskandar, Malaysia. Residents, investors and the local business community in Iskandar Malaysia will enjoy a better quality of life and enhanced business opportunities once projects under the Ninth Malaysia Plan are completed. 77 Abu Bakar Interchange 78 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance River Cleaning Projects: In economic development, appropriate infrastructure can improve the investment climate, facilitate trade processes, and increase efficiency in everyday business activities. Access to infrastructure services such as electricity and water can greatly enhance the rakyat’s living standards. Improving the quality of life is a key objective under the River Cleaning and Urban Drainage Programme in Iskandar, which focuses on three (3) main rivers, namely Sg. Segget, Sg Tebrau and Sg. Skudai. The long term goal under this program is to improve the water quality from Class IV (non-body contact) to Class II (body-contact) by 2015. River project Left: During Construction Low Carbon Society For Iskandar Malaysia Towards fulfilling Malaysia’s voluntary commitment to reducing the country’s carbon intensity by 40% by year 2020 (based on 2005 level), introduction and implementation of Low Carbon Society (LCS) is the way forward. LCS aims at reducing the amount of carbon dioxide emissions at a national level and central to this is the designing of a road map towards a Low Carbon Society at either the regional or city level. The pilot project or the case study in Iskandar Malaysia will showcase the best practice for the Asian Region. The project of Development of Low Carbon Society Scenarios for Asian Regions is a joint research effort between Japan and Malaysia. The research project, spanning 5 years and beginning in June 2011, involves a team of researchers from Kyoto University, National Institute for Environmental Studies (NIES), Okayama University, Japan, and Universiti Teknologi Malaysia (UTM). The ‘Lab’ for all the research is Iskandar Malaysia, thus the active involvement of IRDA in the project. Whilst the research is being done by UTM and Japan institutions, IRDA has launched its own LCS for Iskandar Malaysia Project (LCSIM), which aims to develop future scenarios for the reduction of its greenhouse gases intensity emissions by 50% by 2025, with base year being 2005. Also being developed together with UTM and Japan is the LCS Blueprint for Iskandar Malaysia. Right: After Completion To date, six (6) packages have been completed with the recent completion of Sg Skudai package 2 projects. In total, RM113 million was spent by the Government to improve the water quality in Iskandar Malaysia. The details of the works for Package 1 include Embankment protection, hydraulic drop structure, drainage outlet structure, installation of Gross Pollutant Trap (GPT) and rubbish screen. Works in package 2 include the construction of Mechanical Trash Rakes at 5 different locations. The last packages will concentrate on the river beautification and landscaping works. Drainage Projects: Drainage improvements in urban area mainly involve the improvements of the flow capacity of the existing storm water drainage networks for better performance in collection and conveyance. Under some special circumstances, innovative methods such as Retention Pond, flood pumping or flow diversion through drainage tunnels are used to minimize the extent of works that may cause disturbances to traffic or conflict with the surrounding activities. All eleven (11) packages of drainage project were awarded through tender process carried out by Technical & Projects Division since 2008. The first five (5) packages namely Saliran Sg. Ayer Molek, Saliran Kg. Hj. Mohd. Amin, Saliran Kg. Permatang & Jalan Denai, Saliran Kg. Hj. Rahmat dan Saliran Sg. Taman Johor were completed on 2009. The remaining five (5) packages namely Sg Bala, Sg Seranggong, Sg Sri Buntan, Kawasan Perindustrian I & II and Sg Abd Samad & Sg Rinting were completed on 2010. Saliran Bandar Senai was completed on 27 September 2011. 79 4. LOW CARBON SOCIETY FRAMEWORK WITH GLOBAL RECOGNITION AND OTHER GREEN AGENDAS Research studies and other work have made significant progress since the launch in June 2011. These include: • 2 major focus group discussions on the development of a LCS for Iskandar Malaysia Project; • 2 International Symposiums on Low Carbon Asia Research Project; • 2 International Training Workshops on a Modelling (called Extended Snapshot) Tool; • Technical Tour of Japan: the 6-days intensive tour helped IRDA to discover and experience the success stories of implementing strategies in realising LCS in Japan. The tour included visits to 10 agencies of NGOs, non-profit organisations (NPO), research institutes, federal and local governments; • Taking an active part in Busan, South Korea, to represent Malaysia (together with the Ministry of Energy, Green Technology and Water) in the UNESCAP’s preparation of the East Asia Low Carbon Growth Roadmap Policy Forum; East Asia Low Carbon Green Growth Roadmap Policy Forum, July 2011 80 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance • Paper presentations on the development of LCS for IM at international events: the 17th International Symposium on Society and Resource Management in Kota Kinabalu, Sabah (June); National Symposium on Climate Change Adaptation in Putrajaya (organised by the Ministry of Natural Resources and Environment) (November); • Side Event at the 17th Conference of the Parties (COP17) to the United Nations Convention on Climate Change, in Durban, South Africa (Nov/Dec). Working closely with its counterparts in UTM and Japan, IRDA is now currently preparing a LCS Blueprint for Iskandar Malaysia. Also being prepared is the development of “12 Actions” for future implementation in Iskandar Malaysia: Action1: Action 2: Action 3: Action 4: Action 5: Action 6: Action 7: Action 8: Action 9: Action 10: Action 11: Action 12: Walkable, Safe, Liveable City Design Integrated Green Passenger Transportation Green Economy Low Carbon Lifestyle Smart Growth Green and Blue Network/Infrastructure Green Buildings and Construction Green Energy System and Renewable Energy Sustainable Solid Waste Management Community Engagement and Consensus-Building Green and Clean Environment Low Carbon Urban and Regional Planning Institution 5. PROJECT IMPLEMENTATION AND MONITORING COMPLIANCE WITH COLLABORATION WITH OTHER GOVERNMENT AGENCIES Ops Lumpur Programs Jawatankuasa Penyelaras Program Ops Lumpur –Task Force- For Iskandar Malaysia In July 2011, the Jawatankuasa Penyelaras Program Ops Lumpur –Task Force for Iskandar Malaysia was established to oversee the progress of implementing the erosion and sediment control plan (ESCP). The overall objective of the task force is transforming the growth in Iskandar Malaysia. The task force was led by the Department of Drainage and Irrigation and consists of the Department of Environment, five (5) Local Authorities in Iskandar Malaysia, Badan Kawalselia Air Johor, Biro Pengaduan Awam Negeri Johor, Department of Works with IRDA as the secretariat. The task force identified five (5) mega projects in Iskandar Malaysia. The compliance notice has been issued to the project proponent who did not comply with the regulation under the Act 127 - Environment Quality Act 1974, Section 31 and 37. 6. 3K (KEBERSIHAN, KECERIAAN & KEINDAHAN) PROGRAMS Promoting MS 1525: Memorandum of understanding between SIRIM Berhad & IRDA In December 2011, IRDA and SIRIM agreed to co-operate in promoting sustainable practices in Practice on Energy Efficiency for nonresidential buildings; and initiatives on energy management and renewable energy towards the development and establishment of Green Building Initiatives (GBI) at Iskandar Malaysia. The co-operation will be managed by a Steering Committee consisting of two representatives from each party which will be responsible for reviewing the progress of the technical co-operation. Community Participation Sungai Skudai This MoU was signed in the presence of Tuan Haji Nor Rashid, Vice President Corporate Division, SIRIM Berhad, Ismail Ibrahim, Chief Executive of IRDA and Mohamad Sa’elal, Head of Planning and Compliance, IRDA. MoU Ceremony between SIRIM and IRDA The Program Kebersihan dan Keceriaan Menerusi Pembabitan Masyarakat Sungai Skudai inaugural hand over was on May 14, 2011 at Taman Damai Jaya, Skudai, Johor. Y.B Datuk Ahmad Zahari bin Jamil, the Chairman, EXCO Housing, Local Government, Work and Public Amenities of the State of Johor was there to officiate the ceremony attended by over 5,000 residents in the vicinity of Taman Damai Jaya. Key benefits of 3K Program: • Continuing active involvement of the Taman Damai Jaya communities in maintaining the public park; • Improving the Sungai Skudai water quality by using Effective Micro-organisms; • Maintenance of the river reserves in a clean and visually stunning way; • Reduce vandalism activity as the Scouts have identified Taman Damai Jaya as their camping site. • Creating a sense of ownership of such areas by the community. 81 82 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance Local agenda 21 (LA 21) The Sustainable Development 3K Programme in collaboration with UTM and MBJB Picture 1,2: Site visit to Hutan Bandar for info searching. 7. HERITAGE AND CULTURAL PROGRAMMES ALAM BINA WARISAN KITA 2nd Series of Bicarawara “Alam Bina Warisan Kita” at Bangunan Sultan Ibrahim. Picture 3: Mudball’ in the making Local Agenda 21 is a programme for public, private sector and local authorities (PBTs) to work together to plan and manage their areas and their environments towards sustainable development and quality of life. As part of the Local Agenda 21 3K Programme (Kebersihan, Keindahan dan Keceriaan) for Iskandar Malaysia, IRDA also initiated the sustainable programme in collaboration with Universiti Teknologi Malaysia and Majlis Bandaraya Johor Bahru. LA 21 is seen as one of two steps to generate a quality generation in the success of the effectiveness of 3K. Hence, UTM students will implement the strategies to improve water quality consecutively to form the public parks and its surroundings as a natural recreational area. UTM will be engaged for a period of Three (3) Semesters starting from 12 September 2011 to 12 January 2012 (Semester 1) , 20 February 2012 to 1 July 2012 (Semester II) and 12 September 2012 to 12 January 2013 (Semester III) in relation to the Project. The Area Character Statement Blueprint was endorsed in the AIC meeting on 23 August 2010. One of the three quick wins identified for the blueprint is the discourse of Johor Story, renamed to Bicarawara. This year the 2nd series of Bicarawara “Alam Bina Warisan Kita” was held on 18 April 2011 in conjunction with World Heritage Day. Featuring 8 speakers from various backgrounds, the Bicarawara was the platform to exchange ideas and to instil the Johorean “jati diri”; it also created public and private sector appreciation and to encourage participation in preserving the cultural, architectural and natural heritage of Johor. Key focus: 1. the importance of preserving and enhancing valuable aspects of our heritage and built environment. 2. to create greater awareness and appreciation from the public and private sector. 3. conserve Johor’s architectural, cultural and natural heritage while developing Iskandar Malaysia. 200 participants which include administrators, corporate, professionals and the public and society attended the bicarawara 2nd series. 83 84 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance 8. ISKANDAR MALAYSIA CORRIDOR & CITY TRANSFORMATION PROGRAMME Johor Bahru City, City Rejuvenation and Revitalisation Lab formally commenced in September 2011 with active participation and involvement from various public and private sectors. Among the biggest challenge in developing Johor Bahru are the strategies to resolve further deterioration of key waterways with runaway pollution levels, destruction of heritage buildings, inadequate public amenities as well as competition in development from other four flagship zones. • KRA 1: Sg Segget River Revitalisation The Sungai Segget Revitalisation programme will cover three main initiatives in order to resolve pollution issues and upgrade the water quality from Class III and IV to Class II. The three initiatives are: - Sg Segget City Sewerage Treatment Plan (STP) which aims to provide sewerage treatment plan and improve river’s water quality. - Sg Segget Flood Mitigation System aims to alleviate floods in the city and tackle the recurrence of flash flood. Refurbishment and beautification of Jalan Wong Ah Fook will upgrade the overall city’s landscape with anticipated participation from private sector. Three key areas have been identified for Johor Bahru City Centre under City Rejuvenation and Revitalisation Lab based on the three fundamentals of: • Improvements in the quality of the coastal waters and shoreline • Optimisation of inherent heritage and culture as an economic asset • City enhancement for a liveable environment 11 Key Result Areas with 25 projects were identified to leverage upon the existing opportunities which include proximity to Singapore and the richness of heritage and cultural assets of Johor. Masterplan and Projects Location • KRA 2: City Drainage Sg Ayer Molek channel need to be improved as it is currently contributing to the recurrence of flash flood in JB City. Similar to the situation in Sg Segget, the water quality in Sg Ayer Molek is now in Class III and Class IV. Two immediate initiatives to improve drainage system are: - Sg Ayer Molek Flood Mitigation System which aims to improve the existing channel and raise river capacity - Sg Ayer Molek Sewerage Network System to implement a proper sewerage system for the catchment • KRA 3: City Cleansing and Maintenance Two initiatives have been identified to ensure cleaner surroundings in JB City: - Relocation of back lane hawkers along Jalan Meldrum to Meldrum Food Village, a two-acre plot for a hygienic food court within city centre - Provision of oil and grease trap at the source of pollution to control water contamination from food and beverages business and car workshops In order to address the fundamental issues of JBCC, 6 KRAs were listed to address the issue of Urban Decay in Johor Bahru. 85 • KRA 4: Enhancing Information and Communications Technology (ICT) Connectivity - Improvement of internet access for visitors, public, government and business sectors within Johor Bahru City Centre will attract potential investors and developers to further enhance the economic activity. 86 Iskandar Regional Development Authority Annual Report 2011 Planning & Compliance • KRA 5: Refurbishing buildings and public places The refurbishment of historical and heritage buildings will increase city’s offerings to tourists thus improve the tourism activities within the city. Three projects have been identified to further promote the existing Johor heritage and culture. - Restoration and reuse of Bangunan Sultan Ibrahim as tourist and culture centre as platform to promote intangible heritage activities in Johor. - Restoration of KTMB Building to become a Train Museum which will be an efficient usage of the site and prevent it from dilapidation. - Upgrading of the existing royal garden to Botanical Garden to increase its potential in attracting visitors as well as major public space for city dwellers. • KRA 6: Creating a walkable and safe city Safe pedestrians’ walkways are the essence to improve the surrounding environment of JB City. Improvement of connectivity between major areas in the city will ease the congestion issue, offer comfort and safety for pedestrians. To increase accessibility three initiatives were identified: - Building connector for JB Sentral-KOMTAR-MATEX Persada to further improve accessibility as well as enhance the economic activity. - Pedestrian skyways along Jalan Siu Chin to Jalan Ungku Puan to increase tourism-related activities. - High Mast lighting at hot spots area will discourage street crime as well as brighten the surrounding of the city Flagship Development FOCUS ATTENTION ON DEVELOPMENT OF THE FLAGSHIP ZONES In January 2011, IRDA set up the Flagship Development (FD) Division “to close the gap between the high-level strategic planning, facilitation and promotion and the on-the-ground driving of economic growths within the Flagship Zones which in turn will become the nucleus of growth for the whole of Iskandar Malaysia.” Key objectives of flagship development are to be the: • “Main Driver” for enhanced economic growth in all Flagships; • “Flagship Developer” to initiate, focus and expedite economic growth of Flagships D & E; and • Partner to existing “Flagship Developers” in supporting and enhancing development in Flagships A, B & C Joint Transformation Forums (JTF) To date, FD has initiated the formation of Joint Transformation Forums (JTF) for Flagship D and E as well as the Nusajaya Transformation Forum comprising of key developers and players within each Flagship to jointly plan, strategize and drive transformation program at the macro level as well as to resolve issues and road blocks at the micro level. FD is also embarking on JTF for Enablers with various agencies and authorities as platforms to coordinate, facilitate and implement at 3 feet from the ground. Publications Flagship Development Division has also collaborated with reputable parties in coming up with serial publications such as “Iskandar Malaysia Map 2011” with Messrs Ho Chin Soon Research Sdn Bhd, and “Inside Iskandar Quarterly Property Digest” with Messrs Savills Rahim & Co, an international firm of property consultants. These two publications can assist investors both existing and potential in making timely and well-informed decisions based on researched market data and trends related to land and property. The Wealth of Iskandar Malaysia (TWOIM) Conference 2011 87 * High Resolution photo required As part of its efforts to disseminate authoritative information on the developments within the Flagship Zones and their benefits to the local communities, Flagship Development Division jointly organised this 2-day international conference with The Royal Institution of Surveyors Malaysia (RISM) with other co-organisers including the State Economic Planning Unit or UPEN Johor, Universiti Teknologi Malaysia (UTM) and the Royal Institution of Chartered Surveyors (RICS). A Gala Dinner graced by YAB Tun Musa Hitam was held in conjunction with this conference as well as an optional technical visit on the 3rd day to project sites as well as Tanjung Piai Forest Reserve. The conference was attended by over 300 participants whilst the dinner garnered 600 pax. 88 Iskandar Regional Development Authority Annual Report 2011 Information & Communications Technology (ICT) BROADBAND COMMITTEE ICT PROGRAM AWARENESS FOR SME AND INDUSTRY In the year 2007, the Government of Malaysia signed a Public Private Partnership (PPP) agreement with Telekom Malaysia Berhad (TM) to roll out the high speed broadband infrastructure at selected areas. The project was initially called the High Speed Broadband (HSBB) Project, but was subsequently branded as UniFi by TM. In rural areas, the Government targets to bridge the digital divide by expanding the broadband and cellular coverage under the Universal Service Provision (USP) initiative that is charged under the Malaysian Communication and Multimedia Commission (MCMC). In high economic impact areas such as Iskandar Malaysia, broadband services are targeted to be upgraded to provide broadband bandwidth of up to 20Mbps to residential areas and up to 1Gbps to industrial areas. IRDA has jointly organised 4 programs throughout 2011 on seminars for leveraging on ICT for businesses as well as briefing on new technologies such as: In order to improve the attractiveness of the online content, efforts are being focused to enhance and promote e-Government, e-Education and e-Commerce. Efforts are also on the way to digitalise the traditional information resources such as library, archive, etc. to be available online. The affordability factor and bridging the digital divide is being improved by developing various incentives to reduce the broadband access costs and widening the community access. Broadband is one of the enablers for a knowledge-based economy. With the implementation of broadband and achieving the 50% target, it has a potential to create 135,000 new high value jobs in the ICT sector. The implementation of broadband services will also create a spin-off effect in other sectors such as engineering, local content development and broadcasting. IRDA, as the secretariat of the Broadband Committee in Iskandar Malaysia which is co-chaired by the MCMC and the Johor State Government through the Johor State Economic Planning Unit (UPEN), conducts a meeting on a quarterly basis. The main objective in the committee formation is to ensure that the broadband penetration rate in the state of Johor and Iskandar Malaysia is according to plan, and to resolve any issues faced by the Service Providers in the best possible resolutions promptly. In summary, Johor achieved 60.4% household broadband penetration by the end of 2011 an increase of 8.9% compared to 2010. GOVERNMENT REGIONAL ELECTRONIC ADVANCEMENT TRANSFORMATION The GREAT (Government Regional Electronic Advancement Transformation) initiative in Iskandar Malaysia is an extension of the eKL project that is rolled out to all 5 economic corridors in Malaysia. Iskandar Malaysia has the privilege of being the 1st economic corridor to be deployed with the GREAT initiative. The objective of the GREAT initiative is to enhance the efficiency and quality of the various government agency services to the business community and to the people at large. 1. Leveraging the Internet to grow your business (14 June 2011) Jointly organised with ICT Association Johor and Entrepreneur Platform 3. Gaining Competetive Edge in this era (11 November 2011) Jointly organised with ICT Association Johor 2. WOW Vision Malaysia Roadshow & ICONapps (13 September 2011) Jointly organised with WOW Vision and MDeC 4. SimIT Open Source Activity introduction (24 December 2011) Jointly organised with ICT Association Johor Additionally, the event is a platform for the industry to share their ideas and thoughts on business models, new trends, changing consumer expectation and other matters WIRELESS Wireless @ IMIC is a proof of concept, and to kick-off to the larger scale project of Wireless @ Iskandar. Wireless @ IMIC aims to provide free wireless to the community at the Iskandar Malaysia Information Centre, and Danga Bay area and was launched on 20th July 2011. It is done in collaboration with Pernec Corporation Berhad. Currently, the Wireless @ IMIC is using Telekom Malaysia’s UniFi 20Mbps, and the system is catered for 100 users at one time. SMART SCHOOL 2.0 ROLLOUT The Smart School program was initially a program by the Multimedia Development Corporation (MDeC) to improve and enhance the ICT utilisation within schools is Malaysia. As Iskandar Malaysia aspires to become an educational hub for the region, MDeC’s knowledge and expertise in smart schools and utilising ICT in education has proved to be an invaluable asset. On 19 October 2011, an MoU was signed between IRDA and MDeC to collaborate on enhancing 50 schools within the Iskandar Malaysia region to align on the aspiration. The initial target for the year 2012 would be to improve the Smart School Quality Standards of the 50 targetted schools from 3 stars to at least a 4 stars rating. After gathering user requirements from IRDA and various state as well as federal agencies, MAMPU and their appointed vendor, Brilliance Information, proceeded to create a prototype of the GREAT system, Investor Medium Portal and Investor Monitoring System. The Investor Medium Portal and Investor Monitoring System will be utilised by IRDA and potentially by other economic corridors in Malaysia. The GREAT initiative will enable various government and technical agencies such as JPBD, JAS, JKR, JPS, Bomba, SKMM, SAJH and local authorities to collaborate efficiently with the end goal of reducing the time required to process any application / requests. 89 90 Iskandar Regional Development Authority Annual Report 2011 Social Inclusiveness Social Development 91 93 - 106 92 Iskandar Regional Development Authority Annual Report 2011 Social Development Social development vision - A prosperous and harmonious community underpinned by social inclusion and equitable wealth sharing. ii. 1Malaysia Programme – English Classroom Training The realisation of the vision requires strategic intervention at two levels, namely Participation or Involvement in Socio-Economic Activities and Participatory Preparedness. These interventions are then translated into initiatives and programmes which are grouped into Human Capital, Economic Inclusion, Social Inclusion, Community Development and Improvement in Quality of Life. Quality of Life improvement includes programmes in the areas of Housing and Safety and Security. HUMAN CAPITAL 30,000 52.43% >90% 30,000 locals trained to immediately support catalytic projects job-matching percentage from Career Fairs hiring rate for participants of Pre-Employment Programme (graduates and school leavers) Immediate new jobs created - Year 2011 to 2012 This programme is conducted in collaboration with community college to enhance English proficiency among front-liners in Iskandar Malaysia to develop a positive image of our frontliners amongst tourists. Outcome: A total of 86 participants attended the program, and 100% of them were satisfied with the training. iii. Karnival Kerjaya, Perniagaan dan Kemahiran (KEPAK) The development of human capital in Iskandar Malaysia is implemented through projects and initiatives based on the Iskandar Malaysia Human Capital Blueprint to ensure a ready and sustainable supply of talent for the growing employment demands. Many projects and initiatives have been conducted in year 2011 in collaboration with various stakeholders including government ministries and agencies, Johor state government and industry players to close the gap between supply and demand of talent within Iskandar Malaysia. Key projects and initiatives implemented in 2011 are i. Collaboration with PTPK and FeMAC IRDA in collaboration with Johor State Economic Planning Unit, has conducted the first and largest ever integrated outreach programme; KEPAK 2011 at PERSADA International Convention Centre Johor from 23rd to 26th June 2011. Outcome: Visited by approximately 40,000 visitors with 47% jobs matching ratio achieved. Approval from Perbadanan Tabung Pembangunan Kemahiran (PTPK) for RM16 Million loan to 950 trainees to be trained up to Sijil Kemahiran Malaysia (SKM) Level 1 & 2 within a year. Outcome: Upon completion of their SKM 1 & 2, they will be placed at Legoland Malaysia, Puteri Harbour Indoor Theme Park and other international hotels in Iskandar Malaysia. 93 94 Iskandar Regional Development Authority Annual Report 2011 Social Development Efforts were put into upgrading and strengthening Bumiputera entrepreneurs in Iskandar Malaysia to be more competitive and resilient and able to compete locally and globally. Key projects and initiatives implemented in 2011 are:. i. Smart Biz Kid iv. Human Resource (HR) Networking This programme is a collaboration between Iskandar Regional Development Authority (IRDA) and two agencies under the Ministry of Human Resource (MOHR), i.e; Labour Department - JobsMalaysia and Department of Skills Development. It is formed to enhance collaboration and networking among the Human Resource practitioners to enhance the organisations in the areas of human capital and talent management. This is key as strong collaboration is necessary to face challenges in developing, attracting and retaining talents through knowledge sharing and seminars and talks by prominent and experienced speakers. Outcome: About 70 Human Resource Heads and practitioners from various sectors within Iskandar Malaysia region have joined the network activities and plans to have a scheduled meet ups quarterly. This will develop, attract, and retain the best talents in Iskandar Malaysia This programme was a collaborative effort between Bistari Young, Johor Corporation and Iskandar Regional Development Authority(IRDA) and was held on 20th August 2011 to give exposure to those aged between 13-17 years old (Form 1-5) on the basic concept of entrepreneurship. Outcome: More than 70 young entrepreneurs and 38 participants from the NGOs, supporting entreprenuers and government agencies attended the programme ii. SME Networking Programme v. National Talent Enhancement Programme (NTEP) This programme is a government driven initiative to accelerate development of skilled workforce through partnership with the industry. It is a 12-month attachment programme to increase the employability and marketability of graduates in the engineering field. Outcome: PEMANDU, as the driver of this programme has allocated placement opportunities for 100 participants in Iskandar Malaysia. For this programme, the Government will contribute a maximum of RM1,000.00 per participant per month towards salary or allowance payment for the participants who are undergoing the attachment and development programme with registered participating employers or companies. ECONOMIC INCLUSION 95 30 70 85% SME companies received book keeping services and new consultancy companies formed by fresh graduates Franchisees to be Participants of developed under Franchisee Basic IRDA-PNS MOU Course certified by KPDNKK 30 - 100% 1,200 Sales increase amongst 60 participants of Iskandar Commercial Internet Enterpreneurship Program Registered companies in Iskandar Commercial Portal (ICP) Through collaboration with US Government and Warisan Global Sdn Bhd, talks on “International SME Networking Program” and “Key Ingredients for Entrepreneurial Success: Vision, Priorities and Communication” was organised on 24 June and 9 November 2011 respectively. These sessions were organized to increase the number of entrepreneurs with potentials to expand their businesses in the international market via international SME networking tools. Outcome: Approximately 300 entrepreneurs attended the seminars. 96 Iskandar Regional Development Authority Annual Report 2011 Social Development iii. New Media and Digital Content Ecosystem Program v. Iskandar Malaysia Set (Book Keeping Services) This programme is a tripartite collaboration between National Entrepreneur Federation(NEF), Telekom Malaysia(TM) and Bank Simpanan Nasional (BSN) to unearth creative technopreneurs and companies associated with the creative industries and ICT. It was held on 25th July 2011 with more than 70 participants attended this programme. Through collaboration with MITI, IRDA has conducted a programme to assist new SME companies by providing free one (1) year book keeping consultancy services. This consultancy service is given by fresh graduates entrepreneus whose contract is paid by MITI. Outcome: Selected participants were offered to collaborate with Telekom Malaysia (TM) after the issuance of “Letter of Interest” to buy the content from TM. They are also eligible to receive financial assistance from BSN-Creative Industry Fund which has an allocation of RM120 million. Outcome: 30 SME companies received book keeping services and 30 new consultancy companies formed by fresh graduates vi. Iskandar Commercial Internet Entrepreneurship Program iv. Seminar Keusahawanan Siswazah Iskandar Malaysia Through collaboration with Perbadanan Usahawanan Nasional Berhad (PUNB), a seminar for graduate entrepreneurs was held on 20 August 2011 at M-Suite Hotel, Johor Bahru to help Bumiputera entrepreneurs to get financial assistance and providing pre-operational service, managing account and consultancy service to those potential entrepreneurs. Outcome: More than 200 participants attended this programme which includes young graduates and undergraduates. 15 people have taken the “entrepreneurship test” for the “Skim PROSPER Siswazah” and 11 participants were selected to be interviewed for PERANTIS program. 97 IRDA, in collaboration with MDeC, has conducted a programme called the Iskandar Commercial Internet Entrepreneurship Program for local entrepreneurs to help small enterprises to develop their marketing enabler; “online marketing tool” to enhance their product marketability, product exposure, brand and sales via the Internet. Outcome: About 60 participants/companies have been selected to attend the programme and about 30% - 100% increase in sales have been observed after a few months of their product/corporate websites were put online. 98 Iskandar Regional Development Authority Annual Report 2011 Social Development vii.Franchise Development Program The targeted youths are school leavers that did not get the opportunity to pursue their studies in any higher learning institute or school dropouts. Upon completion of this programme, the students received “Sijil Kecekapan Kemahiran” from CIDB which will certify them as skilled workers. 140 school leavers were involved in refurbishing and repainting 4,200 units of lowcost flats in Larkin Perdana, Taman Cempaka and Taman Melor. Outcome: 140 local youths certified as semi skilled workers by Construction Industry Development Board (CIDB) and 4,200 units of low cost flats were refurbished and repainted. The maintenance fees collection for the flats also increased by 50% after completion of the project. ii. Racial Integration Programmes In March 2011, IRDA signed a Memorandum of Collaboration with Perbadanan Nasional Berhad (PNS) to develop 70 franchisees in Johor, including from Iskandar Malaysia in various franchise businesses. Series of talks and advisory programmes for approximately 100 SMEs about franchise business were conducted to create awareness and guidance to them. a. Language Class (Mandarin and Tamil) Outcome: 85 entrepreneurs completed the franchise course and were certified. SOCIAL INCLUSION 40 140 3,500 >50% 1,000 Orang Asli youths trained in construction industry and certified by CIDB Local youths trained and certified by CIDB Families (10,000 people) in dilapidated lowcost flats now living in a better environment Increase in maintenance fees collection of low-cost flats Participate in Racial Integration Programme i. Skills Development Program in Construction and Maintenance Belia Tempatan Mahir (BERTAM) One key component to facilitate racial harmony is through learning other languages for us to better understand the cultures around us. Through collaboration with Community College and Integration and Unity Department and via Latihan 1Malaysia, we have conducted Mandarin language classes for the community at large. The classes were conducted form June to October 2011. Outcome: About 200 people have registered and completed the 32 hour classes. b. Paintball Tournament 99 100 Iskandar Regional Development Authority Annual Report 2011 Social Development Collaboration with Johor Paintball to enhance public awareness on racial integration, promote interaction and networking amongst various races and entice public participation through sports. Outcome: 20 teams consisting of 100 participants from various races took part in this tournament on 19 June 2011. COMMUNITY DEVELOPMENT 6 >2000 91% Collaborative ‘Quickwin’ community projects identified Students attended career talk and exposure programme Discipline improvement amongst students who attended Motivation and Mindset Change Program c. Iskandar Puteri Heritage Race i. Iskandar Malaysia Sustainability Framework A change of mindset is necessary for stakeholders to participate and commit to making the vision of Iskandar Malaysia a reality. The Iskandar Malaysia sustainability framework, developed by various stakeholders serves two purposes which is to get everyone to look at the same big picture. Outcome: Participants agreed on 6 collaborative ‘Quickwins’ community projects that would help achieve the framework’s objectives, thus demonstrating effective cooperation between the public, private and community sectors. The 6 projects will be executed in 2012. Organised in conjunction with the JB Arts Festival to enhance public awareness on racial integration, promote sense of belonging and entice public participation through their interest in heritage and fun activities. Outcome: Attracted more than 300 contestants from all races. d. Iskandar Malaysia Photography Contest Themed “Colors of ISKANDAR MALAYSIA” this inaugural contest was organised in collaboration with Persatuan Senifoto Johor (PSJ) and JOHO club in the month of December 2011. One of the categories in this contest is racial harmony or ‘muhibbah’ to depict the spirit of unity amongst various races in Iskandar Malaysia ii. Career Talk and Exposure Programme This programme was conducted to provide a useful and practical platform for students in developing their future career path through exposure of particular career options available in Iskandar Malaysia Outcome: More than 2,000 secondary school students from selected schools in Iskandar Malaysia participated in the programme. iii. Motivation and Mindset Change Programme Participants attending the programme Outcome: Some 600 photographs submitted by the contestants. The winning photos were then exhibited at Bangunan Merah, Jalan Tian Hiok Nee to enhance awareness and appreciation amongst locals on the importance of racial harmony. e. Flavours of Iskandar Malaysia This cooking contest was organised in collaboration with KFC International College to have contestants whip up their own creation of 1Malaysia menu. Outcome: The winner was selected based on the menu that best represents the spirit of racial harmony and best flavours, through voting of invited 100 spectators from various races. This programme is to equip the students with the right mindset and learning techniques to improve their academic achievement and personal development 600 medium and low performing UPSR, PMR and SPM candidates from low income families were selected to undergo the pilot programme of Motivational and Mindset Change Programme. 50 teachers were selected as change agents to assist the students in school and monitor their progress after attending our programme. Outcome: The average academic improvement percentage after the one-year programme is 56% and discipline improvement is 91%. 101 102 Iskandar Regional Development Authority Annual Report 2011 Social Development iii. CTV Surveillance SAFETY & SECURITY 15 53% 942 CPPs have been completed CPPs already in operation Auxiliary Police approved for Iskandar Malaysia Proposed sites for 1,467 CCTV are mapped on GIS for spatial view against current CCTV location and hot spots IRDA has commissioned the Safety and Security Blueprint to assist the public sector, private sector and community to work together in building a safe and secure environment. The Blueprint establishes a vision for Safety and Security in Iskandar Malaysia that shares responsibility for achieving key goals, commencing with an intensive effort at coordination and integration. A number of initiatives have been taken to combat crime and some of the existing measures have yielded success – total crime rate in Iskandar Malaysia was reduced by 15% from 2009 to 2011 while street crime fell 49% over the same period. i. Community Police Post (CPP) The CCTV study was commissioned in October 2010 and completed in May 2011 Outcome: A total of 196 CCTV cameras have been installed at public places bringing the total number of CCTV cameras in Iskandar Malaysia to be around 180,000. Note: The implementation stage of the CCTV had to be postponed in view of funding unavailability. A community police effort to prevent crime in its locality. Outcome: A total of 15 Community Police Posts were completed and handed over to PDRM for operation throughout 2011. ii. Auxiliary Police In line with augmentation of police force to work toward police to population ratio of 1:250, IRDA actively pursues to engage Auxiliary Police within Iskandar Malaysia. Outcome: One battalion of 942 Auxiliary Police for Iskandar Malaysia was approved by PDRM Bukit Aman on 19 April 2011. A special purpose vehicle to run the Auxiliary Police was incorporated in August 2011 under the name of IMSEC Sdn Bhd. iv. Corridor & City Crime Lab Two representatives from IRDA participated fully at the PEMANDU Regional Corridor and City Crime Lab from 12 September to 4 November 2011. A total of 10 initiatives which are in line with Iskandar Malaysia Safety & Security Blueprint were proposed by the lab members with the total cost of RM3.05 billion spreading the implementation up to year 2020. Outcome: In December 2011, the Government has allocated RM30 million to kick start the implementation of CCTV installation, one of the 10 initiatives. v. Other Initiatives IRDA also participated actively in the Safe City Programme led by the Yang DiPertua of all the Local Authorities in Iskandar Malaysia, as dictated by the NKRA Crime Reducing initiatives. The rollout of 5 out of 15 Safe City initiatives across the Local Authorities in Iskandar Malaysia will also mean the implementation of of the Safety & Security Blueprint programmes. The Safety & Security conferences at Pasir Gudang was held in December 2011 in line with the Safety & Security Blueprint programmes. The second Safety & Security conference was successfully held in March 2011 in Johor Bahru whilst the third conference was held in Pasir Gudang in December 2011. 103 104 Iskandar Regional Development Authority Annual Report 2011 Social Development HOUSING AND SPATIAL 924 2,720 10,000 Units of public housing completed (out of 1,500) Units for squatters relocation along Sg Tebrau (75% completed) Foreign workers can be accommodated in 3 Foreign Workers’ Enclaves Creating a strong and cohesive community where every member experiences a sense of belonging and enjoys an equitable share of its wealth begins with the planning and design of the physical spaces occupied by the members of the community. This group of initiatives aspires to build a caring society where the needs of the less fortunate are met, promote a sense of belonging through the minimisation of both social and economic stratification, encourage a more balanced ethnic distribution by minimising the concentration of any one particular ethnic group and ensure a healthy and safe living environment through the provision of housing for its transient population. ii. Foreign Workers Enclaves Program An initiative under the Iskandar Malaysia Safety and Security Framework, the Foreign Workers’ Enclaves Program is a long-term plan to mitigate the risks associated with foreign workers over issues of security, safety, health and the environment. It also aims to improve the housing and welfare of the 150,000 projected foreign workers in Iskandar Malaysia until 2025. The program is a collaborative effort between IRDA, the Johor State Government and the five Local Authorities in Iskandar Malaysia. This effort is further strengthened with participation from the Johor State Town and Country Planning Department, the Royal Malaysian Police, Immigration Department, Department of Labour, Malaysian Fire and Rescue Department and Health Department. In 2009, 2 enclaves commenced in operations in Nusajaya and Skudai. Outcome: In 2011, a new enclave was launched in Taman Perjiranan 8, Perjiranan Air Biru, Pasir Gudang, comprising of 10 apartment blocks rented from Majlis Perbandaran Pasir Gudang. The 10 blocks will accommodate 3,024 workers and the first 4 blocks were fully refurbished in June 2011. Each unit is fully furnished with double-decker beds, steel lockers, dining table and chairs, television and cabinet, kitchen rack with stove, fridge, ceiling and wall fans in each room. i. Rumah Iskandar Malaysia iii. Squatters Relocation Project for Sungai Tebrau Rumah Iskandar Malaysia Rumah Iskandar Malaysia formerly known as Perumahan Rakyat Iskandar Malaysia (PRISMA) is a showcase for the new implementation of public housing in Iskandar Malaysia with medium density housing of 25 units per acre. It will have New Design Elements that emphasizes more open spaces, with community facilities like kindergarten, surau, football fields, tennis court and community hall. The objective is to build a better and improved quality rental housing in IM with improved public facilities in conducive living environment. In total of 1500 units of houses the development will be in the form of low-rise three (3) and four (4) storey walk-up apartment with minimum 900 sq ft build up. Each unit will have three (3) standard size bedrooms with two (2) baths, with adequate finish and amenities. A total of 30 units will be OKU friendly situated in the ground floor of each block. This development will be designed to Crime Prevention Through Environmental Design (CPTED) Standard for safety and security, eco-friendly and promote interaction among the community members especially amongst the youth and active population. Under RMK9, RM303 million have been approved and allocated for the squatters within the vicinity of Sungai Tebrau. This project is part of IRDA’s river cleaning program to ensure Sungai Tebrau is free of pollutants upon completion. The project involves the relocation of 9 villages comprising of 2720 families into newly built apartments within the same area. The villages are Kg. Bakar Batu, Kg. Desa Jaya, Kg. Desa Melayu, Kg. Desa Makmur, Kg. Tengah, Kg. Bunga Raya, Kg. Tok Siak, Kg. Dato’ Hjh Hasnah and Kg. Belantik. Outcome: As of end of December 2011, the overall percentage of completion is 75%, which is ahead of schedule. It is targeted to be fully completed by September 2013. Outcome: Plot A (924 units) has fully completed by end December 2011 and will be operational by April 2012. This project will be managed by a Special Purpose Vehicle (SPV), Prisma Harta Sdn Bhd, a 100% wholly owned subsidiary of IRDA. 105 106 Iskandar Regional Development Authority Annual Report 2011 Investment & Promotion Economics and Business Iskandar Service Centre Strategic Communications 107 109 - 114 115 - 118 119 - 122 108 Iskandar Regional Development Authority Annual Report 2011 Economics and Business 1.7% 1.5% 0.5% 1.3% 2.4% COMMITTED INVESTMENTS Iskandar Malaysia is currently in Phase 2 of the Comprehensive Development Plan which spans from 2011 to 2015 with an investment target of RM73 billion. In 2011, Iskandar Malaysia managed to attract new committed investments amounting to RM15 billion. Manufacturing 36.8% 4% Properties 32.2% 4.6% Utilities 7.6% Government 7.4% 7.4% 36.8% Petrochem / Logistics 4.6% Port / Logistics 4.0% 7.6% Tourism 2.4% Education 1.7% Healthcare 1.5% 32.2% Creative 0.5% Others 1.3% Total cumulative committed investment in Iskandar Malaysia by sector from 2006 to Dec 2011 (in %) This brings the total cumulative committed investment in Iskandar Malaysia to approximately RM85 billion for the period of 2006 to 2011. Moving forward, global headwinds such as the European debt crisis is expected to slow down economic activities. Iskandar Malaysia will continue to review and adjust its investment and marketing strategy to target markets and industries which can contribute effectively to the development of Iskandar Malaysia. Cumulative Committed Year-on-Year RM (billion) 90 84.78 80 69.48 70 60 55.56 50 6.28 6.83 30 25.80 20 0 109 27.30 21.83 41.75 40 10 6.28 6.28 5.80 11.30 8.17 16.52 19.98 14.45 9.11 5.05 7.10 1.0 5.80 5.50 11.90 21.70 23.65 26.92 31.22 2006 2007 2008 2009 2010 2011 Manufacturing Utilities, Tourism & Others Government Committed Investment Properties 110 Iskandar Regional Development Authority Annual Report 2011 Economics and Business ENGAGING THE BUSINESS COMMUNITY – IM BIZWATCH The IM BizWatch is our monthly e-news covering not only the economic and social developments within Iskandar Malaysia but also various issues that would have an impact to Iskandar Malaysia. For the year under review, 12 monthly editions of IM BizWatch have been issued with an additional three special editions that covered specific sectors namely tourism, education and property. INVEST ISKANDAR MALAYSIA - INVESTMENT GUIDES ON THE 9 KEY ECONOMIC SECTORS TRADE AND INVESTMENT MISSIONS, CONFERENCE AND ETC In its effort to attract investments into Iskandar Malaysia, IRDA has been continuously participating in trade and investment missions led by Ministry of International Trade & Industry (MITI), Malaysia Investment Development Authority (MIDA) and Malaysia External Trade Development Corporation (MATRADE). In 2011, IRDA has participated in several trade and investment missions to various countries including Abu Dhabi, India, South Korea, Houston (USA), Brunei, United Kingdom, Denmark, Japan (Tokyo and Osaka), Milan (Italy), Stockholm (Sweden) and Oslo (Norway). These trade and investment missions have proven to be fruitful as it served as a platform for IRDA to promote Iskandar Malaysia’s value propositions as a unique global investment destination of choice. Right: Trade and Investment Mission to Japan, Tokyo and Osaka (July 2011) Left: Trade and Investment Mission to South Korea (April 2011) The Iskandar Malaysia Investment Guide, as a part of IRDA’s effort to continuously stimulate the growth of the 9 promoted sectors in Iskandar Malaysia was launched by the Prime Minister in May 2011. The Iskandar Malaysia Investment Guides or “Sector Booklets” present a distinctive sector value proposition with in depth analysis of the each sector. The “Sector Booklets” feature Iskandar Malaysia’s growth aspirations with sector specific landscape, vision & strategies, trends & prospects, sector drivers, investment opportunities and tax incentives. It is envisaged that the publication of the “Sector Booklets” will provide clarity and allow validation of information for investors and stakeholders. 111 Right: Participation in SEMI Conference in Singapore (November 2011) Left: Trade and Investment Missions to Italy, Sweden and Norway (September 2011) Besides trade and investment missions, IRDA has also been invited to participate in conferences which give the opportunity to showcase Iskandar Malaysia as a preferred investment destination. 112 Iskandar Regional Development Authority Annual Report 2011 Economics and Business In order to attract new investors and to retain the existing ones, there is a need to engage directly and regularly with investors. The Investors’ Dialogue organised twice a year has proven to be an effective platforms which brings together investors and Government agencies. It helps build rapport and networking as well as being a conduit for the exchange of information and updates. In 2011, we organised the fifth and sixth series of Investors’ Dialogue which were held in June and December at The Zon Regency Hotel and Amansari Residence Resort respectively. The Investors’ Dialogue has been supported by key departments within IRDA together with several Federal and State agencies. External speakers from PEMANDU, a unit under the Prime Minister’s Department, Frost and Sullivan, Telekom Malaysia, Tenaga Nasional Berhad are among those invited to share information in the Investors’ Dialogue. More than 300 participants attended the Investors’ Dialogue sessions. PARTICIPATION IN THE SME AND REGIONAL CORRIDORS AND CITIES LAB BY PEMANDU We participated in the “Narrowing Disparities for BUMIPUTERA SME” lab in February to April 2011. The lab’s objective is to brainstorm and identify ways to nurture and develop Bumiputera SMEs to become ‘Bumiputera Corporate Champions’ (BCCs). Realising the importance of economic contribution from regional corridors including Iskandar Malaysia, PEMANDU, a unit under the Prime Minister’s Department organised the Corridors and City (CC) Lab from September to November 2011 aimed to strengthen the economy and to enhance the quality of life in the corridors and cities. Representatives from IRDA were selected and were gathered in various labs over an intense 8 week period to brainstorm on ways and means to identify economic projects which can bring in more economic benefits as well as to enhance the quality of living within the region. Corridors and City Lab SMALL MEDIUM ENTERPRISES (SMEs) DEVELOPMENT SMEs in Malaysia play a crucial role towards contributing to the nation’s GDP. They contributed about 31% of the nation’s GDP and 56% of the total employment in Malaysia in 2005. Realising the importance of SMEs towards the Malaysian economy, IRDA has been tasked together with the relevant agencies such as the SME Corporation with the objective to ensure that the development of SMEs within Iskandar Malaysia to a higher value chain will become a success. Thus, in order to achieve the said objective, IRDA together with the relevant agencies have organised “IM SME Dialogue” twice a year to keep the SMEs abreast with available business opportunities in Iskandar Malaysia. 113 ISKANDAR SERVICE CENTRE Since its establishment in 2007, the Iskandar Service Centre (ISC) has proven its effectiveness in providing timely comprehensive facilitation and processing services, which is one of the most critical components in determining the overall speed of development in Iskandar Malaysia. The ISC has continued to increase in both size and capacity in tandem with the number of enquiries it has received from investors and developers who are keen to participate in the development of Iskandar Malaysia. In essence, the ISC acts as a One Stop Centre offering facilitation services that cover both physical development (land, planning, infrastructure and building) as well as investment facilitation (business process, immigration matters, licensing and customs). 114 Iskandar Regional Development Authority Annual Report 2011 Iskandar Service Centre DEVELOPMENT PROCESS APPROVAL SERVICE LEVEL CHARTER (SLC) WITH TECHNICAL AGENCIES The timeline required in processing approvals has been further reduced by 20.06% from consolidated Service Charter in 2011 (19.29% in 2010). The improvement achieved by ISC was measured against the normal process of channelling the request to the respective government agencies. To reinforce the SOP, we have implemented a SLC with the various Technical Agencies involved in the Development Approvals process. Essentially, the SLC defines the timelines in which the Technical Agency would respond with their decision in respect to submission from ISC. As at 2011, we have managed to sign SLCs with the following Technical Agencies: 135 1. Pejabat Tanah Daerah Johor Bahru 2. Pejabat Tanah Daerah Kulaijaya 3. Pejabat Tanah Daerah Pontian 4. Jabatan Bandar dan Desa Negeri Johor 5. Jabatan Kerja Raya Negeri Johor 6. Jabatan Bomba dan Penyelamat Negeri Johor 7. Jabatan Alam Sekitar Negeri Johor 8. Jabatan Mineral dan Geosains Negeri Johor 9. Suruhanjaya Komunikasi dan Multimedia Malaysia 10. Tenaga Nasional Berhad 11. SAJ Holdings Sdn Bhd 12. Indah Water Konsortium Sdn. Bhd. 120 105 90 75 60 45 30 15 s tP as DP en nd pe De Committed Timeline (in working days) Left: Majlis Perbandaran Pasir Gudang s/ 10 Ik /D ht P1 isa 1 an Pl g Bu ild in e ur ct ru In Pl an ni fra st ng De nd La Pl io iss rm ve Pe lo Di nd La an n t en sp ra st gi Re nd La pm os tio al n 0 Right: Majlis Perbandaran Kulai Average Processing Days (in working days) STANDARD OPERATING PROCEDURE (SOP) WITH LOCAL AUTHORITIES (LA) A Standard Operational Procedure for development process applications has been our main tool to achieve approvals within 30 days timeline. The scope of SOP includes the submission of the following: Left: Majlis Daerah Pontian Right: Majlis Perbandaran Johor Bahru i. Planning permission plan ii. Road and Drainage plan iii. Building plan iv. Landscape plan and v. Compound lighting and street lighting plans The SOP is being used by the Local Authorities, ISC and the consultants who make the development applications. In August 2011, we have managed to expand the SOP to all LA in Iskandar Malaysia i.e. Majlis Bandaraya Johor Bahru (MBJB), Majlis Perbandaran Pasir Gudang (MPPG), Majlis Perbandaran Kulaijaya (MPKu) and Majlis Daerah Pontian (MDP) in addition to the SOP that we have with Majlis Perbandaran Johor Bahru Tengah (MPJBT). 115 116 Iskandar Regional Development Authority Annual Report 2011 Iskandar Service Centre MALAYSIAN AUTOMATED CLEARANCE SYSTEM (MACS) ISKANDAR MALAYSIA INFORMATION CENTRE (IMIC) Immigration Workgroup (IWG) has successfully launched Malaysian Automated Clearance System (MACS) to facilitate automated immigration clearance facilities for frequent travellers between Malaysia and Singapore at the respective CIQ Land checkpoints in Johor. Since its introduction in 2009, a total of 122,975 MACS applications were approved. Iskandar Malaysia Information Centre was established at the Danga Bay Convention Centre. This centre serves to provide an effective an interactive platform to communicate and engage with investors and the Iskandar Malaysia community at large. Since the day of its soft launching in June 2011, the Iskandar Malaysia Information Centre has received various guests be it as normal visitors / stakeholders or guests from events held at IMIC. Below is the breakdown of visitors received in IMIC from June until December 2011. Total number of MACS applications (2009 - 2011) 90000 Number of visitor (June - December 2011) 80000 70000 85,367 122,975 Approved 900 800 60000 700 50000 600 40000 500 36,168 30000 400 20000 300 10000 1,440 200 0 2009 2010 2011 100 0 APPOINTMENT OF IRDA AS AN APPROVING AGENCY FOR EXPATRIATE POST APPLICATION IN ISKANDAR MALAYSIA BY MINISTRY OF HOME AFFAIRS June July August September October November Decemebr In December 2011, Ministry of Home Affairs granted IRDA as an Approving Agency for Expatriate Post Application in Iskandar Malaysia with effect from Q 12012. Companies that are eligible to apply are as follows: i. IDR Status Company ii. Approved Developer iii. Approved Development Manager iv. Companies granted for Flagship Incentives Iskandar Malaysia (FIM) and any companies involved in development of Flagship Zones in Iskandar Malaysia. v. Project/development involves 6 main sector categories as major and strategic approved by IRDA. 117 118 Iskandar Regional Development Authority Annual Report 2011 Strategic Communications 1. MEDIA ISKANDAR MALAYSIA also gained worldwide publicity through exclusive print and broadcast interviews such as with Bloomberg, Infrastructure Focus Magazine, Le Petit Journal, AFP, The Daily Telegraph, Forbes, The Economist and Nikkei Japan Daily. On the Social Media front, ISKANDAR MALAYSIA’s Facebook profile (Iskandar Malaysia) currently has 2,002 friends and its fan page (Friends of Iskandar Malaysia) has 1,901 fans as at December 2011. Others The Media Team also produced a 186-page publication – The Happenings 2011 – which is a compilation of speeches, media release and media clippings, targeted at researchers, the media, and as a document of reference for the future generation. 2. STAKEHOLDER MANAGEMENT The Stakeholder Management team focuses on engaging different levels of stakeholders to achieve a common goal, which is to get the buy-in of the various stakeholders. Stakeholders include Commercial, Government, Educational Institutions, Embassies, Community and NonGovernmental Organisations. Cumulative 3000 attended visitor 2011 PR value from publicity and news coverage In 2011, ISKANDAR MALAYSIA continued to gain publicity and news coverage in the print media in Malaysia and Singapore by maintaining a PR value of RM29.8mil. The positive news generated, meanwhile, continued to escalate and increased from 96.6% in 2010 to 98% in 2011. This achievement is attributed to dedicated and committed efforts in branding and promoting ISKANDAR MALAYSIA through various communication channels, both locally and internationally. Throughout the year, there were a total of 111 engagements with the media (both domestic and international) and a total of 40 press releases were issued. Proactive media engagements were also part of the continuous relationship building and sustaining strategy encapsulated in the 2011 media plan to further boost media coverage throughout the year. Reaching out to Singapore’s media and others Efforts were made also to reach out more to the Singapore media – the two media giants Singapore Press Holdings (SPH) and Mediacorp Singapore - through coordinated visits, familiarisation trips and organised interviews between the Singapore media and the Chief Executive of IRDA. The local press were also appreciated through information sharing sessions and a pirate-themed 2011 Media Race and Appreciation Dinner. The Chief Executive of IRDA similarly hosted an engagement with the Foreign Correspondents Association in Singapore. 119 120 Iskandar Regional Development Authority Annual Report 2011 Strategic Communications Special visitors events Date 9 - 10 Feb 2011 10 Mar 2011 7 Apr 2011 16 & 30 Apr 2011 Visit Visit By UK Trade & Commission Of Britis High Commission In Malaysia Visit by Ambassador of Poland In Malaysia Ride for Charity With Youth (JOHO) Visit by High Commissioner of Canada 9 May 2011 Visit by MITI Minister, Y.B. Dato’ Sri Mustapa Mohamed 13 May 2011 The Branding efforts in 2011 continues to focus on international and local promotional initiatives to further increase both local and international investor awareness. Iskandar Malaysia continued brand advertising and write ups in US Airways, Property Report (SEA Magazine) and The Edge (Singapore and Malaysia). Iskandar Malaysia was also featured in the 1Malaysia Tourism Publication, Expat Magazine and Par Golf Magazine. Briefing to Senai Taxi Association 28 Apr 2011 12 - 13 May 2011 121 3. BRANDING & PROMOTIONS The Digital Media campaign began in May to December 2011 and has shown above-average performance in terms of click through rates (CTR) which is an industry standard measurement of effectiveness of digital campaigns. Visit by Ambassador of the United States in Malaysia Briefing on Iskandar Malaysia Latest Updates & Initiatives to Pegawai Daerah Johor Bahru, Penghulu-Penghulu, Pegawai-Pegawai Perhubungan Awam Majlis-Majlis Kerajaan Tempatan 16 May 2011 Malaysia Singapore Business Council (MSBC) 11 Jun 2011 Briefing & Dialogue Session With Peladang 26 Jul 2011 Briefing & Dialogue Session with Kelab Media & Radio Sekolah (KEMRAD) 15 Sep 2011 Visit By H.E. Mr. Songsak Saicheua, Minister And Deputy Head Of Mission, Royal Thai Embassy 20 Sep 2011 Visit by Ambassador & Head of Delegation of the European Commission Delegation in Malaysia 20 Sep 2011 Visit by MITI Deputy Minister, Y.B. Datuk Mukhriz Mahathir 27 Sep 2011 Visit by Ambassador of Iran in Malaysia 6 Oct 2011 Visit by Ambassador of Japan in Malaysia 10 Oct 2011 Visit by Ambassador of Sweden in Malaysia 14 Oct 2011 Visit by Universiti Utara Malaysia & Dialogue Session with Y.B. Dato Sri Utama Shahrir Abdul Samad 2 Nov 2011 Briefing to Koperasi Permodalan Melayu Negeri Johor (KPMNJ) 16 Nov 2011 Visit by Foreign Ambassadors Accredited in Singapore 11 Dec 2011 Prime Minister visit to Iskandar Malaysia 23 Dec 2011 Briefing to Pejabat Perbendaharaan Negeri Terengganu 28 Dec 2011 Briefing to Majlis Perbandaran Sg. Petani, Kedah Key activities 1. Platinum Sponsor Global Entrepolis Singapore 2. Iskandar Malaysia recognition 3. Prime Minister visit to Johor Premium Outlets, Puteri Harbour and Rumah Iskandar Malaysia Annual Report 2010 Calendar and Notebook 2011 122 Iskandar Regional Development Authority Annual Report 2011 Operational Support Human Capital Management Legal & Secretarial Services Corporate Performance Management Commissioner’s Office 123 125 - 126 127 128 - 129 130 124 Iskandar Regional Development Authority Annual Report 2011 Human Capital Management Culture Manpower As at end of 2011,IRDA employed 181 personnel, with 80% at the Executive level and 20% at the Non–Executive level. Internal Communications As part of IRDA’s initiatives to strengthen communications, quarterly gatherings of employees in Townhall sessions are held internally where the quarterly gathering of employees where the Chief Executive provides highlights and updates on IRDA’s performance, culture updates and the moving forward plans. The gathering also presents an opportunity for employees from all levels to have an open dialogue with the Chief Executive; as well as to make suggestions and raise questions. In essence, Townhall signifies IRDA’s commitment towards practising and nurturing our shared values International Standing, Engage, Enable, Envision and Integrity as the pillars of IRDA’s culture. 87% 77% IRDA Employee Engagement Index Malaysia Norm 85% Global High Performance Company Norm One of the initiatives to enhance communication is organising pulse lunches with employees, which provides an avenue for employees to show their views on how IRDA can continously improve. IRDA believes that culture is a key performance driver in meeting the organisation’s critical missions. Human Capital will continue to organise programmes on culture solution delivery to instill culture and values within the employees; in line with other ‘People Excellence’ initiatives. For the first time in 2011, Human Capital measured culture embedment through the Shared Value Index and IRDA scored 83%. This reflects high acceptance of the IRDA culture by the employees. Learning and Development Employee Engagement Yearly Employee Engagement Survey is important to IRDA as it is frequently linked not only to higher levels of employee retention, but also to superior level of organisation performance. In 2011, IRDA’s Employee Engagement Index recorded 87% against the Malaysia norm of 77% and against the Global High Performance Company Norm of 85%. In IRDA, the top drivers of engagement are Culture and Values, followed by Strategy, Directions and Objectives and Work Organization. The management is mindful of the comments, suggestions and expectations expressed in the survey and these were communicated to all employees. As a progressive and learning organisation, IRDA was given the privilege to co-host 2 programs involving world renowned speakers and global thought leaders. Stephen M.R. Covey was invited by IRDA to deliver a special keynote presentation on ‘Driving Economic Value Through the Speed of Trust’ in collaboration with The Johor State Government and Leadership Resources (Malaysia) Sdn. Bhd. and Dr Ram Charan on ‘Developing a country’s Talent Strategy’ in collaboration with Urban Forum (M) Sdn. Bhd. Both programs were attended by IRDA strategic partners from local organisations and overseas. IRDA is among the first organisation and Economic Corridor to implement the Continuing Professional Development (CPD) Credit Points in 2011 that emphasizes the importance of lifelong learning aimed at meeting employees’ needs through systematic improvement and broadening of knowledge,understanding,skills and the development of personal qualities which is necessary for the execution of professional duties including the acquisition of extended and expanded roles. The Continuos Development Development credit points covers, amongst others training programmes, culture initiatives, knowledge sharing, coaching, involvement in committees and participation in IRDA Led events. Thus, the CPD serves as a guide to meet the work standards and enhances the professionalism of IRDA’s employees. 125 126 Iskandar Regional Development Authority Annual Report 2011 Legal and Secretarial Services Corporate Performance Management OBJECTIVES OF LEGAL & SECRETARIAL SERVICES FUNCTIONS 1. To conduct and standardise Legal & Secretarial activities in IRDA; and 2. To ensure that all Legal & Secretarial tasks/activities are carried out according to operational procedures, efficiently and are well documented. LEGAL & SECRETARIAL SERVICES ACTIVITIES OVERVIEW Authority & Committee Management: a. Manage Members of the Authority (MoA) b. Manage Members of Executive Committee (EXCO) c. Manage Advisory Council (AC) d. Manage Members of Approvals and Implementation Committee (AIC) As a regional development authority, having a solid system of governance and high integrity core values is necessary to inspire investors’ confidence. To this end, IRDA has been very proactive in addressing the anticipated growth in the number of Special Purpose Vehicles (SPV) that will be set up to fulfill various operational requirements. SPV GOVERNANCE FRAMEWORK 2011 Strategic Projects Special Purpose Vehicle Governance Framework Corporate Governance Requirements Secretarial Services: a. Manage Common Seal b. Corporate Governance Management c. Meeting and Minutes Management Financial Policy & Procedures LEGAL & SECRETARIAL SERVICES 2011 ACHIEVEMENTS 127 The Corporate Performance Management (CPM) Division, which covers two key areas; Corporate Planning (CP) and Programme Management Office (PMO) continued to drive planning and performance excellence. The Spv governance framework is as below: Legal and Advisory Management: a. Appoint Legal Counsel b. Periodic Legal Counsel Performance Appraisal c. Contract Document Management d. Regulatory and Compliance 5th EXCO Meeting in Shangri-La Putrajaya 7th AIC Meeting at Bukit Timbalan, Johor Bahru 10th MOA Meeting at Prime Minister’s Office, Putrajaya 8th AIC Meeting at Kota Iskandar, Nusajaya 11th MOA Meeting at Prime Minister’s Office, Putrajaya Legal Awareness Programme: Talk on “Wasiat dan Harta Pusaka” by Amanah Raya Berhad Legal Awareness Programme: Talk on “Consumer Rights & The Consumer Claims Tribunal” by Ministry of Domestic Trade (Co-operatives and Consumerism) Legal Awareness Programme: Talk on “An Overview of The Competition Act 2010” by Malaysia Competition Commission (MyCC) 9th AIC Meeting at The Royale Bintang The Curve, Kuala Lumpur CORPORATE PERFORMANCE MANAGEMENT - 1 March 2011 31 March 2011 5 May 2011 15 August 2011 23 August 2011 17 October 2011 - 18 November 2011 • Procurement • Travel and Accommodation • Engaging a Consultant • Fraud Mitigation • Reporting • Asset Disposal Operations Policy & Procedures • • • • Roles and Responsibility Information Technology Occupational Health & Safety (OH&S) Self Assessment • People Management • Privacy and Confidentality • Employee and Industrial Relations (E&IR) Project Management • • • • Scope Management Milestone Management Deliverables Management Project Risk Management • Issues Management • Cost Management • Project Reporting - 21 November 2011 - 29 November 2011 128 Iskandar Regional Development Authority Annual Report 2011 Corporate Performance Management Commissioner’s Office In 2011, Corporate Performance Management managed a total of 36 Strategic Projects under 10 Programmes within its portfolio which ranged from blueprints development, infrastructure, economic, safety & security and social / human capital related projects. 10 programmes & 36 strategic projects 6 10 2 2 1 1 3 6 2 3 Iskandar Malaysia CDP Blueprints Maintenance & Operations Iskandar Malaysia Information Centre Investment & Marketing Area Character Statement Johor Bahru Transformation Public Housing Bus Industry Restructuring Roads Safety & Security Strategic Management through leadership talks Another key delivery of Corporate Performance Mangement was in the area of facilitating the introduction of strategic thinking amongst staff in line with IRDA’s shared values that emphasises on envisioning. In response to the dynamic and fast-changing external environment, wellrespected external speakers were invited to share thoughts and best practices in Strategic Management under the platform of Strategic Management Talk Series. These talks had provided different perspectives to strategic issues across various economic, management and social-related matters. Some of the speakers are En Nizar Idris, Tan Sri Sulaiman Mahbob, Pn Zainah Anuar and En Malik Imtiaz. ROLES OF COMMISSIONERS’ OFFICE The roles and responsibilities of the Commissioners’ Office is to expedite the issuance of approvals needed while ensuring all policies outlined at Federal and State levels are aligned. In 2011, the Commissioners’ Office had several engagements with various agencies particularly with the State and Federal agencies especially on matters related to Iskandar Malaysia. Activities include organising the Joint Ministerial Committee Lab in 2011. The Joint Ministerial Committee for Iskandar Malaysia has become the platform to further strengthen and foster bilateral cooperation between the two countries (Malaysia and Singapore) especially in areas of transportation links, immigration, tourism and environment. The JMC platform has led to the implementation of the Points of Agreement (POA) by both government of Malaysia and Singapore. An agreement was signed in 2011 by both Malaysia and Singapore to implement the Points of Agreement on Malayan Railway Land in Singapore between Government of Malaysia and Government of Singapore. The agreement has led to the relocation of the KTMB and Malaysian CIQ from Tanjong Pagar to Woodlands Train Checkpoint. 1. Identification of Key Stakeholders to take accountability in the Development of Iskandar Malaysia - Public Agencies 2. Create Shared Interest in Developing Iskandar Malaysia through shared Business Plan Process and Shared KPIs -Public Agencies 3. Dedicated Relationship Manager as a single point of contact to Key Stakeholders - Public Agencies 4. To liase with and coordinate all relevant ministries, departments, offices, agencies, authorities, commissions, committees, boards, councils or other bodies corporate or incorporate of the Federal Goverment in order to expedite the issuance or grant of all approvals for trade, investment or development required or available under the Federal & State Laws SPECIAL PROJECT: IRDA MOVING FORWARD (IMF) LAB Guided by the Chief Executive and the top management team, Corporate Performance Management had the privilege of facilitating the IRDA Moving Forward (IMF) Lab from October to December 2011 with the motto of “Enhancing IRDA, Delivering Iskandar Malaysia”. The objective of the lab is to chart the way forward and mould IRDA to be more effective, efficient, and relevant in its role as an authority, to successfully achieve the vision of Iskandar Malaysia by 2025. At the conclusion of the IMF Lab in December 2011, besides having enhanced organisational objectives, there was also an implementation plan for 2012 to ensure better execution of planned strategies. 129 130 Iskandar Regional Development Authority Annual Report 2011 Financial Report Statement of Corporate Governance Internal Controls & Compliance Annual Financial Review Certificate of the Auditor General Statement by the Members of IRDA Statutory Declaration Financial Statements 131 133 134 - 135 136 - 137 138 139 140 141 - 170 132 Iskandar Regional Development Authority Annual Report 2011 Statement of Corporate Governance Internal Controls and Compliance The Statement of Corporate Governance sets out the framework and process through which the Authority and the Management of Iskandar Regional Development Authority (IRDA) ensures the integrity and sound operational policies and procedures in accordance with prevailing laws, rules, regulations, best practices and ethical business conduct. THE AUTHORITY The Authority is the highest decision-making body in IRDA. There are eight Members of the Authority and it is co-chaired by Dato’ Sri Mohd Najib bin Tun Abdul Razak, the Prime Minister of Malaysia and Dato’ Haji Abdul Ghani bin Othman, the Chief Minister of Johor. The internal control system of IRDA is designed to safeguard IRDA’s resources, both physical and intangible. The system covers organisational, financial, operational and compliance controls. The internal control system also defines the lines of responsibility and delegation of authority, documents internal policies and procedural manuals, and formulates corporate action plans and the operational budget of IRDA. There is an on-going process for identifying, evaluating and managing significant risks faced by IRDA. This process includes updating the system of internal controls where there are changes to the operations and regulatory requirements. The key elements of the internal control system of IRDA are as follows: Other Members of the Authority are eminent members from the public and private sectors, who are appointed by virtue of Section 8(1) of the Iskandar Regional Development Authority Act 2007. The Authority is committed to ensure IRDA practices the highest standards of corporate governance, in keeping with the Malaysian Code of Corporate Governance. The Authority provides strategic directions, reviews and approves policies and decisions for the development and promotion of Iskandar Malaysia, ensures proper financial administration and human capital management and oversees the overall management of IRDA. AUTHORITY MEETINGS A total of two (2) Authority meetings were held on 5 May 2011 and 23 August 2011, for the year ended 31 December 2011. The details of the Members’ attendance are as follows: Designation No. of Meetings Attended Dato’ Sri Mohd Najib bin Tun Abdul Razak Co-Chairman 2/2 Dato’ Abdul Ghani bin Othman • Periodical reporting by the Management to the Authority and/or the Audit Committee on financial and performance indicators as well as key risk issues. • A detailed budgeting process that incorporates the input of all operational functions of IRDA for the preparation of the annual budget that is approved by the Authority, as well as the Economic Planning Unit of the Prime Minister’s Department and the Treasury, Ministry of Finance, Malaysia. • External audits conducted on the financial statements of the Authority are under the statutory purview of the National Audit Department (Jabatan Audit Negara). AUDIT COMMITTEE Co-Chairman 2/2 Tan Sri Dr. Wan Abdul Aziz bin Wan Abdullah (Represented by Dato’ Dr. Mohd Irwan Abdullah and Y.Bhg Datuk Dr. Rahamat Bivi binti Yusoff, Ministry of Finance Member 2/2 The Audit Committee was set up to assist the Members of the Authority in fulfilling its oversight responsibilities for the: Datuk Noriyah binti Ahmad (Represented by Dato’ Sri Dr. Ali bin Hamsa, Director General, Public Private Partnership Unit) Member 2/2 • Financial reporting process; • System of internal control; • Corporate governance; Dato’ Haji Obet bin Tawil Member 2/2 Dato’ Hamsan bin Saringat Member 2/2 Tan Sri Azman bin Haji Mokhtar Member 2/2 Tan Sri Dato’ Tan Kay Hock Member 2/2 Chief Executive/ Secretary 2/2 Ismail bin Ibrahim • Audit process, internal and external; and • Compliance to laws and regulations. MEMBERSHIP AND MEETINGS The agenda and a full set of papers for deliberation were distributed in a timely manner before each meeting. This ensured that the Members had sufficient notice and thus were well prepared for each meeting. All issues were deliberated and decisions made were minuted accordingly. The Authority has set up Committees and delegated certain responsibilities to the Executive Committee (“EXCO”) and the Audit Committee. The Committees operate with clearly defined terms of reference. 133 • Clearly defined division and delegation of responsibilities to the members of the senior management including a robust organisation structure and the appropriate levels of authority for expenditure approval limits. • Documented internal policies and procedures that take into account the changing environment, risks and enhancement to processes. • Establishment of committees to review and recommend on key areas such as evaluation of tenders, capital and operational expenditure, projects, human resource issues and other pertinent matters. The Audit Committee (“AC”) comprised three members. The AC met two (2) times on 14 April 2011 and 7 August 2011 in the year ended 31 December 2011. The details of the members and their attendance are as follows: Designation No. of Meetings Attended Y.Bhg. Tan Sri Dato’ Tan Kay Hock Chairman 2/2 Y.Bhg. Tan Sri Dr. Wan Abdul Aziz bin Wan Abdullah Member 2/2 Y.B. Dato’ Haji Obet bin Tawil Member 0/1 134 Iskandar Regional Development Authority Annual Report 2011 Internal Controls and Compliance INTERNAL AUDIT DEPARTMENT IRDA’s Internal Audit Department (“IAD”) reports independently to the Audit Committee and appraises the system of controls of IRDA. Internal Audit Department assists the Audit Committee in the discharge of Audit Committee’s duties and responsibilities. The principal roles of the Internal Audit Department are: • To ensure that a sound internal control system is in place and to provide reasonable assurance that such a system continues to operate satisfactorily and effectively for IRDA. • To provide independent and objective evaluation of the operations with the view to add value and improve the operational efficiency, effectiveness and economy. • To help the organisation accomplish its objectives by bringing a systematic and disciplined approach to improve the effectiveness of risk management, control and governance processes. • To ensure that the internal audit activity is managed effectively and the results of the internal audit’s activities are communicated to the Audit Committee periodically. • The activities undertaken by Internal Audit Department are in conformance with the Code of Ethics and the International Standards for the Professional Practice of Internal Auditing issued by the Institute of Internal Auditors. The Audit Committee carried out the following activities over Internal Audit Department during the year: • Reviewed and approved the annual internal audit plan to ensure adequate scope and coverage. • Reviewed the Internal Audit Department’s resources to ensure that the function is adequately resourced with competent and proficient internal auditors. • Reviewed the Internal Audit Department’s performance and activities in relation to the approved plan. 135 • Reviewed the internal audit reports which were tabled, the audit recommendations made and management’s response. The Audit Committee also directed management to rectify and improve the processes where appropriate. • Monitored the corrective actions taken on the outstanding audit issues. Annual Financial Review The financial year 2011 marks the 5th year of incorporation for IRDA and the start of the “Tipping Point” of Iskandar Malaysia, during which key infrastructures and major iconic projects will be completed and delivered. As the global economy struggles to recover from the financial crisis which started since late 2008, IRDA remained steadfast and committed in delivering outstanding performance. Income Statement For the year ended 31 December 2011, IRDA’s grant was reduced to RM62.0 million (2010: RM65.0 million). Nevertheless, high standards were maintained in ensuring continuous investments and the strengthening of Iskandar Malaysia’s brand presence globally. The key financial highlights are as follows: 1) IRDA recorded a surplus of income over expenditure of RM13.23 million mostly due to IRDA’s profit sharing income of RM7.88 million (2010: RM5.04 million). The additional surplus has been committed and approved by the management as well as ensuring a two months operating expenditure reserve. 2) Operational expenditure has decreased by 19% compared to the previous year arising from: a) IRDA’s efforts in curtailing expenditure in alignment with the lower government grants approved and received in 2011 (2011: RM62.00 million, 2010: RM65.00 million); b) The major expenditure in 2011 was employees’ cost of RM34.8 million, an increase of 10% as compared to the previous year due to incentive payments and increments; c) Promotional costs reduced by 75% (2011: RM5.07 million, 2010: RM20.60 million) due to IRDA’s strategic approach which focuses on: i) Targeted marketing approaches at selected markets and investors resulting in a significant reduction in overall promotional costs by RM15.53 million without compromising on target deliverables; ii) Enormous reduction in sponsorship for the Iskandar Johor Open (2011: RM0.5 million, 2010: RM7.91 million) while maintaining Iskandar Malaysia’s brand presence in the tournament; and iii Collaboration with strategic partners resulting in cost sharing arrangement without reducing the intensity of promotional activities; and d) The professional consultation fees for 2011 have dropped to RM0.82 million (2010: RM4.33 million) as a number of strategic projects have been completed in 2010. The expenditures during the year were mainly incurred for the implementation of Blueprints and maintenance of the existing Human Resource Information System and the Integrated Procurement and Financial System. 136 Iskandar Regional Development Authority Annual Report 2011 Annual Financial Review Certificate of the Auditor General Breakdown of Operating Expenses For The Year Ended 31 December 2011 Actual Operating Expenditure Breakdown 2011 61.3% 31.6% 6.6% 1.5% 2010 45.0% Staff Cost & Benefits Administrative Expenses 21.6% 27.2% 6.2% Marketing & Promotions Professional Consulting Fees Balance Sheet 1) Continuing its existing prudence drive, IRDA further curbed its investment on capital expenditure by limiting it to cater for expenditure on replacements and improvements only. Rather than purchasing new computer equipment, IRDA now leases its computers based on 3-years leasing contract. This approach has incurred savings and has allowed IRDA’s cash flow to be redeployed. 2) Other receivables, deposits and prepayments mainly consisted of the cost sharing of promotional activities held in collaboration with strategic partners in Iskandar Malaysia. This amount fluctuates depending on event participation. 3) IRDA’s cash balance stood at RM359.95 million as at 31 December 2011 consisting of: a) Operational cash balance of RM32.32 million were represented by accumulated profit sharing income, committed professional consultancy fees, advertising and promotional costs and other operational expenditures approved by the management as well as two months operating expenditure reserve; b) Development expenditure cash balance amounted to RM279.45 million mainly reserved for contractual obligations under the Tenth Malaysian Plan projects. During the year, government grants totalling RM592.70 million were received and RM608.54 million was disbursed for various projects; and c) Social Project Fund of RM48.20 million will be utilised in accordance to the social projects approved by the Social Development Committee consistent with the strategies and initiatives as stated in the Comprehensive Development Plan (CDP). 4) Other payables and accrued expenses consisted of contractual obligations under the operating fund that have been settled after the year end and contractual obligations under the development fund mainly due to the retention sum on progress payment of the Ninth and Tenth Malaysian Plan projects. 5) The Authority did not have any capital commitments as at 31 December 2011. 137 138 Iskandar Regional Development Authority (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) Annual Report 2011 Statement by the Members Statutory Declaration of Iskandar Regional Development Authority by The Officers Primarily Responsible for The Financial Management of Iskandar Regional Development Authority We, YAB DATO’ HAJI ABDUL GHANI BIN OTHMAN and Y. BHG TAN SRI DATO’ TAN KAY HOCK, being two of the Members of ISKANDAR REGIONAL DEVELOPMENT AUTHORITY state that, in the opinion of the Members, the accompanying Financial Statements which comprise the Balance Sheet, Income Statements, Statement of Changes in Equity and Cash Flow Statement together with the notes thereto, are properly drawn up as to give a true and fair view of the state of affairs of ISKANDAR REGIONAL DEVELOPMENT AUTHORITY at 31 December 2011 and of its operating results and cash flows for the year ended on that date. We, DATUK ISMAIL BIN IBRAHIM and NOR HISHAM BIN MOHD YUSOF, the officers primarily responsible for the accounting records and financial management of ISKANDAR REGIONAL DEVELOPMENT AUTHORITY, do solemnly and sincerely declare that the accompanying Balance Sheet, Income Statement, Statement of Changes in Equity and Cash Flow Statement together with the notes thereto are, to the best of our knowledge and belief, correct and we make this solemn declaration conscientiously believing the same to be true, and by virtue of the provisions of the Statutory Declaration Act, 1960. On behalf of the Members, Subscribed and solemnly declared by the above named at Johor bahru on this 20 JAN 2012 Name : Position : Date : Place : YAB DATO’ HAJI ABDUL GHANI BIN OTHMAN Co-Chairman 8 March 2012 Johor Bahru DATUK ISMAIL BIN IBRAHIM (590508-01-6189) (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) NOR HISHAM BIN MOHD YUSOF (681102-10-5089) Before me, Name : Position : Date : Place : 139 Y. BHG TAN SRI DATO’ TAN KAY HOCK Member 8 March 2012 Johor Bahru COMMISSIONER FOR OATHS 140 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Balance Sheet as at 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) Group Note IRDA 2011 RM 2010 RM 2011 RM 2010 RM Property, plant and equipment 3 2,619,244 3,668,652 2,619,244 3,668,652 Investments in subsidiaries 4 - - 4 2 - - 4 2 2,619,244 3,668,652 2,619,248 3,668,654 Current Assets Other receivables, deposits and prepayments 5 1,818,827 1,507,905 1,818,827 1,507,905 Cash and cash equivalents 6 359,946,639 374,592,967 359,946,635 374,592,965 Amount owing from subsidiary 7 - - 6,565 - 361,765,466 376,100,872 361,772,027 376,100,870 75,306,125 83,412,422 75,304,125 83,412,422 75,306,125 83,412,422 75,304,125 83,412,422 286,459,341 292,688,450 286,467,902 292,688,448 289,078,585 296,357,102 289,087,150 296,357,102 34,796,765 21,576,485 34,805,330 21,576,485 Current Liabilities Other payables and accruals 8 Net Current Assets Represented by: Operating Fund Special Development Fund 9 206,078,046 221,921,992 206,078,046 221,921,992 Social Projects Fund 10 48,203,774 52,858,625 48,203,774 52,858,625 289,078,585 296,357,102 289,087,150 296,357,102 The accompanying notes form an integral part of the financial statements. 141 142 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Income Statement for the year ended 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) Group Note IRDA 2011 RM 2010 RM 2011 RM 2010 RM Government grants 11 62,000,000 65,000,000 62,000,000 65,000,000 Other income 12 7,912,458 5,086,159 7,912,458 5,086,159 69,912,458 70,086,159 69,912,458 70,086,159 (56,692,178) (69,993,084) (56,683,613) (69,993,084) 13,220,280 93,075 13,228,845 93,075 Operating expenses Surplus for the financial year 13 The accompanying notes form an integral part of the financial statements. 143 144 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Statement of Changes in Equity for the year ended 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) Operating Fund RM Special Development Fund RM Social Projects Fund RM Total RM 21,483,410 79,588,679 51,842,467 152,914,556 Development grant received from Government - 1,002,000,000 - 1,002,000,000 Utilisation of development grant - (847,304,311) - (847,304,311) Utilisation of Stimulus Package fund - (12,362,376) - (12,362,376) Utilisation of Social Projects fund - - (190,673) (190,673) Interest income - - 1,206,831 1,206,831 93,075 - - 93,075 21,576,485 221,921,992 52,858,625 296,357,102 Development grant received from Government - 592,700,000 - 592,700,000 Utilisation of development grant - (608,543,946) - (608,543,946) Utilisation of Social Projects fund - - (6,174,854) (6,174,854) Interest income - - 1,520,003 1,520,003 Surplus for the financial year 13,220,280 - - 13,220,280 At 31 December 2011 34,796,765 206,078,046 48,203,774 289,078,585 Group At 31 December 2009 Surplus for the financial year At 31 December 2010 The accompanying notes form an integral part of the financial statements. 145 146 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Statement of Changes in Equity (continued) for the year ended 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) Operating Fund RM Special Development Fund RM Social Projects Fund RM Total RM 21,483,410 79,588,679 51,842,467 152,914,556 Development grant received from Government - 1,002,000,000 - 1,002,000,000 Utilisation of development grant - (847,304,311) - (847,304,311) Utilisation of Stimulus Package fund - (12,362,376) - (12,362,376) Utilisation of Social Projects fund - - (190,673) (190,673) Interest income - - 1,206,831 1,206,831 93,075 - - 93,075 21,576,485 221,921,992 52,858,625 296,357,102 Development grant received from Government - 592,700,000 - 592,700,000 Utilisation of development grant - (608,543,946) - (608,543,946) Utilisation of Social Projects fund - - (6,174,854) (6,174,854) Interest income - - 1,520,003 1,520,003 Surplus for the financial year 13,228,845 - - 13,228,845 At 31 December 2011 34,805,330 206,078,046 48,203,774 289,087,150 IRDA At 31 December 2009 Surplus for the financial year At 31 December 2010 The accompanying notes form an integral part of the financial statements. 147 148 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Cash Flow Statement for the year ended 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) Group Note IRDA 2011 RM 2010 RM 2011 RM 2010 RM 13,220,280 93,075 13,228,845 93,075 1,677,582 2,148,026 1,677,582 2,148,026 (133,612) (13,544) (133,612) (13,544) 14,764,250 2,227,557 14,772,815 2,227,557 (15,843,946) 142,333,313 (15,843,946) 142,333,313 (4,654,851) 1,016,158 (4,654,851) 1,016,158 (310,922) 470,544 ( 310,922) 470,544 (8,106,297) 29,158,300 (8,108,297) 29,158,300 - - ( 6,565) - (14,151,766) 175,205,872 (14,772,815) 175,205,872 (653,912) (1,601,187) (653,912) (1,601,187) - - ( 2) ( 2) 159,350 113,000 159,350 113,000 (494,562) (1,488,187) (494,564) (1,488,189) NET (DECREASE)/INCREASE IN CASH AND CASH EQUIVALENTS (14,646,328) 173,717,685 (14,646,330) 173,717,683 CASH AND CASH EQUIVALENTS AT BEGINNING OF FINANCIAL YEAR 374,592,967 200,875,282 374,592,965 200,875,282 359,946,639 374,592,967 359,946,635 374,592,965 CASH FLOW FROM OPERATING ACTIVITIES Surplus for the financial year Adjustment for : Depreciation of property, plant and equipment 3 Disposal/write-off of property, plant and equipment Surplus before working capital changes: (Decrease)/Increase in: Special development fund Social projects fund Other receivables, deposits and prepayments Other payables and accruals Amount owing from subsidiary Net cash (used in)/from operating activities CASH FLOW USED IN INVESTING ACTIVITIES Purchase of property, plant and equipment 3 Acquisition of shares in subsidiary Proceeds from disposal of property, plant and equipment Net cash used in investing activities CASH AND CASH EQUIVALENTS AT END OF FINANCIAL YEAR 6 The accompanying notes form an integral part of the financial statements. 149 150 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 1. GENERAL INFORMATION ISKANDAR REGIONAL DEVELOPMENT AUTHORITY (“IRDA”) was established on 12th February 2007. The main activity of IRDA is to act as the authority empowered to plan, promote, process, stimulate, facilitate and undertake the development of Iskandar Malaysia. The principal activity of the subsidiary company is disclosed in Note 4. The total number of employees of IRDA at year end was 149 (2010: 150). The principal place of operation of IRDA is located at #G-01, Block 8, Danga Bay, Jalan Skudai, 80200 Johor Bahru, Malaysia. The financial statements for the year ending 31 December 2011 was approved by the Members of Authority through a Circular Resolution dated 8 March 2012. 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The following accounting policies are adopted by IRDA and are consistent with applicable approved accounting standards for private entities issued by the Malaysian Accounting Standards Board (“MASB”). 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Subsidiary (continued) The purchase method of accounting is used to account for the acquisition of subsidiary by IRDA. The cost of an acquisition is measured as the fair value of the assets given, equity instruments issued or liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the acquisition. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair value on the date of acquisition, irrespective of the extent of any minority interest. In preparing the consolidated financial statements, transactions, balances and unrealised gains on transactions between IRDA and subsidiary are eliminated. Unrealised losses are also eliminated but considered an impairment indicator of the asset transferred. Minority interests are that part of the net results of operations and of net assets of a subsidiary attributable to interests which are not owned directly or indirectly by IRDA. The financial statements of IRDA are prepared on the historical cost basis except as disclosed in the notes to the financial statements and in compliance with the provisions of the Iskandar Regional Development Authority Act, 2007 and applicable approved accounting standards for private entities in Malaysia. (b) Basis of Consolidation 151 (c) Income Recognition (a) Basis of Accounting (b) Basis of Consolidation (continued) Subsidiary The financial statement of subsidiary company is included in the consolidated financial statements from the date that control effectively commences until the date that control effectively ceases. Subsidiary company is the enterprise controlled by IRDA. Control exists when IRDA has the power, directly or indirectly, to govern the financial and operating policies of an enterprise so as to obtain benefits from its activities. Government Grants Operating and development grants are recognized in the income statement when the rights to receive the grants are approved and the grants will be received during the financial year. Development grants are recognized in the income statement over the financial period necessary to match them with the costs they are intended to compensate. The grants that do not match with the costs are presented in the balance sheet as deferred grants. Deferred grants are amortised in the income statement over the life of the assets by an amount equal to the depreciation charge. 152 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Property, plant and equipment are stated at cost less accumulated depreciation and any accumulated impairment losses. Depreciation Property, plant and equipment purchased at cost of RM500 and below are expensed as incurred. The straight line method is used to write off the cost of the property, plant and equipment over the term of their estimated useful lives at the following principal annual rates: Motor vehicles Computers and mobile phones Furniture and fittings, office equipment and renovation 25% 33 1/3% 20% (e) Other Receivables Other receivables are carried at anticipated realisable values. Bad debts are written off in the financial year in which they are identified. An estimate is made for doubtful debts based on a review of all outstanding amounts at the financial year end. (f) Taxation and Deferred Taxation Current tax is the expected amount of income taxes payable in respect of dividend income pursuant to the tax exemption obtained from the Ministry of Finance as mentioned in Note 15. It is measured using the tax rate that have been enacted by the Inland Revenue Board at the balance sheet date. No deferred taxation is recognised for the financial year due to the tax exemption. (h) Provision for Liabilities (i) Cash and Cash Equivalents Provision for liabilities is recognised when the Authority has a present legal and contractual obligation as a result of past event, when it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation, and when a reliable estimate can be made of the amount of the obligation. Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate. Where the effect of the time value of money is material, the amount of a provision is the present value of the expenditure expected to be required to settle the obligation. Cash and cash equivalents consist of cash and bank balances, and deposit which are readily convertible to known amount of cash and which are subjected to insignificant risk of change in value. (j) Impairment of Assets At each balance sheet date, the Authority reviews the carrying amounts of its assets to determine whether there is any indication of impairment. If any such indication exists, the impairment is measured by comparing the recoverable amount with the carrying amount of an asset and when the latter amount is higher, the asset is written down to the recoverable amount. The recoverable amount of an asset is the higher of its net selling price and its value in use, which is measured by reference to discounted future cash flows. An impairment loss is charged to the income statement immediately, unless the asset is carried at revalued amount. Any impairment loss of a revalued asset is treated as a revaluation decrease to the extent of previously recognised revaluation surplus for the same asset. Should the impairment loss of an asset exceeds its revaluation surplus, the surplus impairment loss is charged to the income statement. Subsequent increase in the recoverable amount of an asset if carried at cost, is treated as a reversal of the accumulated impairment loss previously recognised in the income statement but the reversal is limited to the accumulated impairment loss previously recognised, and if carried at revalued amount, is credited directly to revaluation surplus. (g) Other Payables 153 (d) Property, Plant and Equipment 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Other payables are stated at the amounts which the Authority is contracted or obligated to settle plus any incidental legal expenses. 154 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) (k) Special Development Fund Special Development Fund is managed on behalf of and funded by the Federal Government under Ninth Malaysian Plan (RMKe-9) and Tenth Malaysian Plan (RMKe-10) for infrastructure development project and Stimulus Package Fund used for Human Capital Development Programmes. All receipts are credited and all payments are debited to the account. Unutilised amounts at the balance sheet date are shown as balance of the above fund. 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) (m)Foreign Currency Transactions (continued) The principal closing rates used in translation of foreign currency amounts at the balance sheet dates are as follow: 2011 RM 2010 RM 1 Singapore Dollar (SGD) 2.44 2.39 1 Euro (EUR) 4.11 4.08 1 United Kingdom Pound (GBP) (l) Social Projects Fund 4.90 4.78 11.37 10.99 1 Japan Yen (JPY) 0.04 0.04 1 Qatar Riyal (QAR) 0.87 0.85 1 Bahrain Dinar (BHD) 8.39 8.22 1 United Arab Emirates Dirham (AED) 0.86 0.84 1 Kuwait Dinar (KWD) Social Projects Fund managed by the Authority is funded by third parties and utilised for certain purposes in accordance with the provisions of Section 37 of Iskandar Regional Development Authority Act, 2007. All receipts are credited and all payments are debited to the account. Unutilised amounts at the balance sheet date are shown as balance of the above fund. (m)Foreign Currency Transactions Transactions in foreign currencies are recorded in Malaysia Ringgit at rates of exchange ruling at the time of the transactions. Assets and liabilities in foreign currencies are translated into Ringgit Malaysia at the approximate rates of exchange ruling at the balance sheet date. Assets and liabilities not in foreign currencies are determined on fair value which translated into Ringgit Malaysia at the approximate rates of exchange ruling at the balance sheet date. Exchange differences arising from foreign currency are recognised in the income statement. 3.18 3.08 3.22 3.14 100 Indonesian Rupiah (IDR) 0.03 0.03 100 South Korean Won (KRW) 0.27 0.27 1 Turkish Lira (TRY) 1.66 1.98 1 Brunei Dollar (BND) 2.44 2.39 1 Chinese Yuan Renminbi (CNY) 0.50 0.47 1 Danish Krone (DKK) 0.55 0.55 1 Swedish Krona (SEK) 0.46 0.45 1 Romanian New Lei (RON) 0.95 0.95 (n) Employee Benefits 155 1 United States Dollar (USD) 1 Australia Dollar (AUD) Short Term Benefits Wages, salaries, bonuses and social security contributions are recognized as an expense in the year in which the associated sevices are rendered by employees of IRDA. Short term accumulating compensated absences such as paid annual leave are recognized when services are rendered by employees that increase their entitlement to future compensated absences. Short term non-accumulating compensated absences such as sick leave are recognized when the absences occur. 156 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) (n) Employee Benefits (continued) Defined Contribution Plan IRDAisrequiredbylawtomakemonthlycontributionstoEmployeesProvident Fund(“EPF”),astatutorydefinedcontributionplanforallitseligibleemployees based on certain prescribed rates of the employees’ salaries. IRDA contributions toEPFaredisclosedseparately.Theemployee’scontributiontoEPFareincludedin salaries and wages. (o) Cash Flow Statement IRDA adopts the indirect method in the preparation of the cash flow statement. Cash equivalents comprise short-term, highly liquid investments with maturities of less than three months from the date of acquisition and that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. 157 158 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 3. PROPERTY, PLANT AND EQUIPMENT Motor Vehicles RM Computer RM Furniture and Fittings, Office Equipment and Renovation RM Total RM At 1 January 2011 808,680 4 ,159,992 4 ,864,857 9,833,529 Additions 310,546 101,141 242,225 653,912 (229,913) (325,420) (230,789) (786,122) 889,313 3 ,935,713 4 ,876,293 9,701,319 682,167 2,933,443 2,549,267 6,164,877 58,246 641,169 978,167 1,677,582 (229,910) (325,372) (205,102) (760,384) 510,503 3,249,240 3,322,332 7,082,075 At 31 December 2011 378,810 686,473 1,553,961 2,619,244 At 31 December 2010 126,513 1,226,549 2,315,590 3,668,652 Depreciation charge for 2010 209,704 978,725 959,597 2,148,026 Operating Fund: Cost Disposal/ write-off At 31 December 2011 Accumulated Depreciation At 1 January 2011 Additions Disposal/ write-off At 31 December 2011 Net Book Value 159 160 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 4. INVESTMENTS IN SUBSIDIARIES 6. CASH AND CASH EQUIVALENTS IRDA Group 2011 RM 2010 RM 4 2 Unquoted shares at cost Bank balances Name of subsidiaries Principle activities Place of incorporation Date acquired Prisma Harta Sdn Bhd Manage the operation and maintenance of the Public Housing for Iskandar Malaysia Malaysia 01/02/2010 IMSEC Sdn Bhd Provide safety and security services to Iskandar Malaysia region Malaysia 03/08/2011 The subsidiary companies have not started operations and remained dormant since the date of incorporation. 2011 RM 2010 RM 2011 RM 2010 RM 9,004 9,002 9,000 9,000 32,311,197 17,677,227 32,311,197 17,677,227 32,320,201 17,686,229 32,320,197 17,686,227 279,450,946 304,072,424 279,450,946 304,072,424 279,450,946 304,072,424 279,450,946 304,072,424 48,175,492 52,834,314 48,175,492 52,834,314 48,175,492 52,834,314 48,175,492 52,834,314 359,946,639 374,592,967 359,946,635 374,592,965 Operating Fund: Cash in hand Details of the subsidiaries which is 100% owned are as follows: IRDA Special Development Fund: Bank balances Social Projects Fund: Deposits with licensed bank 5. OTHER RECEIVABLES,DEPOSITS AND PREPAYMENTS Total Group and IRDA 2011 RM 2010 RM Deposits 611,360 580,106 Prepayments 364,311 196,747 Operating Fund: Other receivables 275,104 168,471 1,250,775 945,324 539,770 538,270 539,770 538,270 28,282 24,311 28,282 24,311 1,818,827 1,507,905 7. AMOUNT OWING FROM SUBSIDIARY These represent unsecured interest free advances which are repayable on demand. Special Development Fund: Deposits Social Projects Fund: Interest receivables Total 161 162 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 8. OTHER PAYABLES AND ACCRUALS 10. SOCIAL PROJECTS FUND Group IRDA 2011 RM 2010 RM Group and IRDA 2011 RM 2011 RM 2010 RM As at 1 January 52,858,625 51,842,467 Interest income 1,520,003 1,206,831 54,378,628 53,049,298 6,174,854 190,673 48,203,774 52,858,625 2010 RM Operating Fund: Other payables 938,857 326,147 938,857 326,147 Accruals 454,599 397,574 452,599 397,574 1,393,456 723,721 1,391,456 723,721 Less: Utilisation of Social Project Fund As at 31 December Special Development Fund: Other payables Total 73,912,669 82,688,701 73,912,669 82,688,701 73,912,669 82,688,701 73,912,669 82,688,701 75,306,125 83,412,422 75,304,125 83,412,422 Other payables comprise amounts outstanding for ongoing costs. The amounts owing are interest-free and have no fixed terms of repayment. The Social Projects (“SPF”) Fund is established pursuant to Section 37 of IRDA Act 664 (Act 664) which shall be used to finance social projects and schemes consistent with the strategies and initiatives as stated in the Comprehensive Development Plan (“CDP”). The Fund is managed by the SPF Committee comprising of independent members in accordance with the guidelines, policies and decisions made by IRDA, provided always the said guidelines, policies and decisions are not in contravention of the Act and the CDP. 11. GOVERNMENT GRANTS Group and IRDA 9. SPECIAL DEVELOPMENT FUND 2010 RM As at 1 January 221,921,992 79,588,679 Development grant received from Government 592,700,000 1,002,000,000 814,621,992 1,081,588,679 7,198,007 4,690,737 821,819,999 1,086,279,416 608,543,946 847,304,311 - 12,362,376 7,198,007 4,690,737 206,078,046 221,921,992 Less: Utilisation of Stimulus Package fund Less: Interest income transferred to Operating Fund As at 31 December 163 Government grants received 2011 RM Less: Utilisation of development grant 2010 RM 62,000,000 65,000,000 62,000,000 65,000,000 Operating Fund: Group and IRDA Interest income 2011 RM 12. OTHER INCOME Group and IRDA 2011 RM 2010 RM 700 41,000 7,875,593 5,036,124 36,165 9,035 7,912,458 5,086,159 Operating Fund: Tender fees Interest income Other income As at 31 December 164 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 13. OPERATING EXPENSES Group IRDA 2011 RM 2010 RM 2011 RM 2010 RM 824,480 4,332,087 824,480 4,332,087 19,818 15,345 16,918 15,345 Board members’ allowances 325,355 242,000 325,355 242,000 Allowances - AIC Members & Advisory Council 334,484 234,081 334,484 234,081 4,500 3,000 4,500 3,000 700 7,600 700 7,600 Rental expenses 3,303,764 2,507,645 3,303,764 2,507,645 Depreciation of property, plant and equipment 1,677,582 2,148,026 1,677,582 2,148,026 5,000 - 5,000 - 19,125 - 19,125 - 5,665 - - - 23,403,717 22,470,052 23,403,717 22,470,052 4,692,847 4,259,467 4,692,847 4,259,467 81,846 77,266 81,846 77,266 193,371 190,066 193,371 190,066 6,139,364 4,352,342 6,139,364 4,352,342 216,343 165,611 216,343 165,611 43,580 9,068 43,580 9,068 Operating Fund: The details of operating expenses are as follows : Professional fees Auditors’ remuneration Allowances - IRDA Exco Allowances - Tender Board A & B Donation Sponsorship Secretarial fees Staff costs - Salaries and allowances - EPF - SOCSO - Overtime - Bonus - Staff welfare - Staff recruitment The accompanying notes form an integral part of the financial statements. 165 166 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 13. OPERATING EXPENSES (continued) Group 2011 RM 2010 RM 2011 RM 2010 RM 3,754,278 19,012,879 3,754,278 19,012,879 171,145 101,367 171,145 101,367 Training and seminar 1,709,268 851,768 1,709,268 851,768 Utilities charges 1,241,247 1,110,017 1,241,247 1,110,017 37,000 64,763 37,000 64,763 1,045,502 662,262 1,045,502 662,262 Printing and stationeries 276,030 323,943 276,030 323,943 Meeting expenses 681,375 414,763 681,375 414,763 Medical charges 103,279 65,445 103,279 65,445 188 756 188 756 1,037,313 719,581 1,037,313 719,581 12,143 33,377 12,143 33,377 1,312,357 1,613,227 1,312,357 1,613,227 General expenses 297,781 394,278 297,781 394,278 Security charges 208,735 191,489 208,735 191,489 5,656 6,375 5,656 6,375 317,641 246,597 317,641 246,597 Membership and professional subscriptions 13,772 29,753 13,772 29,753 Postage and courier 34,698 40,072 34,698 40,072 Accommodation and travelling 3,274,834 3,110,429 3,274,834 3,110,429 Gain on fixed assets disposal (133,605) (13,713) (133,605) (13,713) 56,692,178 69,993,084 56,683,613 69,993,084 Marketing and promotions Entertainment Website expenses Upkeep of office equipment, premises and motor vehicles Loss on foreign exchange Insurance Bank charges Advertisement Taxation fees Licence and registration fees 167 IRDA 168 Iskandar Regional Development Authority Annual Report 2011 Financial Statements Notes to The Financial Statements 31 December 2011 (Established in Malaysia under the Iskandar Regional Development Authority Act, 2007) 14. STAFF COSTS Group and IRDA 2011 RM 2010 RM 34,771,068 31,523,872 Operating Fund: Staff costs IncludedinstaffcostsareIRDA’scontributionstoEmployeeProvidentFundofRM4,692,847 (2010: RM4,259,467). 15. INCOME TAx IRDA has obtained tax exemption under Section 127(3) of the Income Tax Act, 1967. All income except for dividend income are exempted from tax beginning assessments 2007 until 2016. 16. OPERATIONAL COMMITMENTS Group and IRDA 2011 RM 2010 RM 245,126 1,147,978 3,172,410 3,147,280 224,565 334,753 3,642,101 4,630,011 Approved and contracted: Marketing and promotions Consultancy and blueprint studies General expenses 169 170