Wednesday, May 25, 2011

IPP subsidies cannot be removed, says Soi Lek

UPDATED @ 10:44:36 PM 24-05-2011
By Boo Su-LynMay 24, 2011

Dr Chua says with some agreements due to lapse, the government might have a window to start negotiations. — file picKUALA LUMPUR, May 24 — The government cannot remove billion-ringgit subsidies for independent power producers (IPPs) as it is tied up in agreements with them, MCA president Datuk Seri Dr Chua Soi Lek said today.

The DAP has said that the Najib administration would only spur inflation by removing the diesel super subsidy before cutting “big opium” gas subsidies worth RM19 billion for IPPs and commercial power sectors.

“Because the government is tied up in a lot of agreements, this cannot just be abolished like DAP says or (Datuk Seri) Anwar (Ibrahim) says,” Dr Chua told reporters today.

“Then Malaysia will be seen by the world as a government that does not honour its agreements. That’s wrong,” he added.

He said some of the agreements were due to lapse and the government could then start negotiations.

Anwar said yesterday that the multibillion-ringgit federal gas subsidy granted to IPPs through “lopsided agreements” would hamper Malaysia’s ability to curb rising inflation.

The opposition leader said the subsidy had not translated into lower electricity tariffs for consumers as Tenaga Nasional Bhd was contractually bound to buy the power at a premium that the IPPs generated.

Dr Chua said today that the government would negotiate its various agreements with IPPs in stages as their contracts had various dates of expiry.

“Some are (signed) 15 years ago, some are 20 years ago,” he said. “So when the time comes for the agreement to lapse, that’s when the government starts negotiating.”

Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Ismail Sabri Yaakob reportedly said the government would announce the decision on controversial subsidy cuts next week, even as pressure mounts for it to call off the exercise amid growing inflation.

Pakatan Rakyat has warned that “haphazard” cuts to subsidies may raise the price of food by as much as eight per cent this year. This would bring the people back to what Anwar described as “the pain of 2008.”

Despite their unpopularity, Putrajaya is expected to ram through the subsidy cuts, having given broad hints last week of the move.

Deputy Prime Minister Tan Sri Muhyiddin Yassin has said the government expects the subsidy burden to double from RM10.32 billion to RM20.58 billion this year.

Prime Minister Datuk Seri Najib Razak said fuel subsidies were “like opium” to the economy, and would have to be gradually cut as the initial bill of RM11 billion had soared to RM18 billion this year owing to escalating crude oil prices.

Dr Chua: 300 Terbaik Patut Diberi Biasiswa Luar Negara

Oleh NG CHENG YEE & MANJIT KAUR
Selasa Mei 24, 2011


KUALA LUMPUR: Presiden MCA, Datuk Seri Dr Chua Soi Lek menegaskan, Jabatan Perkhidmatan Awam (JPA) sepatutnya menganugerahkan biasiswa ke luar negara kepada 300 pelajar terbaik Sijil Pelajaran Malaysia (SPM) tanpa perlu melalui proses temuduga sepertimana yang diamalkan sekarang.

Ia, katanya, haruslah berasaskan merit.

Menurut beliau lagi, keempat-empat menteri yang mewakili MCA dalam kabinet akan mengenegahkan perkara ini dalam mesyuarat mingguan Jemaah Menteri, Rabu.

Buat masa ini, katanya, sesetengah daripada pelajar terbaik SPM hanya diberikan biasiswa untuk belajar di dalam negara.

Bercakap dalam sidang akhbar selepas mempengerusikan Majlis Presiden MCA di sini, Selasa, Dr Chua menegaskan, apa yang menjadi amalan pada masa ini ialah, 20% daripada biasiswa JPA diberikan kepada pelajar terbaik berasaskan merit, tetapi mereka terpaksa terlebih dahulu melalui proses saringan temuduga. Dr Chua berkata, beliau dan beberapa pemimpin MCA yang lain telahpun mengadakan perbincangan dengan Ketua Pengarah JPA, Datuk Seri Abu Bakar Abdullah, Selasa bagi membincangkan isu tersebut. Kata Dr Chua, hasil daripada pertemuan itu, JPA telah memberi perakuan bahawa mereka akan melihat semula isu yang melibatkan 66 pelajar cemerlangan yang ditawarkan kursus bukan pilihan mereka.

Dr Chua juga menambah, JPA menyatakan bahawa mereka akan turut melihat kepada isu yang melibatkan 102 pelajar cemerlang yang memohon untuk menyertai program pra-ijazah tetapi sebaliknya ditawarkan program diploma.

Malah katanya, dua pelajar kurang upaya cemerlang yang gagal memperolehi biasiswa kini akan menerimanya.

Dalam pada itu, Dr Chua memberitahu, tahun ini daripada 4,000 penerima biasiswa JPA, 1,552 telah diberikan kepada pelajar keturunan Cina. Daripada jumlah 1,552 itu, 466 pelajar telah menerima tawaran biasiswa untuk menyambung pengajian mereka ke luar negara.

Sementara itu di Ipoh, Timbalan Menteri Pelajaran, Datuk Dr Wee Ka Siong sekali lagi mengingatkan bahawa MCA memperjuangkan nasib para pelajar cemerlang berasaskan merit dan bukannya kaum.

”Oleh itu, tolong jangan mencampur adukkan isu ini dengan sentimen perkauman. Jika anda hendak tahu, yang menduduki senarai teratas pelajar yang MCA perjuangkan ialah seorang berketurunan India dan bukannya Cina. Jadi MCA membawa isu ini kepada JPA berasaskan merit dan bukannya perkauman,” ujar beliau.

Tuesday, May 24, 2011

Najib tak pernah janji semua pelajar cemerlang biasiswa, tegas Nazri

Oleh Clara Chooi
May 24, 2011

KUALA LUMPUR, 24 Mei — Sementara rasa tidak puas hati terus meningkat dari pelbagai sudut, Datuk Seri Nazri Aziz menegaskan Putrajaya tidak pernah menjanjikan biasiswa kepada kesemua pelajar yang mencatatkan keputusan cemerlang dalam peperiksaan SPM untuk belajar di luar negara.
Sebaliknya kata beliau, kerajaan hanya komited untuk memastikan setiap pelajar cemerlang diberi jaminan tempat di institusi tempatan dan luar negara dengan biasiswa.

“Kami tidak pernah kata kesemua pelajar 9A+ akan dihantar ke luar negara.

“Tetapi kami ada menjanjikan bahawa mereka akan mendapat tempat sama ada di universiti tempatan atau luar negara,” kata Menteri di Jabatan Perdana Menteri ini ketika dihubungi The Malaysian Insider.

Nazri (gambar), yang bertanggungjawab ke atas soal biasiswa Jabatan Perkhidmatan Awam (JPA) bertuju bahawa kerajaan ada memperuntukkan 1,500 biasiswa luar negara kepada pelajar cemerlang tetapi menekankan bahawa daripada jumlah itu, hanya 300 diberi berdasarkan merit kepada mereka yang memperoleh 9A+.

Baki 1,200 geran luar negara, kata beliau, diagihkan kepada mereka yang layak mengikut empat kategori iaitu Bumiputera Sabah (lima peratus), Bumiputera Sarawak (lima peratus), komposisi sosial atau komposisi kaum (60 peratus) dan golongan kurang berada dari segi sosial (10 peratus).

Tambah beliau, biasiswa itu hanya akan dianugerahkan kepada pemohon-pemohon yang berjaya dalam temu bual kendalian JPA.

Bagaimanapun mereka yang tidak memenuhi syarat itu masih diberi biasiswa untuk belajar di universiti tempatan, kata Nazri.

Jelas beliau, buat masa sekarang daripada 360 pelajar yang tertakluk dalam kategori merit, hanya 300 diberi biasiswa manakala 60 gagal memperoleh biasiswa luar negara.

“Ini bermakna mereka mungkin atau mungkin tidak layak untuk memperoleh baki 1,200 geran yang disediakan. Ini bergantung pada prestasi ketika temu duga,” katanya.

“Kemungkinan mereka yang tidak memperolehnya, mungkin tidak menunjukkan prestasi yang baik ketika temu duga.

“Kami mengambil kira bukan sahaja keputusan mereka, tetapi juga aktiviti kokurikulum dan bagaimana mereka berjaya dalam temu duga,” kata beliau.

Bagaimanapun katanya, jika mereka gagal dalam temu duga, mereka masih akan memperoleh tempat di universiti tempatan.

Sehubungan itu, Nazri terus berhadapan dengan kritikan Ketua Pemuda MCA Datuk Dr Wee Ka Siong yang mendakwa wujud salah guna kuasa di JPA.

Wee, yang juga Timbalan Menteri Pelajaran, mengetuai protes dengan pada minggu lalu mendakwa 363 pelajar yang memperoleh kesemua A+ telah gagal memperoleh biasiswa meskipun Perdana Menteri Datuk Seri Najib Razak pada tahun lalu bersetuju agar kesemua pelajar yang merekodkan 8A+ dan ke atas akan menerima biasiswa JPA.

Penelitian The Malaysian Insider menunjukkan kenyataan Najib tahun lalu mendedahkan bahawa perdana menteri ada menjanjikan biasiswa kepada kesemua pelajar memperoleh 9A+ untuk belajar di universiti dalam dan luar negara.

“Jadi, jika anda tiada fakta, jangan bercakap. Saya ada ahli-ahli Parlimen pembangkang yang cuba membantu pelajar, datang berjumpa dengan saya... mereka tidak pergi kepada media.

“Tetapi Wee, sebagai MP BN dan seorang timbalan menteri, pergi kepada media dan menjerit di umum untuk publisiti murahan tanpa datang berjumpa saya untuk melihat isu yang sebenar,” kata Nazri.

Inflation is still a concern

KUALA LUMPUR: Inflation may accelerate, should there be more cuts to the fuel subsidy or hike in electricity tariffs.

Bank Negara governor Tan Sri Dr Zeti Akhtar Aziz said the inflation rate would be revised upwards, depending on price increases.

Malaysia’s inflation rate rose to a 24-month high of 3.2% year-on-year in April after a 3% increase in March.

A rise in inflation, of between 3% and 3.5%, has been priced into the central bank’s projections, Zeti told reporters yesterday following the launch of “Leading Voices,” a new global thought leadership platform by the International Centre for Leadership in Finance (ICLIF)

However, the country’s diversified economy is now better able to withstand inflationary pressure compared with the period prior to the July 2008 price peak for crude oil. Prices then had reached US$147 per barrel compared with today’s US$97 to US$98.

“We’ll not be immune to price increases but the impact will be less as we’ve enhanced efficiencies in the economy,” Zeti, also ICLIF chairman, said.

Economists expect inflation to pick up in the second half of the year as subsidies continue to be further rationalised.

The expected hike in electricity tariffs this week, according to analysts, would likely be in the vicinity of 5% to 10%.

With the costs of subsidies rising this year to over RM20bil from RM10.3bil last year, more cuts in subsidies would be in the offing with even a review of RON 95 petrol, currently retailing at RM1.90 per litre.

AmResearch senior economist Manokaran Mottain said in a report dated May 19 that the need to assist economic recovery and fund Economic Transformation Programme projects would likely pressure the central bank to keep the benchmark overnight policy rate (OPR) at 3% for the rest of the year.

Bank Negara last raised the OPR by 25 basis points on May 5. The central bank also increased the statutory reserve requirement by 100 basis points to 3%.

“Inflation will likely accelerate further in the near term due to the recent rise in global crude and food prices as well as the Government’s plan to implement the subsidy rationalisation programme.

“With the subsidy cut already factored in the central bank’s inflation estimate of 2.5% to 3.5%, we do not expect any policy review in the monetary policy, especially the OPR in the short-term,’’ he said.

In his latest report, Manokaran said if the government wants to maintain prices at current levels, an increase in subsidies would mean a reduction in other expenditures, be it operating or development.

The Government may introduce austerity measures to operating expenditure, such as reducing ministries’ expenses like overheads and promoting fiscal prudence.

However, trimming development expenditure especially will be detrimental to economic growth and welfare of the country. In this context, the Government has no other option other than to introduce a gradual cut in subsidies.

Despite lower commodity prices currently, the policy-tightening cycle in Asia was not over yet, said Hong Kong-based Societe Generale SA fixed income strategist Chong Wee-Khoon.

Economic fundamentals and growth data in emerging Asia were still strong and upside price pressure remained acute, he said.

“Strong credit and lending growth warrants further monetary and liquidity tightening, both in terms of reserve requirements and policy rate hikes, even if food and commodity prices level off in the coming months, as the base effect kicks in,” Chong said.

On another note, Zeti said the central bank had not discussed with the Finance Ministry over nominations to the International Monetary Fund’s (IMF) managing director post after incumbent Dominique Strauss-Kahn resigned following his recent arrest.

She said the trend of a European heading the IMF would most likely continue.