GHK Motors Sdn Bhd on December 16, 2014, was granted five acres of land at Terunjing industrial areas for the construction of its workshop, pre-delivery inspection and staff quarters at a yearly rental of BND12,000.
The construction began upon receiving approval from the Authority for Building Control and Construction Industry (ABCi) on February 11, 2016, and was completed in January 2017 at a cost of BND1.66 million.
The occupational permit was approved by ABCi in September 2017.
However, since construction was completed, there has been no utilities such as water and electricity supply, while the access road is in a terrible condition.
GHK Motors’ Managing Director Pehin Kapitan Lela Diraja Dato Paduka Goh King Chin voicing his grievances said, “We trusted the authorities who granted us the approval. We have spent BND1.66 million on the construction of the building, but until today, there is still no water and electricity.”
He added, “Currently, we are using the land as a stockyard, with security staff on duty day and night as we are the only building at the site.
“There are remnants of several projects abandoned at the site due to the lack of basic utilities. If we didn’t spend BND1.66 million to construct the building, we would have moved out of the site.”
He also said, “The Terunjing land rental has increased six times from BND12,000 annually to BND70,805 since the land was taken over by Darussalam Enterprise (DARe) in 2017.
What are the reasons for the increase in land rental?”
The land at Terunjing industrial areas has been gazetted as free trade zone after DARe took over, which the managing director believes “is not suitable for the purpose as it is about 20 kilometres away from Muara Port. A free trade zone should be nearer to the port to ease the export of goods”.
He also said, “We have met with DARe representatives several times to resolve the matter but there has been no further action.”
DARe meanwhile acknowledged that industrial sites have historically faced challenges in upgrading basic utilities, such as roads, water, and electricity.
“The introduction of new rates is aimed at ensuring the sustainability and maintenance of essential services across all sites,” the agency said in a press release.
“The rates are designed to support the long-term development of infrastructure, which is being planned and implemented in phases.
“Visible improvements have already begun in areas like Mulaut, Bengkurong and Kuala Belait, with additional work still in progress and to be carried out with the support of relevant authorities.
“The goal is to enhance the overall value and functionality of the industrial sites for all tenants.”
DARe said it has been in continuous discussion with Pehin Kapitan Lela Diraja Dato Paduka Goh, which led to the agreement of a 10-year lease for the Terunjing land in 2022.
“We continue to maintain open communication to address any concerns raised. We are committed to ensuring that these concerns are addressed and will be reaching out again to reaffirm our ongoing efforts,” DARe said. – James Kon
