‘Sick projects list is to protect buyers, not blame developers’, Ministry tells developers’ association

File photo of a housing project for illustration purposes.
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By DayakDaily Team

KUCHING, Jan 12: After developers raised concerns over the State’s “sick projects” list, Sarawak’s Ministry of Public Health, Housing and Local Government (MPHLG) has clarified that the list is meant to inform buyers and support project completion—not to blame developers.

The list, which names stalled or delayed private housing projects across Sarawak, drew criticism from the Sarawak Housing and Real Estate Developers’ Association (SHEDA), which said it could unfairly suggest that developers are solely at fault for late delivery of homes.

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In response, MPHLG stressed that more than 40 per cent of identified troubled projects have already been partially or fully resolved through collaboration with developers, while the remainder are at various stages of intervention.

“The increase in the number of sick projects identified reflects intensified monitoring efforts, verification exercises and improved inter-agency coordination, rather than a deterioration of the overall housing sector,” the ministry said in a statement today.

It added that the publication of the list on the Ministry’s official website should be viewed in its proper context: a measure undertaken in the interest of transparency and public awareness, and not as a punitive action against developers.

“The list’s primary purpose is to provide accurate and reliable information to prospective house purchasers, enable informed decision-making, and facilitate earlier intervention by authorities before project conditions deteriorate further,” the ministry added.

On SHEDA’s concerns over rising compliance costs and prolonged bureaucratic processes, which they cited as factors affecting housing affordability, MPHLG said that regulatory requirements and compliance mechanisms are necessary to achieve the Sarawak government’s agenda of delivering 20,000 affordable homes by 2030.

“These requirements are not intended to impose unnecessary burdens on developers but serve as essential safeguards to protect house purchasers, ensure construction quality and timely delivery, promote development sustainability and preserve public confidence in the housing industry,” the ministry continued.

The ministry also acknowledged the challenges facing developers, including rising construction costs, supply chain disruptions and labour shortages, while reaffirming that regulatory compliance remains crucial to protect buyers and maintain construction standards.

“Moving forward, the Sarawak government remains committed to engaging constructively with SHEDA and other industry stakeholders.

“The government welcomes practical and solution-oriented discussions to enhance and refine policies and procedures, while ensuring that the paramount objective of protecting the public interest is upheld,” it emphasised.

According to a report by Sarawak Tribune on Jan 7, SHEDA raised concerns over rising compliance costs, prolonged approval processes and overlapping bureaucracies, warning that these challenges are making homeownership increasingly difficult for Sarawakians, especially those in the B40 and M40 groups.

SHEDA also expressed disappointment over the publication of the “sick projects” list, saying it unfairly suggests developers are solely responsible for delays beyond their control. — DayakDaily

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