Good Governance

Guan Eng rounds on Soi Lek for Penang deficit ‘lies’

By Kit

June 10, 2011

By Yow Hong Chieh June 10, 2011 The Malaysian Insider

KUALA LUMPUR, June 10 — Penang Chief Minister Lim Guan Eng has slammed MCA president Datuk Seri Dr Chua Soi Lek for “lies” in claiming that the state government was running on a budget deficit that will deepen next year.

Lim said that since Pakatan Rakyat (PR) took over the state from Barisan Nasional (BN), Penang has recorded the highest budget surpluses in the nation’s history with RM88 million in 2008, RM77 million in 2009 and RM33 million in 2010, as confirmed by the Auditor-General’s Report.

He added that the current Penang administration was the only government in Malaysia, whether state or federal, to be praised by Transparency International for its fight against corruption. “MCA should stop believing its own lies,” Lim (picture) said in a statement today.

“Chua should seek truth from facts and not seek lies by twisting facts to gain popularity and attack PR.”

Lim said the PR’s solid financial management also saved the deficit-ridden Seberang Perai Municipal Council (MPSP) from bankruptcy in the space of only one year.

He said Penang’s administration, based on competency, accountability and transparency (CAT), allowed MPSP to post RM41 million in budget surpluses since 2008 compared to record deficits the council suffered every year between 2000 and 2007 under BN which amounted to RM230 million.

Dr Chua claimed in an interview with Malaysiakini yesterday that the DAP-led Penang government was running on a budget deficit which was expected to worsen this year.

In an interview that was picked up by The Star, he also said Penang had allowed water tariffs to increase by 20 per cent.

Lim today accused Dr Chua of “deliberately distorting” the facts about the state’s water tariffs, pointing out that his administration only imposed a water conservation charge to reduce wastage but did not increase heavily-subsidised rates for domestic users.

“Only water tariffs for business were increased to equivalent to production cost,” Lim said, adding that Penang still enjoyed the lowest water tariffs in Malaysia for both domestic and business users.

“If Chua is unhappy about such increases, why did he not oppose the water tariff increase in Johor until water tariffs in Johor are three to six times higher than Penang’s?” he asked.