GEORGE TOWN, Jan 24 — Penang will take firm action to address the issue of rental and maintenance arrears for People’s Housing Project (PPR) and public housing units, which total RM17.7 million.
State Housing and Environment Committee chairman Datuk Seri Sundarajoo Somu said the arrears, involving 7,854 PPR and public housing units, have accumulated since the 1970s.
“This affects the state’s finances and, at the same time, deprives others of access to these units if those who owe rental and maintenance for more than three months continue living in them,” he said at a press conference in Komtar today.
He said the state housing board will update its database on tenants in PPR and public housing units to check their eligibility in terms of income and any arrears owed.
“PPR units are only for those with a household income below RM1,500, so if we find that the income is above this threshold, we will take back the unit to give it to others who are eligible,” he said.
Sundarajoo noted that tenants are allowed to live in PPR units for a maximum of three years, but some have been residing in these units for up to 10 years.
“We will have to check on these tenants. It can’t be that after 10 years, their household income has not increased,” he said.
He added that some tenants owe rental and maintenance fees for years but continue to live in the units.
“We will no longer compromise. Those who are no longer eligible due to these factors will have to vacate the units to give way to those who are eligible,” he said.
Sundarajoo stressed that this measure is to ensure fairness to those on the waiting list for these units.
He said during a visit to PPR units in Taman Manggis, he found tenants with household incomes exceeding RM3,000 who even owned two cars.
For tenants with arrears exceeding three months, notices will be issued.
“For those who fail to pay for up to a year, we will have no choice but to take legal action,” he said.
However, he acknowledged exceptions would be made on a case-by-case basis.
“There was a case where the tenant became disabled, lost their source of income, and was only relying on welfare aid. In such cases, we will be lenient and allow them to continue living in the unit,” he said.
Regarding the collection of arrears, Sundarajoo said the state may write off arrears from the 1970s to the 1990s and arrears involving tenants who have passed away or cannot be traced.
“However, for recent arrears, we will make every effort to collect them,” he said.
He also said a strict monitoring system will be implemented to prevent such large arrears from recurring in the future.
The rentals for PPR and public housing units range from RM70 to RM200 per month.
Sundarajoo highlighted rent-to-own (RTO) schemes for tenants to purchase their homes through instalments of up to 25 years.
He warned that those under RTO schemes who fail to pay monthly instalments risk losing their units.
Earlier, Sundarajoo announced an updated version of the state’s affordable housing guidelines.
He also announced the rebranding of Penang’s affordable housing projects to Rumah Mutiaraku.
Under the updated guidelines for Rumah Mutiaraku, an income threshold has been introduced for buyers of open-market affordable housing units.
These units, sold on the open market, are now restricted to households earning less than RM20,000 per month.