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Thursday June 19, 2008

Kedah approves logging activities

ALOR STAR: The Kedah Government has approved logging activities at the Pedu, Muda and Ahning dam catchment areas, a move that is expected to generate about RM16bil in revenue for the state.

Mentri Besar Azizan Abdul Razak said the move was necessary to cover the high expenditure incurred by the state following the petrol price increase.

He added that the state would call for tenders soon and award the logging contract to the highest bidder.

“We will discuss the logging method to be used with the Forestry Department,” he told newsmen after chairing the state executive council meeting yesterday.

He added that the Federal Government had promised to pay an annual compensation of RM100mil in 2003 following the state’s decision to cancel its proposed heli-harvesting project to log timber in catchment areas.

“However, until now the payment has not been made. We have also asked the Federal Government for financial assistance for the water supply to Penang and Perlis and for the rice we are producing for the country.

“Since the Government cannot assist us financially, we will carry on with the logging activities,” Azizan added.

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