PETALING JAYA: Petaling Jaya City Council (MBPJ) could lose millions in revenue if parking fee collection is outsourced to a private company under the Selangor Intelligent Parking (SIP) initiative.
Petaling Jaya MP Lee Chean Chung expressed serious concern today (July 10) about the recent SIP proposal, warning it could expose MBPJ to a shortfall of up to RM10mil.
"The proposed system places MBPJ at risk of being unable to deliver essential services to Petaling Jaya residents — including road maintenance, street lighting, public parks upkeep, and even the maintenance of parking facilities — all of which are already under considerable strain," he stated.
Lee further highlighted that the proposal infringes upon the statutory rights of local councils to manage parking under the Road Transport Act 1987.
"While I acknowledge the need to improve the current parking payment compliance rate, which stands at only 30%, there are better avenues for reform.
“Local authorities retain the right to appoint their own smart system solution providers in accordance with state IT policies.
“I urge the Selangor government to review this decision to safeguard the fiscal and legal interests of the City Council and its residents. Responsible city councillors must also speak up on this matter," said Lee.
Meanwhile, DAP veteran Ronnie Liu reiterated in a social media post that the right to charge parking fees is granted to the local council by the Road Transport Act 1987.
“The state has no power on this matter and should stay out of it.
“I may have to bring the matter to the right authority (including legal actions) in the interest of the residents and taxpayers,” he said.
State local government and tourism committee chairman Datuk Ng Suee Lim announced yesterday (July 9) that a newly appointed concession company will take over parking fee collection and enforcement in four Selangor local councils (PBTs) from Aug 1.
Speaking at the Selangor State Assembly sitting, Ng said the company was appointed by Mentri Besar Selangor (Incorporated) for the first phase.
The first phase involves Petaling Jaya City Council (MBPJ), Subang Jaya City Council (MBSJ), Shah Alam City Council (MBSA) and Selayang Municipal Council (MPS).
It was reported that the move is part of the state government's efforts to boost parking revenue, which currently amounts to only about 30% collection from 1,000 designated bays.
