Thursday, June 22, 2017

MYD Training Series III: Understanding the Malaysian Constitution Part 2

Moving on from the development plans, Adrian continued the training with:

Relations between the Federation and the States

Now to further understand the intricacies of the backend of the Paris Agreement, we will need to understand the relations between the federation and the states. Although Malaysia has signed the Paris Agreement (at a federal level), it doesn't mean that it has the power to do so (implementing at a state level). 

We walked through a little on the history of the formation of Malaysia before diving into a brief description of how the separation of power works in Malaysia. Adrian mentioned that a stable government does not mean that the leader of the day remains the same, but instead having stable policies (e.g. Trump reversing Obama administration's laws = not stable). 

He also explained a little about why there is low development in low-density areas. As there are no people in a certain area, there will be low tax revenue for the government to develop; with low development, job opportunities will be low and people migrate to urban areas for jobs, leaving the place with a lower population, and the cycle continues.

Comparing two cities: Petaling Jaya versus Shah Alam

Petaling Jaya has a very high density. Since they have a lot of high-rises, they would have a high tax per square feet rate. (e.g. 80 floors [assuming 10 square feet for easy calculation] x RM100 = RM800/square feet) Whereas for Shah Alam,  since the density is lower, the tax they receive will be significantly lower (e.g. 3 floors [assuming 10 square feet for easy calculation] x RM100 = RM30/square feet) although they are required to provide the same level of service (roads, ambulances, etc.). In addition, recreational tax like for cinema, bars, and clubs (which are mainly located in high-density areas) is much higher than normal business taxes. 

We then went through a little in the law making process in Malaysia. So a little fun fact, if an act is interpreted differently by the court compared to the legislative branch that makes it, the decision of the court prevails. We also went through the federal and state legislative power - the Federal List, State List, and Concurrent List. If there are any conflicts within the concurrent list, the federal will supersedes the state. However, there are special cases where the federal government could supersede the state government. For example, under the Land Acquisition Act, the federal government can take any piece of land under the name of public use. 

Abuse happens. The current MRT line has acquired more land than needed to develop properties. Read more about the conflict here.

Three Level of Government

So, what's the difference between the three level of government?
1. Federal Cabinet
The cabinet is made up of the members of parliament (MPs) who were voted by the people. They make and amend federal laws, approve taxes and federal budget, and examine federal government policies
2. State Executive Committee (EXCO)/State Assembly Person (ADUN)
EXCOs were voted by the people to make and amend state laws, approve the state budget, and monitor the performance of state government agencies and institutions, including local councils. 
3. Local Councilors
Councilors are appointed by the state government. They receive complaints of public places, manage sanitary and cleanliness services, approve building plans, and plan infrastructure development.

It is actually really hard to differentiate who does what, therefore resulting in the going-around-to-find-the-person-in-charged situation. The public transportation system, for example, is planned by the local council but regulated by SPAD which is under the Prime Minister Office. 

It was a great introduction to how our government works. If you are interested in more, check out our amazing constitution here.