6

CHAPTER II

LITRATURE REVIEW: THE PROCESS OF LAND DEVELOPMENT IN

SARAWAK

2.1 Defining Land Development

Land development normally embodies the conversion of unimproved property

into site that processes features capable of supporting a desired activity. As described in
Land Code (1981), the “develop” or “”development” means to carry out any building,
engineering, or other operations in, on, over or under any land, or making of any material
change in the used of any building or land.

According to Deon (2002), they are three general categories of land development
that describe intended usage are commercial, industrial and residential.
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2.1.1 Commercial Development

Commerce, which can include the buying, selling, or trading of products,

materials, or services, is supported by commercial development. This support includes
the conversion of strategically located property that minimises consumer transportation
requirements. Commercial developments can provide for office, retail, wholesales, and
financial activities and also provide facilities for general services and travel needs.

2.1.2 Industrial Development

In contrast, industrial development, which can vary from heavy to light, focus on
providing suitable property for activities associated with processing for materials and
production of goods. Land that improved for industrial use can be located within an
industrial park or urban area or can exist as a stand-alone facility. These developments
are predicted on favorable social and political factors, affordable property, and the
availability of material and labour. Today, most industrial developments place emphasis
on aesthetics and the preservation of natural open space while minimizing noise, smoke,
odour, dust, noxious gases, heat, fire hazards, explosions and so on.
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2.1.3 Residential Development

The conversion of property for safe, serviceable, and affordable residences along
with associated facilities is within the scope of residential land development. Although
commercial and industrial developments have individualized and specialized needs,
many aspects are common to all three types, including transportation, utility and drainage
considerations. Typical types of residential developments entail a single dwelling unit on
each building lot. Multifamily developments might encompass townhouses, apartments,
or in other configuration approved by relevant local authorities

2.2 Rationale of the Residential Development (Resettlement Scheme) by the

government of Sarawak.

From the urbanization policy point of view, the rate of urbanization tends to
correlate significantly with economic growth. One inevitable consequence of this
structural change and the consequent rapid economic growth that has averaged an
impressive eight per cent per annum in the past decade, has been the increasing
urbanization of the country, and is it no exemption for the state of Sarawak as well. As
reported by Department of Statistic Sarawak (1990), in 1980 the population living in
urban areas was 35 per cent but this figure has shot up to 55 per cent in 1995. Table 2.1
is showing the urbanization rate of the state.
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Table 2.1 Urbanization rate of the State

State 1980 19911 1995 2000 6MP 7MP

Johor 35.2 48 51.8 56.4 4.6 4

Kedah 14.4 33.1 36.9 42.1 4.7 4.2

Kelantan 28.1 33.7 35.7 39.4 4.3 4.5

Melaka 23.4 39.4 44 49.8 4.1 3.5

Negeri Sembilan 32.6 42.5 44.7 47.6 3.3 2.8

Pahang 26.1 30.6 31 33.7 3.5 3.2

Perak 26.1 30.6 31.9 33.7 3.6 2.8

Perlis 32.2 54.3 60.5 67.8 5.5 5

Pulau Pinang 8.9 26.7 30.4 35.3 3.1 2.3

Sabah 2 19.9 32.8 35.2 38.2 7.9 7.1

Sarawak 18 38 43.4 50.5 5.6 4.8

Selangor 34.2 75 82.6 89.4 6.1 4.6

Terengganu 42.9 44.6 45.1 45.7 3.5 3.1

Wilayah Persekutuan 100 100 100 100 1.6 1.2

Kuala Lumpur 34.2 51.1 54.7 58.8 4.5 3.8

1
Based on the Population and Housing Census of 1991
2
Includes Wilayah Persekutuan Labuan

The impact of rapid growth and urbanization is naturally reflected in the number
of people living in local authority areas. According to a study made by the Ministry of
Housing and Local Government in 1988, 68 per cent of the population in Malaysia live in
local authority areas and make demands upon urban services. The enlargement of urban
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areas also means an increase in the problems, needs and complexities relating to urban
governance.

It has created a new set of challenges that entail an enhancement in the capacity
and capability of the Malaysian local authorities. These problems demand new
approaches, strategies as well as practical and effective answers and solutions for urban
and local government managers. As noted by Davey (1993), the role of urban
government in managing urban growth cannot be taken for granted in the context of
today's debate.

Therefore, the state government of Sarawak has come out with the idea of
resettlement scheme for residential purposes with the specific aim that the illegal
squatter’s problem could be tackle off effectively.

2.2.1 The Approved Projects under Seventh Malaysia Plan

The resettlement scheme projects were approved under the Head: (D81) Housing
and Sub-Head: (01) Residential Schemes which it is funded by the Ministry of Finance
and Public utilities of Sarawak. A total of 53 numbers of projects had been approved
throughout the state with a total allocation of RM102, 955,526 in Seventh Malaysia Plan.

2.2.2 The Approved Projects Under Eighth Malaysia Plan

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Under the 8th Malaysia Plan, the government are more concern on the low and
medium income group, with that, a total of RM277, 689,000 (about 277 million) have
been approved and allocated to Land and Survey Department to implement the 146
Kampong Extension Scheme in Sarawak. The breakdown of the project distribution is as
Table 2.2.

2.2.3 The Completed Project as at December 2003

Based on the ‘Lapi Report’ by the Land and Survey Department, the records
shows that 76 projects has been completed as at December of 2003, this is about 52.05%
of the approved project. All the projects are implemented through the appointed
engineering consultant to do the preliminary study, topographical survey, design, manage
and as quality control agent of the project. The records also very clearly show that none
of the project cost is exceeding RM3, 000,000.00. Figure 2.1 showing the completed
infrastructure work of the project.

Table 2.2: Breakdown of allocation under Eighth Malaysia Plan for project
kampong extension scheme
(Source: Land and Survey Department Sarawak, 2004)
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No. Of Approved
Approved MTR
Division Approved 8th MP
Allocation
Projects Allocation
1. Kuching 7 28,533,000 31,270,000

2. Sri Aman 4 9,886,000 10,124,427

3. Sibu 3 10,000,000 10,000,000

4. Miri 11 39,919,000 23,976,328

5. Limbang 7 26,380,000 25,037,910

6. Bintulu 0 0 0

7. Kapit 4 10,718,000 10,703,608

8. Sarikei 6 23,800,000 27,147,191

9. Samarahan 22 54,576,690 47,913,202

10. Mukah 18 52,116,310 53,386,014

11. Betong 8 21,758,000 21,986,973

Total 90 277,717,690 261,545,653

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( A)

(b)
Figures 2.1 Pictures showing the competed resettlement schemes
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2.3.1 Ministry of Planning and Resources Management

In Sarawak, the Ministry of Forestry was merged with Ministry of Land and
Mineral to form the Ministry on 12th July 1985. As a result, the newly established
Ministry does not only have a wide scope of activities and responsibilities but also has
expanded roles.

As explained by the Ministry website, the vision of merger is to ensure the

continuous and high economic growth and at the same time to preserve the environment
and to promote healthy living. The mission is for the attainment of optimum utilization
and / or sustainable development of the people of Sarawak.

The main function of the Ministry of planning and Resource Management are;

i. Formulation of policies on forestry, land development, mining and

town planning
ii. Enactment of laws to provide for and ensure the proper
implementation of the government policies besides overseeing the
following existing laws;

a. Land Code
b. Forest Ordinance
c. National Parks and Natural Reserve Ordinance
d. Wild Life Protection Ordinance
e. Mining Ordinance
f. Forest Concession Area (Rehabilitation and Development)
Ordinance
g. Public Parks and Green Ordinance
h. Natural Resources and Environmental Ordinance
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Beside Land and Survey Department is coordinate and implement activities under
this Ministry, the other departments are:

A. Forest Department
B. Sarawak Timber Industry Development Corporation Land Custody
and Development Authority
C. Natural Resources and Environmental Board
D. Forest Concession Area (Rehabilitation and Development) Fund

The detail functions in term of land development control can be divided into two
sections:

1) Land Section:

o To plan and control minerals exploitation (except gas and

petroleum)
o To consider mining application
o To consider application for quarry, sand and gravel and wharf
o To plan, consider strategy on state land alienation for plantation,
housing, industrial and commercial purposes
o To acquire land required for public development purposes
o To consider application for Native Status under the Land Code
o To administer land in accordance with the Land Code
o To coordinate the resettlement / kampong extension program
o To coordinate the naming of road and public places

2) Planning Section

 To formulate strategies for urban and rural land development

 To consider application for site of government building
 To consider application on sub-division of land
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 To consider application of change of title conditions

The level of importance of the existence this ministry can be observed by the
roles being play and function given. Beside to monitor the few departments stated, it’s
also act as secretariat to the following committees:

I. State Planning Committee

II. Industrial Land Committee
III. Plantation Land Committee
IV. Forestry Enforcement Committee
V. Log Supply Monitoring & Royalty Rebate Committee
VI. State Mineral Resources Committee
VII. State Geographical Naming Committee
VIII. State Resettlement Scheme Committee

The Figure 2.2 is showing the overall organization structure of the Ministry of
Planning and Resource Management
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Ministry of Planning and Resources Management

Minister: CM YAB Pehin Sri ‘Dr’ Haji Abdul Taib Mahmud
Permanent Secretary : Tuan Haji Zaidi K. Zainie

Committee:
1. State Planning Committee
2. Industrial Land Committee
3. Plantation Land Committee
4. Forestry Enforcement Committee
5. Log Supply Monitoring & Royalty
Rebate Committee
6. State Mineral Resources Committee
7. State Geographical Naming
Committee
8. State Resettlement Scheme
Committee

Land and Forest Natural Land Custody

Survey Department Resources and and
Department Environmental Development
Board Authority
(PELITA)

Sarawak Timber Board of Trustee, Forest

Industry Development Concession Area
Corporation (Rehabilitation and
(PUSAKA) Development) Fund

Figure 2.2 The organization structure for

Ministry of Planning and Resources Management
2.3.1 Land and Survey Department Sarawak
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The Land and Survey Department is under the terms of the Inter-Government
Committee and the Constitution of Malaysia, land and cadastral surveys are State
subjects which come under the portfolio of the Ministry of Planning and Resource
Management of the State, and subject to the direction of yang di Pertua Negeri. One of
the chief aims of present policy is to ensure that land is to be alienated and administered
to the best advantage and to generate economic benefits to the state and its inhabitants,
having due regard to plan development and to the future land requirements of a growing
population in accordance with the concept of the politic of development.

Land and Survey Department of Sarawak is given a respective responsible to

administer the land of the state in accordance with the provisions of the Mining
Ordinance and Land Code. The subdivision and development of the land is administered
in accordance with the State Planning Manual, Development Control Standard that under
the Control of Subdivision Ordinance, the Public Parks and Green Ordinance, 1993 and
the strata titles Ordinance.

Among others responsibilities under the department are:

i. Topography surveys
ii. Urban and regional planning and design
iii. Control of subdivision and development of land
iv. Implementation of urban development projects, including the
development of urban centers, urban roads and resettlement scheme.
v. Alienation of State land
vi. Administration of alienated land including enforcement
vii. Registration of dealings affecting land
viii. Issues of prospecting licenses and mining leases
ix. Valuation and acquisition of land
x. Revision and collection of land rent
xi. Computerization of land information
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However, the department is form by six branches named as Land, Planning,

Valuation, Survey, Enforcement and Settlement. Previously, the planning branch of the
department directly managed the implementation of departmental project. On 1st
September 1995, the Engineering Section was established under the Planning Branch in
order to consolidate the Branch’s function of development expenditure for urban
development projects with some new functions.

2.3.2 The Approving Authority - State Planning Authority

The State Planning Authority or SPA is the central planning authority for the state
of Sarawak. With the increasing number of applications for subdivision in land
development and numerous changes and innovations in recent development, there is a
need to oversee better control and development in the state. Following the introduction
of part X of the Land Code (Amendment) Ordinance 1997, the SPA was set p and came
into effect on 1 August 1998 to fulfill this need.

The authority is under the Ministry of Recourse Planning and Management,

which currently chief minister himself in that portfolio. The fellow committee members
are as indicated in Table 2.3.

Table 2.3: State Planning Authority committee members

Chairman The Minister of Resource Planning and
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Management
Deputy Chairman The State Secretary of the State
Member The Director of Land and Survey Department
Not more than three (3) members of which two
Members
shall be public officer

2.4 The Guidelines

In Sarawak, there are various legislation, which, directly or indirectly, affects

planning, and development of the land. Some of this legislation may not be those
regulated by or involve the Department of Land and Survey, but nevertheless forms part
of the overall planning control process in the State. For the sake of completeness, these
laws affecting planning in developing a land is listed below, including those was never
invoked;

a) The Town & Country Planning Ordinance 1952

b) The Land Code 1958
c) The Land Code (Amendment) Ordinance, 1997
d) The Land (Control of Subdivision) Ordinance, 1954 (repealed by the 1997
amendment)
e) Public Parks and Greens Ordinance, 1993
f) Strata Ordinance, 1995

Planning-related laws and regulations have existed for a long time in the history
of Sarawak. The first known planning law, The Town and Country Planning Ordinance
was enacted in 1952; however, it was never invoked in the state, as the previous were
considered impractical to the state then.
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2.4.1 Land Code

In order to consolidate all previous laws into one legislation covering land
registration, settlement of customary rights, alienation and land acquisition, a new Land
Code was created. In formulating this comprehensive land laws, the Government took
into consideration other ordinances at home and abroad. Some of those referred to are as
follows:

(1) Land Ordinance (Cap. 27)

(2) Land Settlement Ordinance (Cap. 28)

(3) Land (Classification) Ordinance of Sarawak

(4) The Land Act of 1948 of New Zealand

(5) The Finance Act (No. 2) of 1953 of New Zealand

(6) The Land Code (Cap. 138) of the Federated Malay States

(7) The Land Transfer Act of 1952 of New Zealand

(8) The Property Law Act of 1952 of New Zealand

(9) The Land Acquisition Ordinance of Brunei

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(10) The transfer of Land Act of the State of Victoria, Australia

This Land Code (Cap. 81)(Ordinance No.8 of 1957) came into force on 1 January
1958 and consolidated all legislations pertaining to land administration before this. The
main characteristics of the land tenure system under the Land Code are as follows: -

(i) The classification of lands into Mixed Zone Land, Native Area Land,
Native Customary Land, Reserved Land and interior Area Land as provided under
the repealed Land Classification Ordinance, 1948 is retained. The distribution of
the various classification is as shown below.
.

Reserved Land
30%

Native Area
Land
12% Interior Area
Land
36%

Native
Customary Land Mixed Zone
13% Land
9%

Figure 2.3: Composition of land categories

(Source: Sarawak Government. 1972)
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(ii) There are three types of titles, namely:

(a) Grant in Perpetuity

This is issued pursuant to section 18 either for agricultural or

residential purpose and is free from premium, rent or other charges, but
subject to such conditions, obligations and restrictions as the Director, on
the direction of the minister, may impose. (Section 18 (2))

(b) Leases

The Government issued it for a term of 60 years for agricultural,

commercial, residential and industrial purposes. Leases for a period
exceeding 60 years can be given in very limited circumstances.

(c) The Strata Title

The Strata Title Ordinance 1974 provides for the issue of

subsidiary title over parcel or unit of a building, built upon land, which is
neither a grant nor lease.

iii) Section 13E allowed foreigners to acquire land in special development

areas.

iv) No other person except natives or persons or companies deemed natives

under Interpretation Ordinance (Cap1)(The Law Of Sarawak, 1958 Volt I)
and section 9 of Land Code (Cap 81) can acquire right and interest in
Native Land.

v) All rivers, streams, canals, creeks and water courses and the bed thereof is
and shall be vested solely in the Government. (Section 12) and control
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under State Land. Except in the case of provisional leases issued pursuant
to Section 29, all lands must be surveyed prior to the issue of titles,

vi) Section 132 mentioned that the land registration system follows the
Torrens System and all titles issued under this system are indefeasible and
protected by the Government.

vii) For the purposes of Government development, all alienated lands and
Native Customary Land can be acquired or rights shall extinguished subject to
payment of adequate compensation. (Section 47 and Section 5(3)). Subject to
Section 36, all land shall be subjected to the right of the Government to prospect
for minerals and to the right conferred on any person by license issued under any
written law for the time being relating to mining, to prospect for minerals upon
payment to the proprietor or occupier by compensation for disturbance or any
damage cause to property.

Land Code (1958) forms the legal structure on which the Land and Survey
Department administer all land matters in the State. However, it has limited usage in the
urban planning process, because it only contains provision enabling the variation of title
conditions of land through the procedure of surrender and re-alienation, and provide the
subdivision of land outside the scheduled “Development Areas”, development control
had being carried out.

The Ordinance is defined as “an ordinance to regulate the development of land by

sub-division and to make consequential provision for the preservation of land for roads,
access-ways and reserves whenever land is developed and to provide for all matters
incidental thereto, I has served as a comprehensive framework for the development
control practice in the state for many years until it has been repealed with the 1997
amendment to the Land Code.
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The Land Code (Amendment) Ordinance, 1997, with the incorporation of Part X
of the Land Code, concerns “basically with the procedures and requirements of
Development Control”. The Explanatory Statement on the development of planning in
Sarawak. It is the first time that a proper planning authority (i.e. State Planning
Authority ~ SPA) is established in the State, with its various planning function spelt out
clearly under the law. The enactment also enables the tightening and streamlining of the
procedures of development control and planning applications.

2.4.2 State Planning Manual

The manual had been prepared as an aid to government officers, developers,

consultants, statutory bodies and councils dealing with development / subdivision
applications, and those involved in the preparation of structure plans and local plans for
submission to the State Planning Authority. The objective of the manual is to develop
consistency in implementing the authority policies and rules as well as a uniform
approach and format in dealing with development / subdivision applications.

The manual outlines various issues relating to the Authority's

responsibility for regulating development and / or subdivision of land in Sarawak and the
procedures adopted by the State Planning Authority, the secretariat, the Director of Land
and Survey and the divisional superintendent in dealing with development applications.

The manual consists of five parts; the first part of the manual deals with
plan making process. The second part of it is to outlines the procedures for subdivision
and development, including the submission and approval of building plans. This part
also contains detailed checklist, flow charts and the conditions of approval.
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Third part deals with the land use and the forth part deals with specific
State Planning Authority rules which may be made the approval of the Majlis Mesyuarat
Kerajaan Negeri, for carrying out the provisions of section 248(1) and 248(2) of the Land
Code (Amendment, 1997,). The last part is concerned with adopted policies of the
Authority to be used as a guide when considering the development applications as
provided for in section 229(1)(d) and 229(1)(e) of the Land Code (Amendment, 1997)

2.4.3 Development Control Standard

Naturally, after thirty years, most of the standards are outdated and are no longer
useful to regulate the modern type or scale of development. Therefore, the State
Planning Authority that formed in 1998 (after the amendments of Land Code (Cap. 81) in
November 1997) considers that this is the opportune time to review and update the
existing standard.

Hence, the Development Control Manual being published and adopted by the
State Planning Authority as a guide for regulating the subdivision and development of
land or buildings under part X, section 248 of the Land Code (1997) Ordinance It is
basically an updated and slightly amplified version of the previous development Control
Manual, 1968, published by the Land and Survey Department.

The Development Control Manual, (1998), set out the standards which are
basically concerned with the physical and spatial dimensions of space provision, in
relation to land and buildings, so as to ensure orderly, well planned and sustainable
development. However, there are of course other important environmental factors and
government's planning policies, which are not necessarily covered in these standards, but
are all to be given significant weights in the decision making process.
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2.6 The Process of the Land Development

The land development by the government will go through massive processes right
from the proposal till the construction stages. Generally, the idea was proposed by the
local leader of the particular village or by the Superintendent of that particular divisional
level of land and Survey Department.

The Planning Officer of Divisional will go through and study the need of the site
by getting feedback from Settlement Officer and at the same time will looking for vacant
land for that development. Initial layout will be drawn out and to proposed to Director of
Department through Superintendent’s recommendation.

The Assistant Director of Planning will brief The Director on the need of the
project, the scope, as well as the cost and implementation period. Finally, the proposal
will be presented to the State Planning Authority to gain for approval to proceed with the
project. The overall process from planning to the approval of site and projects are as
Figure 2.3.
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Application Supt / PO Planning Advise / Secretary of Secretary of SPA /

Received by refers screens SPA / Planning Planning Adviser
Respective Application to Application and Adviser Tables conveys decision
Supt, SPA through makes Applications at to respective Supt
Processing and DLS recommendations SPA meeting with copy to DLS
Site Inspection Section to SPA Section 232 Section 232 (1) (a)
By PO 231(2)a & (b) Section228 (1) (c)
Section 231(1)

SPA : State Planning Authority

DLS : Director Land and Survey Department Sarawak
Supt : Superintendent Land and Survey Department Divisional
PO : Planning Officer
Figure 2.3 Work flow chat for land development