Asian City Innovation Systems Initiative (CIS-

ASIA)

CITY INNOVATION SYSTEMS

PHASE II

Report on Malaysian Case

Studies: Decision Support

System

by

Safiah @ Yusmah Muhammad Yusoff

What is this innovation all about?

E-Submission (electronic mode) for building

THE INNOVATION

E-Submission (electronic mode) for building

permits

Online submission for development proposals,

which used Decision Support System and

implemented under the One Stop Centre (OSC).

Why is it an innovation?

New product

THE INNOVATION

New process

New paradigm

New institution

THE INNOVATION

What is its value proposition?

Previous Present

Manual Online from submission to

approval

Time consuming Within 4-6 months

Separate and in stagger process Concurrent process

Various approach varies by

different technical department,

federal and state agencies

Uniform and transparent

approach

How did it start?

The Government received many complaints

from the public. Therefore, the government

Background of the innovation

from the public. Therefore, the government

has directed all agencies involved to take

necessary steps to ensure that the service

provided is affective, fast, efficient and

competitive. This is how the idea of e-

Submission originated as the Government

needs to increase customer satisfaction and

produce high quality products.produce high quality products.

Where did the idea originate?

Ministry of Housing and Local Government

Who created it?

i. Research and Technical Legislation

Department, Ministry of Housing and

Background of the innovation

Department, Ministry of Housing and

Local Government

ii.Information, Communication and

Technology Department, Ministry of

Housing and Local Government

Who first adopted it? Who first adopted it?

City Hall Kuala Lumpur

Who implemented it?

Local Planning Authorities (LPAs)

Background of the innovation

Who made it more successful and widely

adopted?

Ministry of Housing and Local Government

Key actors/communities/agencies both informal

and formal

One stop centre

IMPLEMENTING THE INNOVATION

Land Office

Local Authority Planning Department

Local Authority Building Department

Local Authority Engineering Department

Technical Department

Interactions and linkages among actors

Policies and implementation procedures

Refer Fig. 1 & 2

IMPLEMENTING THE INNOVATION

Refer Fig. 1 & 2

FIG 1: FLOWCHART OF PROCESSING CONCURRENT

APPLICATION WITHIN 4 MONTHS

10

FIGURE 2: FLOWCHART OF PROCESSING CONCURRENT

APPLICATION WITHIN 6 MONTHS

11

Key Success Factors:

Uniform, fast and transparent public

CONCLUSION

Uniform, fast and transparent public

delivery system

Reduce processing time frame

Reduce human interference

Areas for possible improvement of

innovation

CONCLUSION

Implementation process

Complaints of slow downloading of

documents

Reluctance of implementation

New technology New technology

Financial constraint - allocation for

extra staff, hardware and software, and

training for small LAs

Next steps for case study:

1. Evaluation of the Implementation of e-

Submission

CONCLUSION

Submission

Feedback from applicants and Local

Authorities

Analysis of interrelationships among

the physical, information and cognitive

spaces and the six dimensions of city

innovationinnovation

2. City innovators

Identification of innovator/s

BACKGROUND

In this project an account of major innovation

that the Malaysian government systems havethat the Malaysian government systems have

implemented and the consequences on their

changes will be highlighted.

Focus more on the Decision Support Systems

(DSS), which has been adapted in urban

governance.

DSS is used in government systems to help DSS is used in government systems to help

improve the process of decision making in

complex systems.

Applied in the information systems of any

Planning Development Department. 15

Established as an electronic application system,

the DSS functions are mainly for information

management, retrieval, analysis and also to

assist in the management of data resources for

planning programs.

DSS acts as an integration centre for all DSS acts as an integration centre for all

application being developed and is shown in a

web-based module.

This study examines

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IDENTIFICATION OF CITY INNOVATION

PROGRAM

BACKGROUND

The Ministry of Housing and Local Government(MHLG)-main agency for any kind ofdevelopment proposal by virtue that regulations(MHLG)-main agency for any kind ofdevelopment proposal by virtue that regulationsregarding development such as Town andCountry Planning Act 1976 (Act 172), Street,Drainage and Building Act 1974 (Act 133), LocalGovernment Act 1976 (Act 171), and Buildingand Common Property (Maintenance andManagement) Act 2007 (Act 663) are under itsManagement) Act 2007 (Act 663) are under itspurview.

The approach to process development proposal bythe various technical department or agencies atthe federal and state levels as well as thegovernment linked companies also varies.

17

The government has directed all agencies

involved to take necessary steps to ensure that

the service provided is affective, fast, efficient

and competitive-increase customer satisfaction

and produce high quality products.

18

DEVELOPMENT PROPOSAL ACCORDING TO

ACT

Subsection 2(1) of Act 172 explain the meaning of

development as the carrying out of anydevelopment as the carrying out of any

building, engineering, mining, industrial or other

similar operation in, on, over, or under land, the

making of any material change in the use of any

land or building, or the subdivision or

amalgamation of lands.

Subsection 19(1) of Act 172 further provides that Subsection 19(1) of Act 172 further provides that

no person shall commence, undertake, or carry

out any development unless planning permission

in respect of the development has been granted.

19

The requirement to obtain planning permission is

crucial to ensure that the development as

proposed by the development proposal will bring

about an orderly, safe and well-preserved

environment.

Planning permission is a development control Planning permission is a development control

tool imposed by the LPAs in implementing

development control over every planning

application.

This means that whoever is interested to

undertake development has to obtain the

planning permission and abide by all theplanning permission and abide by all the

conditions imposed by the LPAs in granting the

planning permission.

Planning permission is a procedures that

requires the applicants to submit document,

plans and fees as may be prescribed by LPAs.

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DEVELOPMENT THAT REQUIRES PLANNING

PERMISSION

Every development activities are required to

submit an application for planning permissionsubmit an application for planning permission

such as:

i. Operational work

ii. Material change

iii. Subdivision and amalgamation of land.

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OPERATIONAL WORK

Carried out work as follows:-

i. Earthworks

ii. Building operation including demolition of

building

iii. Engineering operation

iv. Mining operationMining operation

v. Industrial operation

Or similar operation, in, on, over, or under land.22

MATERIAL CHANGE

Means undertaking a significant change in the

use of land or building or any of their partsuse of land or building or any of their parts

thereof.

Subsection 2(2) of Act 172 further describe what

constitutes a material change in the use of land,

to include dump site and any use of land that

contravenes any provision of the development

plan.plan.

While a material change in the use of a building

includes:

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i. Any increase in the number of units in a

building

ii. The use as a dwelling-house of a building not

originally constructed for human habitation

iii. Any alteration or addition to the buildingiii. Any alteration or addition to the building

iv. Any use of a building that contravenes any

provision of the development plan

v. The use for other purpose of a building

originally constructed as a dwelling-house.

o Development in this context does not involve

any physical change of the land or buildingany physical change of the land or building

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SUBDIVISION AND AMALGAMATION OF

LAND

Approval for subdivision and amalgamation of

land requires the approval of planningland requires the approval of planning

permission.

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PROCEDURES AND PROCESS FOR

DEVELOPMENT PROPOSALS

MHLG is committed to ensure that all

development proposals should be expedited indevelopment proposals should be expedited in

line with the aspiration of the government in

providing better services to the public.

All development proposals will processed within

6 months from the date of submission. Is

reasonable and well accepted by all relevant

quarters in development industry.quarters in development industry.

The Cabinet meeting on the 7 June 2006 resolved

that all development under the Built Then Sell

concept will be processed on a fastlane basis.26

Under this fastlane basis, the development

process which involves application related to land

matter, planning permission, building plan,

earthwork plan as well as road and drainage plan

approval will be processed concurrently.

The whole process will take just 4 months. The whole process will take just 4 months.

The One-Stop Centre will accept all applications

and the processing time are subjected to the time

frame norms prescribed for each relevant process.

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APPLICATION FOR DEVELOPMENT

PROPOSALS

Involves 4 main stages which require approval, namely,application for land matters, application for planningpermission, application for building plans and applicationpermission, application for building plans and applicationfor earthworks plan and road and drainage plans.

Related with legislations namely National Land Code 1965(NLC 56), Town and Country Planning Act 1976 (Act 172),and Street, Drainage and Building Act 1974 (Act 133).

Application for land matters is processed by the DistrictLand Office/Department of Land and Mine whereas forplanning permission, building plan and earthwork planand road and drainage plan, approval are processed by thelocal authorities which involve the planning department,local authorities which involve the planning department,the building department and the engineering department.

The flow chart provided in Figure 1 shows the processesas carried out by the related departments according to theirown specialized responsibilities.

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APPLICATION FOR LAND MATTERS

Application for land matters involving provisions

under section 124 of the National Land Codeunder section 124 of the National Land Code

(land conversion) section 135 (for subdivision)

and section 146 (for amalgamation) can still be

submitted under normal process.

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APPLICATION FOR PLANNING PERMISSION

For any development proposal, the approval for

planning permission is an important requirementplanning permission is an important requirement

as provided under section 20, of Act 172.

Application for Planning Permission is defined as

all development as prescribed in Form A,

Schedule 1 Planning Control (General) Rules

1986, as follows:-

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i. To make material change/s in the use with theaccompanying plan

ii. To subdivide the land in accordance with theaccompanying plans

iii. To amalgamate the land in accordance with theaccompanying plansaccompanying plans

iv. To erect/construct/carry out on the land abuilding/buildings/works in accordance with theaccompanying plan

v. To make material change/s in the use of thebuilding on the land in accordance with theaccompanying plans

vi. To carry out additions/alteration to a building onvi. To carry out additions/alteration to a building onthe land in accordance with the accompanying plans

vii. To carry out engineering/mining/industry

viii. Amendments on planning approval.

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APPLICATION FOR BUILDING PLANS

Applications are required to be submitted to the

respective local authorities as provided for underrespective local authorities as provided for under

section 70 of Act 133.

Terms and technical requirement for submitting

plans are described under the provisions of the

Uniform Building Bylaw 1984.

For building plans approval submitted must

ensure adequate measures for safety andensure adequate measures for safety and

comfort.

Other requirement are as stipulated under the

Standards Specifications, Guidelines or Technical

Rules issued from time to time. 32

APPLICATION FOR EARTHWORK PLANS,

ROAD AND DRAINAGE PLANS

Section 70A of Act 133 provides that no individual or

persons may commence or carry out any activitypersons may commence or carry out any activity

without prior approval of the respective local

authorities concerned-must be based on the layout

plans submitted and under the stagger application

must be based on the layout plans approved.

Section 9 of Act 133 provides that no individual or

persons may construct any road without prior written

approval from the respective local authorities.approval from the respective local authorities.

Any persons with the intention to construct any new

road must submit plans showing level and the

proposed construction as well as the drainage.33

ALTERNATIVE FOR CONCURRENT

APPLICATION

Alternative 1: concurrent processing for all 4applications i.e. applications for land matters,planning permission, building plan and earthworksplanning permission, building plan and earthworksplan well as road and drainage plan.

Alternative 2: combination of 3 applications such asapplication for land matters, planning permission andbuilding plan or application for planning permission,building plan and earthworks plan.

Alternative 3: combination of 2 applications such asapplication for land matters and planning permissionapplication for land matters and planning permissionor application for planning permission and buildingplan or application for building plan and earthworksplan or application for planning permission andearthworks plan.

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APPLICATION FOR DEVELOPMENT PROPOSALS

ACCORDING TO CONCURRENT PROCESS WITHIN

4 MONTH (UNDER THE BUILD THEN SELL (BTS)

CONCEPT)

Applicant shall submit to the OSC the followingapplications:-applications:-

i. Simultaneous application for subdivision andconversion under section 124A NLC or applicationfor surrender and realienation under 204D NLC

ii. Application for planning permission

iii. Application for building plan approval

iv. Application for earthworks plan and road anddrainage plan

iv. Application for earthworks plan and road anddrainage plan

o The application process under this concurrentapproach shall take 92 days. If the application fallswithin an area with a gazette local plan, the processshall take 67 days. 35

APPLICATION FOR DEVELOPMENT PROPOSALS

ACCORDING TO CONCURRENT PROCESS WITHIN

6 MONTH

Who choose the STB concepts the process and

procedures for obtaining approvals are the same-procedures for obtaining approvals are the same-

submit to the OSC Secretariat (Refer Figure 2)

In line with the Government intention to

expedite the delivery system with regards to

applications for land development, planning

permission and building plans, the STB concept

shall also be given due attention.shall also be given due attention.

Approvals under this concept shall not take more

than 6 months.

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METHOD AND SOURCES OF DATA

Literature review based on DSS in urban

governance in Kuala Lumpurgovernance in Kuala Lumpur

Primary and secondary sources

Interviews and discussions with relevant

agencies

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ANALYSIS

Carried out based on two sets of conceptual

frameworks:-frameworks:-

i. The analysis will illustrate how the 6

dimensions of city innovations interplay with

one another, particularly the

technological/product and institutional

dimensions.

ii. The inter-relationships among physical, cyberii. The inter-relationships among physical, cyber

and cognitive spaces.

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SIX DIMENSIONS OF CITY INNOVATIONS

The six dimension of city innovations that will bediscussed are:-

i. Product-(E-Submission for building permits,involves building, layout plans and infrastructureplanning using the MHLG guidelines)

ii. Process- (online process of tracking planssubmission and files)

iii. Services- (local authorities)

iv. Institution- (OSC Secretariat, City Hall Kualaiv. Institution- (OSC Secretariat, City Hall KualaLumpur)

v. Paradigm- (manual, separate and in stagger systemto an online, all together and concurrent system)

vi. Position- (local authorities)39