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State subsidiaries use private consultants only in absence of in-house expertise — MB

11 Jul 2024, 9:49 AM
State subsidiaries use private consultants only in absence of in-house expertise — MB

By Siti Rohaizah Zainal 

SHAH ALAM, July 11 — State government subsidiaries will only engage private consulting services for high-value projects and those that are beyond their expertise, said Menteri Besar Dato’ Seri Amirudin Shari.

However, measures are being implemented in stages to reduce a high reliance on external consultants. 

“After handling Covid-19 in 2019, state subsidiaries were ordered to develop internal expertise in various fields, including real estate, to avoid dependency on private consultants," he said during the State Legislative Assembly session today.

Taking the Selangor Agricultural Development Corporation as an example, Amirudin said the organisation would engage external parties for issues related to dairy farming. 

Meanwhile, the Selangor State Development Corporation only requires private expertise to design major projects like the Selangor Business Capital.

“As for the Menteri Besar Selangor (Incorporated), it requires the knowledge of private consultants to develop the real estate sector to avoid detrimental investments," he said.

The Menteri Besar was responding to a question from Kajang state assemblyman Cheong Kian Young on why the state government does not utilise internal expertise to handle the tender process for land issues involving state subsidiaries. 

He also asked why Selangor preferred to engage the services of project management consultancies that charge high fees. 

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