SHAH ALAM, June 28 — The Kuala Selangor Municipal Council (MPKS) is confident that a 30 per cent reduction in rental rates for its premises will help ease the burden on traders without affecting the local authority’s financial position.
In a statement, it said the move is a targeted intervention to assist traders facing current economic pressures, while also reducing the risk of rental arrears and business premises closures.
“MPKS will continue to strengthen efforts to increase revenue collection from various sources, including assessment tax, tax arrears and non-tax revenue (business licences, service charges and asset rentals) to ensure the council’s financial position remains stable.
“In addition, cost-saving and expenditure optimisation measures are also being implemented without affecting the quality of service delivery to residents,” it said.
According to MPKS, the implementation of the initiative is expected to yield positive returns for the council through improved payment compliance rates and better revenue collection in the long term.
MPKS also reaffirmed its commitment to supporting the state government’s efforts in assisting the people and business community, while ensuring efficient and sustainable financial governance.
Previously, MPKS president Mohamad Hanafe Basri welcomed the state government’s announcement on a 30 per cent reduction in rental rates for premises owned by local authorities for six months from July to December.
He said the initiative under the Selangor Resilience Enhancement Package Phase 2 involves 814 tenants under MPKS, with implementation costs estimated at RM346,140 over the six-month period.
Previously, on June 19, when tabling the package, Menteri Besar Datuk Seri Amirudin Shari announced a 30 per cent reduction in rental rates for local authority-owned premises for six months starting in July.
He said the move aims to help traders cope with the impact of global supply and energy crises, benefiting 21,234 tenants of local authority premises across Selangor.
