URA – Compulsory Licensing for Developers under URA…

I read with interest Malaysia’s short-term rental accommodation (STRA) like Airbnb and similar homestay-style offerings is on the verge of a major regulatory shift. The government confirmed that STRA operators will soon be required to obtain a business licence from local councils before registering as official tourist accommodation premises.

It is a collaboration between the Tourism, Arts and Culture and the Housing and Local Government Ministries (KPKT), aimed at enhancing regulatory control, improve safety standards, and create a more sustainable STRA ecosystem. The new framework is expected to be rolled out by the end of this year, developed by PLANMalaysia,

STRA provide travelers with diverse and authentic ways to stay and connect with local communities and enabling property owners to earn a small income by renting out their under-utilised assets. It is a great way to introduce travelers especially foreigners to local cultures and everyday life.

Great news.

But I sincerely wish KPKT can produce a similar business license immediately for developers registered/connected with the Urban Redevelopment Act (URA). It should enhance regulatory control, improve safety standards, transparency, good governance and create a more sustainable ecosystem under the URA. This is urgent since the minister said the Urban Renewal Bill (URB) is to proceed as scheduled.

If KPKT can produce a legislation to control STRA i.e. small businesses, surely a multi-billion-ringgit initiative under URA, it becomes more urgent and relevant.

Since the proposed URA seeks to replace outdated legislation governing the redevelopment of old and dilapidated urban areas, this proposed legislation will surely add value to the whole URA. 

I am glad that the new STRA guidelines will also include amendments to the Tourism Industry Act 1992, which will introduce new measures such as insurance protection, stronger enforcement, registration of digital platforms, and even the establishment of a Tourism Tribunal.

On that score, I trust KPKT will revisit the URB since there is no provision of a Tribunal but only a mediation committee with conflicting issues.

Anwar Ibrahim has reaffirmed his commitment to the rule of law. Just last week he confirmed the government is seriously considering the establishment of a dedicated Ministry of Law to ensure greater coherence in the national legal ecosystem. It is not enough for justice to exist in principle, it must be felt in the lives of our people and the law must empower and protect, not intimidate or exclude. A government’s true strength does not rest in the reach of its authority, but in the integrity of its institutions, its fairness in governance and the trust it earns from its citizens.

KPKT should take heed of the above affirmation by Anwar and give the rakyat confidence while proving accountability and transparency.

What say you…  

 

Saleh Mohammed