National Urbanisation Policy - Ministry of Housing and Local ...

MALAYSIAFederal Department of Town and Country Planning Peninsular MalaysiaMinistry of Housing and Local Government8 AUGUST 2006

National Urbanisation Policy2Perpustakaan Negara MalaysiaCataloguing-in-Publication DataNational urbanisation policy.ISBN 983-42643-3-X1. Urban policy--Malaysia. 2. Urbanization--Malaysia. I. Malaysia.Jabatan Perancangan Bandar dan Desa.307.7609595

National Urbanisation PolicyMESSAGEPrime Minister of MalaysiaVision 2020 targets Malaysia to be a developednation economically, socially, politically andspiritually by year 2020. The manifestation andaspiration of Vision 2020 sets the frameworkfor which development is to be steered. Thenation is now in its second phase of developmenttowards achieving the Vision. Rapid globalisation,progression in science and technology and the needto capitalise on knowledge-based economy requiresthe country to have a strong foundation in order tobe competitive with other nations. In this context,the direction of development has to be planned andmanaged systematically and comprehensively toinduce the country’s capacity to compete globally.The urban sector is an important catalyst towardsnational economic growth and a vital investmentcentre for the nation, Apart from being a centrefor social and recreation, urban sector plays animportant role in attracting local and foreigninvestors in economic activities. Therefore, atownship must be able to provide a good andcompetitive environment, complemented with allforms of activities within its territory. PeninsularMalaysia is expected to experience a rapid processof urbanisation by year 2020, with a majority ofthe population being urbanized. The increase inpopulation means additional space is required forhousing, public amenities and infrastructure. Hence,development to be carried out should be able tobring a good return whilst priority being given toenvironmental protection, through a balanced andoptimal use of national resources.The National Urbanisation Policy (NUP) aims toensure that urban centres would be able to playoptimal role as the engine of the nation’s economicgrowth providing a high quality of life througha systematic and planned urbanisation process.The aspiration of NUP is tandem with the nationalmission to be a developed nation by year 2020.It is my hope that upon the implementation of allthe policies, our urban areas would be developed,and managed efficiently and effectively and wellbalanced with good governance and ultimately willbecome world-renowned cities in times to come.Dato’ Seri Abdullah bin Haji Ahmad BadawiPrime Minister of Malaysia3

National Urbanisation PolicyMESSAGEMinister of Housing andLocal Government4The Ministry of Housing and Local Governmentwelcomes the preparation of the NationalUrbanisation Policy (NUP) which aims to createa city of vision with a peaceful community andliving environment. The policies are in line with theNational and Ministry’s vision in providing a safeand healthy living as well as peaceful and beautifulenvironment to promote socio-economic growth fora disciplined and developed Malaysian community.The preparation of the NUP is timely consideringthat rapid process of urbanisation in the nation.In Peninsular Malaysia alone, the rate of nationalurbanisation is expected to increase to 75% by 2020.Negative implications are to be expected if nothingis being done to properly manage the process ofgrowth. Urbanisation issues being emphasized bythe government, among others, are urban poverty,the rising crime rate, solid waste disposal, housingfor the poor, environmental protection, pollution etc.These issues need to be tackled holistically to ensurethe role of urban centre as the engine of economicgrowth will be continuously maintained andenhanced. Towns need to be governed efficiently andeffectively to promote a sustainable and conduciveenvironment as a place of work and living. At thesame time, the uniqueness of town should also bepreserved to maintain its image and distinct identity.The aim of the NUP is to provide the directionfor government agencies to plan, implement andmanage urban services. To ensure the effectiveness,the Federal Department of Town and CountryPlanning will monitor the implementation of theNUP. However, it is the responsibility of all partiesinvolved in planning, development and urbanmanagement to ensure these policies are beingimplemented properly. Hence all parties, in particularlocal authorities should be more innovative,transparent and efficient in promoting urbandevelopment that is of quality, healthy, competitiveand progressive.Dato’ Seri Ong Ka TingMinister of Housing and Local Government

National Urbanisation PolicyFOREWORDDirector GeneralFederal Department of Town and Country Planning, Peninsular MalaysiaAn urban centre is a catalyst and contributortowards the national economic growth, a centre forinnovation and entrepreneurship and a source forhigh social services. Efficient and effective urbangovernance will help to generate a competitivenational development. Therefore, developmentpotentials that exist in urban areas should becontinuously adopted and supported as a place forinvestment and providing services of a high level.The NUP is an attempt by the department, in supportof the national aspiration, to create a balancedgrowth not only in terms of economic developmentbut also the social and spiritual aspects as stipulatedin the 9 th Malaysia Plan and the National Vision.The NUP will functionally steer and coordinate theefficient and effective planning and development ofurban areas to face current and future challenges.It will also ensure a developed nation status isachieved by 2020. The NUP will provide the basicframework for all development plans and urbangovernance in Malaysia. The preparation of the NUPis provided for under Sectíon 6B(3) of the Town andCountry Planning Act, (Amended 2001) Act A1129and Chapter 21 of the 9 th Malaysia Plan under thetopic of Urban Services. The formulation of the NUPhad undergone the process of consultation withvarious Federal, State and Local Agencies as well asnon-government institutions, Institutions of HigherLearning, Corporate sector and specialists from allover the country.The NUP emphasises six main thrusts that outlinesstrategies for the creation of a township that issafe, systematic, modern and attractive. There arealtogether 30 policies covering vital aspects ofplanning, development and management of townshipin the country. It is hoped that with the NUP, thedevelopment of urban areas will be implemented in aplanned, balanced, quality, sustainable and peacefulmanner towards achieving the national vision ofbeing a developed nation economically, socially,politically and spiritually by 2020,Dato’ Mohd. Fadzil bin Hj. Mohd. KhirDirector GeneralFederal Department of Town and Country PlanningPeninsular Malaysia5

National Urbanisation Policy

National Urbanisation PolicyCONTENTS91012283132356888108IntroductionThe Need for National Urbanisation PolicyIssues and ChallengesPhilosophyGoalObjectiveNational Urbanisation Policy ThrustThrust 1: Towards an Efficient and Sustainable UrbanisationThrust 2: Development of a Resilient, Dynamic and Competitive Urban EconomyThrust 3: Towards an Integrated and Efficient Urban Transportation SystemThrust 4: Provide Quality Urban Services, Infrastructure and UtilityThrust 5: Create a Conducive Urban Living Environment with a Distinct IdentityThrust 6: Effective Urban GovernanceImplementation Action PlanAppendixAcknowledgement

8National Urbanisation Policy

National Urbanisation Policy1.0 INTRODUCTIONTowns as engines of economic growth, have a vital roletowards attaining the national vision of a developednation status by year 2020. For the past two decades,the rate of urbanisation has registered a significantincrease and in future, is expected to rise further. Toaddress and manage this effectively, there is a needto plan, develop and manage a more systematic andefficient urban service in order to achieve a betterquality of living for the urban community.The potential for urban growth has to be planned inthe best possible way in tandem with advances intechnology and the challenge of globalisation so asto maximise its contribution to the national economicgrowth. Nevertheless, there are currently variousphysical and social problems faced in urbanisationdue to imbalance of development. In this regard, acomprehensive and integrated framework to guidethe process of urbanisation for the nation should beformulated by means of a National UrbanisationPolicy (NUP).The need to prepare a NUP was emphasized in theEighth Malaysia Plan (8th MP) and the Ninth MalaysiaPlan (9th MP) where the NUP will be formulated toincrease the effectiveness in the quality of urbanservices for the creation of safer, systematic, modernand attractive towns. Provisions under Part IIB Section6B(3), the Town and Country Planning Act (Act 172),amended in 2001 (Act A1129) also provided for theDirector General of Town and Country Planning to takeinto consideration the current National UrbanisationPolicy or other similar policies when preparing the draftNational Physical Plan (RFN).91.0 Introduction

National Urbanisation Policy2.0 THE NEED FOR NATIONALURBANISATION POLICYThe NUP will guide and coordinate the planning and urbandevelopment of the country to be more efficient andsystematic particularly to handle the increase in the urbanpopulation by 2020 with emphasis on balancing the social,economic and physical development within urban areas.It will also serve as the foundation to encourage racialintegration and solidarity for those who will reside inthe urban areas.10The NUP will be the main thrust for all urban planningand development activities in Peninsular Malaysia includingdevelopment plans at the state and local level. This policy willoutline the thrust, policy, measures and implementation planto coordinate and manage the urbanisation process ofthe country.

National Urbanisation Policy2.0 The Need for National Urbanisation Policy11

National Urbanisation Policy3.0 ISSUES AND CHALLENGESIn the process of urbanisation, there are severalmajor issues encountered by towns nationwide.These include:12

National Urbanisation Policyi. Rapid Rate of UrbanisationUrbanisation in Peninsular Malaysia has developedrapidly especially during the last two decadeswhereby the rate of urbanisation has increased from54.3% to 65.4% between 1991 and 2000. This isexpected to increase to 75% by 2020. The increasein population will mostly concentrate in majorconurbations such as Kuala Lumpur, Georgetown,Johor Bahru and Kuantan. The high rate ofpopulation increase requires the development of newareas for housing, social amenities, commercial andother urban landuses. The lack of clear urban limitshas led to the creation of urban sprawl encroachingupon environmentally sensitive areas, majoragricultural areas and areas unsuitablefor development.In addition, non-compliance with the existingdevelopment plans has also contributed to thisproblem. This situation has given rise to variousurbanisation related woes such as environmentalpollution, traffic congestion, brownfield areas, lossof inner city attractions, infrastructural decay, lackof social amenities and green areas; ultimatelyresulting in degradation in the quality of urban living.133.0 Issues and ChallengesThe problem of conflicting landuse still existsespecially in towns that experience rapid growthconsidering the high demand of landuse at strategicareas. The existence of illegal factories in urbanareas has caused much environmental pollution.This is because illegal factories are not equippedwith proper infrastructure and utilities. Manyindustrial activities especially small and mediumenterprises (SME) are constructed and distributedhaphazardly and poorly managed. This situationneeds to be addressed through proper planning,monitoring and management for the betterment ofthe economy in urban areas.

National Urbanisation Policyii. Degradation of Environmental Quality14Rapid urban development has contributed to thedegradation of environmental quality especially thequality of water, air and noise. Many rivers which aremajor sources of water have undergone degradationin water quality due to pollution from domesticwaste, industrial effluents, suspended particulatesfrom soil erosion and heavy metal pollution fromfactories. Based on a report by the Department ofEnvironment, there are 9 polluted river basins in2004, among them Sungai Klang and Sungai Bulohin Selangor, Sungai Juru in Pulau Pinang and SungaiSegget in Johore.

National Urbanisation PolicyAir pollution has also increased due to emissionfrom motor vehicles, industrial development anduse of non-environmental friendly fuel sources.An unhealthy level of air quality was recorded forurban areas due to the high concentration of totalsuspended particulates below 10 micron (PM 10 )with a reading of 52 ug/m 3 compared to 50 ug/m 3allowed under the Malaysian Air Quality Guideline.Furthermore, increased human activities and highpopulation density have also generated noisepollution in urban areas. The Annual EnvironmentalQuality Report 2002 showed that the noise levelin housing areas (within urban centres) washigher than that recommended by World HealthOrganisation (above 65 dBA). Almost 90% of thenoise pollution was from vehicles.The increase in population has generated a veryhigh volume of solid waste and there is pressureto provide a waste disposal site in the urban areas.According to the 9 th MP, the volume of solid wastegenerated in Peninsular Malaysia had increased from16,200 metric ton per day in 2001 to 19,100 metricton per day in 2005 and if not managed efficiently,will create a negative impact on the environment andurban quality of living.153.0 Issues and Challenges

National Urbanisation Policyiii. Less Competitive Urban EconomyThe United Nations forecast that 60% of the worldpopulation which is equivalent to five billion peoplewill reside in urban areas by 2030. With more thanthree quarter of the population living in urban areasin Malaysia by 2020, the demand for employmentin urban centres will significantly increase. Thiswill put a pressure to create enough employment inurban areas to meet the increasing demand as wellas reduce unemployment to an acceptable level. Ahigh unemployment rate will result in various socialissues related to poverty, crime and nuisance. Thepressure to create employment will be more intensein the conurbation which is expected to encountercompetition from other cities worldwide due toglobalisation and trade liberalisation. This is becausethe conurbation is anticipated to lead the nation insecuring foreign investment, and in turn becomecompetitive centres to attract investors.16Thus, one of the challenges of the urban economyis to turn urban areas into investment andcommercial centres. It should have the capacityto attract foreign and local investment and tradein order to achieve a viable economy and provideadequate employment opportunities.

National Urbanisation PolicyTo promote economic growth in urban areas, thefocus should be the creation of a fair distributionof wealth among the population to reduce urbanpoverty. Although the rate of urban poverty hasshown a decrease at a level of 2.0% in 2002, severalstudies indicate that the problem exist in the lackof housing and public facilities and a decline in thequality of living of urban dwellers. Based on the9 th MP for the profile of urban poverty in 2004,the incidence of poverty was highest among theBumiputera at 4.1% compared to the Chinese 0.4%and Indian 2.4%. As the Bumiputera lack skillsand suitable qualification, most are involved in theinformal sector as a source of employment. Asthe informal sector does not provide security ofemployment and provide lower income, they arepredisposed to poverty. This calls for a long termplan to draw up programmes that will enhanceemployment opportunities and income for the urbanpoor comprising mainly the Bumiputeras.3.0 Issues and Challenges17

18National Urbanisation Policy

National Urbanisation Policyiv. Inefficient Transportation SystemBased on information from the Road and TransportDepartment of Malaysia, the total number ofregistered vehicles for Malaysia was 14.8 million in2003. Out of this, 47% comprised of motorcycles,44% were private cars while the remainder werecommercial and other vehicles. The large numberof private vehicle ownership puts pressure on thecapacity of the existing road network especiallyfor larger conurbations like Kuala Lumpur andGeorgetown. Furthermore, inefficient publictransportation resulted in the tendency for the urbanpopulation to opt for private vehicles instead ofthe public transport. According to a Study on theIntegration of Public Transport Development andLand Use in Klang Valley in 2003, the ratio of privatevehicle usage compared to public transport was89:11. These two factors have contributed to theacute problem of congestion in those cities. In thelong term, this will have a negative impact on thecompetitiveness and the attraction of those cities todraw local and foreign investors.Basically, the current transportation system isinsufficient to handle the problem of congestionand provide services incorporated with safetyand user-friendly principles to the urban dwellers.Transportation facilities are provided withouttaking into account the need to integrate thedifferent modes of transportation subsequentlymake it difficult for the user to change the modesof transportation. The provision of physicalinfrastructure for public transportation system suchas covered pedestrian footpath and busstops thatenhance the comfort of the user are still not givenenough emphasis.The road network of medium and small sizedtowns has not been developed to an optimum level.Most of the main roads for these towns are alsothrough roads for passing traffic as there is a lackof alternative routes and this in turn leads to trafficcongestions at particular times. More road networksare required to enhance the accessibility to urbanareas and movement within the town itself.3.0 Issues and Challenges19

National Urbanisation Policy20v. Decline in Quality of Living forUrban DwellersThe decline in quality of living in urban areas isone of the major issues that arise out of poormanagement of urban development. For a townto be both viable and sustainable, it is necessaryto provide quality support infrastructure and ahigh quality of living derived from the provision ofadequate housing, education, recreation andhealth facilities.In respect of the provision of housing, the mainissue is the lack of housing for the low incomegroup. Although the supply of housing is generallyin excess of actual demand, the supply of housingfor the urban poor is still insufficient as the price ofthese houses is beyond the reach of this group.

National Urbanisation PolicyUnder the 8 th MP, many low cost housingprogrammes such as Low Cost Public HousingProjects and Public Housing Programmes havebeen implemented in urban areas but to date are stillunable to address the issue of insufficient low costhousing. During the 8 th MP, the total number of lowcost housing provided was 200,519 units comparedto a target of 232,000 units. The lack of housingfor the low income group has led to the existenceof squatter settlements in the major cities in thecountry. These squatter settlements lack of properinfrastructure brought about many setbacks to theurban environment including social problems suchas child education, crime, drugs, delinquencyand others.In terms of social facilities, it was found thatthe provision of recreational areas is generallyinadequate for all towns in Malaysia. Moreover, thereis a problem of maintenance of facilities as well asbeing non-user friendly since the location and designof facilities do not take into account the needs ofcertain segments of the society such as the disabled,children and elderly. Vandalism of public propertiesalso exists and leads to not fully utilised facilities.213.0 Issues and Challenges

National Urbanisation PolicyThe rapid growth of the urban population hasalso increased the demand on infrastructure andutility which is beyond the capacity of the existingfacilities. The development of housing and industrialareas is usually not synchronised with the capacityof utilities in particular water supply. Major citiesespecially those in the Kuala Lumpur conurbationfrequently face the problem of interruption ofadequate water supply. The recurrence of flashfloods is due to the drainage system being unableto contain surface water run-off that has greatlyincreased with the higher intensity of urbanactivities. There are facilities that could not be fullyprovided as this requires planning at the regionallevel instead of being handled individually by a localauthority such as the provision of solid waste andtoxic material disposal sites. Poor maintenance ofinfrastructure and utilities compounded by the lackof coordination among the related agencies furtheraggravate this problem.22

National Urbanisation PolicyIn terms of the quality of urban services provided,it is generally beset by a low level of serviceincapable of fulfilling the residents’ expectations.The maintenance of drains and rubbish collectionis inefficient, giving rise to various problems suchas flash floods and poor public health. However,the quality of services like the maintenance ofdrainage system, rubbish collection, cleaning andmaintenance of public areas varies according tothe capacity of the local authority that manages therespective towns. Towns under the administrationof large and financially sound local authorities willobtain services of a higher quality compared totowns under smaller local authorities.Malaysian towns have also experienced a declinein the quality of living with respect to safety. TheMalaysian Quality of Life Report, 2004 indicatedthat between 1990 and 2002, the public safety indexdeclined by 19.9 points. On average, the percentageof crimes increased from 3.8 cases in 1990 to6.2 cases in 2002. Safety is more crucial as latelycrimes like burglary and theft are more rampant.As both aspects of safety and public security areinter-related and are a prerequisite to a stableand sustainable development, it has to be dealtappropriately in order to enhance the quality oflife of urban dwellers.3.0 Issues and Challenges23

24National Urbanisation Policy

National Urbanisation Policyvi. Lack of Emphasis on Urban Design andthe Conservation of HeritageThe implication of urbanisation as well asglobalisation had brought drastic changes tothe image of major cities. Most urban centres inMalaysia are still weak at portraying a distinctidentity and exceptional character. The influx ofexternal influence had created more cities with aglobal character such as Kuala Lumpur, Georgetownand Johor Bahru. These cities exude a cosmopolitanimage and tend to appear homogeneous and riska loss of identity. Such rapid development and alaissez-faire policy had resulted in a developmentthat is unattractive with an uncreative layout. Theexisting development lays more emphasis onoptimising landuse and acquiring short term gain.Consequently, the significance of urban design increating a liveable environment with character hasbeen duly neglected.At the same time, rapid development had alsogiven pressure for the surrounding heritage areato be developed. Conservation and preservationefforts on heritage buildings especially in the urbanarea become more difficult as owners of buildingsand developers are more interested in developingcommercial areas which is more profitable.253.0 Issues and Challenges

National Urbanisation Policyvii. Ineffective UrbanGovernanceWith the rapid pace of urbanisation by 2020,urban governance is faced with various complexchallenges ahead. These challenges requirethat the respective parties be more focused inundertaking each and every responsibility in urbandevelopment. However, the involvement of multipleagencies and departments in urban managementhad made it difficult to coordinate many actions andin turn affects the effectiveness of those actions.26

National Urbanisation PolicyGood urban administration and management alsoneed to take into consideration the capability of eachlocal authority as each differs in terms of manpower,skills and financial capacity to provide good servicefor its population. There is a wide gap betweenthe expectation of the community and the abilityof the local authority to fulfil those expectations.The various roles that are expected of these localauthorities to attain a liveable city with a high qualityof living had put pressure on those authorities toacquire a strong organisation. The pressure is feltmore intensely by small and medium sized localauthorities that lack finance, manpower, skills andequipment in providing the expected services.The local authority is also confronted with thediverse aspirations and interests of communitygroups that it has to fulfil, as well as various socialissues and negative influence. Public cooperationand involvement are much needed to address theseproblems. However, community participation thatare too brief pertaining to activities organised bythe local authority also inhibit and do not fulfil theaspiration of the local authority at involving thecommunity in planning and development ofurban areas.273.0 Issues and Challenges

National Urbanisation Policy4.0 PHILOSOPHYThe formulation of urbanisation policies should bebased on the philosophy of a liveable city whichencompass the following:• Generate economic development in order that thenation’s prosperity is shared equitably andbeneficial to all.• Provide quality urban services, utility andinfrastructure required by the population.• Emphasize safety aspects in towns.• Ensure the design and quality of urban fabric isbased on the local cultures of the nation.• Focus on the preservation and conservation ofthe environment.28• Promote social development and national unity.• Promote participation of the residents in theirrespective community development towardsenhancing governance for greater efficiencyand effectiveness.• Eradicate urban poverty.• Be sensitive and innovative towards technologicaladvancement and development.

National Urbanisation Policy4.0 Philosophy29

30National Urbanisation Policy

National Urbanisation Policy5.0 GOALThe goal of urban development is to create a liveableenvironment that could realise peaceful communityand living environment requires a balance in allaspects of development, namely physical, economy,social and environment. This is in line with effortsto achieve the goal of Vision 2020 for Malaysia tobe a developed nation. To achieve this, the NationalUrbanisation Policy is guided by the following goal:To Create A Visionary CityWith A Peaceful CommunityAnd Living EnvironmentThrough Sustainable UrbanDevelopment.5.0 Goal31

National Urbanisation Policy6.0 OBJECTIVEBased on the above goal, six objectives have beenidentified namely:i. To develop a planned, quality, progressive andsustainable city;ii. To develop and strengthen a competitiveurban economy;iii. To create a conducive environment in order toencourage social development;iv. To eradicate urban poverty;v. To strengthen the planning, implementation andmonitoring system;vi. To strengthen urban management andadministrative institutions.32

National Urbanisation Policy6.0 Objective33

34National Urbanisation Policy

National Urbanisation Policy7.0 NATIONAL URBANISATIONPOLICY THRUSTThe National Urbanisation Policy isformulated on six thrusts as follows;i. An efficient and sustainableurban development.ii. Development of an urban economy thatis resilient, dynamic and competitive.iii. An integrated and efficient urbantransportation system.iv. Provision of urban services,infrastructure and utility of quality.v. Creation of a conducive liveable urbanenvironment with identity.vi. Effective urban governance.7.0 National Urbanisation Policy Thrust35

National Urbanisation Policy36Thrust 1:AN EFFICIENT AND SUSTAINABLEURBAN DEVELOPMENTUrban development should have a clear guidanceon the direction of future expansion to accommodatean orderly and manageable development. Thedevelopment of an urban system needs to be basedon a clear system of hierarchy so that the provisionand distribution of facilities and infrastructure will bemore efficient, thus, preventing wastage ofnational resources.Urban development needs to be carried out withina specified area to ensure urban sprawl is avoided.Towards this end, landuse development should bebased on the adopted development plan and complywith all policies, programmes and action plansproposed by the respective plan.The urban limit needs to be identified to implementthe development of a more efficient landuse. Urbandevelopment should be implemented in accordancewith the principles of `smart growth’ with emphasison redeveloping suitable areas especially in urbancentres and brownfield areas, preserving greenareas for recreational purpose and conservingenvironmentally sensitive areas. This is to preventdevelopment from encroaching upon agriculturaland environmentally sensitive areas, to promotethe optimum usage of existing infrastructure and torevive the attractiveness and liveliness of theurban centres.Villages in the urban areas will also be developedand not be left out nor isolated from urbanisationwhilst conserving the village unique features. Theseareas will also be equipped with infrastructuralfacilities and public amenities.Urban redevelopment programme of suitableand strategic areas is one way of increasingthe efficiency of urban areas. In addition, suchprogramme is capable of fulfilling local needs forenhancing the quality of living and environment,generating economic activities and employmentopportunities. For this purpose, the policiesproposed are:

National Urbanisation PolicyNational Urbanisation PolicyNUP 1The National Urbanisation Policy (NUP) shall formthe basic framework for urban development inMalaysia.Measuresi. Ensure all development plans (NPP, RP, SSP,DLP and SAP) adhere to the policies outlinedin the NUP.ii. Monitor the implementation of alldevelopment plans.NUP 2Urban development shall be based on the urbanhierarchy system of the NUP.Please refer to Figure 1.0 : Urban Hierarchy,Peninsular Malaysia 2006-2020, Appendix 1 andAppendix 1a.Measuresi. Ensure urban development plans are based onthe urban hierarchy and components.ii. Adopt the urban definition of the NUP to identifythe urban area.iii. Establish an urban information system viathe Urban Profile study.7.0 National Urbanisation Policy Thrust37 38

Figure 1.0 : URBAN HIERARCHY OF PENINSULAR MALAYSIA, 2006-2020Source : National Urbanisation Policy Study, 2006.

National Urbanisation PolicyNUP 3Each urban development shall be based on theDevelopment Plan being prepared.Measuresi. Gazette all Structure Plans, Local Plans andSpecial Area Plans.ii. Identify and initiate the preparation ofRegional Plans for national and regionalgrowth conurbations.iii. Set the Structure Plan, Local Plan and SpecialArea Plan as the main guide in the planningapproval process.iv. Coordinate and monitor the implementation ofdevelopment plans at the federal, state andlocal levels.v. Coordinate and monitor the planning ofconurbations through the RegionalPlanning Committee.vi. Enforce all Development Plans.vii. Establish a comprehensive landuse database atstate and local levels.7.0 National Urbanisation Policy Thrust39

National Urbanisation PolicyNUP 4Urban growth limit is determined based on itscarrying capacity for all towns in the country.Measuresi. Establish the urban growth limit based on itscarrying capacity for each town in the Local Plan.ii. Ascertain the criteria for Urban Growth Limit.iii. Review the Urban Growth Limit identified basedon the appropriate time frame.NUP 5Optimal and balanced landuse planning shall begiven emphasis in urban development.Measuresi. Ensure development is concentrated within theurban growth limit so as to create a compact city.ii. Ensure each new development is compatible withthe surrounding landuse.iii. Impose social impact assessment studies whenundertaking the planning and approval of allpublic and private development activities.iv. Ensure the employment zone is provided close toresidential areas and is equipped withrecreational facilities.v. Promote housing development within the urbancentre or near to activity centres with access togood amenities and transportation.vi. Ensure workshop and light industries that do notcreate environmental pollution nor generate hightraffic are appropriately located.40

National Urbanisation PolicyNUP 6Urban development shall give priority to urbanrenewal within the urban area.Measuresi. Implement infill development at potential areas.ii. Identify and prepare an inventory ofbrownfield areas.iii. Plan and prepare the re-developmentprogrammes for brownfield areas.iv. Promote urban regeneration for areas potentialfor development.v. Rehabilitate polluted areas prior to development.vi. Establish an agency responsible for planning andmanaging urban renewal.vii. Encourage private sector involvement throughthe provision of incentives and joint ventureprogrammes with the government.7.0 National Urbanisation Policy Thrust41

National Urbanisation PolicyNUP 7Village development in towns shall be integratedwith urban development.42Measuresi. Redevelop village areas that are cramped,ill planned and isolated in line with the trendof development.ii. Conserve the uniqueness of village featureswhilst providing and upgrading infrastructureand utility facilities as well as public services atvillage areas.iii. Promote the approach of land readjustment asan alternative in the development of villagesin towns.iv. Provide affordable commercial buildings andpremises to enhance the economic activities ofthe local population in the village.v. Implement the development of new villagesbased on the New Village Master Plan.

National Urbanisation PolicyNUP 8Environmentally Sensitive Area and PrimeAgricultural Area shall be conserved.Measuresi. Protect and maintain environmentally sensitiveareas and prime agricultural areas.ii. Establish green areas as buffer zones to limiturban development.NUP 9Open space and recreational areas shall beadequately provided to meet the requirements ofthe population.Measuresi. Ensure recreational areas are provided inaccordance to hierarchy and guidelines as wellas standards.ii. Provide adequate public open spaces by theadoption of a standard of 2 hectares: 1000urban population.iii. Ensure open space and recreational areas areprovided with various sports facilities based onthe requirement and needs of the local residents.iv. Gazette recreational areas and monitor theimplementation of their development.v. Promote the contiguous and integrateddevelopment of green areas in urban centres.vi. Ensure that development face rivers andwater bodies.vii. Adopt the National Landscape Policy in thepreparation of landscape.viii. Review guidelines and standards pertainingto the provision of open space andrecreational areas.437.0 National Urbanisation Policy Thrust

National Urbanisation Policy44Thrust 2:DEVELOPMENT OF AN URBAN ECONOMY THATIS RESILIENT, DYNAMIC AND COMPETITIVEThere is a need to identify the economic strengthand specialization of each urban centre to develop,promote and strengthen its future growth anddevelopment. A strong correlation betweeneconomic growth and urban growth further clarifiesthe role of the local economic base in nationaleconomic growth.A major conurbation will encounter challengesfrom globalisation and technological developmentincluding the emergence of knowledge-basedeconomy. The growth of knowledge based economyrequires a high level of competency amongadministrators, service providers and consumers.The improvement of skills of the urban dwellerswill further accelerate economic growth, expandknowledge, and lead to the upgrading ofskilled manpower.Thus, it is important for urban centres, regardlessof size, to create a dynamic economic environmentin support of commerce and value-added economicactivities and knowledge-based industries.Besides encouraging the growth and developmentof major urban centres, the economic developmentof medium and small sized urban centres shouldalso be supported as they provide consumer goodsto the urban population. Small towns also have animportant role in improving the standard of living ofthe rural population as they function as commercialand trading centres especially in marketingagricultural products. The growth of these smalltowns creates demand for agricultural products andprovides non-agricultural employment opportunities;both of which will improve the economic base of therural population.

National Urbanisation PolicyThere are also urban centres with unique featuresthat contribute significantly to the growth anddevelopment of the economic base to theseareas. Towns like Malacca and Georgetown arerecognised as popular tourist centres in Malaysia.Furthermore, Kuah in Langkawi and Lumutare small towns which are developing fast as aconsequence of their linkages to an active tourismindustry. The uniqueness of these towns should beadministered and preserved to continue contributingto the economic sector. The enhancement of theuniqueness of these towns should be encouraged inaddition with efforts to diversify theireconomic base.Towards the eradication of urban poverty,programmes will be implemented. One componentof the programme includes the provision of housing,income generation, facilities, education and training.The implementation of programmes to accelerateBumiputera participation in the urban economicsector will also focus on those sectors with highbumiputera participation, that is the informal sector.This sector has to be developed in tandem with theformal urban economy. One proposal is the provisionof planned commercial sites for the informalsector such as night markets and agriculture fairs.Simultaneously, the Bumiputeras in urban areasshould be encouraged to grab diverse businessopportunities by creating networks or joint-venturesbetween the public and private sector.To drive and encourage the development of an urbaneconomy to be more dynamic in the future, thefollowing policies and measures are proposed:457.0 National Urbanisation Policy Thrust

National Urbanisation PolicyNUP 10The development of urban economic activities thatis value-added and knowledge based (k-economy)at all conurbations shall be promoted.46Measuresi. Adopt the cluster concept in conurbations toencourage the growth of high value-added andknowledge intensive activities.ii. Identify specific areas where various clusters canexist and focus investment in these areas.iii. Identify and develop suitable areas to locatetraining and tertiary education institutions for thesupply of skilled labour.iv. Promote the formation of cyber-cities and cybercentresas catalysts of k-economy growth.v. Promote integrated development ofbusiness parks.vi. Ensure the provision of efficient IT infrastructureto promote the development of e-businessand e-commerce.vii. Develop suitable recreational and culturalfacilities for a conducive business environmentfor investors and local residents.viii. Accelerate the promotion of conurbations asinvestment centres.

National Urbanisation PolicyNUP 11Economic development of Major and MinorSettlement Centres shall be enhanced to supporttheir roles in regional development.Measuresi. Adopt the cluster concept to furtherstrengthen the urban economy and its linkagewith the hinterland.ii. Develop an efficient IT infrastructure tosupport k-economy.iii. Establish and fortify business parks and specialindustrial zones to encourage economic clusters.iv. Provide incentives for the re-developmentof brownfield areas as commercial and specialindustrial zones.v. Encourage the provision of small business lots inresidential areas.vi. Promote the concept of small office in residentialunits (SOHO).vii. Provide planning guidelines for small office inresidential units.viii. Identify suitable areas for the establishment ofskills training and educational institutions.ix. Provide recreational facilities to support thebusiness environment.NUP 12Special feature towns shall be developed inaccordance to their respective potential andniches.Measuresi. Identify towns with special functions andfeatures such as:• Border Town;• Tourist Town;• Special Role Town;• Special Industry Town; and• Future Communications andTransportation Node.ii. Develop the economy of special feature towns inaccordance to their respective niches byproviding support facilities.iii. Plan and conserve the existing landuse zones tomaintain their special features.Towns identified with special functions are shown asin Table 1.0.477.0 National Urbanisation Policy Thrust

National Urbanisation PolicyTABLE 1.0 LIST OF TOWN WITH SPECIAL FUNCTIONS UNDER THE NUPSpecial Function Town State481. Border Town Bukit Kayu HitamKota PutraKedahPadang BesarPerlisPengkalan HuluPerakRantau PanjangPengkalan KuborKelantanBukit Bunga2. Tourist Town :a. Coastal Town Mersing JohorKuahKedahPort DicksonNegeri SembilanKuala RompinPahangChukaiTerengganuPangkorLumutPerakBatu FeringgiTg. TokongPenangb. Highland Town Tanah RataFraser’s HillPahangc. Nature Based / Eco-tourism Pontian KecilSegamatJohoreJerantutBeraPahangJertehMarangTerengganuDabongKelantanGua MusangAlor GajahAyer KerohMalaccaJasin

National Urbanisation PolicySpecial Function Town Stated. Historical / Heritage Town Teluk Intan townGerikLenggongTaipingKlangMalacca townKuala LipisPerakSelangorMalaccaPahange. Royal Town Pekan PahangKuala KangsarArauSri Menanti townKlangPerakPerlisN.SembilanSelangor3. Special Role Town Putrajaya Federal TerritoryCyberjaya4. Special Industrial Town Tanjung Malim - Proton City- Behrang5. Future Communications andTransportation NodeButterworthGurunKulimSenaiKertihLumut - Sitiawan - ManjungGerikTemerloh - MentakabGua MusangSelangorPerakPulau PinangKedahJohorTerengganuPerakPahangKelantan7.0 National Urbanisation Policy Thrust49

50National Urbanisation Policy

National Urbanisation PolicyNUP 13Employment opportunities especially for the lowincome group shall be improved and diversifiedirrespective of race.Measuresi. Identify the profile of the urban poor group basedon the Poverty Line.ii. Implement the Urban Poverty EradicationProgramme (UPEP).iii. Provide special business premises for smalltraders through the construction of food courts,stalls, permanent farmers’ fair sites, night marketsites, business lots, markets and workshops atsuitable locations.iv. Promote the provision of job opportunities in thesmall and medium sized industries (SMI) locatednear residential areas.v. To assist existing SMI that played a supportingrole in economic growth by the provision ofappropriate sites to expand business activities.vi. Provide employment opportunities in the lowcost housing areas and traditional village inurban areas.vii. Encourage the concept of working at home toprovide job opportunities for the low incomegroup, disabled and women.viii. Promote in-situ development to maintainjob opportunities.ix. Provide adequate infrastructure for theinformal sector.x. Provide skills training programmes for the lowincome group.xi. Identify and support small businesses thatprovide services to residents of conurbations,major settlement centres and minorsettlement centres.NUP 14Development of urban areas shall take intoconsideration the Malaysian identity that ismulti-racial. Bumiputera participation and thosewith low income from the urban economic sectorshall be improved. At the same time, the interest,opportunity and future potential of other races willnot be neglected nor obstructed.Measuresi. Provide quotas to obtain licences, permits anddistribute business premises or stalls, hawkercentres, small industrial sites and shophouses atstrategic locations.ii. Allocate a minimum of 30 percent in the totalnumber of affordable commercial units andbusiness floor area at strategic locations.iii. Unsold Bumiputera quota units will be purchasedby government agencies such as SEDC, MARA,Urban Development Authority, local authoritiesand State Housing Board for rental.iv. Encourage the construction of businesspremises, bazaars and office lots at strategiclocations by government agencies.v. Provide planned business sites for the informalsector such as night markets, farmer fairs andRamadhan bazaars.vi. Promote the development of training andskills development programmes in thefield of management, business operationand entrepreneurship.vii. Establish joint-venture network amongstthe public and private sectors for theBumiputera group.viii. To encourage joint-venture betweenbumiputera and non-bumiputera in suitablenew opportunities.517.0 National Urbanisation Policy Thrust

National Urbanisation Policy52Thrust 3:AN INTEGRATED AND EFFICIENTURBAN TRANSPORTATION SYSTEMAn efficient and comprehensive transportationsystem is vital in enhancing the competitivenessof an urban centre. The increase in population andhigh private vehicle ownership compounded by aninefficient public transport calls for a strategy thatcould resolve these issues. Thus, the developmentof an integrated transportation system needs to beimplemented with emphasis on multi-modal andenvironmentally friendly features to address theproblems of congestion in large cities like KualaLumpur, Georgetown and Johor Bharu conurbations.A policy that promotes the use of an integratedpublic transportation system that is effective,reliable, user-friendly and affordable to all levels ofthe population should be formulated. Transportationplanning integrated with landuse planning will bethe main thrust to ensure the success of a policyon promoting a public transportation system.Furthermore, traffic management has to beimplemented comprehensively in order to reducecongestion in the cities. The policies to achieve thisgoal are:NUP 15An integrated, efficient and user-friendly publictransportation system shall be developed.Measuresi. Prepare a public transportation master plan at alllevels of urban centres.ii. Prepare guidelines based on the targeted modeof public transport being provided.iii. Construct multi-modal transportation terminalsbased on the urban hierarchy.iv. Integrate public transportation system in landuseplanning by implementing the concept of TransitOriented Development (TOD).v. Develop a high capacity public transportationsystem at the National, Regional, Sub-Regionaland State Conurbations.vi. Provide ‘Park and Ride’ Terminals at the National,Regional and Sub-Regional Conurbations.vii. Widen the coverage of public transport routesand ensure that public transport services arecompetent, efficient and punctual.viii. Introduce an integrated ticketing system thatencompasses all modes of public transport.ix. Promote special treatment for the disabledand senior citizens by providing physicalfacilities, discounted tickets and other support.x. Establish a special agency to administer, plan andimplement the public transport system.xi. Coordinate the operators involved in theprovision of public transport.xii. Ensure that operators involved in the provision ofpublic transport adhere to designated routes.xiii. Review legislation relating to the management ofthe public transport system.xiv. Ensure that the aspect of public transportplanning is given emphasis in Local Plans.xv. Encourage car pooling programmes to reducethe use of private vehicles.xvi.Promote the use of environment-friendly vehiclesto reduce the level of air pollution.

National Urbanisation PolicyNUP 16A more comprehensive traffic management shallbe implemented to ensure a more efficient andeffective traffic flow.Measuresi. Adopt an intelligent transportation systemand navigation system for traffic managementin towns.ii. Introduce a more efficient traffic managementsystem to control activities in urban centres thatgenerate exceedingly high volume of traffic.iii. Implement scheme to restrain private vehiclesfrom entering urban centres.iv. Limit the car parking facility in urban centres.v. Control vehicle movement through theimplementation of traffic calming programmes.vi. Adopt Computerised Area Traffic Control withinurban areas.NUP 17A more comprehensive road network shall bedeveloped to improve accessibility and mobilityfor inter and intra urban.Measuresi. Develop roads in accordance to hierarchy.ii. Increase accessibility to smoothen traffic flowthrough the provision of ring roads, short cutsand one way flow.iii. Provide lanes/special paths for motorcycles andpedestrians in urban areas.iv. Conduct a social impact assessment study forthe planning of new roads and the upgradingof roads.v. Conduct an environmental impact assessmentstudy for the planning of new roads and theupgrading of roads particularly inenvironmentally sensitive areas.vi. Conduct a traffic impact assessment for alldevelopment within the urban area.vii. Conduct road safety audit for the planning ofroad development.7.0 National Urbanisation Policy Thrust53

National Urbanisation Policy54Thrust 4:PROVISION OF URBAN SERVICES,INFRASTRUCTURE AND UTILITY OF QUALITYThe provision of infrastructure and utility shouldbe viewed in terms of fulfilling the demand ofthe population and supporting the growth ofthe urban economy as well as contribute tothe competitiveness of a particular township.Infrastructure and utility need to be adequatelyprovided, in terms of quantity, coverage ofdistribution and be of high quality that utilizes thelatest technology.The provision of infrastructure and utility should becoordinated with the hierarchy level and function ofa town. In conurbation areas, the supply of utilitiessuch as electricity and telecommunication shouldbe of a higher standard to meet the requirements ofvalue-added and k-economy activities. Moreover,these facilities need to have an efficient level ofmanagement and maintenance with good back-upservices to reduce interruption during service.Other infrastructure like solid waste disposal andsewerage system need to be provided on a jointbasis between several townships to be more costeffectiveand prevent wastage of resources.For an efficient urban service, the main strategy isto widen its coverage and improve the quality ofservice by ensuring the sustainability and costefficiencyof maintenance. Major urban servicessuch as waste collection, sewerage maintenance,drainage maintenance, cleaning and managementof public places should be provided extensively andbe of high quality. This will improve the quality ofliving of the local population as well as increase theattractiveness of the urban area. For more efficientand cost-effective management of domestic effluent,the existing sewerage system needs to be improvedin addition to the construction of new facilities.The involvement of the local community needsto be encouraged to assist the local authority inadministering and managing the urban area. For thispurpose, the following policies are proposed:

National Urbanisation Policy7.0 National Urbanisation Policy Thrust55

National Urbanisation PolicyNUP 18The provision of infrastructure and utilities shallbe improved while continuous management andmaintenance shall be ensured.56Measuresi. Facilitate the provision of a centralised seweragetreatment system as well as drainage system forurban areas.ii. Improve the provision of quality facilities viz.the supply of water, electricity andtelecommunication in line withdevelopment requirements.iii. Ensure site planning for infrastructure andutilities as in local plans conform to therequirements for development.iv. Prepare a Sewerage Master Plan including landacquisition programme.v. Adopt practices in the Manual for EnvironmentFriendly Drainage Design (MASMA) to improvewater quality and reduce the risk of flood.vi. Improve efficiency in water management withemphasis on demand, utilisation of alternativeand non-conventional sources (rain waterharvesting, water recycling) as well as reducewastage (non-revenue water).vii. Coordinate the planning and development ofinfrastructure and utilities by various agencies.viii. Wholly implement the MyICMS 886 strategyincuding the provision of infrastructurefor Internet Broadband at all areas under theadministration of local authorities in line with theNational Broadband Plan (NBP).ix. Promote smart partnership between the serviceproviders of infrastructure and utilities.x. Promote the sharing of infrastructure andutilities amongst towns especially withinthe conurbation.xi. Emphasize the aesthetical values in the provisionof infrastructure and utilities appropriate forthe environment.xii. Adopt the indicators of MURNINet in theprovision of infrastructure and utilities.xiii. Adopt existing policies, where applicable.

National Urbanisation PolicyNUP 19A planned, effective and sustainable solid wasteand toxic management system shallbe implemented.Measuresi. To use the Solid Waste Management Policy in theimplementation and management of solid waste.ii. Reduce the generation of solid waste.iii. Utilise bio-degradable materials.iv. Implement the recycling programmes.v. Implement the systematic and safe collection,disposal and treatment of solid waste and toxicwaste services.vi. Provide a systematic and safe infrastructure forthe disposal and treatment of solid waste andtoxic waste.NUP 20The quality of urban services shall be improved tocreate a comfortable and liveable environment.Measuresi. Implement an efficient, cost effective andaffordable approach in managing andmaintaining urban services.ii. Provide a quality of life index as an instrumentto evaluate the level of well-being for theurban population.iii. Encourage the involvement of society, nongovernmentorganizations and private sector inthe management and provision of urban services,infrastructure and utilities.iv. Establish public awareness programmes to upliftand promote the culture maintenance and care ofpublic property.577.0 National Urbanisation Policy Thrust

National Urbanisation Policy58Thrust 5:CREATION OF A CONDUCIVE LIVEABLEURBAN ENVIRONMENT WITH IDENTITYSociety today is primarily concerned with acomfortable, user-friendly living environmentwith facilities for social interaction, in addition tocreating a sense of belonging for its population.This thrust shall emphasize on peaceful urban livingto be equally enjoyed by all urban residents so asto achieve the goal of improving solidarity. As theurban population increases, the urban environmentshould be planned and managed as a more attractiveplace for living, working and recreation.To create a liveable urban environment, it is vitalthat sufficient basic facilities such as housing beprovided, particularly for the low-income group andforeign workers. Programmes for low-cost housingshould be undertaken in urban areas in order toprovide adequate and affordable housing for thelow-income group as well as to resettle squatters.Housing should be located close to the place of workwith good accessibility to public transport and publicamenities. Housing for foreign workers should beplanned at specific locations for the convenienceof the residents and reduce problems for theurban environment.Major public amenities such as schools, recreationalareas, sports complex, places of worship, healthfacilities and cemeteries should be adequatelyprovided at suitable locations for use by all groupsof the urban population. Nonetheless, the high valueof urban land reduces the opportunity to provideadequate amenities at certain areas. Thus, it issuggested that a number of public amenities beprovided on a shared basis among several townsor local authorities, for instance, the provisionof cemeteries.The level of provision for public amenities shouldbe based on the hierarchy of a town so thatappropriate facilities may be provided. For the mainconurbations, such provisions should considerthe needs of the business community that requirevarious facilities of higher quality.The maintenance of public amenities should be givenemphasis to ensure that they could be effectivelyutilised. In this context, community involvementshould be promoted to reduce costs borne by thegovernment to provide and maintain these facilities.A culture of maintenance needs to be introducedthrough awareness programmes for the residents.

National Urbanisation PolicyTo address the problem of increasing crime ratein urban centres, a safe city programme shouldbe undertaken. There are 23 measures to beimplemented to maintain safety and reducecrime rate.To create an urban environment of quality,beautification and landscape programmes should beimplemented. The element of urban design should begiven emphasis as good design could aid in buildinga distinct identity or character for the town. For aquality urban design that incorporates local culturalvalues, historic and heritage areas will be conservedand integrated with urban development. Policies andmeasures proposed to achieve this goal are:597.0 National Urbanisation Policy Thrust

National Urbanisation PolicyNUP 21Sufficient housing shall be provided based on therequirements of the population.Measuresi. Adopt the National Housing Policy as the basisfor the provision of housing.ii. Diversify the type of houses, category ofaffordability in terms of ownership and paymentas well as quality designs at suitable locations.iii. Aim for a target of 1 housing unit per1 household.iv. Aim for a target of Zero Squatters.v. Identify areas for public housing programmes indevelopment plans.vi. Ensure the location of public housingprogrammes is close to the place of work withgood accessibility and equipped withinfrastructure and public amenities.vii. Take into account the needs of various groupsof society including the disabled and seniorcitizens when planning for housing areas.viii. Ensure the provision of transit houses for foreignlabour at suitable locations.NUP 22Adequate, fully-equipped and user-friendly publicamenities shall be provided with continuousmanagement and maintenance.Measuresi. Provide public amenities such as educationalfacilities, health, religious buildings for allreligions, burial grounds and other facilitiesbased on population requirements as well asplanning guidelines and standards.ii. Provide user-friendly public amenities ataccessible locations.iii. Provide high quality public amenities.iv. Review planning guidelines that relate tothe provision of public amenities to suitcurrent requirements.v. Improve access to public amenities throughcontinuous ample pedestrian network and bicyclelane that are safe, comfortable and user-friendly.vi. Inculcate the practice of continuous managementand maintenance.60

National Urbanisation PolicyNUP 23Safe urban environment shall be provided.Measuresi. Adopt the principles of safe town planning.ii. Implement holistically the Safe City programme.iii. Increase public awareness and involvement onurban safety.iv. Ensure that planning and urban developmenttake into account mitigation measures againstthe effects of geo-disaster or industrial riskbased on the principle of Hyogo Frameworkof Actions.NUP 24The formation of an urban image and identitycongruent with local function and culture thatrepresents a multi-racial society.Measuresi. Adopt guidelines on urban image.ii. Use a suitable theme based on the character anduniqueness of the town.iii. Conduct a detailed study on the aspect of urbandesign specifically on urban image and identitythat represents a Malaysian identity which ismulti racial.iv. Adopt a National Landscape Policy andLandscape Master Plan.7.0 National Urbanisation Policy Thrust61

National Urbanisation PolicyNUP 25Areas and building of historical value and uniquearchitecture shall be restored and gazetted.Measuresi. Prepare an inventory of urban heritage forproclamation and gazettement.ii. Upgrade the capacity of the implementing agencyfor heritage areas and buildings.iii. Prepare a management plan of the heritage area.iv. Provide a budget to preserve and restore urbanheritage buildings.v. Enforce the National Heritage Act and otherrelevant Acts.vi. Control and coordinate development within andin the vicinity of heritage areas or buildings.vii. Increase public awareness on the value ofcultural heritage.viii. Allocate the area and facilities to implement localcultural activitiesix. Improve cooperation between various partieswith the local community to implement heritagerestoration projects and urban re-development.62

National Urbanisation PolicyNUP 26A sustainable and environmentally friendlydevelopment shall form the basis of environmentalconservation and improve the urban quality of life.Measuresi. Ensure that urban development is givenemphasis to reduce air, noise and water pollutionand is compatible with rivers.ii. Enforce legislation, guidelines and standardsrelating to environmental conservation.iii. Encourage development that reduces the impactof urban heat islands.iv. Review guidelines and standards relatingto environment.7.0 National Urbanisation Policy Thrust63

National Urbanisation PolicyThrust 6:EFFECTIVE URBAN GOVERNANCEAn effective urban governance system shouldbe established to administer urban growth anddevelopment at various levels particularly at thelocal authority level. This will ensure that the valueof assets, economy, social and the environment willbe maintained and value-added towards attainingsustainable urban centres in Malaysia.64The local authority, as the main agency responsiblefor urban management, needs to update theadministration and management system to optimiseits financial revenue including new sources, upgradeits capacity to enable towns to become morecompetitive and viable, strengthen human resourcesby employing skilled and experienced staff as well asexpand the use of technology.

National Urbanisation PolicyWith rapid urbanisation, local authorities shouldemphasize the use of innovative approach andtechnology to reduce cost and increase efficiencyin all aspects of urban planning, developmentand management. In addition, these efforts willcontribute to the management of a moreviable environment.The management and administration systempractised should be founded on an ethical workculture, be transparent and efficient to ensure amore effective delivery system. In this light, thereis a need to review and strengthen the respectivesystem and work procedure, implementationapproach, standards and guidelines to achieve thehighest standard of services. To complement actionsbeing carried out, the existing legislations relatedto urban administration and management shouldbe reviewed for a more effective enforcement andimplementation of the urban development.Local authorities need to cooperate closely with thelocal community, non-governmental organisationsand the private sector to plan and implementappropriate urban planning and managementprogrammes that meet with their requirementsfor sustainable development as mooted in theLocal Agenda 21. Such cooperation will provideopportunity for the local community to monitor andgive feedback on the programmes implemented intheir respective area. To facilitate this proposal, thelocal authority should establish a unit responsible forcoordinating and managing programmes to improvelocal community participation in urban planning andgovernance activities. Towards this, the policies andmeasures proposed are:657.0 National Urbanisation Policy Thrust

National Urbanisation Policy66NUP 27The institutional capacity shall be strengthenedto implement a more efficient and effective urbanadministration and management.Measuresi. Restructure the institutional organization forurban management.ii. Increase manpower at all levels of localauthorities including additional technical staff forthe management and professional group.iii. Refer and adopt the benchmark of developednations to ascertain the number ofprofessional manpower.iv. Expand services at the local authority level toenable job rotation, better promotion opportunitiesand exchange of officers amongst local authoritieswithin the same state.v. Review and coordinate laws relating to urbanadministration and management.vi. Create a comprehensive human resourcedevelopment plan that includes job rotation, jobenrichment, promotion opportunity andcontinuous training to upgrade staff capacity,capability and expertise.vii. Establish a specialized training institute forurban management.viii. Create a leadership and management thatis dynamic, solid as well as has goodcapacity performance.ix. Identify new sources of revenue and upgrade thefinancial management.x. Implement a more efficient and systematic assetmanagement to ensure the quality of service andprolong the life cycle of equipment.xi. Standardise rules and procedures relating to theapproval of landuse planning.xii. Expedite the approval of development application.xiii. Use information and communication technology toupgrade management quality and improve thedelivery service through the implementation ofelectronic systems such as e-licensing,e-assessment, e-submission and the like.xiv. Adopt an innovative approach and method toincrease the effectiveness of procedures, flexiblemanagement, wider community involvement anduse of latest technology.NUP 28Good corporate governance shall be practicedto promote a management culture that istransparent, has integrity and is accountable.Measuresi. Adopt the principle of corporate governance inadministration towards:a. the implementation of IslamHadhari programmes;b. the implementation of the National IntegrityPlan (PIN);c. the reduction of bureaucratic red-tape;d. the conduct of efficient andfirm monitoring;e. the escalation of the delivery system;f. the implementation of an effectiveleadership and management;g. the practise of transparency;h. the prudent management of funds andresources; andi. the implementation of Key PerformanceIndicators (KPI).ii. Prepare and adopt a code of urban governancefor all local authorities.iii. Practise management and a work culturebased on knowledge.iv. Increase direct participation of institutions insocial activities.

National Urbanisation PolicyNUP 29The involvement of society shall be encouragedin urban planning and governance.Measuresi. Implement the Local Agenda 21 programmes inthe formulation of policy, strategy and actionplan for sustainable development.ii. Establish a division at local authorities tocoordinate and manage programmes toincrease local community participation.iii. Ensure all local authorities establish a publicrelations unit.iv. Ensure federal and state governments preparethe allocation of funds to manage CommunityParticipation Programmes.v. Facilitate public in obtaining informationrelating to urban planning and governance.vi. Increase public awareness on planning aspectsand culture of maintenance.vii. Promote community, private and NGOparticipation in development planning and themanagement of urban environment.viii. Activate JKKK and encourage theestablishment of resident association andNeighbourhood Watch.ix. Encourage private companies and nongovernmentbodies to contribute to thedevelopment of public amenities.NUP 30The use of innovative technology in urbanplanning, development and urban servicesmanagement.Measuresi. Develop and apply innovative technology inurban planning, the provision of infrastructureand utilities as well as the managementof services.ii. Apply information and communicationtechnology for administrative matters and thedissemination of information to the public.iii. Adopt technology that reduces the productionof waste.iv. Encourage the construction of environmentfriendlybuildings under the concept of greenbuildings and use of efficient energy.v. Use efficiently the renewable energy.7.0 National Urbanisation Policy Thrust67

National Urbanisation Policy8.0 IMPLEMENTATIONACTION PLANThe National Urbanisation Policy requires an actionplan to implement the policies being formulated.The Director General for the Federal Department ofTown and Country Planning of Peninsular Malaysia isresponsible for preparing the National UrbanisationPolicy. The responsibility for the implementationof policies is supported by various ministries,departments and agencies in charge of planning,development and the management of urban services.There is a need to establish a joint relation toimplement the measures that have joint responsibilityamongst the various ministries, departments andagencies involved. The agencies identified with theresponsibility for implementing the policies andmeasures of the NUP should translate the policiesinto their respective programmes and projects to beused as the basis for securing the annual budget andFive Year Malaysia Plan. This will also ensure thatmonitoring of the implementation of the policy will bemore effective.Table 2 shows the summary of the policies, measuresand implementing agencies that have been identified.68

National Urbanisation PolicyTABLE 2.0 ACTION PLAN FOR THE IMPLEMENTATION AND MEASURESTHRUST 1 AN EFFICIENT AND SUSTAINABLE URBAN DEVELOPMENTPOLICYNUP 1The National UrbanisationPolicy (NUP) shall form thebasic framework for urbandevelopment in Malaysia.NUP 2Urban development shallbe based on the urbanhierarchy system of theNUP.NUP 3Each urban developmentshall be based on theDevelopment Plan beingprepared.MEASURESi. Ensure all development plans (NPP, RP, SSP, DLP and SAP) adhereto the policies outlined in the NUP.ii. Monitor the implementation of all development plans.i. Ensure urban development planning is based on the urban hierarchyand urban components.ii. Adopt the NUP definition of urban to identify the urban area.iii. Establish an urban information system via the Urban Profile study.IMPLEMENTINGAGENCY• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• MHLG• TCPD• LA• DOS• TCPDi. Gazette all Structure Plans, Local Plans and Special Area Plans. • TCPD• MFT• SA• LAii. Identify and initiate the preparation of Regional Plans for nationaland regional growth conurbations.iii. Set the Structure Plan, Local Plan and Special Area Plan as the mainguide in the planning approval process.iv. Coordinate and monitor the implementation of development plans atfederal, state and local levels.v. Coordinate and monitor the planning of conurbations through theRegional Planning committee.vi. Enforce all Development Plans.vii. Establish a comprehensive landuse database at state and locallevels.• TCPD• MFT• SA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA698.0 Implementation Action Plan

National Urbanisation PolicyTHRUST 1 AN EFFICIENT AND SUSTAINABLE URBAN DEVELOPMENT70POLICY MEASURES IMPLEMENTINGAGENCYNUP 4Urban growth limit isdetermined based on itscarrying capacity for alltowns in the country.NUP 5Optimal and balancedlanduse planning shall begiven emphasis in urbandevelopment.NUP 6Urban development shallgive priority to urbanrenewal within the urbanarea.i. Establish the urban growth limit based on its carrying capacity foreach town in the Local Plan.ii. Ascertain the criteria for Urban Growth Limit.iii. Review the Urban Growth Limit identified based on the appropriatetime frame.i. Ensure development is concentrated within the urban growth limitso as to create a compact city.ii. Ensure each new development is compatible with the surroundinglanduse.iii. Impose social impact assesment studies when undertaking theplanning and approval of all public and private developmentactivities.iv Ensure the employment zone is provided close to residential areaand is equipped with recreational facilities.v. Promote housing development within the urban centre or near toactivity centres with access to good amenities and transportation.vi. Ensure workshop and light industries that do not createenvironmental pollution nor generate high traffic are appropriatelylocated.• TCPD• LA• TCPD• TCPD• LA• TCPD• MFT• SA• LA• TCPD• LA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LAi. Implement infill development at potential areas. • TCPD• MFT• SA• LAii. Identify and prepare an inventory of brownfield areas.iii. Plan and prepare the re-development programmes for brownfieldareas.iv. Promote urban regeneration for areas potential for development.• DOE• TCPD• MFT• SA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LAv. Rehabilitate polluted areas prior to development. • DOE• TCPD• MFT• SA• LA• Private Sectorvi. Establish an agency responsible for planning and managing urbanrenewal at towns.vii. Encourage private sector involvement through the provision ofincentives and joint venture programmes with the government.• MHLG• MHLG• SA

National Urbanisation PolicyTHRUST 1 AN EFFICIENT AND SUSTAINABLE URBAN DEVELOPMENTPOLICY MEASURES IMPLEMENTINGAGENCYNUP 7Village development intowns shall be integratedwith urban development.NUP 8Environmentally SensitiveArea and Prime AgriculturalArea shall be conserved.i. Redevelop village areas that are cramped, ill planned and isolated inline with the trend of development.ii. Conserve the uniqueness of village features whilst providing andupgrading infrastructure and utility facilities as well as publicservices at village areas.iii. Promote the approach of land readjustment as an alternative in thedevelopment of villages in towns.iv. Provide affordable commercial buildings and premises to enhancethe economic activities of the local population in the village.v. Implement the development of new villages based on the NewVillage Master Plan.i. Protect and maintain environmentally sensitive areas and primeagricultural areas.ii. Establish green areas as buffer zones to limit urban development.• TCPD• MFT• SA• LA• LGD• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• LGD• MHLG• MOA• MNRE• TCPD• MFT• SA• LA• MOA• MNRE• TCPD• MFT• SA• LA8.0 Implementation Action Plan71

National Urbanisation PolicyTHRUST 1 AN EFFICIENT AND SUSTAINABLE URBAN DEVELOPMENTPOLICY MEASURES IMPLEMENTINGAGENCYNUP 9Open space and recreationalareas shall be adequatelyprovided to meet therequirements of thepopulation.i. Ensure recreational areas are provided in accordance to hierarchyand guidelines as well as standards.ii. Provide adequate public open spaces by the adoption of a standardof 2 hectares: 1000 urban population.iii. Ensure open space and recreational areas are provided with varioussports facilities based on the requirement and needs of the localresidents.iv. Gazette recreational areas and monitor the implementation of theirdevelopment.v. Promote the contiguous and integrated development of green areasin urban centres.vi. Ensure that development face rivers and water bodies.vii. Adopt the National Landscape Policy in the preparation oflandscape.viii. Review guidelines and standards pertaining to the provision of openspace and recreational areas.• NLD• TCPD• MFT• SA• LA• DOF• NLD• TCPD• MFT• SA• LA• NLD• TCPD• MYS• MHLG• LA• TCPD• MFT• SA• LA• NLD• NRE• TCPD• MFT• SA• LA• TCPD• MFT• SA• LA• NLD• TCPD• MFT• SA• LA• TCPD• LA72

National Urbanisation PolicyTHRUST 2 DEVELOPMENT OF AN URBAN ECONOMY THAT IS RESILIENT, DYNAMIC AND COMPETITIVEPOLICY MEASURES IMPLEMENTINGAGENCYNUP 10The development of urbaneconomic activities that isvalue-added and knowledgebased (k-economy) atall conurbations shall bepromoted.NUP 11Economic development ofMajor and Minor SettlementCentres shall be enhancedto support their roles inregional development.i. Adopt the cluster concept in conurbations to encourage the growthof high value-added and knowledge intensive activities.ii. Identify specific areas where various clusters can exist and focusinvestment in these areas.iii. Identify and develop suitable areas to locate training and tertiaryeducation institutions for the supply of skilled labour.iv. Promote the formation of cyber-cities and cyber-centres ascatalysts of k-economy growth.• MOSTI• MFT• MITI• SA• MOSTI• MITI• SA• IHL• MHR• SA• MOSTI• MFT• MITI• SAv. Promote integrated development of business parks. • MIDA• MITI• SAvi. Ensure the provision of efficient IT infrastructure to promote thedevelopment of e-business and e-commerce.vii. Develop suitable recreational and cultural facilities for a conducivebusiness environment for investors and local residents.viii. Accelerate the promotion of conurbations as investment centres.i. Adopt the cluster concept to further strengthen the urban economyand its linkage with the hinterland.ii. Develop an efficient IT infrastructure to support k-economy.iii. Establish and fortify business parks and special industrial zones toencourage economic clusters.iv. Provide incentives for the re-development of brownfield areas ascommercial and special industrial zones.• MOSTI• MEWC• SA• TCPD• MCAH• MFT• SA• LA• MFT• MIDA• MITI• SA• MRRD• RDA• MITI• SA• LA• MOSTI• MEWC• SA• LA• TCPD• MITI• SA• LA• MHLG• SA• LAv. Encourage the provision of small business lots in residential areas. • TCPD• SA• LA738.0 Implementation Action Plan

National Urbanisation PolicyTHRUST 2 DEVELOPMENT OF AN URBAN ECONOMY THAT IS RESILIENT, DYNAMIC AND COMPETITIVE74POLICY MEASURES IMPLEMENTINGAGENCYNUP 12Special feature towns shallbe developed in accordanceto their respective potentialand niches.NUP 13Employment opportunitiesespecially for the lowincome group shall beimproved and diversifiedirrespective of race.vi. Promote the concept of small office in residential units (SOHO).vii. Provide planning guidelines for small office in residential units.viii. Identify suitable areas for the establishment of skills training andeducational institutions.ix. Provide recreational facilities to support the business environment.i. Identify towns with special functions and features such as:• Border Town;• Tourist Town;• Special Role Town;• Special Industry Town; and• Future Communications and Transportation Node.ii. Develop the economy of special feature towns in accordance to theirrespective niches by providing support facilities.iii. Plan and conserve the existing landuse zones to maintain theirspecial features.i. Identify the profile of the urban poor group based on the povertyline.ii. Implement the Urban Poverty Eradication Programme (UPEP).iii. Provide special business premises for small traders through theconstruction of food courts, stalls, permanent farmers’ fair sites,night market sites, business lots, markets and workshops atsuitable locations.iv. Promote the provision of job opportunities in the small and mediumsized industries (SMI) located near residential areas.v. To assist existing SMI that played a supporting role in economicgrowth by the provision of appropriate sites to expand businessactivities.vi. Provide employment opportunities in the low cost housing areasand traditional village located within the urban centre.vii. Encourage the concept of working at home to provide jobopportunities for the low income group, disabled and women.• TCPD• SA• LA• TCPD• IHL• MHR• SA• TCPD• SA• LA• MT• MCAH• TCPD• LA• MT• MCAH• TCPD• SA• LA• TCPD• SA• LA• MHLG• SA• LA• MHLG• SA• TCPD• SA• LA• TCPD• MECD• MHR• SA• LA• TCPD• MECD• SA• LA• MECD• MHR• MFT• SA• LA• MECD• MWFCD• MFT• SA

National Urbanisation PolicyTHRUST 2 DEVELOPMENT OF AN URBAN ECONOMY THAT IS RESILIENT, DYNAMIC AND COMPETITIVEPOLICY MEASURES IMPLEMENTINGAGENCYNUP 14Development of urban areasshall take into considerationthe Malaysian identity thatis multi-racial. Bumiputeraparticipation and those withlow income from the urbaneconomic sector shall beimproved. At the same time,the interest, opportunityand future potential of otherraces will not be neglectednor obstructed.viii. Promote in-situ development to maintain job opportunities.ix. Provide adequate infrastructure for the informal sector.• TCPD• MFT• SA• LA• MHLG• SA• LAx. Provide skills training programmes for the low income group. • MECD• MHRxi. Identify and support small businesses that provide services toresidents of conurbations, major settlement centres and minorsettlement centres.i. Provide quotas to obtain licences, permits and distribute businesspremises or stalls, hawker centres, small industrial sites andshophouses at strategic locations.ii. Allocate a minimum of 30 percent in the total number of affordablecommercial units and business floor area at strategic locations.iii. Unsold Bumiputera quota units will be purchased by governmentagencies such as SEDC, MARA, Urban Development Authority, localauthorities and State Housing Board for rental.iv. Encourage the construction of business premises, bazaars andoffice lots at strategic locations by government agencies.v. Provide planned business sites for the informal sector such as nightmarkets, farmer fairs and Ramadhan bazaars.vi. Promote the development of training and skills developmentprogrammes in the field of management, business operation andentrepreneurship.vii. Establish joint-venture network amongst the public and privatesectors for the Bumiputera group.viii. To encourage joint-venture between bumiputera and nonbumiputerain suitable new opportunities.• TCPD• MHLG• SA• LA• SA• LA• MARA• SA• LA• UrbanDevelopmentAuthority• SHB• MARA• SA• LA• UrbanDevelopmentAuthority• MARA• SA• LA• UrbanDevelopmentAuthority• TCPD• SA• LA• MECD• MARA• UrbanDevelopmentAuthority• All Publicagencies• MECD• MARA• UrbanDevelopmentAuthority758.0 Implementation Action Plan

National Urbanisation PolicyTHRUST 3 AN INTEGRATED AND EFFICIENT URBAN TRANSPORTATION SYSTEM76POLICYNUP 15An integrated, efficientand user-friendly publictransportation system shallbe developed.MEASURESi. Prepare a public transportation master plan at all levels ofurban centres.ii. Prepare guidelines based on the targeted mode of public transportbeing provided.iii. Construct multi-modal transportation terminals based onurban hierarchy.iv. Integrate public transportation system in landuse planning byimplementing the concept of Transit Oriented Development (TOD).v. Develop a high capacity public transportation system at theNational, Regional, Sub-Regional and State Conurbations.vi. Provide ‘Park and Ride’ Terminals at the National, Regional andSub-Regional Conurbations.vii. Widen the coverage of public transport routes and ensure thatpublic transport services are competent, efficient and punctual.viii. Introduce an integrated ticketing system that encompasses allmodes of public transport.ix. Promote special treatment for the disabled and senior citizens byproviding physical facilities, discounted tickets and other support.x. Establish a special agency to administer, plan and implement thepublic transport system.xi. Coordinate the operators involved in the provision of publictransport.xii. Ensure that operators involved in the provision of public transportadhere to designated routes.xiii. Review legislation relating to the management of the publictransport system.xiv. Ensure that with respect to public transport, planning is givenemphasis in Local Plans.xv. Encourage car pooling programmes to reduce the use ofprivate vehicles.xvi. Promote the use of environment-friendly vehicles to reduce the levelof air pollution.IMPLEMENTINGAGENCY• MFT• CVLB• MOT• SA• LA• TCPD• MOT• SA• LA• MFT• MOT• SA• LA• TCPD• SA• LA• MFT• MOT• SA• MFT• MOT• SA• MFT• CVLB• MOT• LA• CVLB• MOT• CVLB• MOT• LA• MOT• CVLB• CVLB• MOT• TCPD• SA• LA• MOT• MOSTI• CVLB• MOT

National Urbanisation PolicyTHRUST 3 AN INTEGRATED AND EFFICIENT URBAN TRANSPORTATION SYSTEMPOLICY MEASURES IMPLEMENTINGAGENCYNUP 16A more comprehensivetraffic management shallbe implemented to ensure amore efficient and effectivetraffic flow.NUP 17A more comprehensiveroad shall be developed toimprove accessibility andmobility for inter andintra urban.i. Adopt an intelligent transportation system and navigation systemfor traffic management in towns.ii. Introduce a more efficient traffic management system to controlactivities in urban centres that generate exceedingly high volume oftraffic.iii. Implement scheme to restrain private vehicles from enteringurban centres.iv. Limit the car parking facility and increase the parking fees inurban centres.v. Control vehicle movement through the implementation of trafficcalming programmes.vi. Adopt Computerised Area Traffic Control within urban areas.• MOW• MOT• LA• MOW• LA• MOW• MFT• SA• LA• LA• MFT• SA• LA• MOW• MFT• SA• LAi. Develop roads in accordance to hierarchy. • MRRD• MOW• LAii. Increase accessibility to smoothen traffic flow through the provisionof ring roads, short cuts and one way flow.iii. Provide lanes/special paths for motorcycles and pedestrians inurban areas.iv. Conduct a social impact assessment study for the planning of newroads and the upgrading of roads.v. Conduct an environmental impact assessment study for theplanning of new roads and the upgrading of roads particularly inenvironmentally sensitive areas.vi. Conduct a traffic impact assessment for all development within theurban area.vii. Conduct road safety audit for the planning of road development.• MOW• MFT• SA• LA• MOW• MFT• SA• LA• MOW• MFT• SA• LA• DOE• MOW• MFT• SA• LA• MOW• MFT• SA• LA• DRS• MOW• SA• LA778.0 Implementation Action Plan

National Urbanisation PolicyTHRUST 4 PROVISION OF URBAN SERVICES, INFRASTRUCTURE AND UTILITY OF QUALITY78POLICYNUP 18The provision ofinfrastructure and utilitiesshall be improved whilecontinuous managementand maintenance shall beensured.MEASURESi. Facilitate the provision of a centralised sewerage treatment systemas well as drainage system for urban areas.ii. Improve the provision of quality facilities viz. the supply of water,electricity and telecommunication in line with the requirementsfor development.iii. Ensure site planning for infrastructure and utilities in local plansconform to the requirements for development.iv. Prepare a Sewerage Master Plan including landacquisition programme.v. Practise the Manual for Environment Friendly Drainage Design(MASMA) to improve water quality and reduce the risk of flood.vi. Improve efficiency in water management with emphasis on demand,utilisation of alternative and non-conventional sources (rain waterharvesting, water recycling) as well as reduce wastage (nonrevenuewater).vii. Coordinate the planning and development of infrastructure andutilities by various agencies.viii. Wholly implement the MyICMS 886 strategy incuding the provisionof infrastructure for Internet Broadband at all areas under theadministration of local authorities in line with the NationalBroadband Plan (NBP).ix. Promote smart partnership between the service providers ofinfrastructure and utilities.x. Promote the sharing of infrastructure and utilities amongst townsespecially within the conurbation.xi. Emphasize the aesthetical values in the provision of infrastructureand utilities, appropriate for the environment.xii. Adopt the indicators of MURNINet in the provision ofinfrastructure and utilities.xiii. Adopt existing policies, where applicable.IMPLEMENTINGAGENCY• SSD• MEWC• SA• LA• SWB• SSD• MEWC• SA• LA• TM• TNB• TCPD• MEWC• SA• LA• SSD• MEWC• SA• LA• DID• SA• LA• SWA• MEWC• SA• LA• MEWC• SA• LA• MEWC• SA• LA• MCCM• MHLG• MEWC• SA• LA• MHLG• MEWC• LA• MEWC• LA• TCPD• MEWC• LA• MEWC• LA

National Urbanisation PolicyTHRUST 4 PROVISION OF URBAN SERVICES, INFRASTRUCTURE AND UTILITY OF QUALITYPOLICY MEASURES IMPLEMENTINGAGENCYNUP 19A planned, effective andsustainable solid waste andtoxic management systemshall be implemented.NUP 20The quality of urbanservices shall be improvedto create a comfortable andliveable environment.i. To use the Solid Waste Management Policy in the implementationand management of solid waste.ii. Reduce the generation of solid waste.iii. Utilise bio-degradable materials.iv. Implement the recycling programmes.v. Implement the systematic and safe collection, disposal andtreatment of solid waste and toxic waste services.vi. Provide a systematic and safe infrastructure for the disposal andtreatment of solid waste and toxic waste.i. Implement an efficient, cost effective and affordable approach inmanaging and maintaining urban services.ii. Provide a quality of life index as an instrument to evaluate the levelof well-being for the urban population.iii. Encourage the involvement of society, non governmentorganizations and private sector in the management and provisionof urban services, infrastructure and utilities.iv. Establish public awareness programmes to uplift and promote theculture maintenance and care of public property.• MHLG• MFT• SA• LA• MHLG• LA• DOE• MHLG• MNRE• LA• MHLG• SA• LA• MHLG• MNRE• SA• LA• Private Sector• TCPD• MHLG• MNRE• SA• LA• MHLG• SA• LA• MHLG• TCPD• LA• MHLG• MWFCD• SA• LA• NGO• MOE• MHLG• MWFCD• SA• LA798.0 Implementation Action Plan

National Urbanisation PolicyTHRUST 5 CREATION OF A CONDUCIVE LIVEABLE URBAN ENVIRONMENT WITH IDENTITY80POLICY MEASURES IMPLEMENTINGAGENCYNUP 21Sufficient housing shallbe provided based onthe requirements of thepopulation.i. Adopt the National Housing Policy as the basis for the provisionof housing.ii. Diversify the type of houses, category of affordability in terms ofownership and payment as well as quality designs atsuitable locations.iii. Aim for a target of 1 housing unit per 1 household.iv. Aim for a target of Zero Squatters.v. Identify areas for public housing programmes indevelopment plans.vi. Ensure the location of public housing programmes is close tothe place of work with good accessibility and equipped withinfrastructure and public amenities.vii. Take into account the needs of various groups of society includingthe disabled and senior citizens when planning for housing areas.viii. Ensure the provision of transit houses for foreign labour atsuitable locations.• NHD• MHLG• SA• LA• NHCB• Private Sector• NHD• MHLG• MFT• SA• LA• NHCB• Private Sector• NHD• MHLG• MFT• SA• LA• NHD• MHLG• MFT• SA• LA• TCPD• NHD• MHLG• SA• LA• TCPD• NHD• MHLG• SA• LA• NHCB• NHD• MHLG• SA• LA• MHLG• MHR• MFT• SA• LA• Private Sector

National Urbanisation PolicyTHRUST 5 CREATION OF A CONDUCIVE LIVEABLE URBAN ENVIRONMENT WITH IDENTITYPOLICY MEASURES IMPLEMENTINGAGENCYNUP 22Adequate, fully-equippedand user-friendly publicamenities shall beprovided with continuousmanagement andmaintenance.NUP 23Safe urban environmentshall be provided.i. Provide public amenities such as educational facilities, health,religious buildings for all religions, burial grounds and otherfacilities based on population requirements as well as planningguidelines and standards.ii. Provide user-friendly public amenities at accessible locations.iii. Provide high quality public amenities.iv. Review planning guidelines that relate to the provision of publicamenities to suit current requirements.v. Improve access to public amenities through continuous amplepedestrian network and bicycle lane that are safe, comfortable anduser friendly.vi. Inculcate the practice of continuous management and maintenance.• TCPD• MOE• MOH• MHLG• MFT• SA• LA• TCPD• MFT• SA• LA• MOW• MFT• SA• LA• Private Sector• TCPD• RelatedMinistry• NLD• TCPD• MFT• SA• LA• MHLG• LA• Private Sectori. Adopt the principles of safe town planning. • TCPD• MHLG• SA• LAii. Implement holistically the Safe City programme.iii. Increase public awareness and involvement on urban safety.iv. Ensure that planning and urban development take into accountmitigation measures against the effects of geo-disaster or industrialrisk based on the principle of Hyogo Framework of Actions.• TCPD• MHLG• SA• LA• RMP• NGO• JKKK (VDSC)• TCPD• MHLG• LA• RMP• RA• NW• TCPD• MHLG• SA• LA818.0 Implementation Action Plan

National Urbanisation PolicyTHRUST 5 CREATION OF A CONDUCIVE LIVEABLE URBAN ENVIRONMENT WITH IDENTITY82POLICY MEASURES IMPLEMENTINGAGENCYNUP 24The formation of anurban image and identitycongruent with localfunction and culture thatrepresents a multi-racialsociety.NUP 25Areas and building ofhistorical value and uniquearchitecture shall berestored and gazetted.i. Adopt guidelines on urban image. • TCPD• MFT• SA• LAii. Use a suitable theme based on the character and uniqueness ofthe town.iii. Conduct a detailed study on the aspect of urban design specificallyon urban image and identity that represents a Malaysian identitywhich is multi racial.iv. Adopt a National Landscape Policy and Landscape Master Plan.i. Prepare an inventory of urban heritage for proclamationand gazettement.ii. Upgrade the capacity of the implementing agency for heritage areasand buildings.iii. Prepare a management plan of the heritage area.iv. Provide a budget to preserve and restore urban heritage buildings.• TCPD• MFT• SA• LA• TCPD• MCAH• MT• SA• NLD• TCPD• MHLG• SA• LA• MCAH• SA• NGO• MCAH• MFT• SA• LA• MCAH• SA• LA• MCAHv. Enforce the National Heritage Act and other relevant Acts. • MCAH• MFT• SA• LAvi. Control and coordinate development within and in the vicinity ofheritage areas or buildings.vii. Increase public awareness on the value of cultural heritage.viii. Allocate the area and facilities to implement local cultural activities.ix. Improve cooperation between various parties with the localcommunity to implement heritage restoration projects and urbanre-development.• TCPD• MCAH• LA• NGO• MCAH• MFT• SA• LA• Private Sector• TCPD• MCAH• MFT• SA• LA• NGO• TCPD• MCAH• MFT• SA• LA• Private Sector

National Urbanisation PolicyTHRUST 5 CREATION OF A CONDUCIVE LIVEABLE URBAN ENVIRONMENT WITH IDENTITYPOLICY MEASURES IMPLEMENTINGAGENCYNUP 26A sustainable andenvironmentally friendlydevelopment shall formthe basis of environmentalconservation and improvethe urban quality of life.i. Ensure that urban development is given emphasis to reduce in air,noise and water pollution and is compatible with rivers.ii. Enforce legislations, guidelines and standards relating toenvironmental conservation.iii. Encourae development that reduces the impact of urbanheat islands.iv. Review guidelines and standards relating to environment.• DOE• TCPD• MFT• MNRE• SA• LA• DOE• TCPD• DID• SA• LA• CIDB• DID• MFT• SA• LA• REHDA• DOE• MNRE8.0 Implementation Action Plan83

National Urbanisation Policy84POLICYNUP 27The institutional capacityshall be strengthenedto implement a moreefficient and effectiveurban administration andmanagement.THRUST 6 EFFECTIVE URBAN GOVERNANCEMEASURESIMPLEMENTINGAGENCYi. Restructure the institutional organization for urban management. • LGD• PSD• MHLG• MAMPU• SA• LAii. Increase manpower at all levels of local authoritiesincluding additional technical staff for the management andprofessional group.iii. Refer and adopt the benchmark of developed nations forascertaining the number of professional manpower.iv. Expand services at the local authority level to enable job rotation,better promotion opportunities and exchange of officers amongstlocal authorities within the same state.v. Review and coordinate laws relating to urban administrationand management.vi. Create a comprehensive human resource development plan thatincludes job rotation, job enrichment, promotion opportunity andcontinuous training to upgrade staff capacity, capabilityand expertise.vii. Establish a specialized training institute for urban management.viii. Create a leadership and management that is dynamic, solid as wellas has good capacity performance.ix. Identify new sources of revenue and upgrade thefinancial management.x. Implement a more efficient and systematic asset managementto ensure the quality of service and prolong the life cycle ofequipment.xi. Standardise rules and procedures relating to the approval oflanduse planning.xii. Expedite the approval of development application.• LGD• PSD• MHLG• MAMPU• SA• LA• PSD• MHLG• MAMPU• PSD• MHLG• SA• LA• LGD• MHLG• SA• LA• INTAN / TI• LGD• PSD• MHLG• LA• MHLG• SA• LGD• MHLG• MFT• SA• LA• LGD• MHLG• MFT• SA• LA• LGD• MHLG• LA• DGDLM• TCPD• MHLG• MFT• SA• LA• TCPD• MHLG• MFT• SA• LA

National Urbanisation PolicyTHRUST 6 EFFECTIVE URBAN GOVERNANCEPOLICY MEASURES IMPLEMENTINGAGENCYNUP 28Good corporate governanceshall be practiced topromote a managementculture that is transparent,has integrity and isaccountable.xiii. Use information and communication technology to upgrademanagement quality and improve the delivery service through theimplementation of electronic systems such as e-licensing, e-assessment, e-submission and the like.xiv. Adopt an innovative approach and method to increase theeffectiveness of procedures, flexible management, widercommunity involvement and use of latest technology.i. Adopt the principle of corporate governance inadministration towards:a. the implementation of Islam Hadhari programmes;b. the implementation of the National Integrity Plan (PIN);c. the reduction of bureaucratic red-tape;d. the conduct of efficient and firm monitoring;e. the escalation of the delivery system;f. the implementation of an effective leadership and management;g. the practise of transparency;h. the prudent management of funds and resources; andi. the implementation of Key Performance Indicators (KPI).ii. Prepare and adopt a code of urban governance for all localauthorities.iii. Practise management and a work culture based on knowledge.iv. Increase direct participation of institutions in social activities.• LGD• TCPD• MHLG• MEWC• MAMPU• LA• MHLG• MFT• MAMPU• SA• LA• MHLG• MFT• SA• LA• LGD• MHLG• MFT• SA• LA• MFT• SA• LA• MHLG• MFT• SA• LA8.0 Implementation Action Plan85

National Urbanisation PolicyTHRUST 6 EFFECTIVE URBAN GOVERNANCE86POLICY MEASURES IMPLEMENTINGAGENCYNUP 29The involvement of societyshall be encouragedin urban planning andgovernance.i. Implement the Local Agenda 21 programmes in the formulation ofpolicy, strategy and action plan for sustainable development.ii. Establish a division at local authorities to coordinate and manageprogrammes to increase local community participation.iii. Ensure all local authorities establish a public relations unit.iv. Ensure federal and state governments prepare the allocation offunds to manage Community Participation Programmes.v. Facilitate the public in obtaining information relating to urbanplanning and governance.vi. Increase public awareness on planning aspects and culture ofmaintenance.vii. Promote community, private and NGO participation in developmentplanning and the management of urban environment.viii. Activate JKKK and encourage the establishment of residentassociation and Neighbourhood Watch.ix. Encourage private companies and non-government bodies tocontribute to the development of public amenities.• MHLG• MFT• SA• LA• MHLG• MFT• SA• LA• MHLG• SA• LA• MHLG• SA• LA• MHLG• LA• MHLG• MFT• SA• LA• NGO• TCPD• MHLG• MFT• SA• LA• JKKK (VDSC)• MHLG• MFT• SA• LA• NW• MHLG• MFT• SA• LA• Private Sector

National Urbanisation PolicyTHRUST 6 EFFECTIVE URBAN GOVERNANCEPOLICY MEASURES IMPLEMENTINGAGENCYNUP 30The use of innovativetechnology in urbanplanning, developmentand urban servicesmanagement.i. Develop and apply innovative technology in urban planning, theprovision of infrastructure and utilities as well as the managementof services.ii. Apply information and communication technology for administrativematters and the dissemination of information to the public.iii. Adopt the technology that reduces the production of waste.iv. Encourage the construction of environment-friendly buildings underthe concept of green buildings and use of efficient energy.• TCPD• MHLG• MOSTI• MEWC• MFT• MAMPU• SA• LA• TCPD• MAMPU• SA• LA• IHL / RI• MHLG• LA• MHLG• MOSTI• MEWC• MFT• MNRE• SA• LAv. Use efficiently the renewable energy. • MHLG• MEWC• MFT• MNRE• SA• LA8.0 Implementation Action Plan87

National Urbanisation PolicyTABLE 3.0 URBAN HIERARCHY PENINSULAR MALAYSIA, 2006 – 2020HIERARCHY CONURBATION / TOWN POPULATION RANGE88NationalGrowthConurbationKuala Lumpur ConurbationKuala LumpurPutrajayaKlangPetaling JayaSubang JayaAmpangShah AlamKajangGombakSelayang BaruSemenyihCherasBukit BeruntungKuangCyberjayaBandar Baru BangiSerdangBantingDamansaraRawangKaparSri KembanganHulu KlangPuchongPulau IndahSg. BuluhPelabuhan KlangPulau CareyMoribBatu LautTelok Panglima GarangMeruKuala Kubu BharuBatang KaliPuncak AlamSg. PelekBandar Baru Salak TinggiSerembanNilaiPort DicksonTelok KemangLukutBatu 8 LabuMantinBentong2.5 million and >

National Urbanisation PolicyHIERARCHY CONURBATION / TOWN POPULATION RANGERegionalGrowthConurbationGeorgetown ConurbationGeorgetownButterworth - Seberang JayaBayan BaruBukit MertajamGelugorKepala BatasAyer ItamKulimNibong TebalSungai AraSungai PetaniTanjung BungaTanjong TokongBayan LepasBatu KawanJelutongPermatang PauhBalik PulauAir PutihBatu FeringgiPulau TikusBandar Baru Air ItamPaya TerubongSungai Dua (PP)Sungai NibongJawiTelok Air TawarSimpang AmpatTasek GelugorBertamSungai Dua (SP)Sri AmpanganParit Buntar - Bagan Serai1.5 – 2.5 millionJohor Bahru ConurbationJohor BahruBandar NusajayaKulaiPasir GudangGelang PatahSekudaiSenaiPekan NenasMasaiUlu TiramKota Tinggi89Appendix 1Kuantan ConurbationKuantanPekanChukai

National Urbanisation PolicyHIERARCHY CONURBATION / TOWN POPULATION RANGEIpoh ConurbationIpohSub-RegionalGrowthConurbationStateGrowthConurbationMalacca ConurbationMalacca Historical CityAlor GajahAyer Keroh – Orna – Golden Valley – MetacorpSungai UdangDurian TunggalPaya RumputKuala Terengganu ConurbationKuala TerengganuMarangKota Bharu ConurbationKota BharuPengkalan ChepaKubang KerianAlor Setar ConurbationAlor SetarJitraKuala KedahKangar ConurbationKangar0.5 – 1.5 million300,001 – 500,000DistrictGrowthConurbationMuar – Batu Pahat – Kluang ConurbationMuar (Bandar Maharani)Batu Pahat (Bandar Penggaram)KluangLumut – Sitiawan – Manjung ConurbationLumutSri ManjungSitiawanTemerloh ConurbationTemerlohMentakab100,001– 300,00090

National Urbanisation PolicyHIERARCHY CONURBATION / TOWN POPULATION RANGEJohoreSegamatMersingPontian KechilBandar PenawarBandar TenggaraYong PengAyer HitamSimpang RenggamTangkakParit RajaKelantanGua MusangNegeri SembilanBandar Seri JempolKuala PilahTampinMajorSettlementCentrePahangKuala RompinPerakTaipingTeluk IntanTg. Malim – Proton City – Behrang 2020GerikSeri IskandarTapah – Tapah Road – Bandar Baru UniversitiSelangorSungai BesarKuala SelangorBernam Jaya30,001 – 100,000TerengganuDungunJertih – Kg Raja – Kuala BesutKedahPendangKuahBalingMalaccaJasin – Bandar Putra – Bemban91Appendix 1

National Urbanisation PolicyHIERARCHY CONURBATION / TOWN POPULATION RANGEJohoreBandar MasBukit GambirEndauKelapa SawitChaahLabisBukit BakriBuloh KasapMachapParit SulongRengitMinorGrowthCentreKedahBandar BaharuBukit JenunYan BesarYan KecilGuar ChempedakSungai KaranganPadang MehaBukit Kayu HitamChangloonSintokAir HitamKuala NerangKota PutraKuala KetilKupangBukit SelambauGurunPadang MatsiratPadang LalangSikSerdangBandar Baru Beris Jaya10,001 – 30,00092KelantanBachokPasir PutehPasir MasTanah MerahMachangKuala KraiJeliTumpatKeterehWakaf BharuMalaccaMasjid TanahMerlimauPulau SebangNegeri SembilanBahauGemasGemenchehKuala KlawangLui MudaRembauTanjung Ipoh

National Urbanisation PolicyHIERARCHY CONURBATION / TOWN POPULATION RANGEPahangJerantutRaubTanah Rata – BrinchangMaranBandar JengkaBandar BeraBandar Tun RazakMuadzam ShahKuala LipisSelangorTanjong KarangSekinchanSabakTerengganuPakaKertehKijalKuala BerangBandar PermaisuriMinorGrowthCentrePerakKuala KangsarSelamaPengkalan HuluLenggongPangkorSg.SiputKamparSlim RiverGopengBidorDamar Laut – SegariBukit Merah – Alor PongsuKg.GajahPantai Remis – Pengkalan BaharuLangkapSimpang Empat – Hutan MelintangSungkaiAyer TawarBagan Datoh10,001 – 30,000Appendix 1PerlisBukit Batu PutihKuala PerlisSimpang EmpatArauPadang BesarBeseri93Sources :i. National Physical Plan, 2005ii. Draft State Structure Plans:• Negeri Sembilan, October 2005• Penang, 2005• Kedah, December 2005• Perak, October 2005• Pahang, 2004• Terengganu, March 2005• Kelantan, March 2005• Melaka, October 2002• Johor, December 2005• Selangor, July 2005iii. Kuala Lumpur Structure Plan, August 2004iv. Kangar Structure Plan (Revision), 1998v. Preliminary Count Report for Urban and Rural Areas,Population and Housing Census of Malaysia 2000.

National Urbanisation PolicyTABLE 4.0 HIERARCHY AND URBAN AMENITIESUrban HierarchyNational GrowthConurbationRegional GrowthConurbationSub-Regional GrowthConurbationUrbanRefer To List of Towns fromAppendix 1GeorgetownJohor BahruKuantanIpohMalacca94Population RangeFunctionAdministration:EconomyFinancial Services:2.5 Million and Above 1.5-2.5 Million 0.5-1.5 Million(Projected Population8.5 Million by 2020)(Except for Kuantan0.64 Million)ParliamentMinisterial HeadquartersFederal DepartmentEmbassy andEmbassy andCommission OfficeCommission OfficeInternational Organisation International OrganisationOfficesOfficesInternational Organisation International OrganisationSecretariatSecretariatCity Council, Town Council and City Council, Town Council and City Council, Town CouncilDistrict CouncilDistrict Counciland District CouncilState Government andState Government andState Government andDistrict OfficeDistrict OfficeDistrict OfficeBank Bank BankNational BankNational Bank(Headquarters)(Headquarters, Regional)International Bank(Headquarters,Regional and Branch)Local Bank (Headquartersand Branch)International Bank(Branch)International Bank(Branch)Local Bank (Headquartersand Branch)Local Bank(Branch)Insurance Insurance InsuranceInternational InsuranceCompany / Broker (Headquarters,Regional and Branch)International InsuranceCompany / Broker (Headquarters,Regional and Branch)(Branch)Local InsuranceCompany / Broker(Headquarters and Branch)International and LocalInsurance Company Agents andRepresentativesStock & Commodity /SecurityMalaysian Security CommissionBursa MalaysiaInternational Stock / SecurityCompany (Headquarters,Regional and Branch)Local InsuranceCompany / Broker(Branch)International and LocalInsurance Company Agents andRepresentativesStock & Commodity /SecurityInternational Stock / SecurityCompany(Branch)International InsuranceCompany / BrokerLocal InsuranceCompany / Broker(Branch)International and LocalInsurance Company Agentsand RepresentativesStock & Commodity /SecurityLocal Stock /Security Company(Headquarters and Branch)Local Stock /Security Company(Headquarters and Branch)Local Stock /Security Company(Headquarters and Branch)Other Financial Services Other Financial Services Other Financial ServicesInternational Financial Services(Headquarters,Regional & Branch)Local Financial Services(Headquarters, Regionaland Branch)International Financial Services(Headquarters,Regional & Branch)Local Financial Services(Headquarters, Regionaland Branch)International FinancialServices(Branch)Local Financial Services(Branch)

National Urbanisation PolicyState GrowthConurbationDistrict GrowthConurbationMajor SettlementCentreMinor SettlementCentreKota Bharu Temerloh - Mentakab Refer To List of Towns from Refer To List of Towns fromKuala TerengganuLumut - SitiawanAppendix 1Appendix 1Alor SetarMuar - Batu Pahat - KluangKangar300,001 - 500,000 100,001 - 300,000 30,001 - 100,000 10,001 - 30,000(Except for Kangar0.09 Million)Consulate OfficeTown Council,District OfficeState Government andDistrict OfficeTown Council,District OfficeState Government andDistrict OfficeDistrict OfficeState Government andDistrict OfficeBank Bank Bank BankDistrict OfficeState Government andDistrict OfficeInternational Bank(Branch)Local Bank(Branch)Local Bank(Branch)Local Bank(Branch)Local Bank(Branch)Insurance Insurance Insurance InsuranceInternational InsuranceCompany / Broker(Branch)International InsuranceCompany / Broker(Agent)Local InsuranceCompany / Broker(Branch)International and LocalInsurance Company Agentsand RepresentativesStock & Commodity /SecurityLocal InsuranceCompany / Broker(Branch and Agent)Stock & Commodity /SecurityLocal InsuranceCompany / Broker(Branch and Agent)Stock & Commodity /SecurityLocal InsuranceCompany / Broker(Agent)Stock & Commodity /Security95Appendix 1aLocal Stock /Security Company(Branch / Kiosk)Local Stock /Security Company(Branch / Kiosk)Local Stock /Security Company(Kiosk)Local Stock /Security Company(Kiosk)Other Financial Services Other Financial Services Other Financial Services Other Financial ServicesLocal Financial Services(Branch)Local Financial Services(Branch)Local Financial Services(Representatives / Agents)Local Financial Services(Representatives / Agents)

National Urbanisation Policy96Urban HierarchyCommerce & TradeNational GrowthConurbationRegional GrowthConurbationSub-Regional GrowthConurbationBusiness and Service Business and Service Business and ServiceInternational Headquartersand Regional HeadquartersLocal Office (Headquartersand Branch)Professional Service andBusiness AgentInternational Headquartersand Regional HeadquartersInternational Headquartersand Regional HeadquartersLocal Office (Headquartersand Branch)Professional Service andBusiness AgentInternational Headquartersand Regional HeadquartersMiscellaneousInternational Headquartersand Regional HeadquartersLocal Office (Headquartersand Branch)Professional Service andBusiness AgentInternational Headquartersand Regional HeadquartersMiscellaneousWholesale Commerce Wholesale Commerce Wholesale CommerceInternational Headquarters(Regional and Branch)International Headquarters(Regional and Branch)International Headquarters(Branch)Local Headquartersand BranchLocal Headquartersand BranchLocal Headquartersand BranchRetail Commerce at Store(Excluding Specialisation andSpecialisation)Retail Commerce at Store(Excluding Specialisation andSpecialisation)Retail Commerce at Store(Excluding Specialisation andSpecialisation)International General Storeand International Hypermarket(Branch and RegionalHeadquarters)Local General Store(Regional Headquartersand Branch)International Hypermarket(Branch)Local Hypermarket (RegionalHeadquarters and Branch)International Convenience Store(Regional Headquartersand Branch)International and Local RetailShop (Miscellaneous GoodsIncluding Food, Clothing,Car, etc)International General Storeand International Hypermarket(Branch)Local General Store(Regional Headquartersand Branch)International Hypermarket(Branch)Local Hypermarket (RegionalHeadquarters and Branch)International Convenience Store(Regional Headquartersand Branch)International and Local RetailShop (Miscellaneous GoodsIncluding Food, Clothing,Car, etc)International General Store(Branch)Local General Store(Branch)International Supermarket(Branch)Local Supermarket(Branch)International ConvenienceStore (Branch)International and Local RetailShop (Miscellaneous GoodsIncluding Food, Clothing,Car, etc)Used Goods Retail at Store Used Goods Retail at Store Used Goods Retail at StoreInternational andLocal Used Goods(Miscellaneous Goods)Other Retail Commerce(Not at Store)International andLocal Used Goods(Miscellaneous Goods)Other Retail Commerce(Not at Store)Local Used Goods(Miscellaneous Goods)Other Retail Commerce(Not at Store)Informal Local Retail Informal Local Retail Informal Local RetailLocal ServicesRepairing Personal andHousehold GoodsDirect Selling(International and Local)Retail of Inflammable Goodsfor Vehicle (Retail Station,LNG/NGV) - LocalLocal ServicesRepairing Personal andHousehold GoodsDirect Selling(International and Local)Retail of Inflammable Goodsfor Vehicle (Retail Station,LNG/NGV) - LocalLocal ServicesRepairing Personal andHousehold GoodsDirect Selling(International and Local)Retail of Inflammable Goodsfor Vehicle (Retail Station,LNG/NGV) - Local

National Urbanisation PolicyState GrowthConurbationDistrict GrowthConurbationMajor SettlementCentreMinor SettlementCentreBusiness and Service Business and Service Business and Service Business and ServiceLocal Office (Headquartersand Branch)Local Office (Branchand Representative Office)Local Office (Branchand Representative Office)Local Office(Representative Office)Professional Service andBusiness AgentProfessional Service andBusiness AgentProfessional Service andBusiness AgentProfessional Service andBusiness AgentLocal Office (Headquartersand Branch)Local Office (Headquartersand Branch)Local Office (Headquartersand Branch)Local Office (Headquartersand Branch)Miscellaneous Selected Services Selected Services Selected ServicesWholesale Commerce Wholesale Commerce Wholesale Commerce Wholesale CommerceBranch andRepresentative OfficeRetail Commerce at Store(Excluding Specialisation andSpecialisation)International General Store(Branch)Branch andRepresentative OfficeRetail Commerce at Store(Excluding Specialisation andSpecialisation)International General Store(Branch)Representative OfficeRetail Commerce at Store(Excluding Specialisation andSpecialisation)Retail Commerce at Store(Excluding Specialisation andSpecialisation)Local General Store(Branch)Local Miscellaneous Store(Branch)Local General Store(Branch)International Supermarket(Branch)Local Supermarket(Branch)International ConvenienceStore (Branch)Local Retail Shop(Miscellaneous GoodsIncluding Food, Clothing,Car, etc)International Supermarket(Branch)Local Supermarket(Branch)International Convenience Store(Branch)Local Retail Shop(Miscellaneous Goods IncludingFood, Clothing, Car, etc)Local Supermarket(Branch)International Convenience Store(Branch)Local Retail Shop(Miscellaneous Goods IncludingFood, Clothing, Car, etc)Local Supermarket(Branch)Local Retail Shop(Miscellaneous Goods IncludingFood, Clothing, Car, etc)Used Goods Retail at Store Used Goods Retail at Store Used Goods Retail at Store Used Goods Retail at StoreLocal Used GoodsLocal Used GoodsLocal Used GoodsLocal Used Goods(Miscellaneous Goods) (Selected Goods)(Selected Goods)(Selected Goods)Other Retail Commerce(Not at Store)Other Retail Commerce(Not at Store)Other Retail Commerce(Not at Store)Other Retail Commerce(Not at Store)Informal Local Retail Informal Local Retail Informal Local Retail Informal Local RetailLocal ServicesRepairing Personal andHousehold GoodsLocal ServicesRepairing Personal andHousehold GoodsLocal ServicesRepairing Personal andHousehold GoodsLocal ServicesRepairing Personal andHousehold GoodsDirect Selling(International and Local)Direct Selling(International and Local)Direct Selling(International and Local)Direct Selling(International and Local)Retail of Inflammable Goodsfor Vehicle (Retail Station,LNG/NGV) - LocalRetail of Inflammable Goodsfor Vehicle (Retail Station,LNG/NGV) - LocalRetail of Inflammable Goodsfor Vehicle (Retail Station,LNG/NGV) - LocalRetail of Inflammable Goodsfor Vehicle (Retail Station,LNG/NGV) - Local97Appendix 1a

National Urbanisation PolicyUrban HierarchyHotel, Conference, ExhibitionAnd Convention (MCE)Industry / ManufacturingPublic Facilities /Social EducationNational GrowthConurbationRegional GrowthConurbationSub-Regional GrowthConurbationHotel and Conference Facilities Hotel and Conference Facilities Hotel and Conference FacilitiesResort / Exhibition ( > 5 Star)Budget Hotel Till 5 Star Budget Hotel Till 5 Star Budget Hotel Till 5 StarConference Exhibition andInternational Commerce CentreConference Exhibition andInternational Commerce CentreConference Exhibitionand CentreRest HouseRest HouseInternational & Multimedia International & Multimedia National MultimediaICT ClusterICT ClusterICT ClusterInternational & NationalInternational & NationalNational TelecommunicationTelecommunication Cluster Telecommunication Cluster ClusterInternational and National International and National National KnowledgeKnowledge Based Industry Knowledge Based Industry Based IndustryManufacturing Cluster Based onNational Resources (Internationaland National)International andNational EKS Food ClusterInternational and NationalGeneral Assemblyand ManufactureManufacturing Cluster Based onNational Resources (Internationaland National)International andNational EKS Food ClusterNational General Assemblyand ManufactureManufacturing ClusterBased on NationalResources (National)Local EKS Food ClusterLocal General Assemblyand ManufactureUniversity / Public College University / Public College University / Public CollegeUniversity and Private College University and Private College University and Private CollegeInternational CooperativeTraining InstitutionInternational CooperativeTraining InstitutionResearch and Development Research and DevelopmentNational Training Centre National Training CentreNational / State Library National / State Library State LibraryInternational School International School International SchoolTechnical / Vocational School Technical / Vocational School Technical / VocationalSchool98HealthRecreation / Cultural /HeritageReligionGovernment Hospital Government Hospital Government HospitalPrivate Hospital Private Hospital Private HospitalUniversity Hospital University Hospital University HospitalSpecialist Centre Specialist Centre Specialist CentreHealth Clinic Health Clinic Health ClinicPrivate Clinic Private Clinic Private ClinicInternational / State District International / State District State / DistrictSport ComplexSport ComplexSport ComplexNational / State Stadium State Stadium State StadiumNational / State Museum State Museum State MuseumTheatre / AuditoriumTheatre / AuditoriumNational ParkRegional/ State Park Regional/ State Park State ParkTown ParkTown ParkTown ParkRecreation Area Network:Green Belt (Central Forest Spine)National MosqueState / District Mosque State / District Mosque State / District MosqueIslamic Centre Islamic Centre Islamic CentreOther Non-IslamicReligion CentreOther Non-IslamicReligion CentreOther Non-IslamicReligion Centre

National Urbanisation PolicyState GrowthConurbationDistrict GrowthConurbationMajor SettlementCentreMinor SettlementCentreHotel and Conference Facilities Hotel and Conference Facilities Hotel and Conference Facilities Hotel and Conference FacilitiesBudget Hotel Till 5 Star Budget Hotel Till 4 Star Budget Hotel Till 4 Star Budget Hotel Till 2 StarConference Exhibition Exhibitionand CentreRest House Rest House Rest House Rest HouseNational MultimediaICT ClusterCluster Based on National andLocal ResourcesCluster Based on LocalResourcesCluster Based on LocalResourcesCluster Based on LocalResourcesLocal EKS Food Cluster Local EKS Food Cluster Local EKS Food Cluster Local EKS Food ClusterLocal General Assemblyand ManufactureLocal General Assemblyand ManufactureLocal General Assemblyand ManufactureLocal General Assemblyand ManufactureUniversity / Public CollegeUniversity and Private CollegeState Library Public Library Mobile Library Mobile LibraryTechnical / Vocational SchoolTechnical / Vocational SchoolPrimary and Secondary School Primary and Secondary School Primary and Secondary SchoolGovernment Hospital Government Hospital Government HospitalPrivate HospitalPrivate HospitalUniversity HospitalSpecialist CentreHealth Clinic Health Clinic Health Clinic Health ClinicPrivate Clinic Private Clinic Private Clinic Private ClinicState / DistrictDistrictMulti Purpose HallMulti Purpose HallSports ComplexSports ComplexState Stadium Stadium Stadium / Playground PlaygroundState Museum99Appendix 1aState ParkTown ParkTown ParkTown ParkLocal ParkRiver Reserveand ForestActive and PassiveRecreational AreaState / District Mosque District Mosque District Mosque MosqueIslamic CentreOther Non-IslamicReligion CentreOther Non-IslamicReligion CentreOther Non-IslamicReligion CentreOther Non-IslamicReligion Centre

National Urbanisation Policy100Urban HierarchyPoliceFire StationPostal ServicesInfrastructure Facilitiesand UtilitySewerage ServicesSisa PepejalElectrical SupplyTelecommunicationTransmitter and BroadbandTransportation ServicesTransportation TerminalNational GrowthConurbationRegional GrowthConurbationSub-Regional GrowthConurbationRoyal Malaysian PoliceHeadquartersPolice ContingentHeadquartersPolice ContingentHeadquartersPolice ContingentHeadquartersPolice District Headquarters Police District Headquarters Police District HeadquartersPolice Station Police Station Police StationMalaysian Fire and RescueHeadquartersState Fire and RescueState Fire and RescueState Fire and RescueHeadquartersHeadquartersHeadquartersFire Station Fire Station Fire StationMain Post OfficeMain Post OfficePost Office Post Office Post OfficeCentralise System Centralise System Centralise SystemLand-fill Sanitary Disposal Land-fill Sanitary Disposal Land-fill Sanitary DisposalIncinerator Incinerator IncineratorScheduled Solid Waste Disposal Scheduled Solid Waste DisposalMain Intake Station (PMU) Main Intake Station (PMU) Main Intake Station (PMU)National Load Dispatch CentreOn National GridRegional Load Dispatch CentreFor Transmission SystemRegional Load Dispatch CentreFor Transmission SystemRemote LoadDistribution CentreRemote LoadDistribution CentreRemote LoadDistribution CentreFibre Optic Network Fibre Optic Network Fibre Optic NetworkWireless Broadband Network Wireless Broadband Network Wireless Broadband NetworkTransmitter & ReceiverStationTransmitter & ReceiverStationTransmitter & ReceiverStationOceanic Cable StationEarth Satellite StationTV And Digital RadioTransmitter StationTV And Digital RadioTransmitter StationTV And Digital RadioTransmitter StationInternet Central Node Network Internet Central Node Network Internet Central Node NetworkHigh Speed Rail High Speed Rail High Speed RailCommuter / Rail Commuter / Rail Commuter / RailLRT LRT LRTMonorail / TramMonorailBus Bus BusTaxi Taxi TaxiNational IntegratedTransportation HubInternational AndDomestic AirportInternational AndNational SeaportState PublicTransportation TerminalInternational AndDomestic AirportInternational AndNational SeaportState PublicTransportation TerminalDomestic AirportState PublicTransportation TerminalBus / Taxi Station Bus / Taxi Station Bus / Taxi StationRailway Station Railway Station Railway StationSources :National Urbanisation Policy (NUP)

National Urbanisation PolicyState GrowthConurbationDistrict GrowthConurbationMajor SettlementCentreMinor SettlementCentrePolice ContingentHeadquartersPolice District Headquarters Police District Headquarters Police District HeadquartersPolice Station Police Station Police Station Police StationState Fire and RescueHeadquartersFire Station Fire Station Fire Station Fire StationPost Office Post Office Post Office Post OfficeCentralise SystemCentralise SystemCentralise SystemCentralise System(Priority to Identified Towns) (Priority to Identified Towns) (Priority to Identified Towns)Land-fill Sanitary Disposal Land-fill Sanitary Disposal Land-fill Sanitary Disposal Land-fill Sanitary DisposalIncineratorMain Intake Station (PMU) Main Intake Station (PMU) Main Intake Station (PMU) Main Intake Station (PMU)State Load Dispatch Centre District Transmission Office District Transmission Office Transmission Local OfficeFor Transmission SystemRemote LoadDistribution CentreRemote LoadDistribution Centre24 Hour BreakdownResponse Centre24 Hour BreakdownResponse CentreFibre Optic Network Fibre Optic Network Fibre Optic Network Fibre Optic NetworkWireless Broadband Wireless Broadband Network Wireless Broadband Network Wireless Broadband NetworkNetworkTransmitter & ReceiverStationTransmitter & ReceiverStationTransmitter & ReceiverStationTransmitter & ReceiverStationTV And Digital RadioTransmitter StationInternet Central NodeNetworkHigh Speed RailCommuter / RailTV And Digital RadioTV And Digital RadioTV And Digital RadioTransmitter StationTransmitter StationTransmitter StationInternet Central Node Network Internet Central Node Network Internet Central Node NetworkCommuter / Rail101Appendix 1aBus Bus Bus BusTaxi Taxi Taxi TaxiDomestic AirportState PublicTransportation TerminalDistrict PublicTransportation TerminalBus / Taxi Station Bus / Taxi Station Bus / Taxi Station Bus / Taxi StationRailway Station Railway Station Railway Station Railway Station

National Urbanisation PolicyABBREVIATION1028 th MP : 8 th Malaysia Plan9 th MP : 9 th Malaysia PlanCIDB : Construction Industry Development BoardCVLB : Commercial Vehicle Licensing BoardDGDLM : Director General Department of Land and MinesDID : Department of Irrigation and DrainageDLP : District Local PlanDOE : Department of EnvironmentDOF : Department of ForestryDOS : Department Of StatisticsDRS : Department of Road SafetyEIA : Environmental Impact AssessmentEPU : Economic Planning UnitESA : Environmentally Sensitive AreaFDLM : Federal Department of Land and MinesIHL : Institute of Higher LearningINTAN : National Institute of Public AdministrationJKKK (VDSC) : Village Development and Security CommitteeLA : Local AuthorityLGD : Local Government DepartmentMAMPU : Malaysian Administrative Modernisation and ManagementMARA : Council of Trust for the Indigenous PeopleMASMA : Urban Storm Water Management Manual for MalaysiaMCAH : Ministry of Culture, Arts and HeritageMCCM : Malaysian Commissioner of Communication and MultimediaMECD : Ministry of Entrepreneur and Cooperative DevelopmentMEWC : Ministry of Energy, Water and CommunicationsMFT : Ministry of Federal TerritoriesMHA : Ministry of Home AffairsMHLG : Ministry of Housing and Local GovernmentMHR : Ministry of Human ResourcesMIDA : Malaysian Industrial Development AuthorityMITI : Ministry of International Trade and IndustryMNRE : Ministry of Nature Resources and EnvironmentMOA : Ministry of Agriculture and Agro-Based IndustryMOE : Ministry of EducationMOF : Ministry of FinanceMOH : Ministry of HealthMOSTI : Ministry of Science, Technology and InnovationMOT : Ministry of TransportMOW : Ministry of WorksMRRD : Ministry of Rural and Regional DevelopmentMT : Ministry of TourismMURNInet : Malaysian Urban Indicator NetworkMWFCD : Ministry of Women, Family and Community DevelopmentMYS : Ministry of Youth and SportsNGO : Non-Governmental Organisation

National Urbanisation PolicyNHCBNHDNLDNPPNWOKUPSDRARDAREHDARIRMPRPSASAPSHBSIASSDSSPSWATCPDTITMTNBTOD: National Housing Company Board: National Housing Department: National Landscape Department: National Physical Plan: Neighbourhood Watch: Handicapped Person: Public Service Department: Resident’s Association: Regional Development Authority: Real Estate and Housing Developers Association: Research Institute: Royal Malaysian Police: Regional Plan: State Authority: Special Area Plan: State Housing Board: Social Impact Assessment: Sewerage Services Department: State Structure Plan: State Water Authority: Town and Country Planning Department: Training Institutes: Telekom Malaysia: Tenaga Nasional Berhad: Transit Oriented DevelopmentAppendix 2103

National Urbanisation PolicyGLOSSARY104TERMUrbanVisionary TownSafe CityBrownfieldCybercentreCybercityIndicatorKnowledge-basedEconomy(K-Economy)Green BuildingHyogo Frameworkof ActionsUrban VillageGreen AreaVacant Land /Open SpaceDEFINITIONA gazetted area with its adjacent built-up and consolidated areas located within the urbanlimits including:• Settlement and committed areas that have been approved;• Minimum population 10,000 people;• At least 60 percent of population are employed (15 years and above)in non-agricultural activities;• Estimated population density of 50-60persons per hectare;• Urban amenities.A visionary town represents a town that excels in direction and vision.The initiatives of a safe city represent a united program towards urban developmentwhere its residents are safe with respect to security including health and way of life.A parcel of land or premise developed or used though not fully exploited eventhough todevelop buildings. It also represents vacant land, neglected or unmanaged land. Withoutprior control, brownfield sites are not necessarily ripe for development.A high technology building or complex equipped with electrical, telecommunication andwater amenities that fulfils the criterias set by the Multimedia Development Corporation(M-DEC)A self-contained intelligent city with a world-class business and living environment thatoffers the full suite of the Malaysian Multimedia Super Corridor’s Bill of Guarantees.It represents the measurement of capability for a town to accommodate a specificpopulation density. It also represents a concept that involves a planning and managementprocess to identify various changes that can be accommodated to an environment andproposes actions to limit corresponding negative effects.Economy based on the production, distribution and use of knowledge and information. Anexample is value-added economy:• The production of high technology goods;• Key technological users;• Knowledge-intensified services.An environmentally-friendly and energy-efficient building that uses innovative technologyto reduce the impact of the environment.It represents a global blueprint with efforts to reduce environmental risk for the comingdecades. The objective of this framework is to reduce loss that results from such risk by2015. Steps to be carried out include:• Prioritize efforts to reduce environmental risk;• Identify risk and take appropriate actions;• Increase the understanding and awareness towards environmental risk;• Reduce environmental risk; and• Increase efforts to control environmental risk.This refers to settlement areas within a town with village values. The types of villagesfound in towns are traditional village, planned village, new village, fishing village andindigenous village.This area encompasses forest reserve, PAA and ESA Level 1 and 2, open spaceand playground.Open space specifically for public use or benefit. In general, it refers to land or spaceallocated as an area for relaxation/ picnic and recreation. It includes gardens, childrenplayground, playfield, sports ground, floral garden as well as landscaped andplanned area.

National Urbanisation PolicyTERMPrime Agricultural Area(PAA)Environmentally SensitiveArea (ESA)DEFINITIONIt encompasses 8 area type of Jelapang padifields, oil palm estate 1 and 2 and all existingagricultural areas under Land Class 1 and 2.An area rich in miscellaneous biology such as forest, swampland, environmentally riskarea, for example, erosion area and life supporting areas such as water catchment areas.10 ESA identified include:• Miscellaneous biologically ESA;• Highland and steep ESA;• Water catchment ESA;• Wild life and reserve ESA;• River ESA;• Swampland ESA;• Coastal ESA;• Permanent forest reserve ESA;• Geological heritage and landscape ESA; and• Cultural and arts ESA.Polluted AreaPublic FacilitiesInfrastructural FacilitiesPublic UtilityUrban Heat IslandsEconomic ClusterConurbationMURNInetMyICMS 886Mixed DevelopmentIn-fill DevelopmentSustainable DevelopmentAn area determined as polluted or emits pollution in the form of solid, gas and others.Facilities provided for common public use. For example, religious facilities such asmosque and surau, health amenities such as clinic, market, multi-purpose hall, publictoilet and others.Public sewers and facilities such as sewage system and treatment, drainage and irrigationsystem as well as rubbish disposal system.Utilities provided to an urban area for daily use such as electrical supply, water, gasand telecommunication.Urban areas that experience an unduly hot climate as compared to its surrounding areas.The collection or consolidation of various types of business that provide quality jobopportunities in goods and services, shared common basic economy and that unifies thedevelopment of the public economy sector.An urban area that encompasses the physical integration of various cities or towns thatform a built area as a result of an increase in population. The boundary of the conurbationlies within the travelling distance to place of work from the city centre that is 45 minutesfor prime conurbations and 30 minutes for other conurbations.The Malaysian Urban Indicator Network is an approach to measure and evaluate a town’ssustainability. It is an application to establish a digital database to measure a town’ssustainability and helps illustrate the continuous achievement in the quality of form fora town.A strategic plan for the Information Service, Communication and Multimedia in Malaysiato serve as a catalyst for investment in the field of infrastructure with potentials tosupport the development of information services, communication and multimedia thatgenerate growth. It encompasses 8 types of services, 8 types of infrastructure and 6types of growth (www.ktak.gov.my)Development that contains miscellaneous types of development such as housing,commerce and industry.Development or re-development being implemented on vacant land or a developed sitelocated in a built area as well as areas currently being developed.Development which meets the needs of the present without compromising the ability offuture generations to meet their needs.105Appendix 3

National Urbanisation Policy106TERMLand ReadjustmentUrbanisationUrban InfrastructureGreen NetworkUrban SprawlInformal SectorSOHORenewable EnergyPark and Ride TerminalMulti-Modal TransportationTerminalTransit-OrientedDevelopment (TOD)HeritageCultural HeritageDEFINITIONAn approach in to develop land where a specific number of adjoining lot parcels are reorganizedthrough the collaboration and cooperation of landowners based on an orderlylayout plan including the provision of basic infrastructure and adequate communityamenities. In return, a portion of the lot parcel is contributed and land owners arecompensated in term of property gain. Another portion of the lot parcel will form whatis known as financial land and be sold to the market to accommodate a portion of theproject cost.An evolutionary process that incorporates urban values for a certain area that involvesthe in-migration of rural population, changes in economy activities, the expansion ofthe urban area, the increase of urban amenities, social changes, changes in traditionalcommunity value and character to that of a modern and changing landuse as a whole.Infrastructure such as water supply, sewage disposal plants, and other improvementessential for urban development.Green areas such as river reserve, coastal area and railway reserve that links to form asa network.Unintended or uncontrolled urban expansion.Small business being implemented as five-footway stalls or night markets. It also refersto the manufacturing sector or small scale productions that do not involve the use ofpermanent or planned building. Job opportunities in the informal sector include:• Roadside business;• Small retail business;• Taxi driver;• Personal services such as guard;• Parking attendant; and• JanitorThe concept of a small office in a housing unit to manage business or smalloffice-home office. It normally contains about one to four employees. An example of thistype of business includes professional business such as accountant, architect consultant,financial consultant and business based on knowledge and technology such asdigital animation.Electricity generated from clean and renewable energy sources such as solar, wind,biomass and hydro power.A concept where an area is planned to park individual vehicles with facilities for variousmodes of public transport.An integrated concept that serves as a dispersal or collection centre for various modes ofpublic transport.A housing and commercial area designed to maximize its locality through transit andvarious modes of public transport and include encouraging transit ridership.Aesthetic, historic, scientific or social value for past, present or future generations.Cultural heritage can be divided into two types, namely, tangible and intangibleheritage. Tangible heritage includes an area, monument and building whereasintangible heritage includes a theatre presentation, self-defence and instrumentalas well as musical composition.

National Urbanisation PolicyAppendix 3107

National Urbanisation PolicyACKNOWLEDGEMENTThe Federal Department of Town and Country Planning Peninsular Malaysia(FTCP) and The Ministry of Housing and Local Government (MHLG) extendtheir warmest gratitude and many thanks to the various parties involved be itat the federal, state and local level at giving their cooperation and support inthe successful preparation of The National Urbanisation Policy (NUP).A special appreciation is also dedicated to the representatives fromprofessional bodies, higher institution of learning, non-governmentorganisations (NGO) and individuals who have directly or indirectlycontributed to the preparation of the NUP.108