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Five year-progress-report iskandar

Five year-progress-report iskandar



5 Year Progress Report On Iskandar Malaysia

5 Year Progress Report On Iskandar Malaysia



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    Five year-progress-report iskandar Five year-progress-report iskandar Document Transcript

    • 1 ISKANDAR MALAYSIA - 5 Year Progress Report
    • AcKnowledgementsYAB Prime Minister, MalaysiaYAB Chief Minister, JohorPrime Minister’s DepartmentPrime Minister’s OfficeChief Minister of Johor’s OfficeJohor Corporation BerhadMMC Corporation BerhadUMLand BerhadIskandar Regional Development AuthorityKhazanah Nasional BerhadUEM Land Holdings BerhadIskandar Investment BerhadErnst & Young Advisory Services Sdn BhdX2 Sdn BhdText 100 Pte LtdSalt Media Consultancy Sdn BhdDC Print Sdn BhdAmir HafiziThe people of Johor Darul Ta’zim 11 DECEMBER 2011 ISKANDAR MALAYSIA - FIVE Year Progress Report 2
    • 3 ISKANDAR MALAYSIA - 5 Year Progress Report
    • Foreword fromthe Prime Minister of MalaysiaW hen the Government of Malaysia set outto transform southern The rakyat is the ultimate beneficiary of Iskandar Malaysia, and even in theJohor by tapping into the five short years since itsregion’s strategic location, launch, the benefits fromits vibrant population the changes for the goodand strong logistical that have been set ininfrastructure, it was with motion can already be feltthe idea of developing a through improved publicworld-class and dynamic infrastructure, thousandsmetropolis that would be a of new jobs, and enhancedkey growth corridor for the safety and security, tocountry. name a few.Today, five years on, Alhamdulillah, the progressIskandar Malaysia has that has been achieved somade great strides towards far in Iskandar Malaysiaachieving that goal. The is highly laudable but it isregion is a manifestation of just the beginning, withthe Government’s plan to more key developments “The development in Iskandardecentralise development to be launched next yearand spread it out to all and many others over the Malaysia is geared towardscorners of Malaysia, duration of the region’s being inclusive and sustainable,thereby helping to ensure 20-year developmentthat no Malaysian is horizon. The Government providing a multitude ofleft behind in reaping of Malaysia for its part is prospects for growth andthe benefits from, and committed to ensuringseizing the opportunities the continued progress prosperity to be enjoyed by allgenerated by, our nation’s and ultimate success of stakeholders.”economic growth. Iskandar Malaysia.In line with the principles As co-chairman ofof Malaysia’s on-going the Iskandar Regionaltransformation into a Development Authorityhigh-income economy, (IRDA), I would like to takethe development in this opportunity to thankIskandar Malaysia is geared everyone involved for their YAB Dato’ Sri Mohd Najib bintowards being inclusive passion, perseverance and Tun Abdul Razakand sustainable, providing hard work that has brought Prime Minister of Malaysiaa multitude of prospects Iskandar Malaysia this farfor growth and prosperity and undoubtedly will taketo be enjoyed by all it further.stakeholders. ISKANDAR MALAYSIA - FIVE Year Progress Report 4
    • Message fromthe Chief Minister of JohorIskandar Malaysia is of huge significance and importance to the socioeconomic progress of Johor, withdevelopment in the region founded upon fundamentalprinciples that will have a positive impact on the people inthe state.Through Iskandar Malaysia, Johor is given a key role innation-building, which is a natural role for a state that hasa rich, centuries-old history and tradition in being at theforefront of social, economic and political development inthe Malay Peninsula.The factors of growth and value creation lie at the heartof the development of an internationally-competitiveIskandar Malaysia, with strong regional and global linkagesthat together with domestic strengths and advantages willdrive creativity and innovation.Most important of all, the development of IskandarMalaysia is anchored upon the fair and equitabledistribution of the fruits of our collective labour amongstakeholders, so that the value and wealth generated is “Through Iskandar Malaysia,shared across all segments of society. This principle isparamount as the final outcome sought is for the rakyat to Johor is given a key role inenjoy an enhanced standard of living, with good access to nation-building, which is aquality education, high-value employment and businessopportunities, and an enriched quality of life. natural role for a state that has a rich, centuries-old historyIt is indeed heartwarming and encouraging to see thegrowth of Iskandar Malaysia thus far, with good progress and tradition in being at themade in areas such as its physical and soft infrastructure, forefront of social, economickey catalytic projects and social development initiatives. and political development in theThe Government of Johor remains steadfast in its efforts Malay Peninsula.”towards Iskandar Malaysia’s success and is continuouslycommitted to working hand-in-hand with the FederalGovernment, the private and public sectors, and mostimportantly, the people of Johor in ensuring the region’sfurther growth. The state government is grateful to allwho have contributed through this collaborative approach,which is pivotal to Iskandar Malaysia’s achievements to Dato Haji Abdul Ghani Othman,date and in the future. YAB Menteri Besar JohorAs co-chairman of the Iskandar Regional DevelopmentAuthority (IRDA), I would like to say that truly, the rakyat,both in Johor and throughout our nation, have much tolook forward to in Iskandar Malaysia, Insya-Allah.5 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • Message fromthe Chief Executive of IRDAIskandar Malaysia is well and truly off the ground and we are now starting to see growth and developmentthroughout the region.Much has been done in the five years since the launch ofIskandar Malaysia and several important milestones thatwere set for the development of the region have been wellmet. Key road infrastructure projects have been completedor are nearing completion, as are several catalytic projectsthat will further spur growth and investment.Cumulatively, Iskandar Malaysia has recorded a totalcommitted investment of RM77.82 billion, surpassing thetarget set for the first phase of development. About 40%of the total is from foreign investment and more thanRM30 billion have been realised.Iskandar Malaysia is now into the second phase of its20-year development period, with 2012 set to be a tippingpoint for the region as several catalytic projects are set tocome on stream. “Iskandar Malaysia has recordedIn this context, this report is timely as a progress update ofwhat has been implemented and achieved in the five years a total committed investment ofof Iskandar Malaysia. RM77.82 billion, surpassing theIndeed, these achievements were a result of tight target set for the first phase ofcollaboration and cooperation from many parties involved development”in bringing the Iskandar Malaysia vision closer to reality.The Federal Government and Johor State Governmenthave been pivotal in the progress of Iskandar Malaysia wesee so far, and on behalf of IRDA, I would like to record ourgratitude to them.There is more to be done and IRDA is unwavering in itscommitment to ensuring the success of Iskandar Malaysia. Ismail bin Ibrahim Chief Executive of Iskandar Regional Development Authority (IRDA) ISKANDAR MALAYSIA - FIVE-Year Progress Report 6
    • mEssAgE FRom THE mAnAgIng dIRECToRoF KHAZAnAH nAsIonAl BERHAdF ive years have passed since the launch of the Comprehensive Development Plan (CDP) for what wasthen known as the South Johor Economic Region. the CDPguides the holistic development of Iskandar Malaysia overa period of 20 years from 2006 to 2025.Covering a multitude of aspects including socioeconomic,physical, legal and institutional, as well as environmentalplanning, the CDP envisaged the creation of a solid andsustainable conurbation of international standing thatwould also ensure fair and equitable distribution ofbenefits to its stakeholders.Alhamdulillah, we have witnessed much progress notonly in terms of investments that have been made andthe physical development that is evident on the groundbut also in efforts to ensure that the people of Johor, theultimate beneficiaries of Iskandar Malaysia, would fullyshare in its growth and progress.Khazanah is very honoured to be given the opportunity toparticipate in this landmark development of the shaping of “There is more to be done andnot just Iskandar Malaysia but indeed the future landscapeof Malaysia itself. we must double our efforts to make it a magnet for investment,I would like to thank and congratulate all who have beeninvolved in transforming Iskandar Malaysia from the idea talent and economic activity,that it was into the reality that it is today, in particular regionally and internationally.”the Federal government and the Johor State governmentfor the strong and solid support that has been extendedthroughout.these achievements however should not be a reasonfor us to rest on our laurels but rather serve to motivateand drive us further to ensure that Iskandar Malaysiacontinues to progress as planned. there is more to be Tan sri dato’ Azman Hj. mokhtar,done and we must double our efforts to make it a magnet managing director, Khazanah nasional Berhadfor investment, talent and economic activity, regionallyand internationally. god-willing, through our continuouscommitment and endeavor, Iskandar Malaysia will succeed.7 ISKANDAR MALAYSIA - FIVE-YEAR PRogRESS REPoRt
    • ISKANDAR MALAYSIA - FIVE-Year Progress Report 8
    • TABLE OF CONTENTS CHAPTER 1: 12 ISKANDAR MALAYSIA – CONTINUATION OF A HISTORY AND TRADITION OF PROGRESS Johor: At the Forefront of Change The Iskandar Malaysia Premise CHAPTER 2: 22 FIVE YEARS OF ISKANDAR MALAYSIA – HIGHLIGHTS AND MILESTONES CHAPTER 3: 26 THE FLAGSHIP ZONES – A PROGRESS UPDATE Overview of Progress Flagship Zone A: Johor Bahru City Flagship Zone B: Nusajaya Flagship Zone C: Western Gate Development Flagship Zone D: Eastern Gate Development Flagship Zone E: Senai-SkudaiTABLE OF CONTENTS CHAPTER 4: 58 SOCIAL DEVELOPMENT – GROWTH THROUGH INCLUSION I. Human Capital Development II. Social Inclusion III. Economic Inclusion IV. Housing and Spatial Development V. Safety and Security CHAPTER 5: 66 WAY FORWARD Strategies for the Next 5 Years APPENDIX 72 Acronyms & Abbreviations
    • 11 ISKANDAR MALAYSIA - 5 Year Progress Report
    • Chapter 1:ISKANDAR MALAYSIA -CONTINUATION OF A HISTORYAND tRADITION of progressIskandar Malaysia is situated in south Johor, which has a centuries-old tradition of being at the forefrontof social, economic and political developments in Peninsular Malaysia and the region. Through itsstrategic location, abundant resources, strong leaders and progressive communities, the great stridesmade by Johor throughout history have generated waves of impact and influence on its surroundings. Aprime example is the Johorean influence in language: before the standard use of Bahasa Baku, it was JohorMalay that was the lingua franca both in British Malaya and the Dutch East Indies, and it was Johor Malaythat would become the national language of independent Malaya.In this context, Iskandar Malaysia is the continuation of the open and outward-looking spirit that hascharacterised centuries of Johor’s history. It is the extension of the innovation and imagination thatmoved celebrated sons of Johor the likes of Temenggong Ibrahim, Sultan Abu Bakar, Dato’ Abdul RahmanYassin, Dato’ Onn and Tun Dr Ismail to undertake great and ambitious tasks for the public good withpracticality, wisdom and principle. It is the enterprise of Wong Ah Fook and the Kuoks, the hard work andthe commitment of the Alsagoffs and other Hadhrami families, and it is the courage and conviction of thePuthuchearys. Above all, it is the evolution of the deep and binding friendship of once-different peoplesfrom many lands and of many faiths.It is this tradition of leadership and dynamism has put Johor at the forefront in the past, and provides theseeds of great potential for its success in the future. Knowingly or not, the leaders of Johor in its earlyhistory were building the foundations of a state based on the modern economic principle of generatingGDP by employing the productive use of labour and capital. Through being open and welcomingof external talent and investment, armed with foresight and vision, and boldly exploiting Johor’scomparative advantages, they put into practice a formula for economic growth and prosperity thatremains valid to this day.The legacy of Johor’s political, social and economic leadership provides both a challenge and anopportunity for the people of Johor to continue this tradition and realise the potential that isIskandar Malaysia. ISKANDAR MALAYSIA - FIVE-Year Progress Report 12
    • Johor: At the Forefront of ChangeIt is often said in Peninsular Malaysia that the people ofJohor are “a little different”: highly refined, educated and The Golden Chersonesefiercely independent. When thinking of the earlyJohor is, after all, the birthplace of the post-war Malay trading kingdoms of the Malaynationalism that would lead quickly to the independence world, the Srivijaya Empire withof Malaya, and even today it is regarded as the last and its capital at Palembang, or thegreatest bastion of that political tradition. At the same later Sultanate of Malacca fromtime, however, Johor enjoys a liberal and cosmopolitan which the state of Johor isreputation unrivalled either in the peninsula’s long history directly descended, often comes to mind. And yet, earlyor in the glittering landscape of modern Malaysia. Western maps such as the Geographia attributed toIt was a Johorean, Dato’ Onn Ja’afar, who founded the Claudius Ptolemy, suggestsUnited Malays National Organisation (UMNO), and it was something quite different. Compiled under various hands in thealso he who first demanded that the party open its doors to first millennium of the Common Era, it is in this work that theall Malayans regardless of creed or colour. It was another Chersonesus Aurea or Golden Chersonese – “Chersonese”Johorean, Tun Dr Ismail Abdul Rahman, who would agitate meaning “Peninsula” – is first mentioned (Wheatley, P., Thein favour of citizenship for all those resident in Malaya to Golden Khersonese, University of Malaya Press, Kuala Lumpur,make them loyal citizens of the new independent nation. 2010). The name has long been considered to show how important the Peninsula’s gold trade had been to the West, andSuch sentiments did not emerge overnight nor were they especially to the Roman Empire.peculiar to a handful of individuals who existed in isolation There are some recognisable names: on the northwest of theor happened by accident to be Johorean. Indeed it is Golden Chersonese the compilers of the Geographia identifiedpossible—even likely—that the historical inhabitants of a city called Cocconagora, which might correspond to the lostJohor have had as much close contact with other peoples kingdom of Gangga Negara (what is now thought to be Beruasand cultures as anyone in the Peninsula. and Manjung in Perak), while further north is the town of Kalonka on what might be the lower Pahang River today.A jewel in the south To the south, however, there is a major river, the Palandas, that ran north through the peninsula from what is today the TebrauIn the Sejarah Melayu (the Malay Annals) of 1612, Tun Sri Strait. On the banks of this river, just inland from the sea, wasLanang tells of the land of Gangga Ayu and its great fort a city of the same name, and nearby was the market town ofof black stone on the banks of the Johor River. Ruled by a Sabanda. These names and cities are lost to us, but nonethelesscertain Raja Chulan, Gangga Ayu was thought by Tun Sri scholars believe that Palandas is the Johor River and that theLanang to have been the Malay equivalent of an ancient city of Palandas was established on the site of what is now Kota Tinggi. The market of Sabanda might well have been a tradingSiamese expression (khlang khiaw) signifying “the Treasury post on the island of Singapore—its specific designation as anof Jewels”. This is borne out by the old Javanese name for emporium on the map implied that it was operated by non-Johor—Galuh—which in literary Javanese today still means Roman authorities who charged non-Roman levies.“diamond” or “jewel”. Also, contemporary Arabs referred toGangga Ayu as Jauhar (Arabic for “jewel”), and it is entirely Scholars generally accept that the cartographers of thepossible that Jauhar gives us the modern name “Johor”. Geographia marked only the waterways that featured prominently in trade—in this case, the gold trade—and if theMany historians believe that the Arab community, Golden Chersonese was indeed the Malay Peninsula, then theoriginally merchants and teachers from Hadhramaut in ancient peoples of Johor and Rome (whether the Western Empire,Yemen, began to settle in Johor in the 14th century. It which fell by the end of the fifth century CE, or the Easternwas through this community that the Johorean artistic Byzantine Empire, which fell in 1453) were almost certainly known to each other.traditions of the zapin and hamdolok, as well as the use ofthe gambus in music, first took root. There are still Arabicplace-names in Johor Baru today, such as Wadi Hanaand Wadi Hassan, and there is also a strong Hadhrami13 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • ISKANDAR MALAYSIA - CONTINUATION OF A HISTORY AND TRADITION OF PROGRESS CHAPTER 1 community in Batu Pahat. was given written authority to establish and supervise theEarly Recognition The Javanese, meanwhile, plantation and to collect taxes for the state. In this way influenced the development the system promoted both infrastructural developmentJohor was known to the of kuda kepang, as well as and trade as more and more Chinese workers establishedChinese at least as early Johorean cuisine in delicacies tax-exempt shops and services for the residents of the newas the middle of the Tang such as nasi ambeng, lontong, settlements. Temenggong Ibrahim first put the kangchudynasty (around the ninth and ungkep. system in place at the settlement of Kangkar Tebraucentury CE), and there are in 1844, and by the 1860s there would be some 1,200map references to a kingdom By far the most obvious kangchu plantations employing 15,000 workers.the Chinese knew as Lo-Yue,corresponding to the location example of Johor’s outward-of Palandas in Ptolemy’s looking spirit can be seen in Moving forwardGeographia. It is in Lo-Yue, the commerce and industryfor example, that Prince of the mid-19th century, and In 1855 Temenggong Ibrahim shifted his capital fromTakaoka (799CE–865CE), the it has been said by historians Teluk Belanga to what was then the small fishing village ofthird son of Emperor Heizei that the best examples of Tanjung Puteri, but it was his son Temenggong Abu Bakar(773CE–824CE) of Japan, is Malay co-operation with (the great-great grandfather of the present ruler, Sultanrecorded in official Japanese Chinese investors and labour Ibrahim Ismail) who would build on these early foundationsannals to have been killed by was undoubtedly in Johor. to make the state of Johor what it is today.a tiger while en route to India.A memorial to Prince Takaoka Welcoming to all It is a testament to the rulestands today in the Japanesecemetery at Jalan Kebun Teh of Sultan Abu Bakar, as he “A Man of Exceptionalin Johor Baru, and this and The state’s first Chinese would later become, that at Intelligence”other factors give credence settlers arrived in the early various times the Chineseto the idea that Johor was the 1840s. They were Teochew subjects in his state would Described by the Englishsite of the lost city of Kota from Swatow (now Shantou) outnumber the Malays by as “a man of exceptionalGelanggi. and Chaozhou in China and as much as four to one, and intelligence”, Sultan Abu Bakar they arrived when the young yet—unlike the experience was born on 3 February 1833 Raja Temenggong of Johor, of other Malay states—there in Teluk Belanga, Singapore. The Governor of the Straits Tun Daeng Ibrahim Abdul Rahman (1810–1862), had just were almost no instances Settlements, William been appointed officially to his post. The Temenggong was of friction (although there Butterworth, suggested that a high political office within the Majlis Orang Kaya, and the were cases where different the young boy be sent to Temenggong of Johor, centred in Teluk Belanga, Singapore, Chinese dialect groups England for his education but held as a personal fiefdom what is today effectively the fought each other). Quite the Temenggong Ibrahim replied state of Johor and the island of Singapore. This excluded contrary: it was under the with a firm “no”. Instead, Abu Muar, which was held by its own Temenggong centred in rule of the Father of Modern Bakar would learn Islam and Segamat, while Pahang was held by the Bendahara, Riau by Johor, as Abu Bakar would adat (Malay customary law) the Yam Tuan Muda, and the rest of the Empire of Johor by be known, that the state from private tutors before the Sultan who resided in Linggi (in Negri Sembilan today). leapfrogged economically, being sent to the local mission socially and politically into school, the Teluk Belanga Malay School. The school was run by Sir Stamford Raffles had taken control of Singapore the modern world, and it did the Rev Benjamin Keasberry, for the East India Company in 1819, and what began as so comparatively free from an expert in Malay and whose experimental pepper and gambier plantations had, by colonial interference. Johor staff included Munshi Abdullah the time of Temenggong Ibrahim’s accession, resulted was the only state to maintain Abdul Kadir. in a shortage and exhaustion of land on the island. its complete autonomy even Temenggong Ibrahim persuaded the Chinese to open up as late as the end of the 19th more plantations in the dense jungle along the rivers of century when the British administration sought to promote Johor, and here he devised an innovative system in which a direct control over the Malay states. How Johor achieved senior Chinese, called a kangchu (head of the river), would all this is a testament to the skill and wisdom of Abu Bakar be given charge of a particular river where the plantation and the multiracial officers of his Government. was to be established. With what were effectively a renewable tenancy and a business licence, the kangchu ISKANDAR MALAYSIA - FIVE-Year Progress Report 14
    • Abu Bakar’s vision kangchu system, and it was through this that luminaries such as Muhamad Salleh Perang (1841–1915) helped toAbu Bakar ascended as Temenggong on the death of his transform the state economically. Muhamad Salleh wasfather on 31 January 1862. He was just 29 years old but fluent in both written Chinese and spoken Teochew, asimmediately set about developing the kangchu system well as Chinese traditions, and was so close to the Chineseinto a legal contract based on a European model. Under community that he is credited with the establishmentthe new rules, a contract would be issued to individual of Batu Pahat and its development as a trading andmerchants living in Singapore or else to combines (or agricultural centre. He accompanied Abu Bakar to Chinakongsi) of several merchants who could raise the capital in 1880 and rose to the position of Dato’ Bentara Luar offor developing their plantations and the necessary the royal court, and there were often times when the Courtinfrastructure. The kangchu himself became a site of Johor had more Chinese-speakers than the Colonialsupervisor reporting to the concessionaire or kongsi, and Government in Singapore.the Chinese community as a whole were represented by aKapitan Cina, of which there would eventually be three Abu Bakar also struck a close friendship with a youngin Johor. contractor called Wong Ah Fook, who left his home in Taishan County, Guangdong, as a result of the clan warsThe leading concessionaire and Kapitan at the time was of the time. As a young builder in Singapore he earned theTan Hiok Nee (1827–1902), a Teochew. In his early years notice of Hoo Ah Kay (better known as Whampoa, theas a cloth peddler, he was a frequent visitor to Abu Bakar’s Anglicisation of Huangpu, the district in Guangzhou wherehouse and became his friend. Tan grew to be a prominent he was born) who was a prominent merchant—the onlycloth merchant with businesses in Johor by the time he Asian chandler to the Royal Navy—and Consul of Russia,received his first kangchu contract in 1853, and eventually China and Japan in Singapore. As a result of Whampoa’she rose to become the leader of the Ghee Hin (or Ngee patronage, Wong received his first major commission inHeng) Kongsi around 1964. Tan grew to become one of the 1863 building godowns for the firm Paterson & Simonswealthiest and most influential Chinese in Johor with the on behalf of the Johor Government. Abu Bakar was solargest number (nine) of kangchu concessions and a post of impressed with the work that he commissioned Wong toKapitan created especially for him. This post in Johor was build the new palace, the Istana Besar, at Tanjung Puteria civil service appointment assisted by a treasurer, a chief (which would soon be renamed Johor Baru). With Abuclerk, and a chief inspector. Under Abu Bakar’s leadership Bakar’s trust, Wong rose to become the main Governmentand through combined effort, the people of Johor, both contractor and he completed at least 20 major publicold and new, grew the 1,200 plantations and 15,000 works projects, including the splendid state mosque (nowworkers of the 1860s to some 100,000 Chinese working on the Sultan Abu Bakar Mosque) as well as other landmarkplantations that together accounted for the largest supply buildings that have since come under heritage protection.of pepper and gambier in the world by 1911. Abu Bakar was careful to cultivate friendships with otherAbu Bakar also created a local civil service staffed by communities as well, the most notable of which wasprominent Malay meritocrats, which would set the the influential Hadhrami community. Syed Mohammedfoundation for Johor’s domination of Independence politics Alsagoff (1836–1906) was a key member of this group.later, and it was through this system that the families of The grandson of the patriarch Syed Abdul Rahman, whoOnn Ja’afar, Dr Ismail Abdul Rahman and others would came out to Singapore as a spice trader in 1824, Syedrise to prominence. However, Abu Bakar remained acutely Mohammed was a wealthy member of the colonial upperaware of the importance of the Chinese community in the class, a great philanthropist, and Consul-General for Turkeydevelopment of his state, and so he included two Chinese in Singapore. The trust Abu Bakar placed in him broughtin his 24-member Council of State, one of whom was his him land concessions in Nong Chik, Johor Baru, and sometrusted official Tan Hiok Nee. 14 square miles at Kukup where on his newly established Constantinople Estate Syed Mohammed would cultivateForging collaborations rubber, sago, pepper and more, as well as print his own banknotes which uniquely featured lettering in Jawi,Abu Bakar also encouraged the involvement of many Chinese and English.Malays in partnership with the Chinese in developing the15 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • ISKANDAR MALAYSIA - CONTINUATION OF A HISTORY AND TRADITION OF PROGRESS CHAPTER 1 Syed Mohammed was not the only member of the Arab his greatest contribution, however, was the state’s 1895 community to help develop Johor. For example, Syed Constitution—the first in Malaya—which established Abdullah Umar, Syed Junid Umar and Syed Abu Bakar of a constitutional monarchy. This development was the al-Junids, together with Syed Salim Mohsain al-Attas particularly noteworthy in that it bucked the trend of the were licensed and provided tax incentives to mine tin in other Malay states, which went deeper into Muslim and Ayer Puteh. There is also record of an al-Tawi being granted customary law in response to increasing British influence. a kangchu concession to open up plantation land in Skudai Indeed the Constitution would prove so successful that Ulu, and an al-Khatib likewise in Tebrau. While the 1911 it would later serve as the model for the other states Census placed the Arab community in Johor at a small of Malaya—but even here Johor remained different: the Undang-Undang Tubuh Negeri Johor (literally, Laws Embodying the State of Johor), unlike the conventionalThe Maharaja of Johor term “Perlembagaan”, showed Johorean nationhood to be legitimate only under the operation of law. Drafted by As Sultan Abu Bakar registered success Dato’ Amar diRaja Abdul Rahman Andak at the command after success, his political influence grew of the Sultan, the Constitution also declared that no not only within the colonial community subject of Johor should be bound to any Sultan who ceded but throughout the world. In the course of the integrity of the state to a foreign power. This implied his reign he became a close personal friend of Queen Victoria and leading English a contractual duty that was to become a major point of nobles, and elsewhere he was very contention during the Malayan Union protests after the welcome in the courts of Emperor Meiji of end of the Second World War. Japan, Emperor Franz Josef of Austria, PopeLeo XIII, Sultan Abdulaziz of Turkey, King Kalakaua of Hawaii, and The people of Johor argued that entering the Unionmost of all Guangxu the Emperor of China, who was strongly would, according to the Constitution, endanger theimpressed by Abu Bakar’s support for the Chinese of Johor. sovereignty of the state. It would be leading JohoreansThis aroused the professional jealousy of the Sir Frederick Weld, such as Dato’ Abdul Rahman Yassin (the father of Drthe Governor of the Straits Settlements, and Weld sought Ismail), Dato’ Sulaiman Abdul Rahman (Dr Ismail’shard to bring Johor into the colonial fold by imposing on her a brother), Dr Awang Hassan (later Tun and GovernorBritish Resident who would be in complete control of the state’s of Penang), and Dato’ Onn Ja’afar who would organiseadministration. Abu Bakar resisted this move through skilfulmanoeuvring: proclaimed Maharaja of Johor in 1868, he was now the first resistance to the Malayan Union. And it(in 1885) recognised as Sultan of all Johor by Queen Victoria. This would also be in Johor Baru—at the Istana Besar ofmasterstroke gave him considerable moral authority and allowed Sultan Ibrahim (the son of Sultan Abu Bakar)—thathim to maintain the state’s sovereignty and independence from UMNO would come into being on 11–12 May 1946.Britain. It is noteworthy that Johor, the Malay kingdom closest tothe seat of British colonial power in the region, managed to resist Open to allincorporation into British Malaya until 1914, and it was the laststate to do so. And yet these leaders were not motivated merely by narrow considerations of nationalism. The young Dr Ismail 699 people, they more than made up for that in industry, wrote at the time that “Johor, I suppose, is still under enterprise, hard work and success. Several families, such Military Occupation. When the Civil Administration takes as the Alsagoffs, al-Attas’ and Alaydrus’, would over time its place again, the old order must go. People, irrespective become connected to the royal family by marriage, and of nationality and colour must be judged according to their many, such as Datuk Sheikh Abdullah Ahmad Bakhbereh own ability and only then can peace be assured.” (popularly known as Datuk Shake), would make strong marks Malaysian on culture and society later in history. Dr Ismail’s family possess the values and outlook typical of Johoreans. The best friend of his father, Dato’ Abdul Driven by innovation Rahman, was the Chinese medical doctor Cheah Tiang Eam, and it would be through Cheah’s daughters Eileen and As Sultan, Abu Bakar quickly instituted several innovations Joyce that Dr Ismail would in turn meet his best friends such as postal and judicial systems as well as the Royal Philip and Robert Kuok (who married the two sisters). Johor Military Force (or Timbalan Setia Negeri). Perhaps The Abdul Rahmans, Cheahs and Kuoks were in turn close ISKANDAR MALAYSIA - FIVE-Year Progress Report 16
    • friends with the Puthuchearys (two of whom, James and Continuing the traditionDato’ Dominic, were founders of the People’s ActionParty), as well as Dato’ Onn. It was Onn, for example, Therefore, it can be argued that Iskandar Malaysia is awho tipped off the third Kuok brother, William, that the continuation of Johor’s history of being at the forefrontBritish authorities were after him, and it would be James of change. Nearly half a century after Merdeka, itPuthucheary who would bring the sad news of his death represents a significant thread to be added to Johor’s richback to the Kuok family. socioeconomic tapestry, tapping into the state’s heritage of openness as well as leveraging on South Johor’s strategicPhilip Kuok (later Tan Sri) would serve as the Malaysian location at the southernmost tip of continental Asia.Ambassador in Germany, the former Yugoslavia,Netherlands, Belgium, Luxembourg and Denmark. Tan Clearly, it is well-positioned to take advantage of globalSri Robert Kuok—long before he became the “Sugar developments since the new millennium. The world hasKing”—would serve his nation in many capacities, come full circle over the past millennia. From 10th to thehelping to establish the Malaysian International the 15th century AD, China was the economic powerhouseShipping Corporation and Malaysian Airlines, amongst of the world until its position was usurped by the Westernother things. The two brothers built a massive world due to the isolationist policies pursued during theworldwide business conglomerate and both would Qing Dynasty. Today, China, along with India – the tworemain deeply committed to a multiracial Malaysia. countries with more than one billion in population and a history of great empires behind them – are reclaimingAt the forefront of change their global economic and political leadership. At the same time, the West is imploding in the aftermath ofRegardless of their accomplishments, these individuals the worst financial crisis since the Great Depression.are but threads in the great tapestry that is the socialand cultural milieu of Johor. The state has produced The centre of economic gravity is shifting inexorablygenerations of Malayan and Malaysian leaders in politics, to the East, along with the formation of a ‘New Silkgovernment, commerce, society, sports, academia and the Road’ stretching from the Philippines to Africa. Thearts, and they have been able to do so because of a breadth New Silk Road is based on maritime, rather than theof vision formed over centuries of embracing difference overland routes of old, and Johor (through Iskandarfor the common good. Throughout history, and even in Malaysia) with its maritime trading history, has thethe “pre-history” of the Malay Peninsula, Johor has been potential to be a significant part of this new route.a gateway to international trade and cultural exchange. Regionally, Iskandar Malaysia is at the centre of SoutheastWhether it was known as Palandas, Gangga Ayu, Lo-Yue, Asia, located in between the Malacca Straits and theGaluh or Jauhar, the state has been at the forefront of the South China Sea, with links to the Indian Ocean.Peninsula’s social, political and economic development. Itis this unique perspective that continues to enrich Johor’s Indeed, Iskandar Malaysia possesses strategic positioningstrong traditions of openness and understanding. and economic potential. Johor has strong economic and historical links with neighbouring Singapore, and thisSultan Abu Bakar and those like him could not have can be seen in the 50,000 commuters who travel fromexisted in isolation, and even if they did the measures they Johor Bahru to Singapore daily for work and education.introduced—revolutionary at the time—could not have Together, Iskandar Malaysia and Singapore form ataken root in unfertile soil. In more modern times, the birth conurbation of six million people, three maritime ports,of Malay nationalism was already tempered by Johorean two airports as well as overland links to the rest of Asia.maturity when it spread to the rest of the country, and itis this Johorean maturity and welcoming of difference that With these key advantages, Iskandar Malaysia hasgave momentum to the multiracialism that has formed the opportunity to re-establish Johor’s economic andthe bedrock of all Malaysian politics even to this day. In historical leadership within the region, by keeping to theIskandar Malaysia today, as in Johor throughout the ages, it traditions of openness and pragmatism and leveragingis the diversity of the many that gives strength to all. on existing strengths as well as develop complementary advantages with Singapore and the rest of the region.17 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • ISKANDAR MALAYSIA - CONTINUATION OF A HISTORY AND TRADITION OF PROGRESS CHAPTER 1THE ISKANDAR MALAYSIA PREMISEIskandar Malaysia, with an area of 2,217 square-kilometers, These foundations for development are:is three times the size of Singapore and is the single largestdevelopment project ever to be undertaken in the region. 1. Nation BuildingAs envisaged by the Comprehensive Development Plan Development is consistent in spirit with national and(CDP) launched in 2006, Iskandar Malaysia will be a place state level plans and aspirations while aspiring to drivewhere living, entertainment and business would seamlessly further innovation and reforms in the nation buildingconverge in a vibrant and sustainable metropolis of process.international standing. A great deal of careful planninghas also gone into ensuring that the development would 2. Growth and value creationbe sustainable, taking into consideration the direct andindirect needs of its respective stakeholders. Development emphasises growth, productivity and value creation in line with globalisation and increasedAs part of the Indonesia-Malaysia-Singapore Growth competition.Triangle, Iskandar Malaysia’s strategic location andproximity to some of the world’s most dynamic economies 3. Equitable and fair distribution amongis a key differentiating factor for the development. Located stakeholdersat the cross-roads of the important East-West traderoutes, it is mid-way between the region’s two economic Development is consistent with the tenets of growthpower-houses, China and India, and is easily accessed by with equity, to ensure that the local and Bumiputeraair, land and sea. Other advantages include a multi-lingual population in particular participate in the growth andand educated work-force and a vast land-bank. It is also value creation in a meaningful manner.positioned as an international metropolis to decrease tradebarriers and increase human mobility. The five pillars in the strategic framework for Iskandar Malaysia is a broad-based approach that encompassesSince its official launch in November 2006, the vision the regulatory, social, physical, infrastructure andof Iskandar Malaysia has gone off the drawing board commercialisation areas.and is rapidly being transformed into a next generationmetropolis. With Phase 1 (2006-2010) completed, a 1. International Rim Positioningcritical mass has been established with the timely deliveryof major infrastructure and several iconic investment The development of a regionally and globally-projects. Iskandar Malaysia has now progressed into Phase competitive Iskandar Malaysia propelled by efficiency2 of the Comprehensive Development Plan. and innovation besides being factor and investment- driven.Consistent with the Iskandar Malaysia vision of becoming“A Strong, Sustainable Metropolis of International 2. Establishing hard and soft infrastructureStanding”, the development of the region is being enablersundertaken upon five strategic pillars anchored in threefoundations, as identified by the CDP. The required infrastructure includes physical infrastructures such as roads, airport and ports, and public utilities, as well as security, river cleaning and proper sewerage. In addition, soft infrastructure such as fiscal and financial incentives, human capital, efficient and business friendly institutions are necessary. ISKANDAR MALAYSIA - FIVE-Year Progress Report 18
    • 3. Investment in catalyst projects CHART 1.1: Catalytic projects to help spur further economic TRAVEL TIMES BETWEEN Iskandar Malaysia activities in the region. This encompasses projects AND REGIONS in logistic services, financial services, health and education services, agricultural, manufacturing, leisure and tourism, creative services and emerging technologies.4. Establishing a strong institutional framework and the creation of a strong regulatory authority The creation of an Authority to plan, facilitate approvals through a one-stop centre and address social development. The Authority is also tasked to ensure that approval times and government delivery systems especially in respect to investments are to be significantly improved in order to be internationally competitive. Over a 20-year period until 2025, the region is expected to5. Ensuring socio-economic equity and buy- record Gross Domestic Product growth of 8% per annum, in from the local population resulting in nominal GDP of USD93.3 billion in 2025 and GDP per capita of USD31,100. A total of 1.43 million jobs The people in Iskandar Malaysia fully benefits from will be created for a population that is expected to reach the region’s development, through property and three million in 2025. The rest of Johor will also benefit equity ownership, local and Bumiputera participation with significant spillover effects. in various business and economic activities, income generation programmes for the youth and abundant The successful development of Iskandar Malaysia will employment opportunities generated from the enable the people within the region and its surroundings development within the region. to enjoy a better quality of life, with environmental preservation, learning and knowledge, social cohesion, Via a development approach that is consistent with better income and wealth distribution, and greater the five strategic pillars and grounded upon the opportunities for future generations to advance through three foundations, it is envisaged under the CDP that better education, healthcare, employment and Iskandar Malaysia will make a significant impact on business potential. several key economic fronts.19 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • 21 ISKANDAR MALAYSIA - 5 Year Progress Report
    • CHAPTER 2:FIVE YEARS OF ISKANDAR MALAYSIA –HIGHLIGHTS AND MILESTONESIskandar Malaysia has been identified as one of the key catalysts and high-impact developments under theNinth and Tenth Malaysia Plans. The CDP provides a framework for the comprehensive development ofIskandar Malaysia in a holistic and sustainable fashion, placing emphasis on creating a healthy investmentclimate that is attractive to local and foreign investors.To achieve these aspirations, Iskandar Malaysia would need to generate sufficient momentum bysustaining a GDP growth of 8.0% annually up to the year 2025. A total investment of RM383 billion(USD115.7 billion) would be required over the 20-year period. The target of RM47 billion for first phase hasalready been achieved, with total committed domestic and foreign investments amounting to more thanRM70 billion.Since its launch in 2006, Iskandar Malaysia has progressed rapidly, with several key developmentscompleted and many more nearing completion. Progress is being achieved across multiple sectorsincluding education, healthcare, leisure and tourism, property, creative and retail. In addition, criticalenablers such as physical infrastructure, safety and security, public housing, and social developmentinitiatives are also moving forward.The growth over the past five years has put Iskandar Malaysia on a strong footing in its second phase ofdevelopment (2011 to 2015), with 2012 seen as a banner year with more catalyst projects coming onstream. While much has been achieved, more will need to be done to drive Iskandar Malaysia forward. ISKANDAR MALAYSIA - FIVE-Year Progress Report 22
    • the following is a timeline of highlights and milestones overthe five years since Iskandar Malaysia’s inception in 2006. Iskandar Regional New Iskandar Malaysia brand is launched Development Authority by the Prime Minister of Malaysia (IRDA) is established via an Iskandar Malaysia (then known as the South Act of Parliament, New road infrastructure projects Johor Economic Region) is officially launched IRDA ACt 2007 for Iskandar Malaysia worth a total by His Royal Highness the Sultan of Johor of RM3 billion is announced by the IRDA holds inaugural meeting, Menteri Besar of Johor co-chaired by the Prime Minister of Comprehensive Malaysia and the Menteri Besar of An allocation of RM200 million Development Plan for Johor to implement public housing in Iskandar Malaysia is Iskandar Malaysia is announced by released the Prime Minister of Malaysia the Malaysian Six Iskandar Malaysia Iskandar government announces development blueprints out of Investment a range of financial the 32 planned are completed Berhad, incentives, including the catalytic developer tax exemptions, for Medini Iskandar Malaysia for Iskandar Malaysia, is companies that invest in is launched incorporated specific sectors in Iskandar Malaysia 2006 2007 2008 Phase 1 of SiLC in Nusajaya is launched Agreement to develop Newcastle University campus is signed Agreement to develop LEgoLAND Malaysia is signed Construction of Coastal Highway commences Work on Perumahan Rakyat Iskandar Malaysia (PRISMA) public housing project begins Iskandar Malaysia records RM16 billion in committed investments; cumulatively, more than RM41 billion in investments have been committed since its launch23 ISKANDAR MALAYSIA - FIVE-YEAR PRogRESS REPoRt
    • FIVE YEARS OF ISKANDAR MALAYSIA – HIGHLIGHTS AND MILESTONES CHAPTER 2 Agreement for University of Southampton campus is signed Kota Iskandar, the new Johor State EduCity stadium Five Iskandar Malaysia development administrative centre, and sports complex blueprints are completed. In total 21 is officially opened construction begins out of the 32 blueprints planned have been completed Agreement to develop Agreement for Pinewood Iskandar Netherlands Maritime Newcastle University Malaysia Studios is Institute of Technology is campus is launched signed signed Johor Premium Agreement for Marlborough Agreement for Outlets is College Malaysia is signed Gleaneagles launched Medini Hospital Agreement to develop is signed PRISMA, the benchmark- Puteri Harbour Family setting public housing Indoor Theme park is Columbia Asia Hospital project in Iskandar signed commences operations Malaysia, is launched 2009 2010 2011 Agreement to develop 12 Community Police Johor Premium Outlets Posts established signed Agreement for Raffles University Iskandar is Bas Iskandar signed Malaysia service is launched 11 drainage projects and 5 river- cleaning projects completed 10 Iskandar Malaysia development blueprints are completed. In total Iskandar Malaysia records RM13.9216 out of the 32 blueprints planned billion in committed investments; have been completed cumulatively, more than RM69 billion in investments have been committedIskandar Malaysia records RM13.81 billion since its launch in committed investments; cumulatively, more than RM55 billion in investments Khazanah Nasional and Temasek Holdings have been committed since its launch announce a joint-venture to develop an iconic wellness township project ISKANDAR MALAYSIA - FIVE-Year Progress Report 24
    • 25 ISKANDAR MALAYSIA - 5 Year Progress Report
    • Chapter 3:THE FLAGSHIP ZONESA PROGRESS UPDATEThe Iskandar Malaysia region is located in south N JOHORJohor and covers Johor Bahru District as well as W Eseveral Mukims – Jeram Batu, Sungai Karang, SSerkat – and Pulau Kukup in Mukim Ayer Masin,that are all within the district of Pontian. Itcomprises five component areas designatedas Flagship Zones A to E, with Johor Bahru, thestate capital of Johor, located in Flagship Zone A.The Flagship Zones were formed based ontheir roles as developmental focal points, withemphasis on further strengthening existingeconomic clusters as well as diversifying and Key landmarks and developments within each flagship zone are as follows: FLAGSHIP A FLAGSHIP B FLAGSHIP Cdeveloping targeted growth sectors. Iskandar JOHOR BAHRU CITY CENTRE NUSAJAYA WESTERN GATE DEVELOPMENTMalaysia’s nine key economic clusters are • Central Business District • Danga Bay Integrated • • Kota Iskandar Puteri Harbour • • Port of Tanjung Pelepas Tanjung Bin Power Plantfinancial advisory and consulting, creative Waterfront City • Medini • Malaysia - Singapore Second Link • Upgrading of Central Business District • EduCity • RAMSAR World Heritage • Tebrau-Plentong Mixed Development • Southern Industrial Logistic • Tanjung Piai - Southernmost Tipindustries, logistics, leisure and tourism, • Customs, Immigration and Quarantine Complex (CIQ) • Johor-Singapore Causeway Clusters (SiLC) • Afiat Health Park • International Destination Resort of Mainland Asia • Free Trade Zoneeducation, healthcare, electrical and electronics, • Lido Boulevard • Conservation and Heritage Zones • Housing and Residential Projectspetrochemical and oleo-chemical, and food and FLAGSHIP D FLAGSHIP Eagro processing. EASTERN GATE DEVELOPMENT SENAI DAI • Tanjung Langsat Industrial Complex • Senai International Aiport • Tanjung Langsat Port • Senai Cargo HubCollectively, developments in the Flagship • Johor Port • Senai High-Tech Park • Pasir Gudang Industrial Park • Sedenak Industrial Park • APTEC (Lakehill Resort City) • MSC Cyberport CityZones provide a testimony to the progress • • Johor Technology Park Johor Premium Outlets®that has been achieved in Iskandar Malaysiasince its inception. The cumulative investments that have been committed to various projects in theFlagship Zones have ensured that Iskandar Malaysia has exceeded the investment target set for the firstphase of its development. In addition, several key catalyst projects have been completed or are nearingcompletion, while positive progress has been made on the delivery of critical enablers such as roadsand safety. Important institutional frameworks are in place and most significantly, the strengthening ofbilateral relations between Malaysia and Singapore puts Iskandar Malaysia in prime position to leverageon its proximity and socioeconomic links with its southern neighbour. ISKANDAR MALAYSIA - FIVE-Year Progress Report 26
    • Source: CDP 2005 RM OVERVIEW OF PROGRESS 10,000 9,716 Billions 80 TOTAL: 27,299 69.5 9,000 Rising investments Of 70 total committed investments for the first phase, the 8,000 59% were domestic investment while foreign direct 60 55.6Malaysia total of over RM75 billion in investments from both A Economy 7,000 investment (FDI) contributed to the remaining 41%, 50 26.7 domestic and foreign sources have been committed to 6,094 making for a healthy mix of sources 41.8 of funds. The 23.7 5,910 40 Iskandar Malaysia up to the first half of 2011. For the 6,000 contribution of domestic investments into Iskandar 14.5 region’s first phase of development, which ran from 2006 ICT & Malaysia has shown25.8 30 a steady rise from 2008, when 21.7 5,000 Health Educational Financial 9.1 Tourism to 2010, cumulative services services committed investments of Creative services about it made up 45% or RM18.9 billion of the cumulative 20 RM69.5 billion were secured. This was approximately industries 11.3 11.9 then, to 54% or RM30.1 billion5.1 2009 when it 21.8 in 4,000 1.0 16.5 3,257 148% above target of RM47 billion that had been set for 10 8.2 surpassed total cumulative foreign direct investments. 5.5 7.1 3,000 5.8 5.8 6.8 6.3 6.3 that period. It is a commendable achievement given that 0 the global economy underwent severe financial distress in 2,000 CHART2006 3.2: Breakdown2008Cumulative (Dec) 2007 of 2009 2010 2008 and 2009. During those two years, Iskandar Malaysia 967 Investments by Domestic andOthers Government Utilities, Tourism and Foreign) secured investment commitments to be added) 1,000 (Four new “Pillars” of RM16 billion and 129 124 600 468 Sources 2008-2010, Year-On-Year Properties Manufacturing Committed investment 34 RM13.8 billion respectively. 0 RM ica - o & Fo uris & ro rs ion l e tic are em ro cia tiv Fin l Le nic od m he Billions Ag ctr al To re gis ch Pet at hc an ea Electric Ot isu CHART 3.1: Cumulative Investments 2006-2010, 80 uc & Lo alt Cr & Ed Ele He eo Year-On-Year 70 Foreign Ol 60 Local RM 28.8 Billions (41%) 80 50 25.5 69.5 40 (46%) 70 30 22.8 60 55.6 (55%) 26.7 20 50 30.1 40.7 41.8 18.9 (54%) (59%) 23.7 10 40 (45%) 14.5 0 30 25.8 21.7 2008 2009 2010 (Dec) 9.1 20 11.9 21.8 Source: IRDA, Khazanah, IIB, MIDA & corporate annoucement 11.3 5.17 1.0 16.5 10 5.5 7.1 8.2 5.8 5.8 6.8 6.3 6.3 0 About RM30 billion of the RM75 billion in committed 2006 2007 2008 2009 2010 (Dec) investments have been actualised. This has seen a number Government Utilities, Tourism and Others of important developments getting off the ground, with Properties Manufacturing Committed investment several completed or approaching completion, across RM Source: IRDA, Khazanah, IIB, MIDA & corporate annoucement the Flagship Zones. They include catalyst projects in Billions the education and leisure and tourism sectors, key 80 infrastructure such as upgrading works on existing roads 70 Foreign Committed investments during the first phase went and new highways, and other projects in sectors such as 60 Local into various sectors including manufacturing, property healthcare. 28.8 development, utilities, leisure and tourism, as (41%) as 50 well government spending. The Federal Government has 25.5 Boost in employment 40 (46%) to December 2010, allocated a total of RM6.3 billion up 30 22.8 specifically for key infrastructure projects in Iskandar (55%) The rising investments in Iskandar Malaysia have Malaysia. For the same period, the bulk of committed 20 40.7 correspondingly generated increased economic activity 30.1 investments from the private (54%) have been in the 10 18.9 sector (59%) and hence, demand for workers. More than 20,000 manufacturing sector which drew in 38.7% and property (45%) employment opportunities have been created over the 0 development 2008 accounted for 31.4%. 2010 (Dec) which past five years in Iskandar Malaysia’s targeted economic 2009 sectors. Nearly 10,000 jobs are in the electrical and 27 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • 4,000 Electrical Petro Logistic Food and 3,257& ICT Health Educational Financial and chemical and and related agro Tourism 3,000 services services services Creative Electronics oleo chemical services processing THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3 industries 2,000 967 1,000 600 468 129 124 34 0 ica - o & Fo uris & ro rs ion l e tic are em ro cia tiv Fin l Le nic od m he Ag ctr al To re gis ch Petelectronics sector,(Five existing “Pillars”and tourism (6,094) followed by leisure shall be reinforced) (Four new “Pillars” to be added) at hc an ea Electric Ot isu uc & CHART 3.4: No. of vacancies created by Lo alt Cr & Edand education (5,910). Significant employment was also Ele He eo economic sector (2011-2015) Olcreated CDPthe oil and gas, retail and biotechnology sectors. Source: in 2005 20,000 TOTAL: 55,730 18,000 CHART 3.3: No. of vacancies created by 18,000 economic sector as at September 2011 16,000 RM 14,000 9,716 Billions 12,297 10,000 80 12,000 TOTAL: 27,299 9,311 69.5 9,000 10,000 70 7,594 8,000 8,000 60 6,260 55.6 6,000 26.7 7,000 50 4,000 41.8 5,910 6,094 2,000 23.7 967 6,000 40 134 124 600 443 0 14.5 30 25.8 21.7 ica - o & Fo rism& ro rs ion l e tic are em ro cia tiv Fin l Le nic he 5,000 9.1 Ag ctr al Toisure gis ch t at hc an Pe ea Ele ic Ot uc & Lo ctr u alt 20 Cr & 11.9 Ed od 5.1 21.8 Ele He 11.3 eo 4,000 1.0 16.5 Ol 3,257 10 5.5 7.1 8.2 3,000 Source: HCB PO Focus Interview 2010, Career Fairs co-organised by 5.8 5.8 6.8 6.3 6.3 IRDA &0Labour Department, MOHR 2010, JobsMalaysia Portal (Sep 2,000 2006 2007 2008 2011) & Economic & Business Division, IRDA 2009 2010 (Dec) 967 Government Utilities, Tourism and Others 1,000 600 468 Properties Manufacturing Committed investment 129 124 34 0 Major RM developments ica - o & Fo uris & ro rs ion l e tic are em ro cia tiv Fin l Le nic od m he Billions Ag ctr al Toisure gis ch t at hc an Pe ea Electric Ot 80 uc & Lo Several key developments that are progressing well are alt Cr & Ed Ele He eo located in Nusajaya in Flagship Zone B. Nusajaya is a 70 Foreign Ol Source: HCB PO Focus Interview 2010, Career Fairs co-organised by 24,000-acre development that includes several catalyst 60 Local 28.8 IRDA & Labour Department, MOHR 2010, JobsMalaysia Portal (Sep projects aimed at spurring the growth of Iskandar (41%) 50 2011) & Economic & Business Division, IRDA Malaysia. Among these projects are EduCity, which is an 25.5 40 education enclave that will be able to accommodate a (46%)Over the next five year period from 2011-2015, Iskandar 22.8 student population of 16,000 once fully completed. The 30 (55%)Malaysia is expected to more than double the number enclave is an integrated campus with facilities such as an 20 40.7of employment opportunities to an estimated 55,730. International Student Village and30.1 18.9 a stadium and sports (59%) 10 (54%)This is in line with the operationalisation of a number of complex. These facilities are under construction and are (45%)key catalyst projects within the period concerned in the scheduled to be completed in 2012. 0 2008 2009 2010 (Dec)various Flagship Zones. In particular, the creative sectoris expected to be a major employer, with 18,000 jobs Within EduCity, several education institutions are beinggenerated through the coming on stream of projects established, with the first, Newcastle University Medicinesuch as MSC Cyberport and Pinewood Iskandar Malaysia (NuMED) campus, launched in November. Others slatedStudios. The electrical and electronics, leisure and tourism, for completion in 2012 are facilities for Netherlandsand education sectors are expected to continue offering Maritime Institute of Technology, Marlborough College, asnumerous employment opportunities, also as a result of well as a primary and secondary trust school.more key developments being launched and operationsramped up in the sectors concerned. Another development in Nusajaya is Medini Iskandar, which is 2,230 acres in size and comprises multiple projects consisting of residential, business, healthcare, education and leisure and tourism developments within its four component districts of Medini North, Medini Business, ISKANDAR MALAYSIA - FIVE-Year Progress Report 28
    • The Marinas in Puteri Harbour, NusajayaMedini Central and Medini South. Medini Iskandar has Kota Iskandar, Pinewood Iskandar Malaysia Studios, anddeveloped rapidly over the past two years, with key Gleaneagles Hospital in Medini Iskandar, which will also beprojects such as the LEGOLAND Malaysia theme park and the location of upcoming wellness-related projects jointlya Lifestyle Retail Mall on track for completion in 2012. developed by Khazanah Nasional and Temasek Holdings.Projects that have been completed within Nusajaya Frameworks and enablers in placeinclude a number of residential estates, the first phase ofthe Kota Iskandar state administrative complex, Columbia A key milestone reached early in the first phase of IskandarAsia Hospital, and world-class marinas at Puteri Harbour, Malaysia was the establishment of Iskandar Regionalwith several factories already operating out of the Development Authority (IRDA) in 2007, via the IRDASouthern Industrial and Logistics Clusters (SiLC) industrial Act (2007). IRDA is a federal statutory body entrustedpark. SiLC also hosts Bio-XCell biotechnology park, which with regulating and driving the development of Iskandarwas launched in 2010 and is Malaysia’s first dedicated Malaysia towards its goal of becoming a strong andbiotechnology park. Bio-XCell has secured investments sustainable metropolis of international standing. IRDA’sfrom India, France and the United States, including from core functions include planning, promoting and facilitatingIndian biotechnology giant Biocon Ltd, which plans to build the development of Iskandar Malaysia.a RM500 million facility for insulin products. In addition to setting up of IRDA, the Federal GovernmentOther ongoing and future projects within Nusajaya itself has committed RM6.3 billion to fund criticalinclude the Puteri Harbour indoor theme park, University enablers in Iskandar Malaysia. These enablers include roadof Southampton campus in EduCity, the second phase of infrastructure, drainage and river-cleaning projects. Under the Ninth Malaysia Plan, a total of RM1.26 billion was29 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3allocated for highways and roads within the region. The yy To be used for monitoring purposesroad works include the Coastal Highway from Johor Bahru yy To be used for project implementation and assist incity centre in Flagship Zone A to Nusajaya in Flagship Zone resource allocation; andB, new interchanges and bridges, as well as road upgrades yy To address physical issues and gaps found duringto improve traffic flow and dispersal in and around Johor analysis and benchmarking related to developmentBahru. Among the completed projects are the Abu Bakar in an integrated and holistic mannerand Yahya Awal interchanges, and upgrades to Jalan KolamAyer and Jalan Tampoi. In addition to completed road These blueprints cover a number of areas that includeinfrastructure, 11 drainage and six river cleaning projects integrated land use, environmental planning, integratedhave also been finished. solid waste management, energy efficiency and renewable energy, area character statement, integrated publicBesides investments in physical infrastructure, efforts transportation, shoreline management, maintenancehave also been made to significantly enhance “soft” and operational plan and drainage and storm waterenablers that are critical to the growth and development management.of Iskandar Malaysia, such as safety and security and socialdevelopment. IRDA has introduced a Safety and Security Year No. Blueprint Title Description KeyBlueprint for initiatives to boost security in the region, implementationswith has produced encouraging results – the Crime Index to datefor Iskandar Malaysia has fallen 47% from levels recorded 2007 1 Social Provide framework • Social Publicin 2010, with street crime down 21%. To date, IRDA has Development for social Fundcompleted 21 development blueprints out of a planned 32. Intervention development Strategy and programs and Implementation projectsTo ensure that people of Johor share in the benefits Plans for Iskandargenerated by Iskandar Malaysia’s growth and development, Malaysiaa broad-based social development framework has been 2008 2 Enterprise GIS Enterprise GIS • Dataformulated, with a host of initiatives launched. The goal Roadmap for consists of applicationof the framework is to engender socioeconomic mobility, Iskandar Malaysia technology, personnel, andequitable wealth distribution, a caring community, racial other resources toharmony and quality of life. The social development create, maintain,initiatives are detailed in Chapter 4. visualise, search, and share geospatial data and services.Development blueprints The Enterprise GIS extends theseIn addition to the CDP, Iskandar Malaysia blueprints have capabilities notbeen formulated to provide detailed guidance in terms only to the whole of IRDA but also to theof development policies, strategies and implementation general publicon subjects such as land use, economy, environment and 3 Safety and A basis to coordinate • Communityinfrastructure. The blueprints also detail the action and Security Blueprint the activities of key police postphasing plans for programme and project implementation, for Iskandar safety & security • Auxiliary policebased on best practices benchmarked from other world- Malaysia stakeholders in • CCTVclass, livable cities. Iskandar Malaysia • Workers enclave and address safety & • Rapid Response security concerns to VehicleThe blueprints have the following set objectives: support investment, economicyy To guide local authorities and agencies within development and community safety Iskandar Malaysia for implementation and and satisfaction development controls ISKANDAR MALAYSIA - FIVE-Year Progress Report 30
    • Year No. Blueprint Title Description Key Year No. Blueprint Title Description Key implementations implementations to date to date2009 4 Investment A road map • Investment 2009 8 Area Character Addresses and • Street signage at & Marketing for Investment strategy Statement identify special JB old town area Strategy for and Marketing Blueprint for identity, architectural • Conservation of Iskandar Malaysia with a strategic Iskandar Malaysia or historical interest/ buildings development plan event that may • Training and to develop and influence the overall awareness focus on enablers character and towards building a appearance of a conducive investment particular area and environment in provides a framework Iskandar Malaysia to preserve or enhance the existing 5 Human Capital Determines the • Jobs Malaysia character of areas Blueprint for human capital • KEPAK within IM Iskandar Malaysia demand in the 9 • Reskilling/ targeted economic Upskilling 9 Integrated Land A Management • Amendment clusters for Iskandar Programme Use Blueprint for Plan which provides of Johor Bahru Malaysia and Iskandar Malaysia framework for District Local formulates strategies delivery of regional Plan and implementable economic strategies, • Demarcation action plans to ensure coordinates land of Flagship sustainable supply of use development boundary talents to meet the with planning • JB needs and provision of Transformation infrastructure public plan 6 Tanjung Puteri A roadmap to • Tanjung Puteri amenities, protects – Tourism enhance tourism Heritage trail and enhances the Development sector which covers region’s natural Strategy products, promotion environment, urban Framework for and hospitality. 4 biodiversity and Iskandar Malaysia pilot projects in green network, and progress – urban identifies actions heritage, rural for implementation tourism, food and and prioritises their cultural and human implementations capital 10 Housing Formulation for the • Management 7 Planning & Planning standards • Iskandar Management management of Corporation for Design Guidelines and statutory Malaysia Blueprint for public housing that PRISMA for Housing, requirements that Affordable Iskandar Malaysia includes developing Neighbourhood promote livable Housing policy a comprehensive and Facilities for communities and business, financial Iskandar Malaysia sustainable living models and through building governance structure design standards and development and guidelines and of a comprehensive affordable policy digital database that addresses of existing and affordability of committed low and houses based on low medium cost current income levels housings in Iskandar, in IM both for rental and for sale, and profiling of target groups31 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3Year No. Blueprint Title Description Key Year No. Blueprint Title Description Key implementations implementations to date to date2009 11 ICT Blueprint A comprehensive • HSBB at 2010 15 Shoreline The management • RAMSAR 2020 for Iskandar master plan that Nusajaya and Management plan provide Management Malaysia encompasses a Nong Chik Plans for Iskandar reconciliation plan TO-BE state of Heights Malaysia of development ICT infrastructure • Smart City requirements with (including the need to protect, Telecommunication) conserve and, and service roll out, where appropriate, for a “win-win” improve the partnership between landscape, enhance ICT operators, environmental users/citizens and quality, wildlife regulators that is habitats and world-class for recreational Iskandar Malaysia opportunities of the coast2010 12 Drainage and Storm water • Training and Stormwater management plan, awareness 16 Electricity Establishment of • SAIDI Management Improvement Blueprint for policy guidance, Improvement Blueprint for measures for Iskandar Malaysia development Iskandar Malaysia existing drainage strategies, planning system, Provision and design guidelines, for retention pond implementation plan and detention ponds and programme for and compliance to reliability, safety, MASMA quality and efficient distribution of 13 Environmental Environmental • Low Carbon electricity supply Planning Blueprint planning through society for IM which is for Iskandar management, • Awareness sustainable and on Malaysia protection, programs par with international conservation and standard enhancement of natural landscapes, 17 Transportation Establishment of • Bus Iskandar pollution, climate Blueprint 2010- a public transport Malaysia (Social change, carbon 2030 for Iskandar policy framework route) credits and Malaysia and public transport • BeXtra establishment of IM master plan with • BRT Green Standards emphasised on bus and rail and an 14 Maintenance & Document address • 3K programmes implementation plan Operational Plans analysis and including establishing Blueprint for assessment of current funding needs and Iskandar Malaysia maintenance and regulatory changes operation plan and required propose improvement program as well as 18 Road Layout Improvement of • Training and Improvement of Design Blueprint new standards awareness PBT’s business model for Iskandar for road design of related to township Malaysia international standing maintenance and and in line with operation promotion of public transportation and liveable community ISKANDAR MALAYSIA - FIVE-Year Progress Report 32
    • Year No. Blueprint Title Description Key potential for other key infrastructure links, such as high- implementations to date speed rail, that would benefit the region’s growth and development greatly.2010 19 Renewable Energy Roadmap on RE and • Training and (RE) & Energy EE for IM through awareness Efficiency (EE) policy guidance, Blueprint for planning design Iskandar Malaysia and guidelines for RE and EE in line with development strategies outlined for IM. The blueprint will implement and support the country’s policy on RE and EE 20 Integrated Strategic framework • 3 R programmes Solid Waste for integrated, cost (Reduce, recycle Management effective, efficient and reuse) Blueprint for and environmental Iskandar Malaysia friendly solid waste management system for Iskandar Malaysia towards achieving a clean, healthy and liveable community.Source: IRDA MDIS campus in EduCity (artist’s impression)A number of projects and initiatives based on the Among the investments from Singapore that have come onrespective blueprints completed to date have or are the back of stronger ties are in education. Two educationalbeing implemented, as highlighted in the above table. institutions – Raffles Education Corp and ManagementInitiatives in the areas of safety and security as well as Development Institute of Singapore (MDIS) – are setting uptransportation comprise the bulk of projects arising from campuses in EduCity in Flagship Zone B. Raffles Educationthe implementation of the blueprints. Others include Corp, the largest private education provider in Asia Pacific,initiatives related to integrated land use, safeguarding the is developing Raffles University Iskandar, which will have aenvironment, ensuring efficient infrastructure and utilities, multi-faculty campus scheduled for completion by end ofand conserving and promoting heritage and culture. 2013. Meanwhile, the MDIS Campus (Malaysia) in Iskandar Malaysia is expected to open by 2014. The campus willImproved bilateral relations be five times larger than the one in Singapore and is the institute’s first venture into Malaysia.Malaysia’s relations with Singapore have strengthenedconsiderably over the past one and half years. In May Iskandar Malaysia’s proximity to Singapore is a key2010, the Prime Minister of Malaysia Dato’ Sri Mohd Najib competitive advantage that can be fully exploited withRazak and his Singaporean counterpart Lee Hsien Loong the significant improvement in bilateral relations. Johorannounced that they had come to an agreement on several Bahru city in Flagship Zone A is the main southernoutstanding issues between the two countries. gateway for foreigners entering Malaysia. As it stands, Singaporeans make up more than 85% of total visitorsAmong the outcomes of the agreement is a joint entering via Johor Bahru. In addition, while Singaporedevelopment between Khazanah Nasional and Temasek is one of the most prosperous, highly-developedHoldings for wellness-related projects located in Iskandar economies in the world, it suffers from a comparativelyMalaysia. The two leaders also agreed on a rapid transit high cost of labour, scarce land and a lack of naturalsystem link between Johor Bahru and Singapore to boost resources. Iskandar Malaysia offers a solution to thatconnectivity. The improvement in bilateral relations has through closer socioeconomic linkages with Singaporepaved the way for more investments from Singapore into which can be mutually beneficial to both sides.Iskandar Malaysia, as well as significantly enhanced the33 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3FLAGSHIP A: JOHOR BAHRU CITYFlagship A is located within the central region of Iskandar Malaysia. It revolves around Johor Bahru, the state capitalof Johor. Flagship A covers 18,433 acres, bounded by Pasir Gudang highway up north, Sungai Tebrau to the east,Sungai Skudai to the west and the Straits of Johor. Other than Johor Bahru city centre, the key areas in Flagship A arethe industrial area of Tampoi, and the mixed residential and commercial areas of Pelangi, Larkin, Majidee, Tebrau andDanga Bay.Johor Bahru, originally called Tanjung Puteri was founded in 1855 by Temenggong Daeng Ibrahim. The city centre isnow the core area for commercial and trading activities. Its role as administrative centre is shared with Kota Iskandar,the new state administrative centre for the state of Johor. The completion of Sultan Iskandar Customs, Immigrationand Quarantine Complex in 2008 next to the present Johor Bahru railway station has strengthened its function asthe southern gateway of Malaysia.There are two major highways linking Johor Bahru city centre to the suburbs, with the Tebrau Highway linkingthe city to the north-east and the Skudai Highway / Jalan Tun Abdul Razak linking it to the north-west. The PasirGudang Highway crosses Tebrau Highway and Skudai Highway about midway, serving as the Middle Ring Road of themetropolitan area. Additionally, there is the Eastern Dispersal Link, Coastal Highway linking Johor Bahru to Nusajaya,and the coastal road linking Johor Bahru to Pasir Gudang. Source: IRDA ISKANDAR MALAYSIA - FIVE-Year Progress Report 34
    • KEY DEVELOPMENTS, ON-GOING AND Danga BayFUTURE PROJECTSCustoms, Immigration and Quarantine Complex (CIQ)The Sultan Iskandar Customs, Immigration and QuarantineComplex is the largest such complex in Malaysia. Locatedat Bukit Chagar, it occupies an area of 232,237 squaremeters.Coastal Highway Danga Bay is a waterfront development and one of the highlights of Iskandar Malaysia, offering amongst others, upscale properties, retail outlets, leisure activities, local and international food and beverage and events and entertainment. Danga Bay stretches along a 25 km scenic waterfront facing the Straits of Johor and covers an area of approximately 450 acres.One of the biggest infrastructure projects within Iskandar Some of the completed developments in Danga Bay areMalaysia is the construction of the 14.5km six-lane Coastal Danga Walk shop offices, Danga View apartments and TuneHighway. The development which started under the Ninth Hotel. Developments currently in progress are:Malaysian Plan (9MP) stretches from Johor Bahru throughDanga Bay to Nusajaya and is expected be fully completed 1. Danga Island Phase 1Aby December 2011. Poised to be an exclusive retreat, the dedicated islandThe highway will improve traffic flow tremendously, off Danga Bay offers 152 villas with security featuresreducing travel time from 45 minutes to about 15 minutes and up-scale amenities and services.for vehicles traversing Johor Bahru’s central businessdistrict to Nusajaya. This expressway will have eight 2. Tropicana @ Danga Bayinterchanges and two bridges which is Bridge 1 thatintersects Sungai Kempas while Bridge 2 cuts across Sungai This integrated waterfront development is a joint-Skudai and Sungai Danga. venture project between Danga Bay Sdn Bhd and Dijaya Corporation Bhd. The project has commenced with theThis toll- free highway will function as a lifeline for high-end Tropez Residences expected to be completedIskandar Malaysia when it eventually connects to the 8.1 by April 2015. In the pipeline are plans for an integratedkm Eastern Dispersal Link linking it to the North-South shopping complex to be completed by 2015.Expressway. This highway would also improve connectionsto the airport in Senai and the Port of Tanjung Pelepas. The integrated waterfront development will include a one million square feet shopping mall with a boardwalk fronting a lake, residences, hotel, office towers, medical centre and a proposed international school.35 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3Johor Bahru City Transformation yy Provide incentives to stimulate new economy, business and communities yy stablish food-related and cultural activities E yy romote of art and related activities P The Johor Bahru City Centre Master Plan was developed in 2010 to guide the development of the city centre as a place that provides an enabling environment and infrastructures and enhances Johor Bahru’s role as a capital city, thereby strengthening its value proposition as a major urban tourism and cultural centre for Iskandar Malaysia. The master plan aims for a composition of uses that ensures a sustainable and vibrant city centre by maintaining commercial, retail and cultural growth, while encouraging mixed–use outcomes as well as providingJohor Bahru City Centre is the most urbanised district in residential amenities and encouraging housing choice andIskandar Malaysia. This is also where heritage buildings affordability.are mostly located. The city encompasses high-densityresidential, commercial outlets, office towers, and Three key initiatives have been put in place in this regard:several hotels, among others. This is where the Customs,Immigration and Quarantine Complex is located, thus yy The Sungai Segget revitalisation projectmaking Johor Bahru City Centre one of the gateways to yy easibility study for an inland canal to improve FMalaysia from Singapore. water flow between east and west of the Johor- Singapore Causeway. The study wasJohor Bahru city transformation is an initiative aimed completed this year.at revitalising the city centre, promoting a mixed use yy Partnership with the private sector as a driver fordevelopment to encourage city living and creating the transformationopportunities for catalyst developments to spearheadeconomic growth in the city. The city will be redeveloped Sungai Segget Revitalisationbased on principles of good urban design, qualityliving and conducive environment to ensure the city’s Sungai Segget was once the main spine for watercompetitiveness as the first choice to visit, live, work and transportation in Johor Bahru. As more developmentsdo business. took place upstream, the river became polluted due to improper sewerage and drainage. The revitalisation projectSeveral key strategies have been formulated to address the comprises four main initiatives, namely:current gaps in the transformation of the city. They are asfollows: yy ontrolling pollution at source via enforcement at C polluting premisesyy eposition and rebranding R yy Construction of the Sungai Segget sewerageyy rovide comprehensive pedestrian linkages P treatment plant, which will improve water quality inyy nsure comprehensive transportation movement E of the river and the Johor Straits. and facilities yy Implementation of the Sungai Segget floodyy Enhance heritage values mitigation system to alleviate flooding in the cityyy Upgrade utilities and social infrastructure and improve water qualityyy nhance existing commercial activities E yy efurbishment and beautification of Jalan Wong Ah Ryy Promote tourism Fook to provide new public spaces and a destinationyy romote private partnership and participation P for arts and cultural activities ISKANDAR MALAYSIA - FIVE-Year Progress Report 36
    • Eastern Dispersal Link (EDL) Upgrading of KOMTARThe Eastern Dispersal Link is a new expressway in JohorBahru. The 8.1 km expressway will connect the end of theNorth-South Expressway at Pandan to the Sultan IskandarCIQ Complex in the city centre. It will act as a direct routeto the CIQ complex, enabling motorists to get to thecity centre without the need to use the Tebrau Highway.Work on the EDL is on schedule and expected to be fullycompleted by February 2012.Lido BoulevardOverlooking the Straits of Johor, Lido Boulevard isan integrated residential and commercial waterfrontdevelopment that spans 2.4 km along the Tebrau Straitscoastal line. Encompassing an area of 122 acres, this mixintegrated development is projected to be fully completedin 2016.Lido Boulevard is strategically located in Flagship KOMTAR is one of the earliest commercial buildings inZone A and is within close proximity to Johor Bahru’s the central business district. In a move to attract moreCentral Business District, the Sultan Iskandar Customs, shoppers back to the 29-year-old building, major upgradingImmigration & Quarantine complex, the city’s train station works are currently underway.and the Causeway. Shopping, entertainment and educationare readily available within the vicinity of the development. Renovation work on the retail area has started and will take 18 months to complete. The retail area will be expandedThe development blueprint is based on the theme of and the podium area will have an “eco-centric” theme. Thea “garden city” with heavily landscaped garden, water upgrading work and the new development plan will helpfeatures, park-like facilities and pocket gardens throughout to boost the image of KOMTAR, in view of its strategicthe development. The development of Lido Boulevard will location in Iskandar Malaysia.be divided into six parcels – high-end condominiums, artsand cultural centre, service residences and hotel, office Tebrau Plentong Riverbasin Developmentsuites, and a shopping mall. Tebrau Teguh is embarking on new phases of its Tebrau Plentong Riverbasin Development, which includes Taman Bayu Puteri and Bayu Tebrau and Botanica Condominium. This project is strategically located, not only in terms of being at the Johor Bahru waterfront but more importantly as a gateway to Malaysia, via the waterfront. With a total land area of 1,081 acres and 12 km water frontage, it is a comprehensive development consisting of mixed commercial and residential properties, international waterfront precinct, river walk and promenade, and recreational and institutional belts.37 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3Southkey COMPLETED ROAD INFRASTRUCTURE PROJECTS UNDER THE NINTH MALAYSIA PLANPhase 1 of Southkey was launched in mid-2011 consistingof lakefront shop offices targeted for completion by Several road infrastructure projects were implemented to2014. Spanning over 300 acres, Southkey is one of the improve traffic flow and dispersal in and aroundlargest prime commercial development in Johor Bahru Johor Bahru.city. Meticulously planned, the development enjoyshigh viability with main road frontage. Southkey is also Upgrading of Jalan Abu Bakar – Jalan Skudaisurrounded by matured neighbourhoods, providing a readycatchment population for businesses to capitalise on.Bandar Dato’ Onn Bandar Dato’ Onn is the latest development of residentialand mixed commercial projects undertaken by Johor LandBerhad. The township, which is scheduled to be completedover a period of 20 years, will be developed based onan exclusive neighbourhoods concept. There will be 19neighbourhoods, each carefully planned to bring out thefinest aspects of community living. Within the township, aregional commercial hub of 118 acres will be the nerve of The Abu Bakar InterchangeBandar Dato’ Onn and all development components willbe linked through a linear park, with special attention given Upgrading of Jalan Abu Bakar – Jalan Skudaito landscaping. When completed, the township will feature17,800 property units with expected gross development This project involves the upgrading of Jalan Skudai – Jalanvalue of RM4.0 billion. Abu Bakar into a three-lane 5 km dual carriageway from Jalan Gertak Merah to Jalan Tun Abdul Razak interchangeBandar Dato’ Onn’s debut project, Neighbourhood and includes some reclamation works.10, comprises 662 units of prestigious double storey terraced houses and double storey semi-detached Abu Bakar Interchange and Yahya Awal Interchangehouses launched in 2007. All the housing units werecompleted and more than 90% handed over to purchasers. Abu Bakar Interchange is a new interchange that connectsIn December 2010, the first phase of Neighbourhood 11, the Sultan Iskandar CIQ Complex to Nusajaya. It involvedwhich comprises 198 residential units, and Neighbourhood the construction of an Elevated Trumpet Interchange over2, which comprises 21 commercial units, were launched. Jalan Abu Bakar and Jalan Lingkaran Dalam. The Yahya Awal interchange also links the CIQ to Nusajaya. Upgrading of Jalan Tampoi The upgrading of Jalan Tampoi to a double-carriage way has significantly improved traffic flow. The new Pasir Gudang Highway-Jalan Tampoi link has cut short the travelling time between these locations. Upgrading of Jalan Kolam Ayer Jalan Kolam Ayer was upgraded into 2.45 km dual carriageway and involved road works from Sg. Chat/ Lingkaran Dalam to Nong Chik roundabout. ISKANDAR MALAYSIA - FIVE-Year Progress Report 38
    • FLAGSHIP B: NUSAJAYA Nusajaya is located west of Johor Bahru, in close proximity to Port of Tanjung Pelepas and Gelang Patah. It is also strategically located within a 45-minute drive of Singapore’s Changi Airport, and 20 minutes from Johor’s Senai Airport. The regional city is built in an area spanning 24,000 acres, combining residential, commercial and industrial elements. Key catalyst projects in Nusajaya include Kota Iskandar, EduCity, Puteri Harbour, and Medini Iskandar. Currently, Nusajaya is accessible via the Second Link Expressway, connecting to the North-South Expressway at Senai. With the completion of the new Coastal Highway linking Danga Bay with Medini Iskandar by end 2011, connectivity from Johor Bahru will be significantly improved. Source: IRDA39 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3KEY DEVELOPMENTS in FIABCI Malaysia Property Awards 2010 for the public sector, and runner-up in the FIABCI Prix d’ExcellenceKota Iskandar Property Awards in 2011. EduCityPlanned as an integrated development of Johor State andFederal Government offices, Kota Iskandar was officiallyopened in 2009. It is a 320-acre integrated development EduCity is a 305-acre education enclave that will becomprising Johor State and Federal Government offices set a fully integrated knowledge-based hub comprisingamidst landscaped gardens and parks. The layout of the world-class universities, industry-centric R&D clusters,various component government complexes is planned to academic-industry action centre, international schoolsfacilitate efficiency of government, befitting a modern and and colleges, accommodation and recreational facilities,progressive administration. as well as conference and exhibition centres. Well-known international schools, faculties of colleges and universitiesThe development employs many eco-friendly features will be located in EduCity.such as a centralised district cooling system which helpsto reduce maintenance cost and emissions. In addition, EduCity will act as a feeder of talent to support the variousthe principles of crime prevention through environmental economic activities in Iskandar Malaysia. In addition,design were also adopted in its construction. its development is in line with the country’s vision of becoming a regional centre for excellence in tertiaryPhase 1, comprising the Dato’ Muhammad Jaafar Building, education. The project has received strong response andthe Sultan Iskandar Building, State Government Office once fully completed, is expected to accommodate 16,000Complexes and a Ceremonial Plaza, now houses some students.2,200 State Government personnel. Public transport wasmade available in 2010 through a route enhancementprogramme that provides a reliable alternative for thecurrent workforce of Kota Iskandar. The Coastal Highwayonce fully complete will enable travel to and from JohorBahru in only 10 minutes.Phase 2, consisting of housing for State Governmentpersonnel and a mosque, are also in development plans.Phase 3, where Federal Government Offices will belocated, is scheduled to be ready by 2015. Once fullycompleted, Kota Iskandar will house 6,000 civil servantsand 76 State and Federal Government departments.Kota Iskandar was a winner for the Public Sector Category Newcastle University Medicine ISKANDAR MALAYSIA - FIVE-Year Progress Report 40
    • The Newcastle University Medicine Malaysia (NuMED) The NMIT campus in Iskandar Malaysia will offer diploma,was officially launched this year and is EduCity’s pioneer Bachelor’s and Master’s degree programmes in transport,tenant. It aims for a student population of 900 by shipping, seafaring, maritime and logistics management.2015, with the first batch of 30 is already on site. It is Enrolment is projected to reach 1,620 students by thethe first Newcastle University campus outside of the end of 2015. The pool of talent developed at the instituteUnited Kingdom and will award graduates the same will help support the growth of the related sectors withininternationally-recognised accreditation of its home Iskandar Malaysia.campus. NuMED has also announced plans to broaden itscurriculum to include biomedical sciences degrees and apostgraduate education programme. The University of Southampton Malaysia (artist’s impression) The University of Southampton Malaysia campus will initially offer undergraduate courses in engineering taught by professors from its UK campus for the first two years of the programme, followed by two years in the UK. Another upcoming project is the Raffles University IskandarNetherlands Maritime Institute of Technology (artist’s impression) to be established by Raffles Education Corporation Ltd, the largest private education provider in the Asia Pacific.Targeted to commence operations in 2012, EduCity’s The university will feature a multi-faculty complexMulti-Varsity Enterprise Complex will house four different and is scheduled for completion in 2013. It will offer ainstitutions, including the Netherlands Maritime Institute range of undergraduate programmes including business,of Technology (NMIT) and University of Southampton technology, art and design, health science and socialMalaysia Campus. science. The university aims to enrol about 5,000 students within its first five years of operations.41 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3The Management Development Institute of Singapore Marlborough College Malaysiais also opening a campus in EduCity. The first phase ofdevelopment is expected to be operational in 2013,with about 2,000 students in courses such as businessmanagement and mass communications, informationtechnology and digital media, and travel and tourism. Located outside of EduCity due to its requirement for 90 acres of land, this co-education, independent boarding and day school for children aged 11 to 18 years old is targeted for opening in 2012. It also includes a day preparatory school for children aged 5 to 11, and will eventually have a maximum student intake of 1,347.International Student Village (artist’s impression)EduCity will have an International Student Village Marlborough College Malaysia brings with it a world-classwhich can accommodate 825 students scheduled to be education and an illustrious pedigree spanning more thanoperationalised in October 2012, followed by Phase 2 150 years. The school will be fully equipped with state-which will accommodate a further 1,000 students. It will of-the-art teaching facilities as well as comprehensivealso have a Stadium and Sports Complex, featuring first- sporting facilities including eight rugby fields, a 400-metreclass sports facilities with football pitch, indoor arena, running track, a 25-metre swimming pool and cricketaquatic centre, 400-meter running track and 12,000 pitches. Marlborough College Malaysia will provideseating capacity, with Phase 1 of the complex opening in educational facilities that, in terms of scope and quality,2012. will equal those offered by Marlborough College in the UK. Marlborough College staff and governors will assumeOther projects in the pipeline include Primary and responsibility for the management and governance of theSecondary Trust Schools scheduled for opening in 2012, new institution.with a Primary School for 600 students and SecondarySchool for 700 students. ISKANDAR MALAYSIA - FIVE-Year Progress Report 42
    • Medini Among other key developments that will come on stream in the future include 1Medini, which will comprise three residential towers and retail complex called Medini Square. Scheduled for full completion in 2015, 1Medini will offer over 1,300 condominiums while Medini Square will offer commercial space. The project is designed to harness the natural elements. Incorporated solar panels and the orientation of the units provide thermal comfort and natural lighting, while rainwater harvesting and the placements of air wells provide innovative ventilation and environmental efficiency. Medini Square will comprise retail units, shop offices, small-office home-office (SOHO) units and an office tower to be developed in two phases.Positioned as the central business district of Nusajaya,Medini Iskandar covers over 2,230 acres of integratedmixed-use development. It comprises four componentzones namely, Medini North, Medini Business, MediniCentral, and Medini South.Medini Iskandar has progressed rapidly over the past twoyears, with most of the critical infrastructure works nearingcompletion and LEGOLAND Malaysia set for launch in2012. Also located in Medini Iskandar is Pinewood IskandarMalaysia Studios, which is scheduled to be completed in Medini Lifestyle Retail Mall (artist’s impression)2013. In addition, a Lifestyle Mall will be launched in 2012 in Medini North. The retail mall will include entertainment, food and beverage outlets, as well as a variety of specialty retail outlets. It will naturally incorporate open-air landscapes and water features, making it ideal for contemporary art exhibitions, live performances and international festivals. The mall will also seamlessly connect to the LEGOLAND Malaysia theme park.Medini Square (artist’s impression) Medini Business (artist’s impression)43 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3Medini Business will be a mixed-use, high density zone that Pinewood Iskandar Malaysia Studiosis home to high-end office space, homes, hotels and retaildevelopments. It will also integrate parkland, tree-linedavenues, landscaped spaces and natural water features.It is developed by Global Capital & Development, whichrepresents investors from the Middle East and Malaysia.LEGOLAND Malaysia A partnership between Pinewood Shepperton and Iskandar Malaysia Studios Sdn Bhd, Phase 1 of this state-of-the- art integrated media production studio facility will have two TV studios, five film stages, post-production suites, office suites, workshops and a backlot. Spread over 80 acres of land with a large water body, it is expected to be completed by 2013. Pinewood Iskandar Malaysia Studios is a catalyst development for the creative sector in Iskandar Malaysia. It is expected to spur the development of Iskandar Malaysia as a regional and international film production hub.Located in Medini North, the first LEGOLAND themepark in Asia is scheduled for opening in 2012. The 76- Pinewood Studios has hosted the production ofacre integrated theme park development is expected some of the silver screen’s best moments, includingto attract some one million visitors annually to its movies such as Superman, Lara Croft: Tomb Raider40 rides and attractions, 4D theatre, F&B outlets, and Dark Night, as well as television dramas,retail outlets, life stunt shows, indoor Lego interactive commercials, animation and photo shoots.play, a “Miniland” featuring miniature replicas oficonic buildings and structures across Asia, amongothers. The development of LEGOLAND Malaysiawill create an estimated 1,000 job opportunities.The 315-room LEGOLAND Hotel will be the ultimateresort for Lego fans, featuring rooms with Legothemes, themed hotel lobby, gymnasium and spa,swimming pool, retail outlets, two restaurants andmeeting rooms, as well as 154 car park bays. ISKANDAR MALAYSIA - FIVE-Year Progress Report 44
    • Puteri Harbour Afiat Healthpark Spanning 68 acres, Afiat Healthpark is a mixed development highlighting premier healthcare and wellness. It brings together modern, traditional and complementary medicine, and fitness and wellness. Development will include a private hospital, private specialist clinics, health screening centre, commercial village, nursing college, rehabilitation centre and dialysis centre, among others. Columbia Asia HospitalPuteri Harbour is a 688-acre integrated waterfrontdevelopment with a 13.5km coastline that offers living,office parks, shopping and recreational spots, andwaterfront lifestyle activities. Key components of thisdevelopment are the public and private marinas that offer286 berths including 10 mega yacht berths.With the public marina comprising 76 berths and aclubhouse completed and open to public, a privatemarina with 200 berths and a mega-yacht marina with10 berths for yachts up to 100 meters long are now The 82-bed hospital is the first medical facility built inunder construction. Puteri Harbour won the FIABCI Prix Nusajaya. Located in Afiat Healthpark, it offers a full ranged’Excellence for Best Runner Up – Master Plan category in of primary and secondary services, including inpatient and2010. outpatient care, emergency room, operating theatre, day surgery and physiotherapy. The hospital opened its doors inAn indoor theme park is currently under development July 2010.next to the public marina. The Puteri Harbour FamilyIndoor Theme Park is part of a mixed hotel, retail and Gleaneagles Medini Hospitalentertainment complex and is slated for completionin 2012. The indoor theme park will feature cartooncharacters by HIT Entertainment Limited and SanrioEntertainment Co such as Barney the Dinosaur, Bob theBuilder, Thomas and Friends, Pingu and Hello Kitty. Nextto it, Traders Hotel, a 286-room hotel to be operated byShangri-La, is being constructed. It will be Nusajaya’s firstinternational hotel and is also scheduled for completionby 2012. The 300-bed hospital will be located in Medini Iskandar and will be positioned as one of the premium hospitals under Parkway Health. The private tertiary health care complex will offer a range of services supported by a 150-suite medical office block and a centre of excellence.45 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3To be built in phases, the hospital will also have Nusa Idaman offers medium to medium-high cost housingrehabilitation centre, nursing home, and hospital residency, in Nusajaya. The mixed development spans 250 acresamong others. and is situated next to a 650-acre urban forest called the Nusajaya Regional Open Space. Nusa Bayu is a mixedResidential developments development spanning 260 acres and was launched in 2010. It comprises affordable homes that cater to youngSeveral residential developments have been launched in families and first time buyers.Nusajaya. These include East Ledang, Horizon Hills, NusaIdaman, and Nusa Bayu. Southern Industrial and Logistics Clusters (SiLC)East Ledang is a garden-themed residential enclavelaunched in 2008 and features 31 gardens among itshomes. Located centrally in Nusajaya, the securedcommunity comprises link duplexes, twin villas andbungalows. Hallmarks of all East Ledang homes arespacious interiors with natural lighting and indoorcourtyards, among other features. Also located in EastLedang are the Ujana Executive Apartments, which waslaunched in 2009 and offers serviced apartments ofvarious sizes. The East Ledang development was namedBest Development, Malaysia at the Bloomberg Asia PacificResidential Property Awards in 2010. It was also recognisedas one of Southeast Asia’s 20 best resorts development by The Central Hub at Bio-XCell in SiLC (artist’s impression)Property Report Southeast Asia’s i-Property Awards. SiLC is the flagship industrial development project in Nusajaya. The development is envisioned to be a world- class managed, designed and planned to meet the current demand for environmentally sustainable development. It features innovation-driven industries in four major areas – advanced technology, health and nutrition, logistics and biotechnology. Phase 1 of the development was completed with full infrastructure in 2007. To date, eight factories are operating in SiLC, including American logistics giant Earle M Jorgensen, which established its first warehouse facility in Asia here. Bio-XCell, Malaysia’s first dedicated biotechnology park is also located in SiLC. The park has attracted investments from India, France and the UnitedHorizon Hills is a RM4.1 billion golf-themed integrated States. These include Indian biotechnology giant Bioconresidential and leisure development. It comprises 13 Ltd, which plans to establish a bio-manufacturing and R&Dprecincts spread over a 1,200-acre site. It features a private facility for insulin products. French company Metabolic18-hole golf course, 150 acres of themed gardens with a Explorer plans to build a facility to produce palm derivative30-km cycling path, a 2-km canal garden system, a 50- oil while Glycos Biotechnology’s facility will produce high-acre lake with an island, and a 2.5-km shoreline. Horizon grade bio-degradable ethanol. Both facilities are expectedHills was launched in 2007 and has received international to be completed in 2012.recognition, winning the CNBC Asia Pacific Property Awardfor Best Golf Development in 2009. ISKANDAR MALAYSIA - FIVE-Year Progress Report 46
    • FLAGSHIP C: WESTERN GATE DEVELOPMENT Flagship C is located west of Johor Bahru. This area used to be a fishing village surrounded mostly by Ramsar zones and agricultural land banks. Today, the area has been developed into one of the most important maritime hubs in Malaysia. Its flagship, Port of Tanjung Pelepas, is located on the eastern mouth of the Pulai River in south-western Johor. Besides the Port of Tanjung Pelepas, other key landmarks in Flagship C include Ramsar sites, the Tanjung Bin Power Plant, the Second Link Expressway to Singapore, and medium density residential areas. Source: IRDA47 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3KEY DEVELOPMENTS, ON-GOING AND Tanjung Bin Power PlantFUTURE PROJECTSPort Of Tanjung Pelepas Tanjung Bin Power Sdn Bhd owns and operates Tanjung Bin Power Plant, which is a coal-fired independent power producer with a current capacity of 2,100MW. An additional 1,000MW will be available through the construction of a new coal-fired plant adjoining thePort of Tanjung Pelepas (PTP) is one of Iskandar Malaysia’s existing plant. The new plant is expected to begingateways to the world and is strategically located between commercial operations by 2016.east and west international shipping lines. The port’s FreeZone Area of 1,000 acres supports the industrial cluster ATT Tanjung Binof Iskandar Malaysia’s economy while port activitieshelp promote the growth of the logistics cluster. With its ATT Tanjung Bin is building a major new oil terminal whichexisting 12 berths and 44 quay cranes, the port has an provides for blending and storage of crude oil, petroleumannual terminal handling capacity of approximately 8.5 and petrochemical products. The world-class facility willmillion TEUs. have an initial storage capacity of 750,000 cubic metres and the ability to handle all tanker sizes, including VLCCs.Port of Tanjung Pelepas has grown from a green field site The terminal is on schedule to go live in February 2012to a world class port while contributing to Malaysia’s with an initial capacity of 322,100 cubic meters. This will bedevelopment over the past ten years. To date, it has increased further to 845,200 cubic metres by June 2012.created 20,000 jobs, brought foreign direct investmentof RM2.5 billion and generated spin-off industries worth Asia Petroleum HubRM3.3 billion. Being the number one container port inMalaysia, second in Southeast Asia, seventeenth busiest Also known as Bunker Island, Asia Petroleum Hub (APH)in the world and one of the five trunk ports serving is made up of a 100-acre reclaimed island near Tanjungthe biggest liner in the world, the port is a catalyst to Bin. Once completed, APH will offer an integrated facilitydevelopment around the southwest region of Johor. with multiple jetties capable of handling all sizes of vessels from 1,000 dead weight tonnes (DWT) coastal tankersSeaport World Wide Petrochemical Industrial Park to 350,000 DWT Ultra Large Crude Carriers. Designed to handle over 30 million tons of petroleum products andSeaport World Wide Petrochemical Park covers an accommodate over 3,000 vessels calling at the terminalarea of 2,255 acres. Designated for petrochemical and annually, APH will possess storage capacity of 924,000maritime industries under the Third Industrial Master cubic metres and a large trans-shipment facility.Plan, it is also accredited with Free Zone status. Locatedat the confluence of world’s major trade lanes, it offersa minimum diversion time of 45-minutes from the tradelanes with access channel depth of 17 meters and completemultimodal transports. ISKANDAR MALAYSIA - FIVE-Year Progress Report 48
    • Ramsar Sites of Pulau Kukup National Sungai PulaiPark, Tanjung Piai National Park &sungai Pulai Sungai Pulai’s associated sea grass beds, intertidal mudflats and inland freshwater riverine forest represents one of the best examples of a lowland tropical river basin, supporting a rich biodiversity dependent on mangrove. It is home to the rare and endemic small tree Avicennia lanata, the Long-tailed Macaque, Smooth Otter and rare Flat-headed Cat and threatened birds species such as Mangrove Pitta and Mangrove Blue Flycatcher, all included in the IUCN Red List. Relatively undisturbed parts including the Nipah swamps may be nesting sites of the Estuarine Crocodile. The site fringes play a significant role in shoreline stabilisation and severe flood prevention in the adjacent villages. The local population depends on the estuary as its mudflats, an ideal feeding, spawning and fattening ground, support a significant proportion of fish species.Pulau Kukup National ParkPulau Kukup is a mangrove island covering approximately647.2 hectares and is surrounded by 800 hectares ofmudflats. The mudflats are rich with shellfish and providefood and income to local people. Officially gazetted as aState Park under the jurisdiction of the Johor State ParkCorporation in 1997, Pulau Kukup contains 50% of theworld true mangrove species, is home to species listed asthreatened, vulnerable or near-threatened under the IUCNRed Book. Unique for having high biodiversity of mangrovespecies in small areas, Pulau Kukup is world’s secondlargest uninhabited mangrove island and is also recognisedas an Important Bird Area in which certain species of birdschoose this island as a stop-over and breeding ground.Tanjung Piai National ParkKnown as “the Southernmost Tip of Mainland Asia”,Tanjung Piai covers 526 hectares of mangroves andanother 400 hectares of inter tidal mudflats. It supportsmany threatened and vulnerable wetland-dependentspecies such as the Pig-tailed Macaque and Long-tailedMacaque, and birds like the Mangrove Pitta, MangroveBlue Flycatcher, and Mangrove Whistler. Also found in thearea are the Scaly Anteater, Common Porcupine, SmoothOtter and Bearded Pig, which are classified as vulnerable ornear threatened. It forms the only mangrove corridor thatconnects Pulau Kukup and the Sungai Pulai wetlands.49 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3FLAGSHIP D: EASTERN GATE DEVELOPMENTFlagship Zone D covers Tanjung Langsat Port and Tanjung Langsat Industrial Complex, Pasir Gudang Port, PasirGudang Industrial Park, Johor Port and mixed residential developments with a total area of 17,000 acres.Current key economic activities in Flagship D are focused on heavy industries and logistics, includingelectrical and electronics, chemical, oleochemical, food and engineering-based industries as well as ports andlogistics and warehousing. Flagship D has the largest concentration of palm oil refining industries and downstreamactivities in the world.To date, there are more than 300 factories in the Pasir Gudang area, providing more than 30,000 employmentopportunities to the local community. Source: IRDA ISKANDAR MALAYSIA - FIVE-Year Progress Report 50
    • KEY DEVELOPMENTS, ON-GOING AND Senai-Desaru Expressway (SDE)FUTURE PROJECTSBandar Seri Alam The expressway is 77km long and is the third longestBandar Seri Alam, known as the “City of Knowledge”, highway concession awarded by the Malaysianis the largest fully integrated urban development with Government. The SDE will be the main connector from theland spanning across 3,762 acres in Flagship Zone D. It is east to the west of Johor, as it is connected to the existingenvisioned as a balanced and sustainable development Second Link Expressway and North-South Expressway.geared towards being one of Iskandar Malaysia’s educationdestinations of choice. The SDE includes six interchanges, two Rest and Service Areas and also the landmark bridge across Sungai Johor.The city is located only 18 minutes from Johor Bahru city The expressway alignment traverses through Senai,centre via the Southern Link Highway. It provides complete Ulu Tiram, Layang Reservoir, Pasir Gudang and Bandarlifestyle amenities such as a 385-acre landscaped park, Penawar/Desaru. The last package of the expressway, thelake and playground, golf course and a resort with hotel Sungai Johor Bridge, was opened to the public in July 2011.and horse riding facilities. Bandar Seri Alam is home to theEastern Johor Bahru district police headquarters, a police Tanjung Langsat Portstation and community police post. Tanjung Langsat Port is the third port in Johor and isBandar Seri Alam offers four universities, a junior college, designed to complement the Port of Tanjung Pelepas andan art school, an international school, a Japanese School Johor Port in Pasir Gudang. Positioning itself as Southeastand 18 primary, secondary and religious schools. The Asia’s premier specialty terminal, it handles bulk cargoeducation institutions that have commenced operations such as liquefied petroleum gas and dangerous chemicals.include Universiti Kuala Lumpur, Masterskill UniversityCollege of Health Sciences and MARA Junior Science The port is situated 22 km from the international shippingCollege. Several others under construction include lane, 8 km from Johor Port, and 45 km from Johor Bahru.Universiti Teknologi MARA campus, HELP University It has 763 acres of land within the port area and a 4.5 kmCollege, Malaysia Art School and Excelsior International shoreline fronting the Straits of Johor. Among the mainSchool. activities of the port are petrochemicals and liquid bulk handling, processing and storage of petroleum based andRegency Specialist Hospital liquid bulk cargo, and international cruise centre.The hospital is located in the township of Bandar Seri When fully completed in 2012, Tanjung Langsat PortAlam. The 218-bed facility is equipped with a full range facilities will include an L-shaped twin-berth jetty capableof medical and diagnostic equipment needed to deliver of handling medium-range tankers of up to 30,000 metricpremier healthcare services at affordable rates to patients tons deadweight, marine support base, deep sea fishingin the region. terminal and multi-purpose wharves, and a liquid cargo terminal.51 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3Petrochemical industries will account for 60% of the Senibong Coveactivities at the complex, with gas production, steel-making, and marine and marine-related industries makingup the remaining 40%. The port is targeting petroleum-based liquid bulk cargo from the industrial area aroundPasir Gudang as well as the adjacent Tanjung LangsatIndustrial Estate developed for petrochemical facilities.Johor Port The development is a joint venture between Iskandar Waterfront Development Sdn Bhd and Australia’s Walker Group. The total development area of the Senibong Cove is 200 acres with a total gross development value of RM1.7 billion.Johor Port is strategically positioned in the heart of the Pasir Gudang Specialist Hospitalsprawling 8,000 acre Pasir Gudang Industrial Estate.The area is home to a comprehensive range of industries The hospital will have 120 beds at a total investment ofspecialising in petrochemicals, engineering, furniture, RM 74 mil. It is expected to be ready by the end of 2012.telecommunications, electronic goods and food products The hospital is developed by KPJ Healthcare Berhad, theamong others. leading private healthcare provider in the country with a network of 20 hospitals.Built by the Johor Port Authority and run by Johor PortBerhad, it is the first port in Johor and is designed as a MPPG Administrative Officemulti-purpose port that caters to practically all types ofcargo. In 2010, the port handled a total cargo throughput This is a new administrative complex for Majlisof 25.6 million free weight tonnes. Perbandaran Pasir Gudang. Completed in 2009, the 21-storey building is called Menara Aqabah. ISKANDAR MALAYSIA - FIVE-Year Progress Report 52
    • FLAGSHIP E: SENAI-SKUDAI Senai-Skudai development is located within the northern region of Iskandar Malaysia. It is bound by Mukim Sedenak to the north, Gunung Pulai to the west, Mukim Tebrau to the south and Seelong to the east. Senai is a transit town situated 25 km from Johor Bahru, Malaysia. Flagship E covers two small towns in Iskandar Malaysia, namely Senai and Skudai. Skudai is a rapidly expanding suburb of Johor Bahru and is part of the new growth corridor of south-west Johor. Senai is located 4 km south from Kulai, and 4 km north of Skudai. Expressway E3 links Senai Airport with Tuas in Singapore at the other end. Current key economic activities in Flagship E are airport services, engineering, electrical and electronics, education and retail tourism. Going forward, Flagship E would also be the hub for agro and food processing, ICT and the creative industry. With more than 1,000 acres of available land bank within the vicinity of Senai International Airport, investors will have the advantage of setting up large-scale commercial and airport-related enterprises at attractive low rates. Other strategic land banks owned by developers also offer various investment opportunities. Source: IRDA53 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE FLAGSHIP ZONES - A PROGRESS UPDATE CHAPTER 3KEY DEVELOPMENTS, ON-GOING AND Senai Hi-Tech ParkFUTURE PROJECTS Senai Hi-Tech Park is a science and technology park toSenai International Airport house high-tech manufacturing activities. Positioned within close proximity to Senai International Airport, Port of Tanjung Pelepas and Johor Port, it is envisaged to ultimately play a major role in the development of high- tech manufacturing, R&D, and education and training for foreign and local companies. As a fully integrated high-tech park, it covers 1,039 acres and incorporates several components including industrial and R&D facilities, amenities, educational institutions and recreational facilities. The first phase of the park’s development is expected to be completed by theSenai International Airport was constructed in 1974. Only end of 2012.30 km from Singapore, the airport is strategically located,providing lower cost, dedicated services and growing The Ministry of Science, Technology and Innovationinfrastructure development. Most of the region’s dynamic is investing RM200 million to set up a NanoMalaysiaeconomic and tourist centres are located within a four- Centre Complex to carry out translational R&D, develophour flight radius. Senai International Airport handled technology applications, product enhancements andabout 1.24 million passengers last year, with a target of 1.3 commercialisation in the nanotechnology field.million passengers this year. Johor Premium OutletsWith the projected population of Singapore and Johorin 2025 expected to reach at least 10 million, and with The first of its kind in the region and positioned as ana passenger flow of at least 60 to 70 million for Changi affordable luxury shopping destination comprisingAirport annually, Senai International Airport is poised to designer brand discount outlets, Johor Premium Outletsbecome the second regional airport, given the limited land is developed by the Genting Group and is operated jointlyand air space in Singapore. with Simon Property Group. It is an Entry Point Project (EPP) under the Economic Transformation ProgrammeVarious initiatives have been implemented to modernise (ETP) and is a key catalyst project for the leisure andthe airport and provide additional facilities to significantly tourism sector in Iskandar Malaysia.improve the standard of both air passenger and air cargoservices. In 2010, the airport’s new passenger terminal Johor Premium Outlets is located at the intersection of thewas completed. In addition, investments have been North-South Expressway and the Second Link Expressway.made in facilities to promote the growth of aviation- With the completion of the Indahpura Interchange, itrelated activities such as an Aviation Park to facilitate will be highly accessible to all traffic going to and fromlogistics, warehousing, and maintenance, repair and Johor and Singapore. It is also a short drive from Senaioverhaul (MRO). Plans are also underway to develop an International Airport, about three hours’ drive from Kualaarea of 2,700 acres adjacent to the airport into a cargo Lumpur and about an hour’s drive from Singapore.and logistics park, free zone, hi-tech park and mixeddevelopment area as part of the overall vision for creation Johor Premium Outlets was officially opened in Decemberof a Senai Airport City. this year, wtih 80 designer and brand outlet stores. The parking area has space for 3,000 cars and 60 bays for buses. It is expected to attract some 4.0 million visitors annually and will have future phases of development involving the construction of hotels and theme parks in surrounding areas. ISKANDAR MALAYSIA - FIVE-Year Progress Report 54
    • MSC Cyberport CityMSC Cyberport City is a cybercity designed to have world-class infrastructure with a clustering effect to create anenvironment that nurtures technopreneurs and theirbusinesses.Targeted key business activities include creativemultimedia content, shared services outsourcing,business process outsourcing, data centres and softwaredevelopment. MSC Cyberport City has an area of 150 acresand will be developed in three phases. The first phase isexpected to be completed by 2013.Indahpura InterchangeThe interchange is the most direct and fastest connectionfrom Federal Route 1/Kulai Town to the Second LinkExpressway and North-South Expressway. It currentlyserves the new Kulai Administration Centre and JohorPremium Outlets, and MSC Cyberport City once thisproject is completed.55 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • 57 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • Chapter 4:SOCIAL DEVELOPMENT –GROWTH THROUGH INCLUSIONThe fair and equitable distribution of wealth is one of the three foundations for the development ofIskandar Malaysia. Ensuring socioeconomic equity and buy-in from the local population is a key strategicpillar, which addresses the issues of property and equity ownership, local and Bumiputera participation,business and income improvement, employment opportunities and the enhancement of skills. Consistentwith these principles, a strategic framework for social development is in place to ensure the growth andvalue created will be shared amongst the local population and that the rakyat would not be inevitably leftbehind by the thrust and pace of the development.With the vision of creating “a prosperous and harmonious community underpinned by social inclusion andequitable wealth sharing”, several social development initiatives have been implemented to bring aboutthe desired outcomes of socioeconomic mobility, equitable wealth distribution, a caring community,racial harmony and quality of life for the people of Iskandar Malaysia. The initiatives fall under the areasof human capital development, economic inclusion, social inclusion, housing and spatial development,safety and security, and environment.These initiatives are aimed at ensuring that there is value distribution to all stakeholders, especially localcommunities, through and from the growth and development of Iskandar Malaysia. As local communitiesenjoy better living standards and greater prosperity through the continued progress of Iskandar Malaysia,their enhanced participation in the region’s economy will generate more value to be further distributed.Therefore, it can be seen that the future success of Iskandar Malaysia is inextricably linked with thesocioeconomic progress achieved by the communities residing within. Implementing strategies, policiesand initiatives, such as those detailed in this chapter, will help to create greater wealth and prosperity for all. ISKANDAR MALAYSIA - FIVE-Year Progress Report 58
    • I. Human Capital Development Karnival Kerjaya, Perniagaan dan Kemahiran (KEPAK) KEPAK is the largest career, business and skills fair in Johor and is co-organised by the Johor State Government and IRDA. It is aimed at: yy School leavers, graduates of institutions of higher learning and skills training centres yy Full time and part-time employment seekers, including housewives, single mothers, the disabled and senior citizens. yy Low-income workers seeking to upgrade their skills and advance to higher-value, better-paying jobs yy Schoolchildren and tertiary level students seekingEconomic growth in Iskandar Malaysia has created thousands of jobs more information on prospective careers and business opportunitiesHuman capital is key to the strong and sustainable growthof Iskandar Malaysia. Over the past five years, more than Among KEPAK’s main objectives are to expose and match27,000 new jobs have been created in the various economic the relevant target groups to employment opportunitiessectors within the region. Programmes to support the within Iskandar Malaysia and its immediate surroundings,demand for and supply of talent, engender mindset entrepreneurial programmes and income-generatingtransformation and reach out to communities have been opportunities through small and medium-sized businesses,initiated to support the development of human capital. as well as skills-upgrading and training programmes.Collectively, these programmes have produced several The KEPAK 2011 fair is held in several districts, with theencouraging outcomes to-date: about 7,000 locals have one in Johor Bahru earlier this year attracting more thanbeen trained to support the development of the region’s 20,000 participants.catalytic projects, more than 50% of participants ofIskandar Malaysia-related career fairs have been matched Exposure Programme and Career Talkwith job opportunities, and a 90% hiring rate for a pre-employment programme aimed at graduates and school In conjunction with the KEPAK 2011 fair in Johor Bahru, aleavers. programme was held for 2,400 secondary school students in Forms Four and Five to assist them in developing careerThe following are several key programmes and initiatives: paths via exposure to the various career options available in Iskandar Malaysia. The aim was to raise awareness ofTalent sourcing for LEGOLAND Malaysia potential careers in Iskandar Malaysia and thereby help to meet talent requirements in the region within the nextThe LEGOLAND theme park in Iskandar Malaysia, three to five years.scheduled to open in 2012, is a key attraction that willboost the leisure and tourism sector in the region. To Internationalisation and Leadership Programmefacilitate the talent requirements for the theme park, acollaboration involving five local skills centres was set up Targeted at the crème de la crème of students in Johor, theto secure and develop a skilled workforce of 950 people programme’s main objective is to groom future leaders forprior to its opening. Separately, LEGOLAND has hired six leadership and key positions in Iskandar Malaysia withinlocal talents to become LEGOLAND master builders. the next 10 to 15 years. The students were provided with opportunities to refine and build upon their leadership skills, gain new knowledge, develop confidence, and given international exposure.59 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • SOCIAL DEVELOPMENT – GROWTH THROUGH INCLUSION CHAPTER 4The programme, a collaborative effort between IRDA and Young Graduate Core Training ProgrammeJohor State Education Department, kicked off in July 2010.More than 1,000 student leaders from all schools in Johorunderwent leadership training sessions before they couldbe nominated to participate in the programme. The top20 students were selected to be the members of newlyformed Johor Student Leadership Council (JSLC).These students were then sent for international leadershipdevelopment programmes in Germany and Singapore.The JSLC members also went through training on publicrelations, communication skills, public speaking, diplomaticrelations, leadership and event management which wereorganised by the Johor Education Department, WismaPutra, Institut Sosial Malaysia and local trainers. Thestudents were also given the opportunity to put their This programme is aimed at enhancing the soft skills oftraining to practice by organising a Charity Dinner in unemployed graduates to boost their employability. TheOctober last year graced by the Sultanah of Johor and an three month-long programme was held in 2010 with theInternational Leadership Conference in February this year. involvement of the Iskandar Malaysia UTM Research Centre (IMREC). Participants were given one-month classroomMotivational and Mindset Change Programme training followed by a two-month industry attachment.About 600 UPSR, PMR and SPM candidates for the year Contractor Development Programme2011 participated in this programme, with priority given tolow/medium performing students or those from families in This is a development and training programme whichthe low income group in Iskandar Malaysia. aims to elevate the standards and capabilities of local contractors in Iskandar Malaysia. This will enable them toAlso a joint effort between IRDA and Johor State Education actively participate in and fulfill the construction needsDepartment, the programme aimed to equip the students in the region as well as eventually market their capabilitywith the necessary learning techniques and the right overseas. The programme started in 2009 and is a jointmindset in approaching their respective examinations. collaboration between Construction Industry DevelopmentIt also provided an avenue to inform the students of the Board (CIDB), IMREC and IRDA.opportunities, challenges and the potential role theycould play to fulfill the Iskandar Malaysia vision. Thestudents’ performance after attending the programme wastracked to measure its effectiveness. Encouragingly, 92%of participants showed improvements in their academicperformance, discipline and participation in class. ISKANDAR MALAYSIA - FIVE-Year Progress Report 60
    • II. Economic InclusionIt is estimated that small and medium enterprises (SMEs) Association, Ministry of Domestic Trade, Cooperatives andcontribute more than 60% to the economy of Iskandar Consumerism and IRDA organised a course on the franchiseMalaysia. Thus, their development and success are vital to business, where 88% of the participants successfullythe economic sustainability and growth of the region. The completed the course, which was certified by the ministry.strategic location of Iskandar Malaysia to neighbouring About 70 new franchisees and franchisors were targetedSingapore has expanded the market potential for the for 2011.products from local SMEs. Book-Keeping Consultancy ServicesThe economic inclusion initiatives and programmesthat have been implemented are designed to align with This programme is a collaboration between the Ministrynational SME policies, increasing the number of new of International Trade (MITI), MDeC and IRDA to enableentrepreneurs, and expanding existing SMEs. Coordination small and micro SMEs to improve, enhance or start-upamong agencies is the key success factor in implementing book-keeping systems in their respective companies.an effective SME development programme. MITI identified 30 new financial consultants who were university graduates, and IRDA provided the SMEs asSmart Biz Kid Programme clients. MDeC provided the technical assistance required to automate the book-keeping system. The main aim ofThis programme is aimed at secondary school children in the programme is to encourage university graduates toIskandar Malaysia, with the main objective of increasing enter the financial consultancy services field. It also aimsawareness and “entrepreneurial instinct” among to motivate small companies to implement a systematicthem. Participants from various schools underwent an book-keeping system, which would enable them to applyentrepreneurial training and “mock selling” programme for financial assistance in the future, and to complyprior to running an actual business at a large hypermarket with audit requirements. A total of 185 SMEs benefittedin Johor Bahru. Small entrepreneurs were also invited to from the programme throughout Johor, out of which 50market and sell their products at this event. About 80 companies were from Iskandar Malaysia.students who participated in this programme. Internet Marketing Entrepreneur DevelopmentIskandar Commercial Portal This two-week programme, organised by IRDA and MDeCThe main aim of this portal is to collate company every year, is aimed at introducing SMEs to the potentialinformation from SMEs in Iskandar Malaysia and its of Internet marketing. Entrepreneurs are trained to design,surrounding areas. The database contains information from develop and maintain their own corporate websites. Thevarious industries and sectors, which would be very useful participants, comprising of single mothers and those withto investors in the future. As at December 2011, there were limited knowledge of the Internet, were taught the basicsabout 1,200 companies registered in the portal, which was of the technology, including social media. Through the usedeveloped by IRDA and launched in 2010. of Internet marketing, the participants reported an increase in sales of between 30% and 100%.Franchise Business ProgrammeIRDA has signed and MoU with Perbadanan NasionalBerhad (PNS) to increase the awareness and participationof entrepreneurs in the franchise business. A trainingprogramme was held on a regular basis for the purpose.Participants underwent a theory session, workshop andclinic to expose the potential franchisees and franchisorsto the necessary skills and requirements for running afranchise business. In August this year, Malaysian Franchise61 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • SOCIAL DEVELOPMENT – GROWTH THROUGH INCLUSION CHAPTER 4III. Social Inclusion 1Azam 1Azam programme is aimed at raising the economic status of low-income households. It is a nationwide programme led by the the Ministry of Women, Family and Community Development and is part of the Economic Transformation Programme under the National Key Result Area for Low Income Households. IRDA is the programme’s lead coordinating agency for Iskandar Malaysia. The programme is divided into four segments of income opportunities, namely: yy Azam Niaga – Create business opportunitiesRacial integration programmes have been initiated to enhance social through training and microcredit facilities facilitatedcohesiveness. by Amanah Ikhtiar Malaysia (AIM) yy Azam Tani - Create income opportunities thoughFor the people to fully benefit from the development in agriculture, farming and fishery, facilitated by theIskandar Malaysia, it is important to ensure that no group Ministry of Agricultureof people or segment of society is marginalised or left yy Azam Khidmat – Train and equip selected individualsbehind. Key target groups for social inclusion programmes to become actively self-employed with micro-creditin Iskandar Malaysia include the hardcore poor, Orang Asli facilities via AIMcommunities and youth. In addition, racial integration yy Azam Kerja – Provide employment opportunitiesprogrammes have also been implemented to enhance through job matching and placement, facilitatedsocial cohesiveness and strengthen inter-ethnic relations by the Ministry of Human Resources and Labourwithin the region. DepartmentThe overall poverty rate in Iskandar Malaysia is estimated The pilot project for the programme was undertaken inat 0.42% of the population, with rates for urban, rural Iskandar Malaysia in 2010, with the participation of 90and hardcore poverty all below the national average. hardcore poor families.The rural population in Iskandar Malaysia is estimatedat 100,000 people, with a poverty rate of 4.7%.There are 10 Orang Asli communities in the region– nine in Johor Bahru district and one in the mukimof Serkat – with a total population of around 1,400people. More than half of the Orang Asli householdsin Johor Bahru fall into the hardcore poor category. ISKANDAR MALAYSIA - FIVE-Year Progress Report 62
    • IV. Housing and Spatial DEVELOPMENTBERTAM Creating livable communities is a key thrust of development in Iskandar Malaysia. These communities would contain among others quality housing with adequate facilities in a thriving environment that is safe and healthy. This is especially important for low-cost public housing projects, which tend to suffer from the perception, and in several instances the reality, of poor quality and unhealthy surroundings. Several key initiatives in Iskandar Malaysia aim to provide improved housing that consistent with the principle ofThe Belia Tempatan Mahir (BERTAM) programme livable communities. This includes new low cost housingprovides training in building construction and services policy guidelines that have been approved by the Johorfor youth in Iskandar Malaysia, including from the Orang State Government.Asli communities in the region. The programme enablesparticipants to become qualified builders and contract PRISMAworkers in the construction, and therefore giving them theopportunity to generate good income and be involved indevelopment in Iskandar Malaysia. For the Orang Asli inparticular, it also provides an alternative besides fishing,which is their economic activity, to supplement theirincome and enhance the socio-economic status.The programme was launched in 2009 and comprisestheory and practical training modules for the participants,who upon successful completion, are issued with acertificate of competency by the Construction Industry The Perumahan Rakyat Iskandar Malaysia (PRISMA)Development Board (CIDB) and are eligible to register as comprises 1,500 units in low-rise clusters with wideskilled workers with the board. spaces and community facilities. It is a benchmark-setting development for public housing and is targeted at the lowUnder the programme, a total of 140 local youths have income and low-to-medium income groups.been certified by the CIDB, including 41 Orang Asli, whobuilt four single-storey homes for the hardcore poor It is envisaged to be a benchmark for the new concept offamilies in their community. In addition, the certified public housing in Iskandar Malaysia with a medium densityBERTAM participants were involved in repairing and of 25 units per acre. Its design elements emphasises morerepainting dilapidated low-cost flats in several housing open spaces and community facilities such as shops, aareas. The refurbished flats now provide a better living surau, football field, and a community hall. The projectenvironment for a total of 3,500 families. also features the usage of green technology such as photovoltaic solar cells to generate electricity, rainwaterRacial integration initiatives harvesting for maintenance of landscaping and common areas, and safety and security features such as CCTV andThese initiatives included Mandarin classes, sports-related anticlimb fencing.activities and the Iskandar Puteri Heritage Race held in July.Aimed at enhancing contact, integration and networking PRISMA will be launched by the Prime Minister of Malaysiaamong the multi-ethnic population of Iskandar Malaysia, in December 2011 this year.the initiatives saw a total participation of 500 people.63 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • SOCIAL DEVELOPMENT – GROWTH THROUGH INCLUSION CHAPTER 4 V. Safety and SecuritySungai Tebrau Squatters RelocationPart of the Sungai Tebrau river cleaning exercise, thisproject will see the relocation of squatters living along theriver to proper housing with better amenities. Constructionis more than two-thirds complete, with 90% of thesquatters expected to move in by the middle of 2012. Theproject is being led by Unit Perancangan Ekonomi NegeriJohor (UPENJ).Bus services A Community Police Post in Iskandar Malaysia Safety and security is of prime importance not only for the people and businesses currently residing in Iskandar Malaysia, but are also factors that would influence investor confidence and the region’s attractiveness as a place to live, work and play in. As it stands, a total of 15 new community police posts have been built in the region, with 12 already put into service by the Royal Malaysian Police. Four more are currently being constructed. The posts function as full- service, personalised police beat bases for the surroundingThe Bas Iskandar Malaysia service plying 17 routes has community and provide enhanced police visibility andserved more than 1.7 million riders to date, and has presence.achieved the targeted 30% average daily ridership. This isexpected to increase with further improvements of public To further boost security, CCTV cameras will be installedtransport facilities and infrastructure. The Bas Express in locations throughout Iskandar Malaysia after theTransit service, Bextra, was introduced in August on the completion of a study on its implementation this year.Kulaijaya Terminal – Johor Bahru city route. Two other The CCTV system will act as a deterrent and enableroutes are scheduled to be fully operational within the better overall coordination as well as efficient and timelycoming months. response by authorities in incident management. The Royal Malaysian Police has also approved the establishment of an auxiliary police force for Iskandar Malaysia. A total of 924 auxiliary police personnel will be deployed in critical locations. In addition, three foreign workers enclaves have been established to ensure that the workers are properly housed and managed. The use of these enclaves will also assist the relevant authorities in mitigating concerns related to safety, social, and health issues. ISKANDAR MALAYSIA - FIVE-Year Progress Report 64
    • 65 ISKANDAR MALAYSIA - 5 Year Progress Report
    • Chapter 5:THE WAY FORWARDIskandar Malaysia has made significant progress in the five years since its launch, with several significantdevelopments having been completed or near completion, including physical infrastructure and softinfrastructure, as well as catalytic projects. The region is now in its second phase of development, with2012 identified as a “banner year” with the scheduled launches of several more key projects.To ensure further growth and progress, efforts must be intensified in order for Iskandar Malaysia tobecome a strong and sustainable metropolis of international standing within the next 15 years, asenvisioned by the Comprehensive Development Plan.The approaches that are adopted must aim at attracting more talent and investment into the region. Thiswould generate a concentration of businesses and people, forming a network that facilitates the free flowof ideas, innovation and creativity to drive the Iskandar Malaysia economy.The development of liveable communities that attract people to “live, work and play” is an importantfactor that would influence further investments into Iskandar Malaysia. With the rise of urbanconurbations throughout the world, this competition for funds and talent is a competition between largemetropolitan areas, anchored by a city where economic activities are focused. Examples include theGreater Tokyo area, the world’s largest urban conurbation, and closer to home, Greater Kuala Lumpur.The growth and success of the Iskandar Malaysia metropolis, with Johor Bahru in Flagship Zone A as thefocal point for developments in surrounding areas within the other Flagship Zones, will depend on itsability to enhance the concentration and density of labour, capital and enterprise within its more than2,000 square-kilometer expanse. In addition, the strengthening of existing economic and physical linkswith other centres of economic activity and the creation of new links is necessary to boost that abilityfurther.Iskandar Malaysia has progressed far within the last five years but undoubtedly much more needs to bedone if it is to achieve its 2025 target of having a population of three million people, 1.46 million jobs,cumulative investments of RM383 billion over 20 years, and a GDP of USD 93.3 billion.With this in mind, several key imperatives have been identified as the way forward for the development ofIskandar Malaysia over the next five years, and beyond. ISKANDAR MALAYSIA - FIVE-Year Progress Report 66
    • The imperatives that have been identified to further boost In addition, a more intensive and targeted promotionsIskandar Malaysia’s development can be categorised into campaign conducted jointly with the relevant agenciesfour broad themes related to capital, demand, supply and can help attract both foreign and domestic sourcesenablers. of capital to invest in priority sectors within Iskandar Malaysia.Capital II. Enhance regional economic cooperationIt is critical that sufficient capital is leveraged, with the and collaborationsources of capital matched to return expectations. Thefollowing are capital-related imperatives: It is vital that the blossoming Iskandar Malaysia- Singapore partnership be strengthened further inI. Broaden foreign and domestic identified growth sectors that can bring mutual investor base benefit. These sectors could include food processing, engineering and technology, with Iskandar Malaysia providing ready infrastructure and cost advantages for Singapore’s manufacturing industry. Strategic collaborations between the relevant bodies in the two countries need to be enhanced. This collaborative arrangement entails not only coordinating the flow of investments between Iskandar Malaysia and Singapore, but also through the development of a strategy for the establishment of a vibrant Iskandar Malaysia-Singapore economic cluster. Intensive promotion campaigns will help attract further investment III. Enhance Public-Private Partnerships While investments in Iskandar Malaysia to-date have surpassed early targets, attracting further investments Intensifying public-private partnerships (PPP) for the from a wider range of foreign and domestic investors, further development of public infrastructure would particularly in priority sectors, is necessary in order help to both reduce the cost of such initiatives to the to sustain the momentum of growth and progress government and accelerate their implementation. generated in the first phase. This is especially pertinent for critical, large-scale infrastructure projects that would significantly boost In line with current macro trends which have seen the attraction and flow of talent and investment into a shift from the West to the East, broadening the Iskandar Malaysia. investor base by targeting potential investors from Asian sources such as Singapore, China, Japan, India The public infrastructure concerned includes and South Korea will be key. In particular, the strong highways, metro systems, high speed rail and solid bilateral relations that have been built with Singapore waste projects. The next-generation PPPs would need can be leveraged further by maximising complementary to be innovatively structured to suit the particular advantages between Iskandar Malaysia and its southern types of infrastructure. For example, PPPs for solid neighbour. waste projects could feature separate concession contracts for collection, transport and treatment, The investors sought should have a long term with competition among several operators for each. investment horizon to match the 20-year development In addition, the charges levied could be based on the path of Iskandar Malaysia, bringing a combination of volume of solid waste dispose as well as the degree of financial capital, promotional expertise as well as large- separation for recycling purposes. scale urban development experience, with investment partners that have a strategic interest in Iskandar Malaysia and Malaysia in general being ideal.67 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • THE WAY FORWARD CHAPTER 5IV. Develop high-speed rail Demand The development of a high-speed rail links with connectivity to Iskandar Malaysia would stimulate economic activity by drastically reducing travel time, thereby encouraging the flow of talent, investment and visitors into the region. It is estimated that a high-speed rail link between Kuala Lumpur, Iskandar Malaysia and Singapore can reduce door-to-door travel time from between three and four hours to less than 90 minutes. Besides faster travel, such a link could also enhance land values in Iskandar Malaysia, significantly reduce traffic congestion and help decrease the total volume of carbon emissions. The success of key catalyst projects will stimulate growth and investment Beyond these immediate effects, a Kuala Lumpur- Iskandar Malaysia-Singapore high-speed rail link could In the effort to accelerate the pace of economic growth in create a ‘virtual agglomeration’ along Peninsular Iskandar Malaysia and catalyse demand for the competitive Malaysia’s West Coast by connecting these major urban advantages offered in the region, it is crucial to ensure that nodes, given that an ‘agglomeration’ can be defined as catalytic projects are successfully delivered; and further an area that includes all points within 45 minutes travel investments in existing clusters as well as collaborative time from a city centre. The drastic reduction in travel investments that leverage on existing partnerships are times could well enable someone living in Seremban explored and undertaken. Development imperative related or Malacca to work in either Kuala Lumpur or Iskandar to this area include the following: Malaysia. I. Ensure the success of key projects There are several completed, on-going and future iconic projects within Iskandar Malaysia. These projects include those in the leisure and tourism, education, healthcare sectors, as well as infrastructure projects. Projects that were completed this year include Newcastle University Medicine, which is the first completed project in the EduCity enclave located in Nusajaya, and several road upgrades and new highways. Among the key projects that are scheduled to be completed in 2012 are the LEGOLAND Malaysia theme park, Marlborough College and EduCity’s sports complex and stadium. It is vital to ensure these projects are successfully completed and operationalised on schedule in order to build investor and public confidence in Iskandar Malaysia, thereby attracting more participation and investment into the region. This will generate the momentum in building up the resident population and influx of visitors that will in turn, bring about further multiplier effects and sustainable economic activity. ISKANDAR MALAYSIA - FIVE-Year Progress Report 68
    • The immediate priority would be to accelerate Enablers operational readiness of these projects to ensure that they are launched on time, while efforts are also needed to ensure that important supporting enablers related to connectivity, incentives and talent are also put in place.II. Make Iskandar Malaysia a thriving leisure and tourism destination New investments in leisure and tourism should be explored to further boost the attraction of Iskandar Malaysia as a destination for tourism-related activities, including for meetings, incentives, conferences and More efficient immigration procedure will facilitate the flow of talent and investment exhibitions (MICE). Critical enablers that support Iskandar Malaysia’s In terms of increasing Iskandar Malaysia’s GDP, the aspirations towards a world-class metropolis leisure and tourism sector provides the greatest must be put in place. These include “make-or- potential which can be realised by encouraging and break” enablers that are the key building blocks drawing further investments into hotels, food and for growth and those that deliver sustainable and beverage outlets, MICE facilities and retail outlets. inclusive growth over the next five to 10 years. The fundamental enablers include the delivery of basicSupply infrastructure such as roads, education and healthcare as well as the removal of bottlenecks that can impede theThe realignment of supply to match the pace of economic pace of growth. To sustain growth, the development of agrowth in Iskandar Malaysia should include efforts in vibrant and liveable environment is crucial to attractingclustering new developments to create economic and talent and investment. The growth must also be inclusivephysical density, reviewing development phasing, as well and therefore, equally important to Iskandar Malaysia’sas reviewing potential gaps and duplications and gaps. success are initiatives that ensure local communities fullySpecific imperatives in this area include the following: benefit from the region’s development. Among the key imperatives in this area is the following:I. Cluster new developments I. Establish zero-defect delivery of critical This will create physical and geographical density enablers that is necessary for the efficient flow of ideas and innovation, creation of livable communities, as well as These enablers include those related to immigration, spur hubs of economic activities. The clusters should be talent, security and incentives. Specifically, more anchored by economic sectors, with a continued focus efficient immigration procedures can help to boost on enhancing existing developments. connectivity with Singapore, while initiatives to increase highly-demanded talent specific to selected By concentrating physical and geographical clusters is necessary. In addition, efforts to enhance densities, gains in productivity and the security and improve targeted incentives, such as fiscal impact of scale will generate higher incomes incentives for the creative sector are also needed. and boost living standards. Clustering also increases efficiencies in the use of energy and Improving immigration procedures and traffic mass transit systems, as well as concentrated flow would facilitate the flow of people and goods economic development that pulls in talent. between Singapore and Iskandar Malaysia, especially at the Sultan Iskandar Customs, Quarantine and Immigration (CIQ) Complex. As it stands, Johor Bahru69 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • is the southern gateway for foreign nationals entering The implementation of a Wealth Sharing Programme Malaysia, with Singaporeans making up more than 85% via the Social Real Estate Model which has been of total visitors that pass through. formulated will also facilitate the sharing and enhancement of property assets among all communites Initiatives to attract talent could be enhanced through in Iskandar Malaysia, including the lower income group. joint-promotions with TalentCorp to raise awareness of the various incentives that are available to workers and businesses in Iskandar Malaysia, while human capital development programmes for resident communities could be broadened and intensified to further develop and upgrade skills and boost upward economic mobility. Improving security is paramount as the development of a highly safe and secure environment for people and businesses would help attract more investments and talent into Iskandar Malaysia. Various programmes and initiatives have been implemented in this regard, including putting in place auxiliary police in Nusajaya, the establishment of community police posts and the deployment of police “Ninja Squads” mounted on motorcycles to crime hot spots. These efforts have resulted in a sharp reduction in the Iskandar Malaysia crime index from 48% in 2009 to 21% in 2010. However, these and other related initiatives should be ramped up to further improve security levels and turn around negative perceptions.II. Intensify social development Initiatives to enhance social development within Iskandar Malaysia are a top priority if there is to be fair and equitable distribution of benefits across communities in the region. As it stands, several are being implemented, including human capital programmes, poverty alleviation programmes and public housing. Details on other social development initiatives can be found in Chapter 4 of this report. Moving forward, these efforts need to be intensified to ensure that local communities, businesses and entrepreneurs have a share in the benefits generated by the growth and development in Iskandar Malaysia. ISKANDAR MALAYSIA - FIVE-Year Progress Report 70
    • 71 ISKANDAR MALAYSIA - 5 Year Progress Report
    • APPENDIXAPPENDIX:Acronyms & AbbreviationsBERTAM Belia Tempatan Mahir JSLC Johor Student Leadership CouncilBextra Bas Express Transit KEPAK Karnival Kerjaya, Perniagaa dan KemahiranCBD Central Business District MDIS Management Development Institute of SingaporeCCTV Closed Circuit Television MICE Meetings, Incentive, Conventions andCDP Comprehensive Development Plan ExhibitionCIQ Customs, Immigration and Quarantine MIDA Malaysian Industrial Development AuthorityCIDB Construction Industry Development Board MITI Ministry of International Trade and IndustryE&E Electrical & Electronic MNC Multinational CompaniesEDL Eastern Dispersal Link MoF Ministry of FinanceEPP Entry Point Project MSC Multimedia Super CorridorETP Economic Transformation Programme NMIT Netherlands Maritime Institute ofFDI Foreign Direct Investment TechnologyFELDA Federal Land Development Authority NSE North-South ExpresswayFTZ Free Trade Zone NuMED Newcastle University MedicineGDP Growth Domestic Product PBT Pihak Berkuasa TempatanGLC Government Linked Company PRISMA Perumahan Rakyat Iskandar MalaysiaGIS Global Information System PTP Port of Tanjung PelepasHCB Human Capital Blueprint RM Ringgit MalaysiaICT Information, Communications and SJER South Johor Economic Region Technology SME Small Medium EnterpriseIHC Investment Holding Company SPV Special Purpose VehicleIIB Iskandar Investment Berhad UPENJ Unit Perancangan Ekonomi Negeri JohorIMREC Iskandar Malaysia UTM Research Centre USD US DollarIPZ Industrial Park Zone UTM Universiti Teknologi MalaysiaIRDA Iskandar Regional Development Authority YAB Yang Amat Berhormat ISKANDAR MALAYSIA - FIVE-Year Progress Report 72
    • notes73 ISKANDAR MALAYSIA - FIVE-Year Progress Report
    • z TM IRDA Headquarters Iskandar Regional Development Authority (IRDA) #G-01, Block 8 Danga Bay, Jalan Skudai 80200 Johor Bahru Tel: +607-233 3000 Fax: +607-233 3001 IRDA Satellite Office Iskandar Regional Development Authority (IRDA) Suite 5-3, 5th Floor, Block 3B Plaza Sentral, Jalan Stesen Sentral 5 50470 Kuala Lumpur, Malaysia Tel: +603-2260 6777 Fax: +603-2260 7999 Iskandar Service Centre www.iskandarmalaysia.com.my