Written Answer to Question PT43

Reading Summary

📖 Reading time: 9 minutes
📊 Word count: 1,660 words

YANG BERHORMAT PEHIN ORANG KAYA JOHAN PAHLAWAN DATO SERI SETIA AWANG HAJI ADANAN BIN BEGAWAN PEHIN SIRAJA KHATIB DATO SERI SETIA HAJI MD. YUSOF

QUESTION:

YANG BERHORMAT PEHIN ORANG KAYA JOHAN PAHLAWAN DATO SERI SETIA AWANG HAJI ADANAN BIN BEGAWAN PEHIN SIRAJA KHATIB DATO SERI SETIA HAJI MD. YUSOF asks the MINISTER OF DEVELOPMENT to state the initiatives and improvement action plans to ensure all processes are more effective, efficient, and prompt in supporting the country in realizing the ease of doing business policy and attracting more foreign direct investment (FDI). There have been many complaints and information received from applicants including service providers handled by agencies under the Ministry of Development, especially ABCi, the Department of Town and Country Planning, and the Department of Land.

YANG BERHORMAT MINISTER OF DEVELOPMENT

ANSWER:

The Ministry of Development takes seriously the importance of enhancing the effectiveness, efficiency, and promptness of work processes in supporting the ease of doing business policy and efforts to attract more foreign investors (FDI). In this regard, various improvement initiatives have been and are being implemented by the agencies under this ministry, specifically the Building Control Authority and Construction Industry (ABCi), the Department of Town and Country Planning (JPBD), and the Department of Land to facilitate the affairs of applicants, traders, and investors.

The following are the main steps taken by each related agency:

• Initiatives under the Building Control Authority and Construction Industry (ABCi): In recent years, ABCi has undertaken process transformation steps to improve efficiency as follows:

  • Recent Achievements: According to the latest statistics, ABCi received a total of 6,701 applications throughout 2024. For the three processes carried out at ABCi alone, the percentage of applications meeting the TPOR target for working days starting July 2023 is on average 88%.

• Enhancement of the OneBiz System (online): ABCi has reinforced the use of the OneBiz platform (an online system for business and development applications). A new function introduced is the “Request Amendment” function in the OneBiz system. Through this function, if ABCi finds inconsistencies or errors in the submitted application documents, ABCi officers can return the application online to the Qualified Person (QP) (architect or professional engineer representing the applicant) with comments and required corrections. The QP can then correct and update the application immediately online.

  This approach maintains the need for applicants to repeatedly visit the counter and reduces waiting time. The “Request Amendment” function was implemented for Form C applications (approval to commence building work) and Occupation Permit applications in June 2024, and expanded to Building Plan Approval applications starting January 2025. QPs have been informed of this new procedure through the Industry Guidance Notes distributed – reference number 2024/IGN/02 (18 June 2024) and 2025/IGN/01 (11 January 2025). As a result, many applications can be corrected and approved more quickly because communication between ABCi and the QP becomes more direct and transparent.

• ‘Co-location’ of Technical Agency Representatives at ABCi: Starting January 2025, several agency representatives involved in Land Work applications have been stationed at the ABCi office to facilitate communication and coordination in decision-making for applications related to progress; for improving the process of their respective departments in progress matters; for speeding up processes which can reduce time and processing time because it focuses more on progress processes only; and for facilitating public/stakeholder inquiries/interactions.

• Initiatives under the Department of Land: The Department of Land is also actively implementing efforts to speed up processes and reduce bureaucracy, especially related to investor and public dealings as follows:

  • Internal Process Improvements: Several internal work processes of the Department of Land have been reviewed. Some work procedures have been updated and bureaucracy has been reduced. These steps aim to speed up decision-making and service delivery of the Department of Land to customers.

    For example, land transfer applications subject to stamp duty previously required a BND 1,000 initial deposit payment towards the stamp duty amount to be calculated later after assessment completion. If the stamp duty is more than BND 1,000.00, the land recipient must make a top-up payment or if less, the Government will refund the balance difference. This process took a very long time and affected the land transfer process.

    Now, this process, including deposit payment, is no longer made, and all land transfer applications subject to stamp duty must first be presented to the Valuation Division for stamp duty calculation. Applicants will be informed of the payment amount and once paid, the transfer application will continue and be presented to the relevant authority for determination.

    In this regard, to further facilitate the Department's work process, the public can also use private valuers registered under BOVeA and the valuation from the private sector can be submitted to the Valuation Division and is legitimately applicable.

• Facilities for Foreign Investment (FDI): The Department of Land clarifies that there is no problem regarding land ownership rules in FDI as applications are mostly in the form of Government land leases granted for appropriate durations (15-30 years). This leasing provides temporary ownership rights to investors for the agreed period and can be renewed.

  For example, a foreign company wishing to build a factory will be granted a lease of industrial land for 30 years. This policy ensures that foreign investors do not need permanent land ownership (freehold) - which is indeed not allowed for them - but can still gain long-term land use assurance for their operations. Additionally, government lands gazetted under specific agencies can be offered to foreign investors on a rental basis through those agencies. This provides government agencies the flexibility to utilize land assets to attract FDI.

• Property Ownership through Strata Title: Through Strata Title, foreign nationals are permitted to own strata-type properties (such as condominiums, apartments or commercial spaces) subject to specific conditions. This means investors or expatriates can purchase strata building units (usually on a 99-year lease) as investments or residences. This step aims to enhance Brunei's attractiveness to foreign investors even though they are not allowed permanent land ownership.

• Initiatives under the Department of Town and Country Planning (JPBD): For the Planning Approval process and development control, the Department of Town and Country Planning implemented various improvements in 2024, which have proven to increase the overall TPOR compliance level from 70% to 82%. Among the improvements implemented are:

  • Online Applications: Planning Approval applications are now submitted online through the provided system. Applicants (or their consultants) can fill out forms and upload plans through the portal. This system is also integrated with modules for obtaining electronic confirmation from related technical departments. A status monitoring ‘dashboard’ is also provided so that applicants can see the current status of actions. This digital approach increases process transparency and reduces unnecessary face-to-face interactions, saving time and cost for applicants.

  • Coordination of processes for additional/modified building plans: JPBD has coordinated the Planning Approval process for building addition and modification projects with ABCi. Previously, applicants had to go through JPBD for planning approval, then to ABCi for building plan approval. Now for minor modifications or additions that do not significantly change planning layouts, these processes are coordinated so that evaluations can be conducted simultaneously. ABCi and JPBD share information and may conduct joint site inspections for certain cases, so decisions can be expedited. This means the overall approval time for building additions/modifications can be shortened because the process runs in parallel.

  • Organizing Development Clinics: JPBD consistently organizes "Development Clinics" to assist applicants, architects, and landowners in directly discussing with planning officers the issues of their applications. It provides space for applicants facing problems or delays to get clarification and advice directly. For example, if a plan is rejected because it does not meet guidelines, applicants can come to the clinic, and officers will explain what needs to be corrected. This approach is very helpful in resolving issues quickly and avoiding long delays of applications due to problems that can actually be resolved through direct communication.

  • Status review platform & SMS notifications: Alongside the provision of an online dashboard for application status review, JPBD has introduced an SMS notification service. This ensures applicants are always aware of their application status without needing to call or visit the office, thus enhancing customer satisfaction.

  • Regular technical meetings: JPBD also holds regular meetings with technical departments through the Development Control Committee platform to discuss any arising issues related to applications or complaints. In these meetings, if there are complaints or difficult application cases requiring mutual agreement, they can be discussed and decided collectively. For example, infrastructure route issues involving government land can be directly coordinated between the Department of Land and JKR in the meeting.

  • Monitoring and Intervention on Delayed Applications: JPBD has introduced a special monitoring mechanism for applications exceeding three months without follow-up action by the applicant. These application listings will be reviewed and officers will contact the applicant to identify the next steps. Should the applicant face particular problems, JPBD will consider appropriate intervention steps to resolve the issue. The main aim is to avoid backlog applications that remain too long without resolution which can ultimately affect service delivery statistics. With this more proactive approach, JPBD can ensure the majority of active applications are resolved within a reasonable period or removed from the system if no longer pursued by the applicant.

In conclusion, the improvement initiatives implemented in the Ministry of Development demonstrate the ministry’s support towards the ease of doing business agenda. Through process digitization, service integration, bureaucracy reduction, and enhanced communication with customers, services such as building approvals, land affairs, and planning permissions are now more efficient and user-friendly. This will directly assist Brunei Darussalam in improving its position and reputation as a favorable investment destination. Measures like shortening building permit approval time and facilitating property ownership for foreign investors also contribute to efforts to attract Foreign Direct Investment (FDI) to the country. InsyaAllah, the Ministry of Development will continue to monitor public and industry feedback on existing systems and is ready to undertake continuous improvements to ensure every process under its responsibility is effective, efficient, and prompt as desired.