Answer to Oral Question PL197

QUESTION

Yang Berhormat Dayang Hajah Rosmawatty binti Haji Abdul Mumin

YANG BERHORMAT DAYANG HAJAH ROSMAWATTY BINTI HAJI ABDUL MUMIN asks the MENTERI DI JABATAN PERDANA MENTERI to state what the Ministry’s plans are to introduce Tekad Pemedulian Orang Ramai (TPOR) and compensation clauses as well as administrative action against ministries that fail to resolve complaints and also to introduce an advance payment system with strict accountability controls to assist entrepreneurs in managing initial costs and ensuring the continuity of cash flow?

ANSWER

Yang Berhormat Menteri di Jabatan Perdana Menteri

Yang Berhormat Yang Di-Pertua

بسم الله الرحمن الرحيم
السلام عليكم ورحمة الله وبركاته

i) Kaola would first like to express thanks to Yang Berhormat Dayang Hajah Rosmawatty binti Haji Abdul Mumin.

ii) Touching on Tekad Pemedulian Orang Ramai (TPOR), for the Treasury Department, the TPOR for approving payments to vendors is 15 working days, and it is the Department’s commitment in ensuring smooth cash flow and fairness in the Government payment process. The achievement of this TPOR depends on the cooperation of all stakeholders in ensuring that requirements and documents are complete and in order, including the internal processes in each Ministry/Department, to ensure the smooth running of the payment process.

iii) The Prime Minister’s Office through the Management Services Department (MSD) carries out continuous monitoring of TPOR achievements and the level of customer satisfaction for Government agencies that deal extensively with the public. In line also with the aspiration to support a conducive and pro-business environment, the monitoring of TPOR achievement by MSD will also focus on the main services of Government agencies related to pro-business, including payment processing services specifically for suppliers/traders. However, what is also important is for heads of department to be equally committed and to have accountability in ensuring that their respective TPORs can be achieved effectively in meeting customer expectations.

iv) Meanwhile, regarding administrative action against ministries that fail to resolve complaints, as is known, audits on the expenditure of Ministries and Departments are carried out by the Auditor General. These audits sometimes include audits on expenditure as well as on the payment process and payment period. If there are complaints involving losses to the Government, appropriate action may be taken against any officers and staff found to be responsible.

v) In addition, MSD also monitors and coordinates complaints related to service delivery including issues such as payment arrears to suppliers. To address complaints of payment arrears, MSD coordinates with the Treasury Department, Ministry of Finance and Economy in ensuring that complaints of payment arrears can be resolved properly.

vi) At the same time, towards strengthening complaint handling in Government agencies, MSD has prepared the Public Complaints Handling System Guidelines which will assist Government agencies as the first responder to act systematically, enhance accountability and ensure that every complaint is handled effectively. MSD has also introduced the Public Service Care platform, so that Government agencies and MSD can assess the effectiveness of services including the level of public satisfaction with the services provided to the public.

vii) In relation to the question on compensation clauses, allow kaola to convey the explanation as shared by the Ministry of Finance and Economy. It is a mechanism that is commonly inserted in contracts or suppliers’ claim invoices. However, this compensation clause must be agreed by both parties either at the time the contract is signed or upon acceptance of the offer. Any supplier that has this clause may claim losses caused by delayed payment by submitting strong supporting evidence. Considering that it is subject to the supplier, the action is likewise subject to the respective supplier.

viii) In relation to advance payments, this method has been used for several specific projects that require advanced payment, particularly for mobilization payments and for projects that have high risk, which will be considered on a case by case basis. However, for small-scale projects managed by small and medium enterprises (SMEs) that require advance payment, it is recommended to seek assistance through certain agencies such as BEDB and relevant financial institutions that provide financial assistance or advance or startup financing.

Thank you Yang Berhormat Yang Di-Pertua.