KUALA LUMPUR, Dec 13 — Penang’s emphasis on transparent governance has led to the creation of a budget-based administration that produces results with only a fraction of the money spent by the federal government on Kuala Lumpur, state Chief Minister Lim Guan Eng said today.

Comparing the Penang City Council (MPPP) to the Kuala Lumpur City Hall (DBKL), Lim (picture) pointed out that the former had spent only RM194 million for this year compared to the latter’s RM1.4 billion although Penang’s population is just a third of the capital city.

“For 2013, the spending based on the population is RM176 for each resident under the MPPP while DBKL spent RM907 for each of its residents. Therefore, the per capita spending of MPPP is five times smaller than DBKL’s,” Lim said in his winding up speech in Penang’s firs state assembly sitting for the new term.

“From the spending based on size for each square foot per kilometre, MPPP spent RM258,977 while DBKL spent RM5.8 million, that is 22 times more than MPPP. This comparison clearly shows Penang has succeeded in upholding the principle of value for money and spend less more”.

Lim added that his administration immediately undertook the effort to practise prudent financial management under its flagship CAT (efficiency, accountability, transparency) policy immediately after taking over the previous Barisan Nasional government in 2008.

He also noted that his administration has consistently received accolades from the Federal Audit Department for its sterling financial performance and governance.

Lim’s comparison of MPPP and DBKL’s spending followed uproar over the latter’s controversial plan to raise property assessment rates in the city between 100 and 250 per cent to their land valuation by next year.

The move has sparked protests from city residents who are scheduled to march to DBKL headquarters here to voice their opposition against the rate hike.

The notice did not state that DBKL is also considering a revision of the assessment rate, which is six per cent for residential properties, and 12 per cent for commercial.

Federal Territories Minister Datuk Seri Tengku Adnan Mansor, however, has urged the group to avoid the gathering he accused opposition lawmakers of encouraging.

The federal territories minister pleaded with residents to instead send their objection letters against the planned assessment rate increase via post or email, before the Tuesday deadline.

“They don’t need to gather,” Tengku Adnan told reporters after a function at the DBKL training institute here today.

But opposition lawmakers have insisted that the Monday gathering is not a demonstration, but is merely to help facilitate residents in sending in their objection letters.

City police said yesterday that they would not prevent residents and property owners from heading to Menara DBKL to submit their letters on Monday.

Tengku Adnan has previously confirmed that KL property owners will not be penalised for paying old assessment rates until the quantum of the city’s proposed tax hike is announced by March.