The four state governments under the SG4 coalition, Kelantan, Terengganu, Kedah and Perlis, have jointly declared their rejection of the Urban Renewal Act (URA), scheduled for its second reading in Parliament on Aug 27.
The joint statement was signed by Kelantan Menteri Besar Mohd Nassuruddin Daud, Kedah Menteri Besar Muhammad Sanusi Md Nor, Terengganu Menteri Besar Ahmad Samsuri Mokhtar, and Perlis Menteri Besar Mohd Shukri Ramli.
They argued that if passed, the URA which applicable in Peninsular Malaysia and Labuan, would undermine state autonomy, land ownership rights, the continuity of urban communities, and the fundamental rights of local residents.
The SG4 leaders stressed that the existing Town and Country Planning Act 1976 (Act 172) already grants states full authority over planning matters through State and Local Planning Authorities, while also respecting local culture and development priorities.
They also warned that URA lacks clear mechanisms for compensation and protection of original landowners, raising concerns that it may disrupt Bumiputera property ownership and racial balance in urban areas.
“Without clear mechanisms, URA risks widening social divides in cities and threatening national harmony,” the statement read.
They added that existing laws, including the National Land Code, Land Acquisition Act 1960, Strata Titles Act 1985, Local Government Act 1976, and Town and Country Planning Act 1976, are sufficient to address redevelopment and regeneration without introducing a new URA.
“Therefore, SG4 states unanimously reject the Urban Renewal Act 2025,” the statement concluded.
