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INTRODUCTION Privatisation has a number of objectives.

First, it is aimed at relieving the financial and administrative burden of the Government in undertaking and maintaining a vast and constantly expanding network of services and investment in infrastructure. Second, privatisation is expected to promote competition, improve efficiency and increase the productivity of the services. Third, privatisation by simulating private entrepreneurship and investment is expected to accelerate the rate of growth of the economy. Fourth, privatisation is expected to assist in reducing the size and presence of the public sector with its monopolistic tendencies and bureaucratic support, in the economy. Fifth, privatisation is also expected to contribute towards meeting the objectives of the New Economic Policy (NEP), especially as Bumiputera entrepreneurship and presence have improved greatly since the early days of the NEP and they are therefore capable of taking up their share of the privatised services. A research park is a research facility that is often linked with a major research university. Usually the research park exists to create linkages between the university, industry and the community. Combining the knowledge assets of a community with local business expertise in order to create high-paying jobs is the main reason of research parks. PROBLEM STATEMENT National innovation strategies invariably emphasize the importance of partnership between industry, government and universities in developing and implementing innovation strategies that can minimize the lead time from discovery to market. Research parks not only sit at the nexus of these partnerships but also provide services for developing such partnerships. They also provide the means for transferring technologies created from academic research that can enable start up businesses develop new marketable products and services. One of the benefits of privatisation is efficiency and productive. The services and management of privatized entities improved significantly as evidence by increase in the efficiency and productivity indicators of selected entities. This was due to upgrading of facilities by these companies which were also able to acquire new and modern technology, expanded capacity and service network, fostered changes in management and organization, as

well as inculcated positive attitude among their employees. In addition, privatisation also led to faster implementation of projects, particularly highways and ports. In this regard, the construction of the Port of Tanjung Pelepas in Johor was completed six months ahead of schedule. The privatisation programmed also give benefits to the public as the facilities provided through privatisation were made available earlier than they would have been if they were to be undertaken by the Government. This was due to the limited resources on the part of the Government. The public also benefits through the provision of more efficient and wider coverage of services. The introduction of rail services such as Keretapi Tanah Melayu Berhad (KTMB) Commuter Services, Light Rail Transit System I (LRT-STAR) and LRTSystem II (LRT-PUTRA) provided a fast and efficient alternative transportation system in the Klang Valley. These rail services reduced travelling time and contributed to the alleviation of the urban traffic congestion. To increase ridership, park-and ride facilities and covered walkways were also provided. The ridership of the KTMB Commuter services showed a positive trend since the start of commercial run in August 1995. The ridership of LRT-STAR increased from 20,000 passengers per day in 1997 to an average of 85,000 passengers per day by the end of 2000, while the ridership of LRT-PUTRA increased from an average 15,000 passengers per day in 1998 to nearly 120,000 passengers per day by the end of 2000. The significant rise in the ridership signalled an increase in public acceptance of the use of rail services, particularly in urban transportation. In addition, the Government also benefited from the privatization programme in terms of proceeds from concession payments, corporate taxes and savings from the reduction in public expenditure. A total of 17,442 employees were transferred to the private sector, reducing the government administrative burden. During the Plan period, savings in capital expenditure to the Government amounted to RM 49.3 billion, of which 47.6 percent of the total savings was from the electricity and gas sector. This was followed by the transportation sector at RM 15,155.4 million or 30.7 percent. Although the construction sector had the largest number of privatized projects but it only accounted for RM 7,896.1 million or 16 percent of total savings.

Although, the privatisation have many advantages but there are also have some potential problems of privatisation. One of the problems is natural monopoly. This problem will occurs when the most efficient number of firms in an industry is one. For example tap water has very significant fixed costs. Therefore there is no scope for having competition amongst several firms. Therefore, in this case, privatisation would just create a private monopoly which might seek to set higher prices which exploit consumers. Therefore it is better to have a public monopoly rather than a private monopoly which can exploit the consumer. Next problem is about the public interest. There are many industries which perform an important public service as example of health care, education and public transport. In these industries, the profit motive should not be the primary objective of firms and the industry. For example, in the case of health care, it is feared privatising health care would mean a greater priority is given to profit rather than patient care. Also, in an industry like health care, arguably we do not need a profit motive to improve standards. When doctors treat patients they are unlikely to try harder if they get a bonus. OBJECTIVES The aim of this project is to look at the long term period. The specific objectives are as follow: i) ii) iii) To contribute the implementation of regional and national strategies for economic development. To contributed towards promoting Bumiputera participation in business and commerce. To turn the Kajang municipality area into the centre for innovative and high added of industries. MANAGEMENT PLAN The Research Park is home to a number of nationally and internationally recognized and respected tenants who conduct research in the fields of public health, agriculture, transportation, technology development, and engineering. The existence of the Research Park

is very good because it having a close relationship in terms of academic and technical. Other than that, it should prioritise a formal relationship with a university or institute of higher learning. Furthermore, the area of Kajang is surrounded by universities and research centres. So it can turn the municipality into centre for innovative and high value added industries. For this research park, the permitted plot ratio is between 0.25 up to a maximum of 0.4. It is because the strategy of land use by encouraging land development that is optimum to support a vision towards A World Class City. The development of the Innovative Research Park is an exciting opportunity to redevelop the stadium into a vibrant new neighbourhood in an environmentally sustainable manner. This Research Park is constructing to build a collaborative and collegial environment for academic, government and industry research and development. It also can build an urban neighbourhood to facilitate interaction, creativity and innovation. The mission of this Innovative Research Park is to develop and sustain an environment that facilitates and accelerates innovation, the transfer of knowledge and the commercialization of research resulting in economic and social development. Other than that, it wants to encourage successful collaboration amongst private sector, government, hospital, university and college researchers and educators. With the availability of this project, it will has global reach resulting in regional prosperity educates and excites the community about the vital role of the university in the innovation process. So, this project also will educate and excites the community about new developing technologies and the jobs and prosperity they bring. DEVELOPER RESPONSIBILITIES Privatization demands a change in the ownership, management and operation of a public sector enterprise through the legal nature of the enterprise. Such transformation creates considerable confusion in less developed economies because of the weaker implementation rules. There is having a few responsibilities of the developer. One of them is the developer should be responsible to construct a new stadium for public use. So, the people who always use the stadium will not have a bad feel for this project. Next, the developer should construct infrastructure networks surrounding the development. Then, upgrade and maintaining the road infrastructure the surrounding the development. So, it can reduce the traffic congestion in that area.

KAJANG MUNICIPALITYS RESPONSIBILITIES The Kajang municipality also should be responsible for this privatisation. One of them is the Kajang municipality should transfer of the land title to the developer with a reduced price. It is because the developer already responsible to construct new stadium and other facilities surrounding areas. Then, Kajang municipality should give assistance to get the necessary approval. CONCLUSION The primary rationale for privatisation is based on the argument that privatisation increases efficiency. Thus, it is implied that welfare will be maximised with privatisation. Privatisation is undertaken to reduce government involvement in business, which is done to avoid the crowding-out of private sector investments and to reduce the costs of government intervention in business. However, the privatisation record in Malaysia shows that the government involved itself in business in different ways: it continued to intervene, but perhaps less directly. The privatization programme will continue to be implemented as it has contributed to increased efficiency and productivity of the privatized entities and consequently, benefited the public and spur economic development. Emphasis will be given to viable projects that have high multiplier effects and at the same time, meet social objectives. Steps will be undertaken to further strengthen and streamline the implementation process as well as the regulatory framework, to ensure the effectiveness of the privatization programme.