Sun, 5 Apr 2026
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Permit fee hike burden for businesses: Warisan
Published on: Saturday, March 14, 2026
Published on: Sat, Mar 14, 2026
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Permit fee hike burden for businesses: Warisan
Chin said many business operators complained that licence fees in Penampang were abruptly increased beginning 2026, with some cases by more than 100 per cent.
Kota Kinabalu: Kapayan Assemblyman Chin Tek Ming called on the State Government to suspend implemen-tation of the Uniform (Licensing of Premises for Commercial, Trade, Industrial and Professional Purposes) By-Laws 2022 to ease the burden on local businesses.

Chin said many business operators complained that licence fees in Penampang were abruptly increased beginning 2026, with some cases by more than 100 per cent.

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“There is widespread concern and dissatisfaction within the business community,” he said, particularly small traders and small and medium enterprises (SMEs).

“While I understand that local authorities require sufficient financial resources to maintain infrastructure and improve public services, any policy adjustment that affects business costs should be implemented gradually and with full consideration of the prevailing economic conditions and the financial capacity of business operators.

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“Many businesses are already facing multiple operational pressures, including the implementation of the e-invoicing system, rising labour costs, increasing daily operating expenses and fluctuations in fuel prices. 

“Under such economic circumstances, a sudden increase in licence fees will only further burden business operators,” he said in a letter sent to the State Minister of Local Government and Housing on Friday.

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He stressed that when introducing any policy that directly affects finances, the government must carefully consider the realities faced by the local business community, particularly small traders who form the backbone of both urban and township economies.

He also suggested that during the review process, the authorities should actively gather feedback from the business community in order to formulate a more reasonable and sustainable fee structure.

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“In the meantime, the previous licence fee rates should continue to be applied so that the relevant authorities can carry out a more comprehensive review,” he added.

In addition, he said that for businesses that had already paid under the new fee structure, the authorities should consider refunding the excess amount collected or making appropriate adjustments to ensure that administrative measures comply with principles of fairness and good governance.

Chin said that a government that truly cares about the people must ensure that its policies do not impose excessive burdens on honest business operators who are striving to sustain their livelihoods, especially in the face of continuing economic challenges.

He hoped the State Government would give due attention and serious consideration to the proposals in order to safeguard the stability of local businesses and the community economy.
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