KAES 4143: ENVIRONMENTAL IMPACT ASSESSMENT

Semester 1 – 2014/2015

Department of Civil Engineering, University of Malaya

Challenges of EIA Implementation in Malaysia

Name : Chin Ren Jie

Matric No. : KES 110003

Lecturer : Associate Professor Dr. Sumiani Binti Yusoff

Challenges of Environmental Impact Assessment (EIA) Implementation in Malaysia by Chin Ren Jie

Abstract

About twenty years ago, Garrett Hardin, an American ecologist, had alerted the world

about the dangers of overpopulation through the tragedy of the commons in a famous

1968 paper in Science (Hardin, 1968). The commons worldwide are competing to

develop and becoming more and more advance. The populations in the world increase in

exponential rate, thus the danger of overpopulation become more alarming. Thus,

Environmental Impact Assessment may be one way to rationally manage the resources in

proper way. Environmental Impact (Memon, 2002)Assessment (EIA) plays an important

role in balancing the environmental factors and new proposed development projects, for

minor structures as well as major structures. In Malaysia, Environmental Quality Act

1974 (EQA) was enacted and Department of Environment (DOE) was established to

implement the EQA. In 1976, under the 3rd Malaysia Plan (TMP), the importance of EIA

was realized and introduced. This is due to at the same time with the highly advanced

development which brings lots of benefits to economics, various environmental impacts,

either serious or minor and cumulative environmental degradations are aroused. This

paper includes background of EIA in Malaysia, the problem statement, the objectives of

the article, literature review on definition of EIA, role of EIA, quality control mechanism

of EIA in Malaysia, EIA issues in Malaysia and challenges of implementation of

Environmental Impact Assessment (EIA) in Malaysia.

Introduction

1.1 Background

Environmental Impact Assessment (EIA) plays a role as a legal tool starts at year 1969

where the NEPA (National Environmental Policy Act) was introduced and established in

USA. The procedures in Malaysian EIA are comparable to the National Environmental

Policy Act 1969 (NEPA) model in the United State. According to recent amendments to

the Environmental Quality Act 1974 (Prescribed Activities) (Environmental Impact

Assessment) Order 1987, it is mandatory for environmental impact assessment (EIA) to

be carried out for specific activities. There are 19 categories of prescribed activities,

namely agriculture, airport, drainage and irrigation, land reclamation, fisheries, forestry,

housing, industry, infrastructure, ports, petroleum, mining, power generation and

transmission, quarries, railways, transportation, resort and recreational development,

waste treatment and disposal, and water supply. The activity which requires EIA

according to project size is shown in Table 1. However, the Environmental Quality

(Prescribed Activities) (Environmental Impact Assessment) Order 1987 enacted is

applicable in Peninsular Malaysia. For Sabah and Sarawak, both state governments apply

their own rules and regulations, where Conservation of Environmental Enactment, 1996

(Amendment, 1999) (CEE) for Sabah and Natural resources and Environment Ordinance,

1949 (Amendments 1993 and 1997) (NREO) for Sarawak.

Table 1: Activities Subject to EIA (Activities Defined by Project Size)

Project Size Unit Activity5000 Hectare Irrigation schemes500 Hectare Land development schemes to bring forest into agriculture

production500 Hectare Development of agricultural estates involving changes in

types of agriculture

500 Hectare Logging400 Hectare Construction of dams and hydroelectric power scheme

reservoirs250 Hectare Mining of mineral in new areas200 Hectare Construction of dams and man-made lakes and artificial

enlargement of lakes200 Hectare Construction of dams or impounding reservoirs100 Family Agriculture programmer necessitating resettlement100 Hectare Drainage of wetland, wild-life habitat or virgin forest80 Room Construction of coastal resort facilities or hotel50 Hectare Coastal reclamation50 Hectare Land-based agriculture project accompanied by clearing of

mangrove swamps forest50 Hectare Conversion of hill forest land to other land use50 Hectare Conversion of mangrove swamps for industrial, housing or

agriculture use50 Hectare Housing development50 Hectare Industrial estate development for medium and heavy

industries50 Hectare Sand dredging50 Hectare Hill station resort or hotel development50 Kilometer Construction off-shore and on-shore pipeline40 Hectare Construction of dams and hydroelectric power schemes with

dams over 15 meters high2.3 Kilometer Construction of airport

Sources: Department of Environmental Malaysia (Environmental Quality

(Prescribed Activities)(Environmental Impact Assessment) Order 1987)

1.2 Problem Statement

There are different EIA systems applied to development projects in Peninsular Malaysia,

Sabah and Sarawak. Without a centralized and uniform rules and regulations

enforcement, it is quite hard and a big challenge for Federal Government to actually

implement the EIA throughout the whole Malaysia. Furthermore, “command and

control” approach is applied in the pollution control law in the form of statutes and

regulations in Malaysia (Ali Memon). Thus, it creates an opportunity for the irresponsible

parties as well as companies to avoid from preparing EIA reports to get approval from

authorities before any development projects.

1.3 Objectives

The aim of this article is to study the challenges of EIA implementation in Malaysia on

the development projects in order to find a balance between the environment

conservation and preservation and the development process. Also it is aimed to suggest

some measures to improve the implementation of EIA in Malaysia. In order to achieve

the goals, the objectives are as follow:

i. To study the history of EIA in Malaysia.

ii. To study the quality control mechanism in Malaysia.

iii. To study the issues related to implementation of EIA in Malaysia.

iv. To suggest some measures to improve the implementation of EIA in Malaysia.

Literature reviews

2.1 Definition

There are various definitions for Environmental Impact Assessment (EIA) given by

different parties based on their different views and understanding about EIA.

Environmental impact assessment in (Munn, 1979) is defined as a need “to identify and

predict the impact on the environment and on man’s health and well-being of legislative

proposals, policies, programmes, projects and operational procedures, and to interpret and

communicate information about the impacts”. (Wathern, 1988) defines EIA as “a

process having the ultimate objective of providing the decision-makers with an indication

of the likely consequences of their actions” (Canter, 1996) defines EIA as “the physical-

chemical, biological, cultural and socio-economic components of the total environment.

Department of Environment Malaysia defines EIA as study to identify, predict, evaluate

and communicate information about the impacts on the environment of a proposed

project and to detail out the mitigating measures prior to project approval and

implementation. In a nutshell, generally, EIA can be concluded as a system that is

required before starting any development projects in order to get the balance between

development and environmental conservation. In Malaysia, the EIA report is a must if the

project size excess the limit as stated in the Environmental Quality (Prescribed Activities)

(Environmental Impact Assessment) Order 1987.

2.2 Role of EIA

Environmental Impact Assessment (EIA) plays an important role as planning tool in

development. Its main purpose is: “to give the environment its due place the decision

making process by clearly evaluating the environmental consequences of a proposed

activity before action is taken. The concept has ramifications in the long run for almost

all development activity because sustainable development depends on protecting the

natural resources which is the foundation for further development” (Gilpin, 1995).

Environmental Impact Assessment (EIA) is necessary for developed countries as well as

developing countries. Nevertheless, the procedure and practice of EIA for different

nations vary in different ways, for instance climate, ecology, resources, political and

administrative system, social and cultural systems, and the level and nature of economic

development (Lee N & George C, 2000). Following the step of United Stated, most of the

nations in the world introduce their own EIA regulations with detailed legislation which

is applied to the development projects that will cause significant impacts and influences

irrespective of the source of funding (Ortolano L. & A. Stepherd, 1995).

2.3 Quality Control Mechanism in Malaysia

In order to determine the effectiveness of EIA system, different types of mechanisms to

control the quality of an EIA system are applied which are legislative control, procedural

control, evaluative control, professional control, public/relevant agency control,

administrative control, judicial control, follow-up control and international control. There

are some arguments stating that the EIA can operate effectively without such

mechanisms. However, with the presence of such mechanisms, the process will be

transparent, any shortcomings as well as defects will be clearly reflected and the system

will be less open to abuse (Dr. Wen-Shyan Leu, Dr. W. P. Williams& Dr. A. W. Bark,

1997). Table 2 shows the summary analysis of quality control mechanisms in the

Malaysia.

Table 2: Summary Analysis of Quality Control Mechanisms in Malaysia

Quality control mechanisms MalaysiaLegislative control The legal basis for EIA was set out in 1985

Guidelines for the procedure in general are available

Lack of EIA technical guidelinesProcedure control Formal stages for scoping, public participation

in detailed assessment, but not in preliminary assessment.

Evaluative control Independent EIA review by EIA Review Panel for detailed assessment, but not for preliminary assessment (majority of EIA cases).

Professional control Regular EIA training organized by the INTAN (Institut Tadbiran Awam Negara) and relevant professional NGOs.

The DOE maintains a database of consultants for the use as references.

Public/Relevant agency control More channels available in detailed assessment, but limited in preliminary assessment (majority of the EIA cases).

Administrative control The DOE is the core agency for development and management of EIA system.

The Appeal Board has not yet been set up.Judicial control Non-existent.Follow-up control Implementation at state level as not been

effective due to lack of manpower and resources.

Instrumental control The Governmental shows a strong resistance to international pressures.

Sources: Adopted and Modified from “Table 2. Summary of analysis of quality

control mechanisms in the case-study countries” (Dr. Wen-Shyan Leu , Dr.

W. P. Williams & Dr. A. W. Bark, 1997)

2.4 EIA Issues in Malaysia

There are lots of EIA issues and problems have been identified in Malaysia. According to

(Harun, 1994), issues and problems which are comparable to those in other developing

countries, include:

Lack of awareness of the strength of EIA as a planning tool. Many still perceive

EIA as a stumbling block to development.

Perception that carrying out on EIA study would delay project approval and

implementation.

EIA not carried out prior to final project design, so that issues such as siting and

technology are not considered.

Lack of base-line data on environmental quality.

Poor prediction of impacts.

Limited public participation.

Taking an example, an area located at near Paya Indah Wetlands, Sepang which was

already gazette as “Rizab Tanah Lembab Negara” in Selangor. EIA approval should be

applied for digging of sand is 50 hectares or more as stated in the regulations, thus the

relevant parties put aside and avoid themselves from preparation of EIA reports by

developing a land with only 20 hectares instead of 50 hectares. “Truth to do sand mining

activity given that in the area without EIA approvals standard due to land area less than

50 hectares” (Berita Harian Online). However, statement states that “activity are involved

is already ratted on condition because the area has been dug and dug as deep as about 60

meters” (The Malaysia Insider, 18 January 2011). Nevertheless, those areas are certainly

contaminated and it is surprising that there has no broadly buffer zone at least 20 meters

from border area next to Paya Indah Wetlands where the evidence is the survey made by

“Persatuan Percinta Alam Sekitar”.

In Malaysia, based on the article 74 of the Federal Constitution, the issues regarding the

land, rivers, forests, local government, and town and country planning are within the

jurisdiction of the respective State Authority. Thus, each state has their own laws on the

items as listed in the State List in the Federal Constitution. What the adverse impact of

the above scenario is that there is lack of uniformity and cause the weakness of

environmental regulations in certain areas. For instance, the most current issue that

reflects the controversy surrounding the powers of Federal State agencies during the

submission of the proposal for construction is the Bakun Hydroelectric Dam (“Bakun

Dam”) in Sarawak (Jaria, 2005)There is a conflict that the Bakun Dam construction will

follow the rules and regulations under EQA 1974 which is federal environmental

legislation or be governed by Sarawak State law, called Natural Resources Ordinance

1949. Based on the existed EIA federal, it is a requirement that the project developer to

make the EIA report public consultation before the approval of EIA report. However, the

existed Sarawak State Legislation excludes this requirement. The division of powers

between the federal and state government causes the overall planning for environmental

management become complicated and ineffective. Quoted from (Safruddin, 1988), it is

the interaction between design and process and consequently between the competing

interests that defines centre-state relations in Malaysia.

Discussion

From the view of the observers either local or foreign, environmental rules and

regulations of Malaysia is one of the best among the nations in the world. Ironically, the

effective of the existed legislation is quite unimpressive due to some challenges.

3.1 Lack of enforcement

In Malaysia, the power over the land uses and the natural resources is belonged to the

State government. Although Department of Environment (DOE) is the agency with given

responsibility to implement the EIA, it is quite hard to have regular enforcement of law

due to the lack of uniformity of the existed law. Also, the environmental regulations and

rules are based on “command and control” approaches. It is stating clearly in the

environmental rules and regulations, the penalties and fines along with imprisonment will

be charged on the case where the occurrence infraction of the legal provision. However,

there is a lack of strictly implementing mandatory requirements for EIA, for instance,

without using the power on fine imposing to the development project which brings

adverse impacts on environment and sosio-economic or undergoing an EIA report.

Moreover, the developers realized that the responsible authorities do not take strictly

action and the existing penalties for breaking the law is quite low. Thus due to lack of

enforcement machinery, irresponsible parties abuse this opportunity to carry out EIA

after purchasing of land or even after starting the construction projects. All this type of

irresponsible attitude cause the EIA down-graded as a formality only.

3.2 Lack of coordination among related parties

It is a common phenomenon that there is lacking of coordination between the consultants,

EIA proponents, DOE, planners and decision-makers. The weak coordination among the

relevant parties will lead to ineffective scoping, impact assessment and also the

consideration of the concerned departments’ views in the EIA report. Consequences is

that the formation of obstacles in the implementation of environmental regulations

effectively. Also, as an initiative to prevent critism, disagreement, and controversy in

conducting all interpersonal relations in a smooth and unthreatening manner, Malaysians

adopt the Southeast Asian style of dealing with unpleasant or dangerous situations which

is avoidance and silence, repressing the emotions with the hope that the problem will

disappear if matters are smoothed over (Lucian W. Pye & Mary W. Pye, 1985). In a

nutshell, without a good and systematic coordination between all relevant parties, the

implementation of EIA will be failed and hardly to reflect its role and function in

sustainable development.

3.3 Lack of review and poor quality EIA report

In Malaysia, it can be concluded that most of the EIA report is quite poor in their quality

and unsatisfactory. The lack of EIA technical guidelines is the major cause of the

problem. Furthermore, in majority EIA cases, there are formal stages for scoping, public

participation in the detailed Environmental Impact Assessment (DEIA) but not for

preliminary Environmental Impact Assessment (PEIA). For DEIA, independent EIA

review will be done by EIA Review Panel. Detailed Environmental Impact Assessment is

required in certain fields such as dams and reservoirs, resettlement and urban

development, infrastructure, industrial facilities, energy and mineral extraction, waste

management and disposal of hazardous and toxic material, and energy development.

Since DEIA is more easily to be assessed by public or relevant agency, it may not create

a big problem, but for the PEIA which has only limited channels to be assessed, there is a

chance that there are defects in PEIA which are not realized. Thus, the lack of expertise

and limited resources with executing authorities will result in inferior decision making.

3.4 Lack of public awareness

Public involvement plays an important role and is a mandatory at various stages of EIA

such as screening, scoping, report preparation and decision making (Wood, 1995). Most

of the developed or developing nations in the world encourage the public involvement in

EIA. However, in Malaysia, the public awareness about the importance of EIA is still

very poor and unsatisfactory. Rarely, public involve themselves in the planning and

decision making. This may due to the lack of exposure to the knowledge in the field of

EIA. Therefore, yet to be evaluated, the significant of public involvement in Malaysia

EIA system.

3.5 Poor implementation of mitigation methods

There are shortcomings in implementation of EIA due to the lack of enforcement

machinery and environmental authorities. Furthermore, the role of government is very

important in the implementation of EIA. The environmental management, conservation

and preservation issues in Malaysia, including EIA implementation is evidently low. At

the 1989 Commonwealth Heads of Government Meeting in Malaysia, the outcome

document “Langkawi Declaration on Environment” stated, at Malaysia’s insistence, that

environmental concerns should not be used to introduce a new form of condition on aid

and development financing, nor as a pretext for creating unjustified barriers trade (Dr.

Wen-Shyan Leu, Dr. W. P. Williams& Dr. A. W. Bark, 1997). Thus, government should

put attention and have a look on the importance and benefits of EIA implementation in

order to find a balance between the environment management with the development in

order to achieve Vision 2020.

4. Conclusions and Recommendations

Malaysia is a developing country equipped with one of the best sets of environmental

regulations, having several of developing projects in order to achieve Vision 2020 and

become an advanced country in the eye of the world. The EIA system in Malaysia is

evolving steadily, unfortunately, there are several weakness found in the system in

implementation as well as the actual practice. The lack of enforcement, lack of expertise

limited technical and financial resources, weak coordination among the relevant parties,

and lack of public awareness in participating in EIA will stunt the implementation of EIA

system in Malaysia. Therefore, the effect of EIA on the development projects in the

Malaysia is still very weak.

In order to improve the implementation of the EIA system in Malaysia, lots of

efforts and initiatives need to be taken. Different parties such as governmental agency,

NGO, consultant, EIA proposals, planners, decision-makers, media, and public should

play their own roles well without fail in order to strengthen the EIA system in Malaysia.

The measures stated in the following may help to improve and enhance the efficiency in

implementation of EIA.

Enactment of existing law. For example, increasing the year of imprisonment to

the highest administrators of the development projects where the infraction of

legal provision is found and give a high amount of fining plus a penalty by

banning the related company from carrying such development activities for few

months or even few years.

Enforcement of the existing law. Strictly enforcement is required to the current

development projects. The relevant departments should train and make sure the

officers carry out their roles assigned well without fail. Since there are some

controversy between the federal environmental legislation and State Law of

Sabah and Sarawak , the relevant departments or the authorities may discuss and

try to come out with a suitable solution, i.e. a uniform and centralized

environmental act, so that there will not be any dispute.

Good coordination between the relevant parties such as EIA proponents,

consultants, DOE, planners and decision-makers. With the strong interaction

between the relevant parties, lots of conflicts or problems can be solved. A good

quality of EIA report can be produced and thus the sustainable development can

be realized.

Encourage public involvement in EIA system. Public awareness about the

importance of involvement of public in EIA can be improved through running

some awareness campaign as well as through the exposure of media either from

traditional media such as newspapers, journals or the advanced media such as

internet sources, social networks like Facebook, Twitter and others. The

knowledge about the EIA should be given the public starting from school.

Through the initiative, the young generation will have at least some exposure

about EIA, so that they can participate in the implementation of EIA in Malaysia.

Government role. The government should encourage the sustainable development

and aware of environmental issues caused by the development projects. Approval

of any development projects must be done based on the complete EIA reports.

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