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Good Governance in Malaysias Integrated Solid

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 Proceedings of ICoPS & ISyGES 2015

Good Governance in Malaysias Integrated Solid Waste

Management- Challenges in Policy Implementation towards the
Public

Halimah Ismail and Hardev Kaur

Faculty of Administrative Science & Policy Studies

Universiti Teknologi MARA (UiTM)
Shah Alam, Selangor, Malaysia

Abstract

The lack on an integrated approach to solid waste management has been deemed
as the root cause of Malaysia's current inefficient and ineffective solid waste
management system. As a result it has pushed solid waste management to the fore
as one of the main challenges Malaysia faces in the 21st century (S.T. Tan; H.
Hashim; C.T. Lee; J.S. Lim; K.D. Kanniah, 2013). Apart from that, the increased
quantity of waste generated has changed the composition of waste in our country.
Based on the 9th Malaysia Plan (2005-2010), it has been reported that 47% of
waste generated is from food, 24% from plastic, 7% from paper and 6% from iron
and glass. Thus a more integrated approach which focuses on good governance
principles in solid waste management needs to be undertaken. An effective solid
waste management program revolves around three main dimensions public
participation, technical and institutional capacity and human and capital
resources. The lack of public participation in activities such as recycling,
inefficient technical and institutional capacity and insufficient human and capital
resources are the main challenges the nation faces in achieving an effective solid
waste management system. (Aisyah S. & Noraziah A., 2014). The implementation
of the Solid Waste Management and Public Cleansing Act (Act 672) in 2007 has
been viewed as doubtful and feeble because landfills are still used as the
conservative approach to solid waste management and the recycling rate at
present is far behind the target of achieving 22% in 2020. This paper presents an
insight of the good governance practices needed during the implementation of
solid waste management policies as well as to explain the adoption of an
integrated solid waste management (ISWM) approach in improving the
effectiveness and efficiency of Malaysia's solid waste management.

Keywords: Good governance, integrated solid waste management, new public

service, privatization

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Introduction

Solid waste management is an important part of service delivery and has been highlighted in
Malaysia due to the efforts of the Government in transforming the public service and in its
New Management approach. Effective solid waste management is crucial to ensure a clean
and healthy environment. Efforts have been taken to transform solid waste management
services in Malaysia to enhance the public services delivery and to achieve developed nation
status.

Good governance has been viewed as an important element to promote the national agenda in
developing countries as well as to create a competitive edge at the global level. Many systems
and methods have been introduced to create an effective and efficient solid waste management
system. This is because solid waste management aims to control the volume of waste rather
than its direct disposal to landfills due to of increase in population, limited space for landfilling
and global warming (Jutta Gurtberlet, 2011; Badgie et al, 2012). However, ineffective
implementation of the solid waste management policy has led to dismal rates for Malaysias
recycling initiatives. In 2014, Malaysian's recycling rate stood at only 10.5 percent, which is
far behind that compared to developed countries that have reached over 70 percent (Adrian
Lai, 2013). In fact, it is reported that most of the landfills in Malaysia has been used over the
lifetime capacity which can be extended for two years only. In the developed countries the
lifetime span of landfills are around five to ten years (G.B Lee, 2007)

Thus, an integrated solid waste management system (ISWM) based on good governance
principles had been proposed to help Malaysia achieve the goal of having have an effective
planning and execution program for solid waste management (de Klundert & Justine
Anschtz, 2001; Marshall & Farahbakhsh, 2013).

This paper will seek to examine the challenges and practices of good governance necessary
for the implementation of an integrated solid waste management policy in the country.

Good governance concept in solid waste management

Generally the concept of good governance is to restructure the institutional framework actors
or parties involved in any provisions or policies related with public services in order to ensure
effective implementation of partnership networking in service delivery (Pierre & Peters, 2000;
B.C. Smith, 2007). To practice good governance, several important principles such as

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participation, transparency, accountability, efficiency and effectiveness, rule of law,

commitment and integrity must be adapted by those parties during the policy implementation
process. According to Abdullah Ahmad Badawi (2005); Rachagan S. (2010), good
governance is an important tool in obtaining public confidence and trust towards public sector
organizations through the principles of transparency and accountability in public service
delivery. The role of the public in the New Public Management philosophy in this case is
pertinent. The public are key stakeholders in the public delivery system and more so the effort
to achieve an integrated solid waste management system.

Previously, under the Old Public Administration, the government was seen as the main actor
responsible for the delivery of all public provisions (Janet and Denhardt, 2007; Anantanatorn
et al, 2015). As a result, the government had to face issues of bureaucracy and red-tape that
had reduced the performance level of public services. The process of, good governance
therefore will ensure clarity and prudence in managing the resources for public services and
also to make sure cooperation between government, the public and other related agencies are
maintained.

Good governance encourages participation from all stakeholders (Abdullah Ahmad Badawi
2005; Rachagan S. 2010). This means, the practice of good governance can be successfully
implemented with the participation or cooperation of various stakeholders related with the
services. This could include collaboration between the civil society, government agency and
the private sector that requires them to work towards common objectives, decision making,
and exercising authority and legitimacy (McCarney, Patricia L., Mohamed Halfani and
Alfredo Rodriguez, 1995; F.H. Konteh et. al, 2010). This is because good governance
practices the principle of transparency which requires openness and access to information
from the decision-makers which at the same time can help the public to verify their
performance and compliance to law (Hare Srinivas, 2014). This means that the practice of
good governance would require the participation of the three main actors or stakeholders
which are the public sector, private sector and the community to support the implementation
of policies in delivering effective public services (Bjerkli, 2013).

In discussing on implementation of effective public services, one of the global issues being
discussed by developed countries today relates to public cleansing and solid waste
management services. This is due to the rapid increase in urban population which it also
increases the demand for public cleansing and solid waste management (Halla & Majani,

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2003; Ahmed & Ali, 2006; Nadi Behzad et al., 2011). Another reason is the failure in solid
waste management caused by most local governments inability to provide sufficient solid
waste management services due to the lack of resources, awareness among the citizens,
institutional capacity and inefficiency in terms of bureaucracy (Post, 2004: Myers, 2005).
Therefore, good governance practice is required in order to introduce administrative reforms
in agencies involved in solid waste management and to restructure their institutional
arrangement and to transform their roles and tasks in delivering solid waste management
services (Pierre. J., & Peters B. G. 2000; B.C. Smith, 2007). Another importance of good
governance in solid waste management is that it encourages decentralization of authority as
it givess more power to local level stakeholders involved in solid waste management to make
decisions while at the same time increase accountability and transparency to fulfill locals
needs (S. Cavill and M. Sohail, 2004).

Toward an integrated solid waste management (ISWM)

Malaysia is facing the issue of solid waste management, whereby the amount of waste
generated per year has increased by 3% continuously due to urban migration, affluence and
rapid development (Agamuthu & Fauziah S.H, 2011; JOHARI ET AL, 2014). As shown in
Figure 7, in 2011 over 22,000 tonnes of waste were produced each day as stated in 10th
Malaysian Plan (Badgie, et al 2012).

Figure 1: Relationship between population growth and waste generation per year
(M.F.M Abushammala et. al, 2011)

An effective government strategy is thus required to sustain solid waste management which
requires efficient combination of various components of solid waste management in an
integrated manner. Therefore, a new concept known as Integrated Solid Waste Management

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(ISWM) was introduced to secure the objective (Wateraid, 2008; Jayashree Sreenivasan,
Marthandan Govindan, Malarvizhi Chinnasami and Indrakaran Kadiresu, 2012). The concept
of ISWM has been widely accepted and has emerged in as the solid waste policy used to
promote technically appropriate, economically viable and socially acceptable solutions which
environment friendly to help solve the waste management problems in the cities (Arnold V
Klundert & Justine A., 2001).

As shown in Figure 2, ISWM consists of three major dimensions: (1) the institutional
structure element that make ISWM works as the policy, institution, legal, operational,
financial, social, and environmental aspects, (2) the technical aspects which represent the
current waste management activities from waste minimization/prevention/reduction,
reusing, recycling, composting, incineration and disposal, and last but not least, (3) the
stakeholders or players involved in waste management, which include elements represented
by private or public organizations and individuals or communities in residential areas
(Sherif Arif, 2010; Jayashree et al, 2012). The adoption of ISWM will help to obtain the
optimal combination of institutions to meet the local technology and facilities aspects of
solid waste management activities', and lastly, to educate the local population by creating
awareness on the importance of ISWM (Marshall & Farahbakhsh 2013).

Figure 2: Integrated Solid Waste Management Framework (Arnold V Klundert &

Justine A., 2001)

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Implementing iswm policy in Malaysia

In Malaysia, the development of an integrated and privatized solid waste management

initiative was needed due to the lack of technical and financial capacity by local authorities to
perform the task. Thus beginning from January 1997, the transition of public cleansing and
solid waste management authority that was previously vested in 48 local government units
was transferred to two concession companies which were Alam Flora for the Central Region
and Southern Waste Management for the Southern Region and later, E-Idaman for Northern
Region. The only exceptions are the East Coast Region, Sabah and Sarawak, which are still
under the local authorities' responsibility (Nadzri Yahaya & I. B. Larsen, 2012).

However, major efforts in solid waste management services were only established during the
introduction of a National Strategic Plan for solid waste management in July 2005.
Consequently, within the same year, a National Solid Waste Management Division (JPSPN)
was formed under the Ministry of Housing and Local Government to prepare for the policies,
regulation and strategies of solid waste management. Following the adoption of the National
Strategic Plan, a new structure was set up for integrated solid waste management. A National
Solid Waste Management Department was set up as the regulatory body and the Solid Waste
and Public Cleansing Management Corporation as the operational arm. The corporation took
over the role of managing solid waste from local authorities. Thus, the solid waste
management services that was previously under Local Government Act, 1976; Street,
Drainage and Building Act 1974 placed now under the National Solid Waste Management
Department. The government has also passed the Solid Waste and Public Cleansing
Management Corporation Act 2007 (Act 673) to establish the Solid Waste Management and
Public Cleansing Corporation to administer and enforce the Solid Waste and Public Cleansing
Management Act 2007 (Act 672).

Good governance practices in Malaysias ISWM

Effective practices of good governance in ISWM policy implementation requires planning,

coordination and promotion of an effective workforce and active public to achieve the
objectives (Dye, 2002). In fact, A. Abas & S. Ta Wee (2014) also argue that the most
successful tools during the implementation of ISWM policy are from the involvement of
multiple stakeholders with different roles and tasks to implement solid waste management
activities. The different levels of stakeholders can help the institution to deliver the programs
or activities and can involve interaction with the public. There are three levels of stakeholders

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in policy implementation, which are primary, secondary and tertiary levels of stakeholders.
Primary stakeholder refers to the agency responsible for policy development, enforcement
and implementation. Secondary stakeholder refers to the private sector which participates in
the policy implementation either formally or informally. Lastly, tertiary stakeholder refers to
the people that are supposed to participate and comply with the law or policy (World Bank,
1995).

In Malaysia, primary stakeholder refers to the Solid Waste and Public Cleansing Management
Corporation, or known as SW Corporation. The corporation will cover overall issues
regarding solid waste management and public cleansing that not only include collection of
garbage and construction of landfills. They are also responsible to monitor, supervise and
enforce solid waste management and public cleansing in the country. Currently there are 61
offices nationwide, one headquarters based in Kuala Lumpur, 11/12 state offices as the head
offices and 49/56 state branch offices with more than 900 staff to support the operation. The
corporation is monitored by the Department of National Solid Waste Management under
Ministry of Housing and Local Government which was created to propose policies, plans, and
strategies along with setting standards, specifications and codes of practices and to enforce
the law and regulations, sets guidelines, monitors and gives approval on any legislative
matters regarding solid waste management and public cleansing in the country (Zaini Md
Noor 2010).

The secondary stakeholders refers to the concession companies that has been appointed to run
the daily routine of integrated solid waste management and public cleansing activities that
involves waste minimization/prevention/reduction, reusing, recycling, composting,
incineration and disposal. The establishment of concession companies in Malaysia has been
recognized by local authorities since 1990's. However, due to the funding issue among local
authorities in Malaysia, the concessionaire companies could not fully privatize the solid waste
management services in the South, Central and North parts of the region with the
implementation of Solid Waste and Public Cleansing Management Act 2007 (Act 672). The
concession companies also are responsible for the setting up proper facilities and suitable
machineries for solid waste management and public cleansing (A Abas & S. Ta Wee, 2014).

The last level, the tertiary stakeholders, refers to the public community that receives the solid
waste and public cleansing services. As one of the important stakeholders in ISWM, public
participation is required in order to ensure the activities of ISWM can be implemented such

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as separation waste at source, 3Rs, composting and ensuring collection schedule on-time.
Apart from that, they also can be involved in decisions making and suggestions through
community hearing, forums or through customer service care line (Fatin Syazwina et al 2011)

Challenges in implementation of ISWM policy

In order to strengthen the institutional capital, systems and facilities, as well as public
participation, good governance is crucial to improve the implementation of solid waste
management policies and to ensure the solid waste management sustainability.

Institution is defined as the organization or structure that has authority, rule, law and
regulation which emphasizes the close collaboration between various actors involved in
policy implementation (H.C Tanguilig and V.C Tanguilig, 2009). In ISWM, the institution
has the authority in decentralizing the functions and responsibility with state and local
government, building a management framework and formulating the policies for solid waste
management (Arnold V Klundert & Justine A., 2001). Malaysia has the institutional structure
in place under the Ministry of Housing and Local Government. The National Solid Waste
Management Department was set up as the regulatory body and the Solid Waste and Public
Cleansing Management Corporation as an operational arm for solid waste management
(Nadzri Yahaya & I. B. Larsen, 2012). The department is entrusted with the responsibility to
formulate policies, strategies, action plans and to prepare regulations and agreements as well
as to implement the Solid Waste and Public Cleansing Management Act 2007. The
corporation would take over the role of managing solid waste from local authorities and watch
over the concessionaires. However, local authorities would continue to monitor cleanliness in
areas under their jurisdiction (Latifah, A.M, Mohd, A.A.S, Nur, I.M.Z., 2009)

However, there are a number of institutional deficiencies in the policy implementation of solid
waste management. Studies have shown that the main causes of institutional weaknesses in
solid waste management are the arbitrary roles and functions of institutions involved in
ISWM. This is because there is no single agency designated to coordinate the projects or
activities in the solid waste management system even though institutional strength and
capacity building is a major force in policy implementation (Aisyah S. & Noraziah A., 2014;
A. Abas & S. Ta Wee, 2014). Apart from that, several opposition controlled states such as
Penang, Selangor and Perak have refused to allow full privatization of their solid waste
management services due to increase in operational costs and lack of monitoring over their

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services. In case of Selangor, in 2011 the Selangor government had terminated services with
Alam Flora Sdn. Bhd. and the local councils have reinstated their position as the service
providers of solid waste management services with the help of specific contractors appointed
by them. Thus, these states will not be eligible for every technology or financial assistance
provided by the Act. Section 104 of the Act 672, states that Federal government may exempt
any state from the act if the enforcement of the act is rejected by that state (Rozita A.M, 2013).
Last but not least is the issue of overlapping authority due to redundancy of federal and states
agencies involved in ISWM which have equally important roles (Zeeda & Keng, 2013). Some
of the important procedures in solid waste management that has not been clarified under Act
672 such are land matters, building and drainage are still under the jurisdiction of state and
local governments. Therefore, the federal government is finding it difficult to identify the
owners of private or public lands that dispose solid waste illegally or any matters relating to
landfills.

The second main challenge in implementing ISWM is due to insufficient technical systems
and facilities acquired by concession companies that provide the services. Solid waste
management has been in the limelight especially after the issues of leachate that had
contaminated water supply in the Klang valley area in 2007 (Fauziah S. H. & P. Agamuthu,
2012). This has caused public outcry due over the ineffectiveness of solid waste management
services in Malaysia. In fact, the absence of an integrated waste management system that
includes solid waste recovery practices such as 3R, composting and separation of waste, as
well as appropriate waste management strategies had resulted in misuse of waste disposal
sites in Malaysia. Designing appropriate technical systems and facilities is thus another major
element that also plays an important role in effective ISWM. Previously, local authority had
been authorized to contract out the implementation of the system of solid waste management,
including waste collection and public cleansing to private contractors under Section 101 (d)
in Local Government Act (Act 171). However, limited funding and human resources have
reduced the local government capability to cope with the latest technologies for disposal and
treatment of solid waste. At the same time it has led to a deterioration of the environment
related to landfill sites. However, in ISWM the system technology and facilities should meet
the current local condition to ensure cost-effectiveness in term of maintenance and operational
efficiency (Ashok. V.S., 2009). To evaluate the appropriate technical systems and facilities
for ISWM would require several local data including the amount and volume of waste
generation, study on people disposal habits and its requirement based on different groups, and

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also analysis on public or private organization's responsibilities for operating and maintaining
the system (P. Schuebler, 1996). However, there is a need for improvement on technical
knowledge and employee related skills toward new and upgraded solid waste systems and
facilities (Hisashi Ogawa, 1996; Tey Jia Sin, Goh Kai Chen, Kek Sie Long and Goh Hui
Hwang, 2013). This has become a major concern, since there is no further effort to improve
the technical knowledge and skills of employee related to solid waste management systems
and facilities as they are the steering group for the policies and programs in ISWM (Latifah,
A.M, Mohd, A.A.S, Nur, I.M.Z., 2009; Mohd Dinie S. & Mashitah M. D 2013; A. Abas &
S. Ta Wee, 2014).

Apart from that, the efficiency and effectiveness of concession companies in managing solid
waste management is a crucial element in implementing the effective solid waste management
systems in Malaysia. Previously, the concession companies had constraints to invest on new
machineries and facilities for solid waste management due to funding issues. This was
because the local government has failed to pay them for their services. In 2011, RM 3 to 11
Million was owed by the Selangor state government to Alam Flora Sdn. Bhd. from 2001 until
2005, which caused the termination of the concession company as the service provider.
Therefore, a Concession Agreement (CA) between the Federal Government and the three
appointed concessionaires for three regions within Peninsular Malaysia were signed on 19
September 2011. The official concession agreement was signed with 27 local councils in
Johor, Melaka and Negeri Sembilan for a period of 22 years. According to the agreement
contents, the concession companies will undertake and provide solid waste management and
public cleansing services according to Key Performance Indicators (KPI). The KPI's which is
part of good governance will provide a measurement indicator of those companies
effectiveness and applicability in solid waste management. Currently, there are two types of
KPI categories as shown in Figure 3, which measures solid waste management services. They
are collection of waste and cleansing services with 76 lists of indicators.

Figure 3: Categories of Solid Waste Management KPI (Sarifah, 2011)

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The indicator measures two basic services requirements such as provision of suitable
collection vehicles, reduction of leachate spillage, meeting the collection and cleansing
schedule, collection vehicles and facilities as well establishing the complaint management
system. Those companies that failed to follow the KPI will be penalized between RM 50 and
RM 5000 and demerit points will be added (PPSPPA). Meanwhile, according to the Senior
Manager of R&D Department from Alam Flora Sdn. Bhd., it is difficult to follow the KPI due
to the demerit point system that can cause termination of specific cleansing areas which have
met the specific indicator. In fact, it is a challenge for Alam Flora to comply with the public
and Government needs in ensuring clean and healthy environment (Sarifah, 2011).

Public participation is the third major element that recognized as necessary to create an
effective ISWM system. Since 2011, a number of writers had emphasized the importance of
public participation in ISWM (Fatin Syazwina et. al, 2011; N. Behzad et. al, 2011; D. Badgie
et. al, 2012; S. Jayashree et. al, 2012; Dennis & Agamuthu, 2014). This is because the
involvement of the public in all ISWM programs is imperative to ensure an integrated solid
waste management is achieved (Subash A., 2006). For example, the public is allowed to
provide their ideas or comments via suggestion boxes or online customer service portals and
also directly getting involved in separating the waste at source. However, it is reported that
the solid waste management campaigns such as 3R's campaign has been a failure due to low
responses obtained from the public ( Latifah, A.M, Mohd, A.A.S, Nur, I.M.Z., 2009; Fauziah
S.H. & Agamuthu, 2012). This is followed by the fact that recycling rate among Malaysians
are currently at 10% which is far behind the target for at least 22% in 2020 (Adrian Lai, 2013).
Therefore, public education is seen as vital to increase awareness to encourage the public to
be more actively involved in solid waste management activities (Fatin Syazwina et al., 2013)
Educational paraphernalia such as flyers, instructional videos on ISWM, road-tours, postings
banners and advertisement are the mechanisms used by the solid waste management agencies
to encourage public participation but more effective techniques such as street stalls at
shopping complexes, informative calendar and stickers and other external advertising on
highway billboards, electronic billboard, bus and train should also be applied (M. Gareth &
C. Lucy, 2012).

Meanwhile studies have highlighted that the failure of public participation in ISWM (i.e 3R's
campaign) is also due to lack of incentives to motivate the public to participate (Jia Sin et al,

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2013; Dinie S. & Mashitah M. D., 2013; Dennis & Agamuthu, 2014). According to USA EPA
(1996), incentives can be used to maintain ISWM programs and campaign as well as to
increase public participation because it can help them to build right things to do behaviour
in solid waste management activities. For example, the 3R's campaign organized by solid
waste management agencies on recycling has shown that the public are insufficiently paid for
their recyclable items. Currently, the price for waste paper ranges from 25 cents to 55 cents
per kg (Joy Lee, 2012). However the price paid is dependent on the market value which is
highly market driven and seasonal in nature and due to scrupulous role of middlemen traders
who hold on to recyclables until the selling price is right. (Nadzri Yahaya & I. B. Larsen,
2012).

Conclusion

Despite the many achievements of the government and solid waste management
concessionaires in Malaysia, there continues to be in existence a plethora of unacceptable
solid waste management practices. In some cases, public attitudes and actions or inaction are
defeating the good intention of solid waste management practices. For example, the kiasu
attitudes of some households who refuse to separate waste from its source and who are
involved in discriminate dumping of waste. Consequently, there is a need for more public
awareness and education building exercises. The proper implementation of Act 672 will thus
be the driving force in the country.

Proper training also needs to be conducted for solid waste management operators to properly
handle equipment and manage solid waste effectively and efficiently. Besides that, landfills
effect on the environment should be monitored and supervised regularly to reduce generation
of waste in future. The importance of the KPI approach for the concession companies is a
good move by the government but certain indicators need to be reviewed and proper
enforcement needs to be undertaken.

Apart from that, the solid waste management framework has to be strong and fully operational
in order to implement ISWM. It is also crucial to provide fully equipped staff and machineries
that can assisting ISWM activities. This can avoid failure and wastage of money that is caused
by insufficient staff and equipments.

It is also clear that public participation in solid waste management activities is far from
desirable. Thus, any strategy to improve the solid waste management system must include

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programs to enhance public participation and legislation enforced for the purpose. As a result,
it will change the current government institutions operation and will highlight the importance
of ISWM for Malaysia's sustainable development.

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