KUALA LUMPUR, 22 Nov 2017:
The federal government does not determine the water tariffs of any of the states, the Dewan Rakyat was told yesterday.
Energy, Green Technology and Water Minister Datuk Seri Dr Maximus Ongkili said the tariffs were set by the state governments.
He said the federal government only gave the approval after the study and review conducted by the National Water Services Commission (SPAN).
“The right to raise tariffs belongs to the state and the concessionaires. They apply to SPAN when there is a need to raise tariffs. SPAN then conducts a study on the production, cost, profit and so on, and does not merely give its approval upon receiving any application.
“The statement by the Penang Chief Minister that the federal government determines the water tariffs is not true. All concessionaires will have to send their application to SPAN which, after the study, hands over to the federal government.”
Ongkili, who was winding up debate on the Supply Bill 2018 at the committee stage for the ministry, said the application sent to SPAN must have the approval of the state executive council and the relevant resolution must be sent along with the application.
Separately, upgrading work of Kulim Hi-Tech water treatment plant in Pinang Tunggal – costing RM81 million – will be completed in January next year.
Kedah state housing, local government, water resources, water supply and energy committee chairman Datuk Badrul Hisham Hashim said although there was a slight delay from the original date of completion, upgrading works continued to be on schedule.
“Among the problems faced was related to power connectivity and the contractor have already solved it with Tenaga Nasional Bhd. So, we hope everything can be completed by January as the works here need to be done in stages.”
Badrul Hisham said with the completion of upgrading work of the treatment facility and equipment, it would increase the capacity of treated water at the plant from 150 million cubic litres to 300 million cubic litres.
He added that the Syarikat Air Darul Aman Company decided to upgrade the plant based on its location closest to the source, Sungai Muda, that would provide ample water supply for the plant.
“Hence, it saves costs and time especially in term of the state government’s efforts to improve the capacity of treated water supply to the Kulim district, especially in its industrial areas.”
– Bernama