Selangor water impasse to end by December

by **Cals** Thu 12 Sep 2013, 00:34

Selangor water impasse to end by December
Business & Markets 2013
Written by fz.com (contributor to theedgemalaysia.com)
Wednesday, 11 September 2013 19:24

PETALING JAYA: Selangor ‘s water services restructuring exercise will be resolved by year-end, Menteri Besar Tan Sri Abdul Khalid Ibrahim assured yesterday, following Putrajaya’s affirmation on the longstanding issue.

Abdul Khalid said the federal government has considered the proposal put forth by the Pakatan Rakyat-administered state.

The federal government has been pressuring the state to sign on the development orders needed to commence the Langat 2 water treatment plant project.

In a letter dated Sept 9, Energy, Green TECHNOLOGY [] and Water Minister Datuk Seri Maximus Ongkili stated that the ministry has evaluated the arguments and facts presented by the state government.

Abdul Khalid added that the ministry is confident that deadlock pertaining to the restructuring will be completed before Dec 31.

“The state government would like to thank the minister personally for the commitment given to ensure that water management will be returned to the state in accordance with the Water Services Industry Act 2006.

“We reiterate our readiness to take over the operations as the solution is almost achieved,” he said in a statement.

This comes as the federal government set a three-month deadline with the Selangor government to resolve the multi-billion ringgit Langat 2 project.

The state government has insisted that it will only consider the treatment plant project when the restructuring exercise is completed, in an effort to create more equitable access to water resources.

Selangor had previously made three bids to take over the management of the water services industry from all four water concessionaires in Selangor - Syarikat Bekalan Air Selangor Sdn Bhd (Syabas), Puncak Niaga Sdn Bhd, Konsortium Abass Sdn Bhd and Syarikat Pengeluar Air Selangor Holding (Splash).

The most recent offer was made on Feb 20, when the state government offered RM9.65 billion to take over the water assets but it was rejected by the concessionaires.

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