I welcome the prime minister’s statement on the country’s water situation. It is timely for the PM to bring up this matter, having recently said that there is no excuse for water cuts despite ample rainfall in the country.
As the former water, land and natural resources minister, from the time I took office, I have always wanted to get the water industry up to date with the present times.
Together with the ministry, we worked hard on tariffs for both water and wastewater.
We were conscious of the situation for the next 20 years. So my instructions were to allow the federal government to play a bigger role in ensuring year-round water supply.
The problems we faced were the state governments and their hardened desire to protect their natural resources.
I understand them, but with Malaysia being one country, its natural resources belong to all citizens, and we should be working together to make this happen.
Pahang, Perak, Terengganu, and Kelantan have huge reserves of surface water, which, to my knowledge, is enough to supply the whole nation.
The question is: how do we do it?
With the economic position we are in, a public-private initiative is definitely needed.
Putrajaya should play a major role, because the end user must be protected from overzealous private sector involvement.
I have always said the water industry’s profit margin must be between 6 and 10%.
As such, I am sure there are plenty of industry players who are willing to come forward to help the Malaysia Madani framework.
Let’s take the Penang and Perak state governments for example; there was an understanding that water will be shared.
The question then, however, was: how?
I was told Perak was not willing to sell raw water to Penang.
We decided to look into other possibilities, among which were sharing treated water managed by both states.
A fully integrated plant could be built at the border of both states run by a new company with 50-50 interest from both states.
This way, the interests of both parties are guaranteed.
To make sure it is run smoothly, the federal government must have the golden share within the company to safeguard the people’s interest in the long run.
The Selangor government, on the other hand, has a real problem with managing its water industry in an open and transparent manner.
It has now committed to a large fiscal expenditure on the Sg Rasau water treatment plant, which cost billions of ringgit.
My worry is that without increasing water rates, how are these loans going to be paid?
On the other hand, Phase 1 of the Langat 2 water treatment plant is almost ready.
We had to go through many obstacles, but it’s finally done.
The federal government has also prepared for Phase 2 of the Langat 2 water treatment plant.
With raw water supply from the Pahang government having been agreed to, the Selangor government need not come out with monies, because the national water asset holding company Pengurusan Aset Air Bhd (PAAB) has the finances to build the plant and would hand it over to Air Selangor to operate upon completion.
This is a win-win situation for all parties. I hope this will be seen to.
Kedah is another state which will have water shortage in the long run, as their current water plants are too old and their water resources are limited, whilst the state water agency is poorly run.
During my tenure, many programs were initiated, including water supply and wastewater management in Langkawi.
As such, I hope the rates in Langkawi are now more realistic, in tandem with what was being paid to private parties previously.
The Kedah government has to look into tapping underground water as well, which is bountiful in the state, as long as it is not over-exploited.
Based on my experience in dealing with our Japanese counterparts during my tenure, they devised a method to map the underground water flow which then can be used accordingly and safely, something that the present administration can also consider.
Meanwhile, the Kelantan state government must stop their underground water extraction and plan the use of surface water which they have in abundance.
The Johor government will have to plan where their future supply of raw water is going to come from.
I have heard plans for raw water supply from Pahang, which is feasible, with help from all parties – in this case, Singapore as well.
Lastly, Melaka and Negri Sembilan state governments must find a way to help each other by working out a plan utilising the Linggi river.
All states have to bring down non-revenue water, especially Perlis.
The Pahang government should also plan for the future by working with the federal government to solve their huge debts in relation to its water assets.
Globally, the next war will be a design for natural resources, with water playing a major factor. How we deal with each other will define the future of water security for the entire country.
The Water Services Industry Act 2006, which was formulated since 2000, clearly needs a revamp, whereby the federal government should play a more important role in making sure the nation has ample supply of clean water for all.
After all, water is life, and life is water. – The Vibes, March 13, 2023
Datuk Dr Xavier Jayakumar is former Kuala Langat MP
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