Malaysia

Warisan defends decision to end water plant concessions

The Watergate corruption scandal saw RM3 million in cash hidden in a government office and over RM100 million in assets seized.

Updated 1 year ago · Published on 25 Sep 2024 11:55AM

Warisan defends decision to end water plant concessions
Shafie said Sabah's water crisis stems from decades of mismanagement, deteriorating infrastructure, and inadequate investment,

by Jason Santos

WARISAN president Datuk Seri Mohd Shafie Apdal has defended his administration’s decision in 2018 to terminate 20-year concessions for managing 58 water treatment plants in Sabah.

The move, made when Warisan and partners governed the state, received heavy criticism from Chief Minister Datuk Seri Hajiji Noor, who blamed it for the state’s ongoing water woes at a party function held in Kunak recently.

Shafie countered that the contracts were heavily lop-sided and linked to Sabah's infamous "watergate scandal" under the Barisan Nasional (BN) administration led by Tan Sri Musa Aman, which Hajiji was part of then.

"The decision was made not only to address the inequitable terms but also to enhance water management across the state," Shafie said.

Shafie served as chief minister from May 2018 to September 2020, with Datuk Peter Anthony overseeing waterworks at the time.

He noted that the termination saved the state RM12 million monthly, as the six companies, appointed in 2013, were costing RM15.5 million per month.

Despite paying RM315 million in compensation, the state avoided RM 685 million in costs over the 20-year contract, he said. 

Shafie said the 1,335 employees from these companies were also absorbed into the Sabah Water Department, which took over the plant's operations and maintenance ever since.

Shafie also said that Hajiji, now the GRS-led government’s chief minister, was part of the previous administration involved in one of Malaysia’s largest corruption probes.

The Watergate corruption scandal saw RM3 million in cash hidden in a government office and over RM100 million in assets seized.

He said the worsening water crisis in Sabah only happened during the current GRS administration, citing issues such as saline intrusion in Sandakan, water shortages at Universiti Malaysia Sabah, and frequent disruptions across the state.

He said Sabah's water crisis stems from decades of mismanagement, deteriorating infrastructure, and inadequate investment, but stressed that the situation has only worsened under Hajiji’s leadership.

“Hajiji’s claim that Warisan is responsible for the current water problems is baseless and a deflection from the GRS administration’s failures,” said Shafie, urging the government to focus on solutions rather than shifting blame. – September 25, 2024

Related News

Malaysia / 3d

Sabah embarks on five-year initiative to document multiethnic heritage - Hajiji

Malaysia / 5d

UPKO submits application to become GRS component party

Malaysia / 6d

Sabah: GRS confident government will agree to review revenue entitlement rate 

Malaysia / 2w

GRS approves motion to amend constitution for streamlining divisions along parliamentary seats

Malaysia / 3w

Masidi appointed GRS deputy chairman

Malaysia / 1mth

Sabah's USNO quits GRS - Pandikar Amin

Spotlight

Malaysia

Former head of a ministry's corporate communications unit acquitted of bribery charge

Malaysia

Two sisters die trapped in Johor house fire as escape routes cut off by flames

Malaysia

NS election speculation intensifies as Aminuddin granted audience with state ruler

Malaysia

Teenager who drove recklessly, causing death remanded for further investigation

Malaysia

Police looking for trio involved in violent armed robbery in Penang (video)

Malaysia

Family of five killed as car crashes into water pipe in Serian

Malaysia

'I was once spat on by a pakcik' — Marina denies fear of contesting Malay-majority seats

Malaysia

Jewellery shop among six premises destroyed in fire (video)

You may be interested

Malaysia

Southeast Asia’s booming scam industry eyes Malaysia

Malaysia

MITI: Malaysia rejects forced labour claims as US Section 301 tariff proposal enters consultation phase

Malaysia

Press conference cancelled as MB has 'important business'

Malaysia

Toh Puan Na'imah’s legal team cautions against ‘dangerous’ application of SOSMA

Malaysia

Schoolteacher denies multiple counts of physical, digital sexual assault against 2 teens

Malaysia

Police confirm mystery of Jaslinda's disappearance has no criminal element

Malaysia

NS election speculation intensifies as Aminuddin granted audience with state ruler

Malaysia

Johor PRN: Onn Hafiz likely to be BN 'poster boy'