Malaysia

Anwar defends targeted subsidies, slams double standards over water tariff hikes

The Prime Minister hits out at critics for remaining silent over water tariff hikes in four opposition-led states while attacking federal government policies, calling the response a clear case of double standards.

Updated 1 year ago · Published on 05 Aug 2025 2:38PM

Anwar defends targeted subsidies, slams double standards over water tariff hikes
“If the Federal Government had done it, we’d have been battered left, right, and centre,” PM says - August 5, 2025

PRIME MINISTER Datuk Seri Anwar Ibrahim has accused certain quarters of selective criticism, noting that recent increases in water tariffs by four opposition-led states were met with silence, in stark contrast to the uproar over federal policies on fuel and electricity subsidies.

Responding during Minister’s Question Time in the Dewan Rakyat, Anwar said he had no objection to state governments raising water tariffs as such matters fall under state jurisdiction.

“This is a state decision. Water is under state control. All four states – Perlis, Kedah, Kelantan and Terengganu – have raised tariffs, and some others have too. But because those hikes came from opposition states, no one raised an issue.

“If the Federal Government had done it, we’d have been battered left, right, and centre,” he said.

Anwar added that the Federal Government did not oppose such adjustments when justified.

“They wrote to the minister asking for approval. We didn’t block or insist; we simply said yes, as there was a valid need.”

He used the opportunity to draw comparisons with ongoing federal reforms, including targeted fuel and electricity subsidies.

“The same goes for subsidy targeting – why the double standard? We raised prices for foreigners, but lowered them for our citizens.

“For electricity, we increased tariffs for the wealthy but reduced them for the people. So why the backlash? Meanwhile, water – which affects everyone – was raised without protest.”

He also commended Selangor for maintaining exemptions for lower-income households, saying: “I thank the Selangor Government, which increased water rates, but not for the B40 group.”

On the economy, Anwar reiterated Malaysia’s fiscal trajectory and highlighted the strengthening ringgit, saying it had appreciated five percent as of 4 August.

“The ringgit is currently the strongest-performing currency in Asia. From a low of RM4.70, it has now reached RM4.24,” he said. - August 5, 2025

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