THE country has suffered losses exceeding RM32 million over the past five years due to illegal water connections, with 1,191 raids recorded between 2020 and 2025 targeting unauthorised hookups at commercial premises, industrial sites, and residential properties.
National Water Services Commission (SPAN) Strategic Communications Director Mohd Fazil Ismail said the losses stem from non-revenue water (NRW), caused by a minority of users exploiting the system to reduce operational costs.
“The estimated total loss of over RM32 million over five years demonstrates the significant impact on the national economy. However, recent trends show a decline due to greater consumer awareness and coordinated enforcement operations with water operators,” he said.
Of the cases investigated, 64 have been taken to court under key provisions of the Water Services Industry Act 2006 (Act 655), while the remainder received fines, generating nearly RM3 million in total.
Following amendments to Act 655, effective 15 March, penalties have increased. “Under Section 123, individuals found guilty of illegal connections can face a maximum fine of RM1 million, imprisonment of up to 10 years, or both.
“For reconnecting a cut-off supply without authorisation under Section 89(9), the offender may be fined up to RM50,000 or imprisoned for six months,” Mohd Fazil explained.
SPAN, in collaboration with state water operators, continues intelligence-led operations to detect and raid premises suspected of illegal water usage, focusing on high-risk areas such as construction sites, commercial fishing ponds, and logistics depots.
“Even though the number of raids has declined, field surveillance continues. We want to ensure every drop of water supplied reaches legitimate users, not those diverting it illegally,” he emphasised.
He added that the reduction in raids over the past two years reflects positive results from public awareness campaigns run with water operators and increased vigilance among consumers.
Mohd Fazil urged industrial operators, resorts, and fishing pond owners to refrain from illegal connections. “Water is a public resource. Do not steal it. Report any suspicious activity to authorities immediately,” he said.
Acknowledging the risks enforcement officers face, including aggressive behaviour or sabotage, he stressed that “safety is a priority, including security escorts, tactical training, and the use of personal protective equipment. Limitations in jurisdiction and inter-agency coordination also remain major challenges.”
Selangor, Putrajaya, and Kuala Lumpur recorded 1,622 cases of water theft since 2020, making them the areas with the highest number of unauthorised connections.
Muhamad Anwar Zamree, Chief of Corporate Affairs at Air Selangor, said that out of 57,724 reports received over five years, most involved commercial users exploiting public water supplies.
“These incidents caused Air Selangor losses of RM2.45 million from January to September this year. We have issued 165 demand letters and recovered RM1.12 million through legal action and repayment negotiations,” he said during a joint operation with SPAN at a fishing pond in Desa Kemuning.
The operation targeted resorts, fishing ponds, and logistics depots suspected of using stolen water for daily operations. “For example, a registered meter at the pond had long been inactive, yet two unauthorised pipelines were connected directly to the premises,” he explained.
Enforcement officers issued notices to the pond owner after confirming illegal connections from the main supply. Muhamad Anwar noted that four individuals shared the site, but none were present during the operation.
“We waited almost two hours for further information, but no representative appeared. Legal action proceeded regardless,” he said.
He explained that each case is calculated using technical formulas considering pipe size, water pressure, and usage duration to determine actual losses, emphasising that NRW directly impacts operational costs and system efficiency.
“Water theft is not merely an economic crime but an injustice to other consumers,” he said. - November 6, 2025