PBAPP to invest nearly RM2.9bil for 12 water supply projects in Penang


PBAPP chief executive officer Datuk K. Pathmanathan

GEORGE TOWN: Perbadanan Bekalan Air Pulau Pinang Sdn Bhd (PBAPP) will invest nearly RM2.9 billion to implement 12 water supply projects over the next five years to ensure that the state has sufficient water resources to support its rapid economic growth through 2032.

PBAPP chief executive officer Datuk K. Pathmanathan said water consumption in Penang is expected to increase by 34.3 per cent from 865 million litres per day (MLD) in 2025 to at least 1,162 MLD by 2032.

"Penang’s socioeconomic growth trajectory toward 2032 cannot be compromised or held back due to insufficient water supply. Therefore, PBAPP and the Federal Government are fully committed to completing 12 major water projects by 2031 to meet the projected increase in water consumption in Penang.

"Six projects under the Water Contingency Plan 2030 (WCP 2030) are currently being implemented by PBAPP, including the construction of the Mengkuang Water Treatment Plant (WTP), Sungai Kerian WTP, Sungai Perai Water Supply Scheme, and Sungai Muda WTP,” he said.

He was speaking during a press conference after the annual general meeting (AGM) of PBAPP’s parent company PBA Holdings Bhd, which was also attended by Penang Chief Minister Chow Kon Yeow.

Pathmanathan said these four projects will increase PBAPP’s maximum water treatment capacity by 478 MLD, while also reducing the dependence of the Seberang Perai area on treated water supplied from the Sungai Dua WTP.

He also said that PBAPP is implementing two major treated-water pipeline projects, which will enable up to 600 MLD of water to be transferred from Sungai Dua to Penang Island by 2030, compared with 400 MLD currently.

In addition, another 80 MLD water treatment plant is being developed on the Kerian River under a build-operate-transfer model.

He added that the Federal Government, through the Ministry of Energy Transition and Water Transformation, is also implementing five major projects.

They include the construction of a new Sungai Muda barrage, the expansion of the Mengkuang Dam, development of raw water resources from Sungai Kerian, intake works in Teluk Bahang and a comprehensive study of the state's raw water resources.

Meanwhile, Chow, who is PBA Holdings and PBAPP chairman, said PBA Holdings recorded revenue of RM568.44 million for the financial year ended Dec 31, 2025 (FY2025), up from RM527.60 million recorded in the previous year.

He said about 85 per cent, or RM483.20 million, of the total revenue was generated through the sale of water to registered water consumers in Penang.

Chow said that PBA Holdings maintained strong performance in FY2025, declaring a total dividend of 5.0 sen per share for the year despite the significant increase in tax expense that affected the company’s PAT.

Shareholders at PBA Holdings’ AGM approved a final dividend of 2.75 sen per share, bringing the total dividend paid for the 2025 financial year to 5.0 sen per share, following the interim dividend of 2.25 sen per share paid on Jan 2, 2026.

The final dividend payment amounting to RM9.1 million will be made on July 24,” Chow said. - Bernama

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