3 sen is too low: M'sia maintains right to review 1962 water agreement with S'pore

KUALA LUMPUR: Malaysia has maintained its stand that it has the right to review the 1962 water agreement, and will take efforts to do so.

Deputy Foreign Minister Datuk Marzuki Yahya said although Singapore has alleged that Malaysia lost the right to review the deal, the fact remains that the agreement states that a review can be done after 25 years.

“Singapore's attempt to say that Malaysia has lost the right to review the deal only shows its weakness and its attempts to twist the facts.

“The reality is in the 1961 and 1962 water agreement, it is clearly stated that a price review can be done after 25 years.

“This clearly shows that the Malaysian government, at any time after 1986 and 1987, is legally entitled to review the price of water.

“As such, I would like to reiterate that Malaysia's rights to review the price of water cannot be denied,” he said in a reply to Mohd Shahar Abdullah (BN-Paya Besar) in the Dewan Rakyat on Wednesday (Oct 31).

Marzuki said that attempts to review the prices were done in 1998 and 2002 between then prime ministers Tun Dr Mahathir Mohamad and Goh Chok Tong.

He added that the Malaysian government is now in the midst of starting negotiations again with Singapore to determine a price that would benefit both parties.

“The price of 3sen per thousand gallons of raw water is too low, and does not benefit the country,” said Marzuki.

He added that Malaysia stated its stand to review the price of raw water during a bilateral meeting with Singapore in July.

However, Marzuki said Singapore had stressed that Malaysia had lost its right to review the price in 1987.

“Malaysia's Foreign Minister Datuk Saifuddin Abdullah reiterated that Malaysia has and will maintain its right to review the agreement at any time.

“I would like to stress that the government is committed and taking measures with relevant parties, especially the Johor state government, to ensure the issue can be settled without compromising the nation's interest,” he added.

Marzuki also said Dr Mahathir will be visiting Singapore on Nov 12, and he may possibly raise this issue.

In June, Dr Mahathir said that the price of water being sold to Singapore was “ridiculous” and added that Malaysia was studying the case properly and will make a presentation on it.

In August, Singapore Prime Minister Lee Hsien Loong said that the water agreement is “sacrosanct” and both nations must proceed strictly in accordance with its terms.

The water agreement is set to expire in 2061.

Under the agreement, Singapore is given exclusive rights to draw up to a maximum of 250 million gallons of water per day from Johor.

In return, Johor is entitled to receive treated water of up to five million gallons, or 2% of the water supplied to Singapore, at 50sen per thousand gallons.