Cabinet paper being prepared to allow states to increase water tariffs


Photo: Bernama

KUALA LUMPUR: A Cabinet paper is being prepared to allow states to increase water tariffs, says Nik Nazmi Nik Ahmad.

The Natural Resources, Environment and Climate Change Minister said that a hike in water tariffs by the respective state water operators was inevitable.

"Part of the water problems we face is linked to water tariffs. There are states which have not raised tariffs in over 40 years.

"As such, the government had previously allowed water operators to raise tariffs for non-domestic users.

"However, many states do not have a lot of industries so the need to raise tariffs for domestic users arises," Nik Nazmi said when wrapping up his ministerial replies on Budget 2024 in Dewan Rakyat on Wednesday (Nov 1).

He said there was a general consensus among government and Opposition-led states to review water tariffs.

"We are preparing a Cabinet paper for a mechanism which will allow state water operators to increase tariffs without the need to undergo a prolonged wait for approval from the minister," he said.

Nik Nazmi assured that a balance would be struck to ensure that any water tariff hike would not burden consumers.

Datuk Seri Tuan Ibrahim Tuan Man agreed with Nik Nazmi, saying that Pahang was one of the states which had not increased water tariffs for over 40 years.

On a separate issue, Tuan Ibrahim suggested that the study on water management in Johor should not involve outside parties.

"The Prime Minister had recently proposed that Singapore gets involved with the study on the management of water resources in Johor.

"This is not necessary as water comes under the jurisdiction of the state.

"Revealing our water sources is a matter of national security and should not involve outsiders," he added.

Tuan Ibrahim said this in reference to the 1962 agreement giving Singapore the right to draw 1,136,523,500 litres of water per day from the Johor River until 2061.

Under the agreement, Singapore will have to pay three sen for every 4,500 litres of water.

On Oct 30, during a two-day working visit to Singapore, Prime Minister Datuk Seri Anwar Ibrahim said that Malaysia will continue to honour its commitment to supply water to the republic.

He suggested both countries work together to ensure that the Johor River is able to cater to both the state's water needs while also supplying water to Singapore.

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