IPOH: The signing of a bulk water supply agreement between the state and Penang has been postponed following a request from the latter party, with the delay unrelated to politics, says Datuk Seri Saarani Mohamad.
The Perak Mentri Besar said the agreement is a business-to-business arrangement between Khazanah Air Perak (KAP) and the Penang Water Supply Corporation (PBAPP), and does not directly involve the state government.
“KAP is a joint venture company between Gamuda and the Perak State Development Corporation. They are the ones negotiating and signing the agreement with PBAPP.
“Based on the original schedule, the signing was supposed to take place on July 10.
“However, I was later informed that the Penang side requested a slight postponement, probably because there are still some matters they want to fine tune,” he told reporters after the Perak State Secretariat Office excellent service award ceremony.
Saarani said he was not informed when the agreement would be signed.
He also dismissed speculation that the postponement was politically motivated.
“It has nothing to do with politics. This is about water,” he said.
On whether the pricing had been agreed upon, Saarani said the details could not be disclosed until the agreement was finalised.
On June 17, media had quoted Penang Chief Minister Chow Kon Yeow as saying that the deal was supposed to be signed that following week.
He had said that negotiations had reached the final stage, with only technical and legal matters left to be resolved.
The Perak-Penang water project is a strategic initiative aimed at facilitating the transfer of raw and treated water to meet growing demand in northern Peninsular Malaysia, particularly to support domestic and industrial needs in Penang.
