Tuesday, November 30, 2010

Dewan Rakyat: Government Will Suffer Losses If Langat 2 Project Not Completed In Time

KUALA LUMPUR, Nov 30 (Bernama) -- The government and a number of parties involved will suffer losses if the Langat 2 Water Treatment Plant project was not completed by year end.

Energy, Green Technology and Water Minister Datuk Seri Peter Chin Fah Kui said the refusal by the Selangor state government to approve the land accusation, permit to enter the forest reserve and directive for development would increase the cost of building the plant that was supposed to have started in August.

"The project was up for tender and the contractors had started work according to schedule and if the tunnel is not completed by 2014, the contractor will not receive any commission... the project will then be stalled," he told Datuk Ismail Mohamed Said (BN-Kuala Krau) at the Dewan Rakyat here Tuesday.

Peter Chin said the Pahang state government that has given their cooperation by allowing water from the state to be channelled to Selangor may also suffer losses due to the delay.

"Since the project cannot go on, royalty for water will not be paid to Pahang and that will be a loss to the state," he said.

According to Peter Chin, the Langat 2 water treatment plant is part of the Pahang-Selangor Interstate Water Transfer Project, which will ease the water shortage problem in Selangor and Kuala Lumpur by transporting 1,890 million litres of raw water from Pahang daily.

He said it was important that the construction of the Hulu Langat plant be expedited to match the schedule for transfer of raw water from Sungai Semantan in Pahang beginning 2014.

When completed in May 2014, the project was expected to supply some 1,890 million litres of raw water from Sungai Semantan in Pahang daily via a 44.6-km tunnel through the Main Range to Selangor.

Pahang and Selangor had signed a concession agreement in 2007 for Pahang to supply raw water at 10 sen per cubic metre, with a review of the rate every five years.

Peter Chin said the raw water transfer project from Pahang to Selangor was given the green light by the Federal government in 2005. -- BERNAMA

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