Friday, December 9, 2011

TheStar:Perak Water Board to start on clean slate after migration

PERAKIANS have been assured that water supply will remain affordable after Perak Water Board’s (LAP) assets are transferred to Syarikat Pengurusan Aset Air Bhd (PAAB).

Mentri Besar Datuk Seri Dr Zambry Abdul Kadir said there was no reason to increase the water tariff as the exercise was aimed at reducing LAP’s water debt to the Federal Government.

“I do not foresee the need to increase water tariff since the management of LAP is expected to improve,” said Dr Zambry, who is LAP chairman, after chairing the board’s meeting in Ipoh on Monday.

During the recent state assembly sitting, Dr Zambry had told the House that the state’s RM970.59mil water supply debt to the Federal Government would be reduced to RM78.66mil with the settlement of the water asset migration between LAP and PAAB.

Dr Zambry said LAP would literally start on a clean slate next year following the migration of its assets to PAAB.


“Hopefully, the exercise will be completed by the first quarter of next year.

“I have asked the board’s legal adviser, who is also the state legal adviser, to look into all legal aspects of the matter,” he said.

As of Oct 31, LAP had recorded RM229.76mil in water sales as compared to RM225.34mil for the same period last year.

“We also anticipate an increase in our profits to RM105mil this year from RM102.5mil last year,” he said, adding that LAP had spent RM2.4mil to provide free water to the poor since 2008.

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