Monday, March 26, 2012

TheStar:Prelude to more amicable water ties?

THE Federal Government is allowing Selangor to operate the recently completed Labu treatment plant, possibly sending a signal that the water talks could move to more amicable ground.

“The Selangor government insisted on operating the plant; otherwise, it would not approve the extraction of water from Sungai Labu,” Minister of Energy, Green Technology and Water Datuk Seri Peter Chin tells StarBizWeek.

“The Sungai Semenyih plant is now overloaded in capacity by as much as 40%. We want to relieve it by rediverting the water that is presently used for the KLIA area.”

The RM232mil Labu plant supplying 105 million litres per day (MLD) will be like a dedicated plant for the KLIA region, bearing in mind that KLIA 2 will be coming up.

“We are now using the Labu plant to supply to the KLIA area and relieve Sungai Semenyih of overcapacity.

“We are now agreeing to allow the special purpose vehicle set up by the Selangor Government to operate Labu,” Chin says.

Bernama:SYABAS Welcomes Move To Let Selangor Government To Operate Sungai Labu Plant

Syarikat Bekalan Air Selangor (Syabas) has welcomed the federal government's decision to allow the Selangor government to operate the Sungai Labu water treatment plant (WTP), construction of which was completed recently.

Its executive chairman Tan Sri Rozali Ismail said, with the plant coming onstream, an additional 105 million litres of water daily (MLD) would be availabe for distribution by March 2013 to some of the areas currently supplied by the Sungei Semenyih WTP.

"Stage 1 of the Sungai Labu WTP commenced operations on March 20 with supply capacity of 45MLD and among the areas receiving the supply include KLIA, the F1 circuit and other areas in Sepang, besides Sungai Pelek, Bagan Lalang, Tanjung Sepat and Kundang," he said in a statement here.

He said total capacity for Selangor, Kuala Lumpur and Putrajaya following the Stage 1 operation had risen to 4,371 MLD from 4,326 MLD previously while reserve capacity was expected to increase from 106.8 MLD and 151.8 MLD.

"This clearly shows that the Federal Government is serious and committed towards resolving water issues faced by Selangor, Kuala Lumpur and Putrajaya. The efforts made have also shown that the interest of the consumers are given priority above all else.-- BERNAMA

BFM:Selangor Water Crisis Part 2: A Case of Mismanaged Resources

http://www.bfm.my/current-affairs-230312-khalid-ibrahim-selangor-water-crisis.html

BFM:Selangor Water Crisis Part 1: Water Restructuring is a Separate Issue from Water Supply

http://www.bfm.my/current-affairs-210312-selangor-water-crisis-peter-chin-minister-energy-green-technology-water.html

Friday, March 23, 2012

Bernama:Water Samples Of 17 Disused Mines Studied As Alternative Water Source

The Selangor Water Management Authority (LUAS) and the State Health Department took water samples from 17 disused mines last year to study suitability as alternative water source.

Menteri Besar Tan Sri Abdul Khalid Ibrahim said analysis on water quality found that it needs minimum alum and chlorine for disinfection to meet drinking water standard by Health Ministry and approval of National Water Services Commission (Span) to operate a treatment plant.

"LUAS and the State Health Department took water samples from 30 disused mines in 2005 and chose 17 disused mines as suitable alternative water source.

"In 2011, samples were again taken from 17 disused mines for quality checks and gazetting," he told the state assembly here Thursday.--BERNAMA

Wednesday, March 7, 2012

TheEdge:Water Dispute Stalls Labu Dam

KUALA LUMPUR: The recently built Labu water treatment plant and dam in Negri Sembilan could turn into a RM168 million white elephant if the federal and Selangor governments do not resolve their dispute over water assets in the state, sources say. The Edge Financial Daily understands that the state government has refused the federal government extraction rights, connecting the treatment plant to the water pipes, which fall under the state’s domain.


The state wants the operation and maintenance of the plant but the federal government is opposed to this. “It is at a standstill, it cost a lot of money to build, now it’s not being utilized it can only be utilised if the two governments get their act together,” said one of the sources. Work on the dam and 110 million litre a day water treatment plant form part of the Kuala Lumpur International Airport (KLIA) alternative water supply scheme, on which construction began in July 2010 and was completed recently. The dam and water treatment plant were slated to shore up water supply to areas such as Salak Tinggi, Bukit Tampoi, Semenyih and the vicinity.

The contract for the building of the water treatment plant and dam was awarded to Salcon Engineering Bhd, a wholly owned unit of water player Salcon Bhd, and is believed to have cost RM88 million. However, Salcon’s job scope only involves the designing, procurement, construction, installation, commissioning, operation and maintenance, training and handover. Sources familiar with the water sector said the dam cost an additional RM80 million to build. However, it is not clear who built it. Tan Sri Rozali Ismail declined to comment on the issue. He has 41.2% equity interest in Puncak Niaga Holdings Bhd. Puncak has 70% equity interest in Syarikat Bekalan Air Selangor Sdn Bhd (Syabas).

Syabas has the mandate to supply treated water to Kuala Lumpur, Selangor and the federal capital Putrajaya. Rozali did say that there are problems with water supply in certain areas, and he will meet with the Federation of Malaysian Manufacturers and the Real Estate and Housing Developers Association of Malaysia to advise them on where water pressure is low or not available. “There are some areas in the Klang Valley that cannot be developed as a result of low water pressure. There are some new areas which have been developed that I cannot supply water. I will be holding a press conference soon,” was all he offered. Rozali, who is said to be close to the ruling Barisan Nasional coalition, has been at loggerheads with the Pakatan Rakyat state government since 2009.

The state opposed a 37% tariff hike for Syabas which was slated to kick in from January 2009. Selangor has attempted to revoke Syabas’ concession, stating that there have been breaches of key terms, as the non-revenue water targets are not being met. Rozali and Syabas have sued for compensation but the state is fighting the claims. has been sustained by soft loans from the federal government. For FY11, Puncak posted a net profit of RM9.32 million on the back of RM2.59 billion in revenue.

In FY10, it suffered a net loss of RM72.34 million from RM2.12 billion in sales. In the notes accompanying its financials, Puncak said the marginal profit in FY11 was attributable to higher revenue and profit from a rural water supply project. As at end December last year the company had cash and bank balances of RM1.27 billion and long-term debt amounting to RM5.04 billion and short-term borrowings amounting to RM471.17 million. Puncak gained 12 sen to close at RM1.47 last Friday.

This article appeared in The Edge Financial Daily, March 5, 2012.

Bernama:One Million Consumers In Kuala Lumpur, Selangor To Face Water Disruption On March 14-15

Approximately one million consumers in Selangor and Kuala Lumpur are expected to face water supply disruption on March 14 and 15 due to maintenance works at the Sungai Selangor Phase 1 water treatment plant.


Syarikat Bekalan Air Selangor Sdn Bhd (Syabas) corporate affairs division executive director, Abdul Halem Mat Som, said the water supply disruption would affect the consumers in 153 areas in Hulu Selangor, Petaling, Kuala Lumpur, Klang/Shah Alam and Kuala Langat.

"The water supply to those areas is expected to be disrupted for 36 hours starting from 8am on March 14 to 8pm the following day," he said in a statement here.

In Hulu Selangor, the areas which will be affected are Kuang, Kundang and the whole areas of Bandar Tasik Puteri, while in Petaling, the areas are from SS1 to SS6, Kelana Jaya, SS8 free trade area, Sungai Way, Damansara Kim, Damansara Utama, Damansara Jaya, Kampung Sungai Kayu Ara, Taman Megah, Taman Mayang Mas and Taman Mayang.