The Selangor state government has the power to override decisions by water concessionaire Syabas, said Mentri Besar Tan Sri Khalid Ibrahim.
Khalid said that according to the concession agreement, state water regulator Datuk Noordin Sulaiman, who is also state economic planning unit director, has the power to override Syabas' authority to grant development order approval to new projects and factories in the state.
He said some 60 manufacturers had their development order application rejected by Syabas.
"In order to get development approval, each (relevant government) department will say 'yes', 'no', or 'can be considered'. For Syabas, they decided to say 'not recommended'.
"We have the state water regulator to look at it. Syabas is not the final authority with regard to giving this approval," he told reporters after launching the "Vibrant Selangor Seminar and Showcase" here Tuesday.
Khalid admitted that the state government had delegated the right to Syabas to approve development orders under the concession agreement, but had revoked that privilege following the company's poor service.
"Now they can't do it, so the rights to decision-making will be handled by the state water regulator," he said.
On the state government's intention to take over the operations of Syabas, Khalid said he had written in to Syabas and the federal government.
On another matter, Khalid said he had yet to receive Petaling Jaya city councillor Latheefa Koya's resignation letter and would discuss the matter during the state executive council meeting on Wednesday.--TheStar
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