Two Water Treatment Plants While Waiting For Langat 2 - Azmin

The Selangor government will build two water treatment plants at a cost of RM800 million from next year while waiting for the completion of the Langat 2 project, expected to be in 2019.

Menteri Besar Mohamed Azmin Ali said the two projects, Semenyih 2 Water Treatment Plant in Jenderam Hilir and Labohan Dagang Water Treatment Plant in Kuala Langat, were to mitigate the water supply crisis in the interest of the people and industries in the state.

"The tender process for the Semenyih plant project will start this December and the project expected to begin in the first quarter of 2016.

"For the Labohan Dagang water treatment plant, the tender will open in March next year, the latest, and the project to start in mid-2016," he told reporters after his working visit to the Syarikat Bekalan Air Selangor Sdn Bhd (Syabas) headquarters, here, today.

Pengurusan Air Selangor Sdn Bhd, a wholly-owned subsidiary company of the state government, officially took over the management operations of Syabas and Puncak Niaga Sdn Bhd on Oct 15, 2015.

Mohamed Azmin said while waiting for the completion of the water treatment plant projects, the Selangor government was carrying out a water conservation public awareness campaign programme.

Asked on the proposal by the communications director of Parti Amanah Negara (Amanah), Khalid Abdul Samad, for the issue involving the position of the state government be resolved through a cooperation agreement between Pakatan Harapan and PAS, the menteri besar said: "That's just his proposal...we will discuss (the matter)."

Mohamed Azmin said he would meet with Amanah Selangor this Thursday to discuss all matters related to the issue.-- BERNAMA

Ammonia Pollution Disrupts Water Supply In Hulu Selangor

Selangor Water Supply Company (SYABAS) was forced to close its Sungai Selisek water treatment plant due to high ammonia content in the river water.

The closure has caused temporary water disruption to 731 premises in parts of Hulu Selangor since last night.

Selangor Water Supply Company (SYABAS) Corporate Communications Department Head, Amin Lin Abdullah said the plant, which had to be shut down temporarily, would resume operations as soon as the ammonia level in the river subsides.

The affected areas include Kampung Sungai Nilam/Kampung Seri Pagi, Kampung Lalang Sungai Selisek, Rumah Murah Pkt 2 Sungai Selisek, Kampung Serigala Sungai Selisek, Kampung Orang Asli Serigala Sungai Selisek, Kampung Bahom Sungai Selisek, Kampung Sekolah, the clinic quarters and Kampung Gesir Tengah Sungai Selisek.

He said Syabas had taken proactive measures to minimise inconvenience to consumers by dispatching water tankers and static tanks to the affected areas.

Consumers can get more information on the water supply disruption from the mySyabas application and via www.syabas.com.mywebsite.-- BERNAMA

Congratulations Dato' Mohd Ridhuan Ismail

The Tengku Panglima Perang of Pahang Tengku Abdul Aziz Sultan Abu Bakar heads a list of 1,033 recipients of awards and medals in conjunction with the 85th birthday of Sultan Ahmad Shah of Pahang today.

Tengku Abdul Aziz was among 28 recipients of the Darjah Sri Sultan Ahmad Shah Pahang (SSAP) award, which carries the title 'Datuk Seri'.

Sultan Ahmad Shah conferred the awards and medals during the first investiture session at Istana Abu Bakar here.

The other recipients of the SSAP included Pahang royal family members Tengku Faridah Sultan Abu Bakar; Tengku Datuk Nor Aizah Sultan Abu Bakar; Tengku Datuk Zabedah Sultan Abu Bakar.

The others were Minister in the Prime Minister's Department Datuk Seri Jamil Khir Baharom; Melaka Chief Minister Datuk Seri Idris Haron; Court of Appeal president Tan Sri Md Raus Sharif; Attorney-General's Chambers prosecution division head Datuk Tun Abdul Majid Hamzah; Pahang state assembly deputy speaker Datuk Mohamed Jaafar.

Also conferred the SSAP were Malaysian Administrative Modernisation and Management Planning Unit (MAMPU) director-general Datuk Seri Zainal Rahim Seman; Irrigation and Drainage and Department director-general Zainor Ibrahim; Natural Resources and Environment Ministry secretary-general Datuk Azizan Ahmad and Tabung Haji chief executive officer Tan Sri Ismee Ismail.

Other recipients of the SSAP were Royal Malaysian Air Force Air Support commander Lieutenant-General Datuk Sabri Adam; Penang police chief Datuk Abd Rahim Hanafi; Widad Group managing director Datuk Muhammad Ikmal Opat Abdullah and Public Service Commission member Datuk Abdul Shukor Ibrahim.

Three individuals received the Darjah Kebesaran Mahkota Pahang Yang Amat Mulia Sri Indera Mahkota Pahang (SIMP), which carries the title 'Datuk'.

They are Malaysian Armed Forces Wives' Welfare Association (BAKAT) Supreme Council chairman for the air wing (Udara) Puan Sri Khairani Mohd Zain; Pahang state development officer Datuk Mohamad Roslan Harun and National Water Services Commission (SPAN) chief executive officer Mohd Ridhuan Ramli.

Selangor overpaying RM2b for water deal, amounts to bailout for Puncak Niaga, reveal PKR paper

Selangor should not cough up RM2 billion to fund the RM9.65 billion takeover of four water concessionaires as the deal amounts to a bailout of Puncak Niaga, which also owns water utility Syabas, according to an internal PKR document.

The document sighted by The Malaysian Insider is a briefing note for the party's leadership that is now debating Selangor Menteri Besar Tan Sri Abdul Khalid Ibrahim's haste in signing the water-restructuring pact with Putrajaya in February.

It showed that the Selangor agreement agreed to raise the payment for equity or profit for Puncak Niaga Bhd from RM1.07 billion in February 2013 to RM1.638 billion in March 2014.

"In the space of several months, the Selangor government had raised the profit compensation to Puncak Niaga (controlled by a personality close to Umno) by RM568 million," the document revealed, referring to company founder, Tan Sri Rozali Ismail, who was a one-time Selangor Umno treasurer.

It noted that Puncak Niaga's latest financial records for the year-ending December 31, 2012, showed the firm was in red with RM75 million, after deducting assets of RM13.4 billion and final profit of RM232.7 million from its RM13.5 billion total liabilities.

"It means that if the Puncak Niaga group was sold in the open market without any negotiations, its valuation based on its profit, assets and liabilities record would be a company without any value.

"The offer in the MoU instead gives a profit compensation up to RM1.638 billion to the Puncak Niaga group which is RM1.700 billion more than its market value based on its profit, assets and liabilities record," said the document.

But it also said that the Selangor government had cut the compensation offered to another concessionaire, SPLASH, by RM2.1 billion with an offer of just RM251 million.

"Because of that, the bigger reduction will most likely push SPLASH to reject the offer," said the document, adding that Selangor can then only hope Putrajaya would invoke Section 114 of the Water Services Industry Act (Wasia) to take over the water concessionaires' assets and determine the compensation.

It pointed out that Khalid had explained the hasty signing of the memorandum of understanding (MoU) with Putrajaya on February 26 was because of two reasons although it was not ratified by the state executive council.

The reasons are that Putrajaya did not want to delay the bond payments of the water concessionaires which were held by the federal government through convertible loans.

"This will make the Puncak Niaga group bankrupt," the document said.

The other reason was that Putrajaya wanted to speed up the Langat 2 project as its Japanese funders had threatened to pull back their loan, it added, referring to the multi-billion ringgit water-treatment plant to treat water piped from Pahang to alleviate water shortage in Selangor.

"If this was the main reason, the Selangor government is in a stronger position in the negotiations. If the federal government and Puncak Niaga harden their stand, it will be bankrupt and have a major impact on the federal government's economic record.

"All the more so the federal government's desperation in funding the Langat 2 project has made our negotiation powers stronger," the document said, adding that this would benefit Selangor citizens as the compensation payments would be less.

The document also said Khalid had admitted there were no exco papers that discussed the final contents of the MoU signed with Putrajaya.

"So, there is no approval recorded by the exco that gave the power to the menteri besar to sign the MoU on behalf of the Selangor government and the people," it said.

Selangor yesterday said it was willing to consider appeals by Puncak Niaga and Syabas for a review of the terms of the water-restructuring deal.

However, Khalid said the state would not increase its offer of RM9.65 billion to take over the four water concessionaires.

Both Puncak Niaga and Syabas are appealing to Selangor to review the terms before Putrajaya invokes Section 114 of Wasia.

"Selangor cannot increase its original offer of RM9.65 billion because any additional costs will have a negative impact on water tariffs," Khalid said.

"These additional costs will be a burden on the rakyat, especially the five million water users in Selangor, Kuala Lumpur and Putrajaya," he added.

Finding ways to deal with water crisis

With no end in sight for the lengthy water crisis, some consumers in Selangor are getting savvy at meeting their bathing and washing needs.

Some are taking their families to petrol stations to shower and do their laundry.

Others are doing the same at R&R stops within reach of their homes.

And some are even signing up with clubs and gyms just to use their shower facilities.

A petrol station operator in USJ said many people were coming there to bathe and collect water.

“These people are desperate for water and have none at home so I’m just trying to help,” he said.

“The station has not been hit by water cuts and we have three or four water storage tanks on the roof.”

A sales representative of a well-known gym, who asked not to be named, said some people had resorted to coming into the facility for its running water.

“We have had people come in to use the taps in our washroom and some have signed up just to gain access to our shower facilities,” he said.

The gym has several water tanks which allow it to stay operational during water cuts.

Several college students hit hard by the water rationing at their homes have started going to their campus to shower.

Jeang Sheng, 21, said his area had not received water for two weeks since the onset of rationing so he showers at UCSI University where he studies.

“Sometimes I go in earlier to shower before class; other times I stay back to shower after class,” he said.

He said his water woes were worsened by the inconsistent delivery times of water tankers serving his area.

“They seem to come at random times. They have delivered water at around midnight and even at 4am once,” he said.

“I try to preserve the water I’ve stored at home by showering at my campus.”

Some petrol stations and other places have had to put up signs telling people that they cannot bathe or collect water on their premises.

Md Khairi Selamat, Selangor Water Management Au­thority (Luas) director, had announced that there would be a water emergency declared in the state if major dams hit critical level.

The Sungai Selangor and Klang Gates dams each have just over two months of water sup­­­ply before they reach the danger zone.

Selangor water woes all Anwar’s fault, says state opposition leader

The Selangor opposition alleged today that it was constant meddling by state economic advisor Datuk Seri Anwar Ibrahim that led to the ongoing water crisis affecting some nine million people in Selangor and the federal territories of Kuala Lumpur and Putrajaya.

Selangor opposition chief Datuk Mohd Shamsudin Lias said it was because of Anwar’s adamant objection to the construction of the controversial Langat 2 water treatment plant that the state is now forced to ration its water due to dwindling supply.

“I fear the mentri besar faces a lot of pressure to derail the MoU. If it is stopped, it will only cause more problems... this plant is already delayed. If it is delayed further, what will happen?” Shamsudin said when met in the state assembly annex lobby.

The state and federal governments recently signed a Memorandum of Understanding, which aims to tackle the chronic water woes faced by residents in Selangor and the federal territories of Kuala Lumpur and Putrajaya.

Under the MoU, the federal government is to help the state acquire all water assets as part of the state administration’s ambitious water industry restructuring exercise, in exchange for state approval for the construction of the Langat 2 water treatment plant.

Shamsudin said Anwar had done nothing to contribute to Selangor’s economic growth, and instead, accused the latter of being obsessed with undermining the Barisan Nasional-led federal government.

“All the infrastructure already exists in Selangor to attract FDI (foreign direct investment). The state on its own is already attractive.

“There is no initiative by the economic advisor, who goes overseas not to lead investment missions for Selangor but to criticise the (federal) government.

“What is most sad, is that this advisor has caused much suffering and hardship and confusion in Selangor. Look at the Kajang move where he wanted to become MB... that does not help Selangor, that only destroys Selangor,” Shamsudin said.

Last February, Khalid and Energy, Green Technology and Water Minister Datuk Seri Maximus J Ongkili signed the MoU, paving the way for Selangor’s takeover of water assets currently owned by four concessionaires operating in the state under the Water Services Industry Act (WSIA) 2006.

The federal and state administrations are currently working out a forced takeover of three of the four concession holders — Syarikat Bekalan Air Selangor Bhd (Syabas), Puncak Niaga Sdn Bhd (PNSB) and Syarikat Pengeluar Air Selangor Holdings Bhd (Splash) — after they refused Selangor’s RM9.65 billion total offer.

Only state-owned Konsortium Abbas Sdn Bhd (ABBAS) agreed to the terms laid out by the state government.

The deal, however, was criticised by Pakatan Rakyat leaders — especially those seen to be aligned with Anwar — who argued that Selangor does not need to agree to the Langat 2 plant after talks with the three concession holders fell through.

Construction of the Langat 2 plant is currently on hold, pending the completion of the state’s water industry restructuring exercise.

State to consider water firms' plea

THE Selangor state government will consider a plea by water concessionaires Puncak Niaga Sdn Bhd (Puncak Niaga) and Syarikat Bekalan Air Selangor (Syabas) to take over their assets as long as it does not exceed the original offer of RM9.65 billion.

Menteri Besar Tan Sri Abdul Khalid Ibrahim said Syabas and Puncak Niaga had made the request via a letter through the Energy, Green Technology and Water Ministry on Monday.

"The concessionaires are asking the state government to reconsider the amount paid to them once Section 114 of the Water Services Industries Act 2006 is implemented."

Under the Act, the concessionaires will only get RM7.6 billion, or RM2 billion less than the initial offer of RM9.65 billion.
"The state government can reconsider the amount of payment that needs to be made for the take over but our offer still stands at RM9.65 billion and we are not planning to increase even a sen more

"This is because any more increase in the payment will have a negative effect in the state water tariff and affect more than five million users in the state," he said at the state assembly yesterday.

Khalid, however, gave his commitment that the state government would cooperate with the Federal Government in reaching a fair deal for the take over "so we can move on to further restructure the water industry to benefit the people in the long term".

On a related note, Khalid said the Langat 2 water treatment plant would be constructed simultaneously with the Hybrid Off River Augmentation System (Horas) project.

"The state and Federal governments are still in talks but we expect to come to an agreement soon. It's just that there is no black-and-white agreements yet, but my word is my promise and we will make this happen."

Khalid said the Langat 2 and Horas projects would double the amount of untreated water from the current 5,000 million litres per day to 10,000. Horas is one of three main projects the state government will carry out while waiting for the Langat 2 plant to be completed.