Selangor government decides to take over four water concessionaires

(Bernama) – Menteri Besar Tan Sri Abdul Khalid Ibrahim said the Selangor government has decided to take over and manage the four water concessionaires in the state.

The federal government letter received on Sept 9 showed the commitment of both sides to immediately resolve the water management issue for the benefit of the people in Selangor, Kuala Lumpur and Putrajaya .

“It’s true, the Syabas management has been was given to the state government. We are negotiating with the parties involved on the valuation of the acquisition.

“If negotiations can be completed by year end, the takeover process will probably take another three to six months. What is mportant, the concessionaires employees will not be laid off and can work as usual but under a new management,” he told reporters here today.

Although fully authorised to manage the water industry, the federal government remains as the ‘golden’ shareholder and the four concessionaires could not be sold to other than the federal government.

Abdul Khalid said the Selangor state government had offered RM9.65 billion to take over all four water concessionaires.

There four water concessionaires are Syarikat Pengeluar Air Sungai Selangor Sdn Bhd (SPLASH), Puncak Niaga (M) Sdn Bhd, Syarikat Bekalan Air Selangor Sdn Bhd (SYABAS) and Korsortium Abass Sdn Bhd.