PUTRAJAYA, Jan 17 — The licence issued to water supply service operators under the National Water Services Commission (SPAN) can be revoked if they do not achieve the required key performance indicators (KPI).
Deputy Energy Transition and Public Utilities Minister Akmal Nasrullah Mohd Nasir said this is stipulated under the Water Services Industry Act 2006 (Act 655).
“The reason is that the income of the water operators is expected to increase following the adjustment of the water tariff which takes effect on February 1.
“The revenue should then be used to improve the quality of service and solve the main problem of water supply in the respective states,” he told a press conference yesterday.
Akmal said the KPIs that water operators are required to meet include ensuring the development and improvement of key infrastructure.
“This includes replacement of dilapidated pipes and the construction of new water treatment plants,” he added.
SPAN today announced the adjustment of water tariffs for domestic users in the peninsular and Labuan with effect from February 1, involving an average increase of 22 sen per cubic meter.
Akmal said several states have submitted proposals to the ministry regarding efforts to improve services and infrastructure to provide better quality water supply services in their respective places.
“This will be our focus for the next two or three years, to prove that when there is a tariff adjustment, there is an improvement in terms of services provided,” he said.
Following the water tariff adjustment, he said the ministry and SPAN will monitor to ensure continuous development of water supply services.
The ministry will also examine the main issues facing water supply operators, including Kelantan’s compliance with the minimum water quality standards set by the Health Ministry.
In Kedah, the focus will be on the issue of water pressure and lack of margin reserve that resulted in its water operator being unable to meet water supply demand.
“Therefore, it is important for every state to have a plan to solve specific issues, such as pollution, response, disturbances, complaints as well as overcoming the issue of water supply disruption,” he added.
— Bernama
