Penang to review domestic water tariffs, says Chow

BUTTERWORTH: The Penang government is set to review its domestic water tariffs, said Chief Minister Chow Kon Yeow.

Chow, who is Penang Water Supply Corporation (PBAPP) chairman said there was a need for the periodic tariff adjustment since it was last carried out in the state in 2015.

"Many states have already implemented new water tariffs that have been approved, and gradually, PBAPP needs to do the same. We will make an announcement.

"Last year, we implemented a new water tariff for bulk categories," he told reporters after opening the Affordable Housing and Real Estate Expo here today.

He said proposals for assessing new tariffs for domestic categories would be submitted by PBAPP, the water operator for Penang, to the National Water Services Commission (SPAN).

"Every three years, we need to submit our business plan to obtain a licence in addition to what is the expected tariff that allows us to fulfill our role as a water supplier.

"We know that the water supplied is subsidised. The cost incurred to treat 1,000 litres of water is more than RM1, while it is sold at a price of around 30 sen per litre.

"So, our subsidy is high, about RM100 million annually, even though we are not raising the tariff."

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