Guan Eng Urges Penang To Seek Federal Funds For Water Projects

Former chief minister Lim Guan Eng said resolving Penang’s water infrastructure issues would require substantial funds. (DAP pic)PETALING JAYA: Former chief minister Lim Guan Eng has urged Penang’s water authorities to seek federal assistance for water infrastructure projects, rather than relying solely on increased tariffs.
Lim said resolving Penang’s water infrastructure issues would require substantial funds, as it was estimated to cost about RM1.7 billion.
“Currently, the federal government is prioritising water infrastructure projects, having allocated several hundred million ringgit to Kelantan and Terengganu.
“If Penang (were to) request (for similar funding), there should be no issue,” he said at a press conference in Penang today.
Lim, the DAP chairman, cautioned the state government against depending on increased revenue from higher water tariffs, saying that even RM120 million would be insufficient to carry out the necessary water projects.
“Building one water treatment plant alone costs RM1.2 billion. If we add the other projects that are needed, I think we will require an additional RM500 million.
“The additional revenue from increased water tariffs in 2024 is only RM86 million, which is insufficient to cover the RM1.7 billion cost.
“We cannot wait 10 years to build six water treatment plants,” he said.
This comes after the Penang Water Supply Corporation (PBAPP) sought to justify the increase in water rates, citing the need to spend billions of ringgit on additional infrastructure.
The new rates are 62 sen for the first 20 cubic metres (up 182% from 22 sen), RM1.17 for the second band (above 20 cubic metres to 35 cubic metres, up 154% from 46 sen), and RM2.07 for the third band (more than 35 cubic metres).
Lim also pointed out that when he was the chief minister, Penang had sought federal funds to expand the Mengkuang Dam. The total cost was RM1 billion.
“We didn’t have enough funds. As chief minister, I requested help from (the then prime minister) Najib Razak.
“Now, this is our government. Just ask. If Najib could allocate funds when Barisan Nasional was in power and we were in the opposition, there’s no reason why Prime Minister Anwar Ibrahim can’t allocate funds to us now.” - FMT

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