Negeri Sembilan water tariff hike to improve services, settle RM700m debt and fund new dams, says MB

Malay Mail

4 days ago

SEREMBAN, Aug 1 — The water tariff hike in Negeri Sembilan will not burden the public but instead lead to improved services in the future, says Menteri Besar Datuk Seri Aminuddin Harun.
He said the revision was not decided arbitrarily but was thoroughly studied and discussed with the Ministry of Energy Transition and Water Transformation (PETRA), noting that most states have also agreed to the increase.
'This adjustment will bring long-term benefits, particularly in restructuring Negeri Sembilan's RM700 million debt to Pengurusan Aset Air Berhad incurred during the construction of the Ngoi-Ngoi 2 Water Treatment Plant, as well as funding the construction of new dams.
'Revenue from the new tariff will also enable better management of non-revenue water and a comprehensive pipe replacement programme, which in turn will help improve the quality of service,' he told reporters after launching the Negeri Sembilan-level Fly the Jalur Gemilang 2025 campaign here today.
Aminuddin, who is also the Port Dickson member of parliament, added that operating costs have risen sharply, particularly due to higher electricity tariffs, which have increased the state's monthly water pumping expenses, especially for commercial and industrial sectors, by RM700,000 since last July.
He said domestic consumers will continue to enjoy subsidies for up to 40 cubic metres of water consumption, with the first 20 cubic metres fully subsidised and the next 20 cubic metres charged at the minimum rate.
'We only make a margin of about 10 sen from the cost of water treatment and management. Even with the tariff adjustment, domestic consumers still pay below the actual cost.
'The real cost of water treatment in the state is between RM1.10 and RM1.15 per cubic metre, but consumers are only charged around 70 sen, meaning the government continues to bear a subsidy of more than 40 sen,' he said.
He urged the public to understand the rationale behind the tariff increase and to support the state government's efforts to ensure long-term water supply sustainability.
Yesterday, it was reported that domestic water tariffs in almost all states in Peninsular Malaysia and the Federal Territory of Labuan will be increased from Aug 1, following the gazettement of the new water tariff structure announced by the National Water Services Commission (SPAN).
The adjustment involves an average increase of 20 sen per cubic metre, raising the new rate to RM2.75 from RM2.55 previously. The revision, however, does not affect domestic users in Perak. — Bernama