Latest news with #WaterContingencyPlan2030
The Star
2 days ago
- Business
- The Star
Withdraw water tariff hike, Penang MCA urges CM
GEORGE TOWN: Penangites should not have to pay more for water when the state's water company recorded a RM144.17mil profit last year, says Penang MCA. The party wants Chief Minister Chow Kon Yeow to withdraw plans for another possible water tariff hike and use the government-owned Penang Water Supply Corporation's (PBAPP) financial performance to ease the public's struggles against the cost of living. Chan Wooi Jin, vice-chairman of the party's election preparation and scrutiny committee said instead of delaying the possibility of another water tariff hike to next year, it should be cancelled outright. 'Why raise the water tariff again? On what grounds does the state government justify this when PBAPP's net profit last year was RM144.17mil?' Chan asked. Chan pointed out that water tariffs were already raised in February 2024, and said it was unfair to impose another hike so soon. 'PBAPP is not short of money. It just launched a RM5bil sukuk programme to fund major projects. And yet they are still thinking of raising tariffs?' He said PBAPP should focus on improving operational efficiency and trimming unnecessary costs instead of transferring financial pressures to consumers. The sukuk programme, the first of its kind by a state-linked water supply operator, was announced earlier this week. It is designed to support long-term infrastructure works such as the RM2.1bil Water Contingency Plan 2030 and the newly launched Mengkuang water treatment plant, without over reliance on bank loans or further tariff hikes. 'Water is a basic need. Any hike will hit everyone directly. The government should be finding ways to lighten the people's burden and not add to it,' he said. He urged Chow to withdraw the proposal in full and not merely postpone it. On Tuesday (July 8), Chow, who is also PBAPP chairman, announced that he planned to ask the federal government to delay an impending water tariff hike in Penang to at least the middle of next year, even though it would cost PBAPP RM40mil. The National Water Services Commission (SPAN) announced on Wednesday (July 9) that as of June 30, it received applications to review water tariffs from PBAPP and operators in nine other states, which are Perlis, Kedah, Kelantan, Terengganu, Selangor, Negeri Sembilan, Melaka, Johor and Pahang. The commission added that it was still considering the applications.
New Straits Times
5 days ago
- Business
- New Straits Times
Maybank, UOB Malaysia to handle Penang water agency's maiden RM5bil sukuk
KUALA LUMPUR: UOB Malaysia and Maybank Investment Bank Bhd (Maybank IB) have been appointed as joint principal advisers, joint lead arrangers and joint lead managers for Perbadanan Bekalan Air Pulau Pinang Sdn Bhd's (PBAPP) first RM5 billion Islamic medium-term notes. Maybank IB also acts as the sole sustainability adviser for PBAPP's new sustainable finance framework, developed in line with local and global sustainable finance standards. UOB Malaysia country head of wholesale banking Andy Cheah said the RM5 billion sukuk will fund critical water projects to ensure long-term water security for Penang, addressing rising demand and challenges such as limited water resources and climate change. "The sukuk also highlights the important role banks play in mobilising capital for sustainable financing and demonstrates how we leveraged our capabilities to deliver real change in public sector infrastructure," he said in a statement today. Maybank IB chief executive officer Michael Oh-Lau said Malaysia's debt capital markets remain one of the most developed and liquid in the region, with over RM120 billion in private debt securities issued annually coupled with a steady growth of sustainability-labelled issuances year on year. "Through this sukuk programme, PBAPP is now well-positioned to benefit from deep and diverse investor liquidity, competitive pricingand greater funding flexibility over time," he added. According to UOB Malaysia, proceeds from the sukuk programme will be used to fund PBAPP's Water Contingency Plan 2030 (WCP 2030), support broader capital and operational expenditures including refinancing needs and finance other eligible green and social initiatives in line with its sustainable finance framework. PBAPP is the first Penang state-linked agency to establish both a sukuk programme and a sustainable finance framework. PBAPP's sukuk programme has received a AAA/Stable credit rating from RAM Rating Services Bhd, reflecting its strong credit fundamentals. PBAPP plans to issue the sukuk progressively, aligned with actual project requirements and tailored to near-term investment needs.
Malay Mail
03-05-2025
- Climate
- Malay Mail
Penang targets cut in daily water use to 250 litres per person amid climate-driven supply concerns
GEORGE TOWN, May 3 — Penang is targeting a reduction in domestic water consumption to 250 litres per capita per day (LPCD) this year, an 11-litre decrease from the 261 litres recorded last year. Penang Water Supply Corporation (PBAPP) chief executive officer, Datuk K. Pathmanathan, said that while the target may appear modest, it could yield significant long-term benefits in terms of water supply sufficiency and security. 'If all 1.8 million Penang residents reduce their household water use by 11 LPCD, the cumulative savings could reach 19.8 million litres per day (MLD) this year,' he said during the World Water Day celebration at the Air Itam Dam today. The event was officiated by Penang Chief Minister Chow Kon Yeow and attended by Water Watch Penang president, Prof Emeritus Datuk Dr Chan Ngai Weng. Pathmanathan added that the projected domestic savings are expected to contribute to an estimated 2.3 percent reduction in Penang's overall water consumption, from 870 MLD last year to approximately 850 MLD this year. Saying domestic water use accounted for approximately 54 percent of total water consumption last year, he encouraged Penangites to use water more efficiently to help stabilise supply and reduce service disruptions in end-of-line distribution areas and highland zones in Seberang Perai Selatan and the Barat Daya District. Meanwhile, Pathmanathan noted that climate change has also impacted operations, with the effective capacities of the Teluk Bahang and Air Itam dams decreasing by 13.1 percent and 22.6 percent, respectively, due to low rainfall since January. He explained that although both dams are designed to be replenished by rainwater within their catchment areas, the significant reduction in rainfall, coupled with prolonged El Niño conditions, has hampered their recovery in recent years. In contrast, he said the Expanded Mengkuang Dam was specifically designed to be replenished primarily through water pumped from Sungai Kulim. 'We are currently implementing projects worth over RM1 billion under the Water Contingency Plan 2030 to ensure sufficient capacity for Penang by 2030. 'We therefore urge domestic users to conserve water to help reduce the state's water supply risks up to 2030, ensuring fair and equitable distribution while supporting the Penang2030 vision,' he said. — Bernama
