�The Star : 15 October 2006

Water tariffs will go up by 15% for Klang Valley consumers who use more than 35 cubic metres per month, says Water, Energy and Communications Minister Datuk Seri Dr Lim Keng Yaik.�

He said the ministry was still in discussion with Selangor on when the new tariffs would come into force.�

Dr Lim said the increase should not affect the lower income group.�

�Those who consume less than 20 cubic metres of water per month will not be affected.��

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For consumers who use more than 20 cubic metres a month but less than 35, the tariff increase is 6%. �

Citing an example, he said that if the water bill was RM17 now, it would soon be between RM18 and RM18.50 after the increase. �

For a normal five-member family, Dr Lim said household consumption should not exceed 30 cubic metres a month.�

Dr Lim, who is also Gerakan president, was speaking to reporters yesterday after the party�s monthly central committee meeting at Menara PGRM here.�

He said Syarikat Bekalan Air Selangor Sdn Bhd (Syabas) was entitled to a 15% increase because it had successfully reduced non-revenue water (NRW) by more than five per cent within a year, according to the concession agreement.�

�If the Government does not give them that rise in tariff, they can demand compensation.�

�For 2006, it (the compensation) is RM152mil; RM170mil for 2007 and RM190mil for 2008.��

Dr Lim said when Syabas took over from PUAS, it had also inherited a RM2.3bil debt. �

To a question, he said it was up to the state to decide when to increase the tariff. However, the state must still pay Syabas the 2006 compensation.�

�The announcement should have been made on Jan 1 this year. We were late because the auditors took until August to review the NRW,� he said. �

Dr Lim emphasised that the ministry would not allow Syabas to backdate water bills.�

He said an agreement had been reached where the state would pay them in the form of grants instead of cash compensation, especially to replace and change pipes.�

According to Dr Lim, 42% of consumers would not be affected as their water consumption was below 20 cubic metres per month.�

�Industries will have to pay the new rate,� he said. �

Syabas chief operating officer Datuk Lee Miang Koi said it would issue a full explanation on the tariff increases tomorrow. �