Water tariff woes: PPIM warns of burden on B40 and poor households
MOHD FAIZUL HAIKA MAT KHAZI
SHAH ALAM - The Malaysian Islamic Consumer Association (PPIM) has expressed opposition to the government's proposal to allow water operators in each state to determine their own water tariffs without the need for approval from the National Water Services Commission (SPAN) and the Cabinet.
PPIM chief activist Datuk Nadzim Johan said the proposal is irrelevant and could burden consumers, predominantly low-income (B40) and poor households.
He also warned that the proposal could open the door for water operators to raise tariffs at will, without government control.
"I am puzzled by the proposal of the Minister, Nik Nazmi Nik Ahmad, to allow operators to determine their own water tariffs because previously, this matter fell under the jurisdiction of SPAN and the Cabinet.
"What is the use of establishing SPAN if they cannot fully resolve the issue of negotiating new water tariffs with the operator companies?" Nadzim told Sinar.
Nadzim also cautioned against making "extraordinary" decisions that could inconvenience the people and force the federal government to intervene if problems arise in the future.
Nadzim made these remarks in response to media reports that the government is considering allowing water operators in each state to determine their own mechanisms for setting water tariffs without federal-level approval.
Previously, Nik Nazmi said that this step was taken in response to complaints from water operators that the existing tariffs for non-commercial use have stayed the same for nearly 40 years, imposing a financial burden on them to cover maintenance costs.
However, the Perikatan Nasional (PN) government previously agreed to maintain water supply tariffs for domestic categories (residential premises) in Peninsular Malaysia and the Federal Territories (including Labuan) due to the current cost of living.
In June 2022, the Cabinet agreed to implement water supply tariff adjustments for non-domestic and special categories in Peninsular Malaysia and Labuan, effective from August 1, 2022, involving an average increase of 25 cents per cubic metre.
