PENANG Chief Minister Chow Kon Yeow said the state has applied to the National Water Services Commission (SPAN) to raise water tariffs for domestic customers.

He added that the Penang Water Supply Corporation (PBAPP) spends over RM100 million annually on water subsidies for domestic customers and the state is still using the same domestic tariff since 2015, while a new tariff was introduced for commercial users earlier this year.

“Sooner or later, PBAPP will also have to increase (water tariffs). We will announce the matter later because this tariff has many (categories) after we have discussions.

“For example, PBAPP spends more than RM1 to treat 1,000 litres of water but only sells it at RM0.30 per litre. We spend more than RM100 million a year even though we have not increased the water tariff,” he told reporters after opening the Penang 2023 Affordable Homes and Property Expo in Butterworth today.

Chow, who is also PBAPP chairman, also said Penang must submit a business plan to SPAN every three years, which includes estimated tariffs and renewal of the water supply licence.

He also provided updates on the burst pipe in Sungai Perai that occurred on December 18, saying that tankers were still supplying water in several areas in Barat Daya district until supply was fully restored at midnight.

About 200,000 consumers in Barat Daya (island) and Seberang Perai (mainland) have been affected by water supply disruptions since last Tuesday after a 1,350mm pipeline in Sungai Perai was temporarily shut off. – Bernama, December 23, 2023