MWA Welcome SPAN’s Clarification On Tariff Adjustment Applications

KUALA LUMPUR, July 10 (Bernama) -- The Malaysian Water Association (MWA) has welcomed the clarification issued by the National Water Services Commission (SPAN) regarding the applications for tariff adjustments submitted by 10 state water operators.

MWA president Mohamad Hairi Basri in a statement said the state of the water supply infrastructure, especially physical assets, should be viewed in the broader context of ensuring long-term water supply sustainability.

He said the water services industry is currently facing increasing challenges, including rising operational costs, ageing infrastructure, growing demand from sectors such as data centres, and the need to reduce non-revenue water.

“Furthermore, significant investment in our human capital needs to be accelerated to balance the development of physical infrastructure and higher utilisation of technology in the water industry,” he said, adding that these issues are part of the broader context in which tariff reviews are being sought.

Ten states — Penang, Perlis, Kedah, Kelantan, Terengganu, Selangor, Negri Sembilan, Melaka, Johor and Pahang — have submitted applications to SPAN to review their water tariff rates.

However, all of these applications are still under review and have not been finalised.

Hairi said the intensifying impacts of climate change are also putting pressure on water resources and must be addressed proactively.

“Unpredictable weather patterns, prolonged dry spells, and flash floods have severely impacted both the quality and availability of raw water. These circumstances require proactive planning, continued investments in resilient infrastructure, and long-term measures to safeguard the nation’s water security,” he said.

He added that a tariff structure that is fair, transparent, and reflective of actual service delivery costs — while ensuring affordability for the public, especially vulnerable communities — is fundamental.

“It enables operators to sustainably provide reliable and safe water services while upholding high operational standards and environmental stewardship,” he said.

MWA also acknowledged SPAN’s commitment to a careful and balanced review process that considers the welfare of 27.2 million users and the financial and technical capacities of licensed operators.

“We at the association remain committed to supporting key stakeholders, including regulators, state and federal governments, and industry players, to build a resilient, climate-ready, and sustainable water services sector in Malaysia,” said Hairi.

— BERNAMA