Tuesday February 24, 2009
Auditor to decide value of water assets in Selangor
IT WILL not be the Federal Govern-ment or the National Water Services Commission (SPAN) that will determine the value for water assets in Selangor.
Energy, Water and Commu-nications Minister Datuk Shazi-man Abu Mansor said it would be fixed by an auditor.
“If the Selangor government is unhappy with the sum given by the auditor, they can sue him. The sum will be fixed through proper accounting procedures.
“It’s not about whether we can offer a cheaper price for the assets. This is not about Selangor being happy with SPAN’s negotiations or not. It’s a matter of public interest,” he told reporters at the Parliament lobby.
Shaziman was commenting on the dissatisfaction voiced by Selangor Mentri Besar Tan Sri Khalid Ibrahim over SPAN negotiating directly – via Pengurusan Aset Air Bhd (PAAB) – for the takeover of the water assets in the state.
Khalid had said that any offer by SPAN for the assets should be lower than the RM5.71bil offered by Selangor.
It is believed that PAAB’s valuation of the assets would be conducted by an independent auditor to prevent accusations of bias on the part of SPAN.
Four Opposition MPs have claimed that the Federal Govern-ment had sabotaged the offer by Selangor and expressed disappointment with the move to be-come a “competitor” to Selangor.
“Both the Federal Government and the state government are supposed to be working together on behalf of the consumers,” said Charles Santiago (DAP – Klang).
“In this case, the Federal Government is offering RM9bil and not the RM5.71bil offered by the state government to the water concessionaires.”
Santiago was speaking to reporters with Tony Pua (DAP – Petaling Jaya Utara), William Leong (PKR – Selayang) and Dr Dzulkifli Ahmad ( PAS – Kuala Selangor) at the Parliament lobby.
Santiago said the Selangor government would support the Federal Government if the offer price was lower.
“If however, they offer the concessionaires a much higher cash value for its assets as well as lucrative licence terms for them to continue as the water operators in the state, the minister must explain why he is forsaking the rights and interests of 7.3 million people in Selangor and Kuala Lumpur,” they said in a statement.
“Under the Water Services Industry Act 2006, as well as the terms of the current concession contracts, the Selangor state is
a counter-party to all previous and future agreements,” said Santiago.
“Hence any attempt by the Federal Government to unilaterally negotiate with the concessionaires is illegal and will be subjected to future disputes and complications.”
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