KUALA LUMPUR: Water tariffs should be reviewed and a targeted mechanism should be introduced, says Nik Nazmi Nik Ahmad.
The Natural Resources, Environment and Climate Change Minister also said water tariffs at present were very low and there was a need to relook into it.
"We need to make it more targeted. Maybe not in the next few months, but in the medium-term (future) onwards," said Nik Nazmi.
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Nik Nazmi also said the review of current water tariffs was needed to bring about a change in water consumption habits.
"It (water tariffs) has to be driven by market pricing, at least for those who can afford to pay," said Nik Nazmi during the Concorde Club meeting on Monday (May 22).
The Concorde Club was an informal group of editors and senior journalists meeting with politicians and key policymakers.
Previous guests of the Concorde Club, led by Star Media Group advisor Datuk Seri Wong Chun Wai, included Prime Minister Datuk Seri Anwar Ibrahim, Penang chief minister Chow Kon Yeow, Opposition Leader Datuk Seri Hamzah Zainuddin, Datuk Seri Najib Razak, Datuk Seri Mohamad Hasan, Anthony Loke, Nurul Izzah Anwar.
Nik Nazmi also said Putrajaya would be looking into the present policy of providing matching grants to assist water operators in states to overcome the issue of non-revenue water (NRW).
Presently, Nik Nazmi said that matching grants were given to states such as Johor, Selangor and others, for meeting the annual NRW rate reduction target.
"The problem is that states that do not qualify for that (grants) and have to rely on loans, we will see if we can improve on that and ensure that the right behaviour is incentivised.
"We cannot give out free money without looking at how these operators perform," said Nik Nazmi.
"We are using too much water and not investing enough to stop NRW," added Nik Nazmi.
Under the National NRW Reduction Programme Approach 2, matching grants were given to water operators in Melaka, Penang, Johor, Negri Sembilan, Perak, Terengganu and Selangor for meeting the 40% set annual NRW rate reduction target.
Nik Nazmi previously said figures by the National Water Services Commission (SPAN), showed that the national average NRW was 37.2%, which was a waste of 7.084 million litres of treated water daily with a loss of about RM2bil a year.
Meanwhile, Nik Nazmi reiterated a commitment by Prime Minister Datuk Seri Anwar Ibrahim to meet Kelantan Mentri Besar Datuk Ahmad Yakob and Sabah Chief Minister Datuk Seri Hajiji Nor to find a solution to the water supply issue that’s plagued both states for many years.
"We see this as an issue affecting our rakyat and Putrajaya will play whatever role it takes to solve it, hopefully with the cooperation of state governments," added Nik Nazmi.
Anwar had previously said that it was crucial to solve the water issue in Kelantan and Sabah by this year.
