KUALA LUMPUR: There is a need to relook the country’s low water tariffs, with those who can afford it made to pay more.
A review is also needed to change water consumption habits, said Nik Nazmi Nik Ahmad.
The Natural Resources, Environment and Climate Change Minister said prices had to be varied for different target groups.
“We need to make it more targeted. Maybe not in the next few months, but in the medium-term (future),” said Nik Nazmi.
“It (water tariffs) has to be driven by market pricing, at least for those who can afford to pay,” he said during the Concorde Club meeting on Monday.
The Concorde Club, led by Star Media Group adviser Datuk Seri Wong Chun Wai, is an informal group of editors and senior journalists who meet with politicians and key policy makers.
Nik Nazmi also said Putrajaya would be looking into the present policy of providing matching grants to assist water operators in states to reduce incidences of wastage or non-revenue water (NRW).
Currently, Nik Nazmi said matching grants were given to states such as Johor and Selangor for meeting annual NRW reduction targets.
“The problem is that some states do not qualify for this (grants) and have to rely on loans. We will see if we can improve on that and ensure that the right behaviour is incentivised,” added Nik Nazmi.
“We cannot give out free money without looking at how these operators perform. We are using too much water and not investing enough to stop NRW.”
Under the National NRW Reduction Programme Approach Two, matching grants were given to water operators in Melaka, Penang, Johor, Negri Sembilan, Perak, Terengganu and Selangor for slashing their rates of NRW by 40% a year.
Past figures from the National Water Services Commission (SPAN) showed the average national NRW rate was 37.2%, resulting in daily wastage of 7.084 million litres of treated water and the 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 solve the water supply problem that had been plaguing 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.