Selangor to finalise ratification of Act 672, reduce solid waste management costs


PETALING JAYA: Selangor is expected to finalise the ratification of the Solid Waste and Public Cleansing Management Act 2007 (Act 672) by the end of this year or, at the latest, by early 2025.

The Chief Minister, Datuk Seri Amirudin Shari, said that implementing solid waste management in collaboration with the Federal Government through this Act is also expected to reduce the costs borne by the state government through its subsidiary.

He explained that, currently, the operational cost incurred by the state government’s subsidiary, KDEB Waste Management (KDEBWM), for collecting one metric tonne of waste is estimated at RM7 to RM8 compared to the actual cost of RM14 to RM15.

According to Sinar Harian, Amirudin said KDEBWM bears an additional cost of RM7, which has resulted in financial constraints for the company, affecting investments in the purchase of new lorries, other equipment, and more.

"Secondly, when we consider how waste is managed to generate energy (WTE), it again touches on the tariff. The tariff previously set by Worldwide Holdings Berhad (Worldwide) was RM55.

"The RM55 cost is subsidised by the state government. If we go by the actual rate, it could be more than RM70 to RM80.

"So, with Act 672, that gap is covered by Federal allocations, and we are open to discussions for this purpose, which is why we believe Act 672 has its benefits," he said on Monday.

The Chief Minister was speaking at the launch of the Selangor Education Summit (SES) 2024 at the Foyer of the Sultan Salahuddin Abdul Aziz Shah Building in Shah Alam.

Earlier, the media reported that the Housing and Local Government Ministry had received a note of intent from the Selangor government to ratify the Solid Waste and Public Cleansing Management Act 2007.

Its Minister, Nga Kor Ming, was reported as saying that discussions on Selangor’s adoption of Act 672 are ongoing, and developments will be announced.

However, the Chief Minister added that the transition would involve not only the state government but also 12 local authorities (PBT) across the state.

"These 12 PBTs have ecosystems, such as appointments, management, and monitoring, which need to be aligned first to ensure a smoother transition," he said.

Meanwhile, Amirudin also projected that signing the Act would help resolve cost issues and the existence of illegal waste disposal sites in Selangor.

"God willing, if everything goes well, one of the outcomes would be lower tariffs, but when tariffs are low, the returns for contractor companies are less attractive.

"However, if the tariffs are relatively higher, as I mentioned, the current rate is RM14–RM15, then people will not take shortcuts by dumping waste in illegal areas.

"We are already taking action against such practices, but it is expected to improve significantly," he added.

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