The
Selangor government will exercise its power to reshuffle the senior
management of state water concessionaire Syarikat Bekalan Air Selangor
(Syabas).
In a press release today, state exco member Dr Xavier Jayakumar said the reshuffle will not affect support staff and mid-level officers.
"We
hope that Syabas' staff who have plenty of experience and are dedicated
to the company not to worry about their future, because of the
impending 'step-in' process that will take place soon," he said.
Xavier's issued the release immediately after Menteri Besar Khalid Ibrahim publicly announced the formation of professional panel to review the daily operations of the state water concessionaire Syarikat Bekalan Air Selangor (Syabas).
Announcing this decision made by the state executive council this morning, Khalid said Syabas "failed to provide a detailed and satisfactory explanation" on several issues raised at the meeting.
The group will comprise Kumpulan Darul Ehsan Bhd chief executive Suhaimi Kamaruzaman, Konsortium Abass Sdn Bhd director Abas Abdullah, Kumpulan Perangsang Selangor general manager (water management) Karim Endut and Perangsang Selangor planning, strategy and investment chief Kevin Lee.
“The state government is confident that this team will be able to work together with Syabas because each one of them has wide experience in water supply operations and management,” Khalid said.
Putrajaya will be informed
He said a letter informing the federal government, specifically the Energy, Green Technology and Water Ministry, which is also party to the 2004 water privatisation agreement, of Selangor's decision to "step in" to monitor Syabas will be sent tomorrow.
“The
delegation will be headed by state executive councillors Teresa Kok and
Xavier, who will personally deliver the letter to the ministry in
Putrajaya at 11am tomorrow,” Khalid said.
“We hope Syabas and the federal government will not misuse the water issue to burden the people, especially with the fasting month being around the corner,” he said.
Khalid maintained that Selangor had been consistent about its water management restructuring plans as it was a “holistic” approach that would benefit the people.
On Tuesday, the state expressed its decision to take over the water management from Syabas, following doubts in the concessionaire's the claims on its water rationing exercise.
Syabas response was that the claims of suspicions in its management of the natural resource were "baseless" accusations.
Deputy Prime Minister Muhyiddin Yassin also stepped into the fray, insisting that an arbitrary takeover was not possible as Selangor had to submit its plan to Putrajaya if it intended to do so.
Don't blame Langat 2
Asked about Muhyiddin's assertion, Khalid the concession agreement spelled out the provisions under which the state could “step in”.
“Water management is related to operations. So we will show the federal government we have ability to step in,” Khalid said, adding that the state would work on the long-delayed restructuring deal after the its evaluation.
“Non-revenue water is the most important. If we manage to take over, the overhead costs of Syabas can be reduced - if we pay a CEO not more than 10 percent of the salary paid to Razali Ismail,” he said, referring to Razali's annual income of RM5.1 million.
Khalid also dismissed Syabas' claim that the delay in the construction of the Langat 2 treatment plant could result in water shortage in the Klang Valley.
"Syabas has to learn logic. If you are talking about the shortage of water now by saying that you need Langat 2 (which will take time to construct) you are still faced with a water crisis.
"Langat 2 has got nothing to do with our decision (to step in). The decision is (to monitor the) current management of water resources and the management of treatment plants and pipes,” he said.
The menteri besar reiterated that the "step in" process would be undertaken to "understand the problems faced by Syabas".
“This shouldn't be made an issue as it is an emergency situation. We are assuring the people of Selangor there is water.
“We must gear up the management of Syabas to the level that it will be able to serve the people as per the privatisation agreement of 2004, so that there will no longer be an issue of uncertainty in terms of delivery," Khalid added.
In a press release today, state exco member Dr Xavier Jayakumar said the reshuffle will not affect support staff and mid-level officers.
"We
hope that Syabas' staff who have plenty of experience and are dedicated
to the company not to worry about their future, because of the
impending 'step-in' process that will take place soon," he said.Xavier's issued the release immediately after Menteri Besar Khalid Ibrahim publicly announced the formation of professional panel to review the daily operations of the state water concessionaire Syarikat Bekalan Air Selangor (Syabas).
Announcing this decision made by the state executive council this morning, Khalid said Syabas "failed to provide a detailed and satisfactory explanation" on several issues raised at the meeting.
The group will comprise Kumpulan Darul Ehsan Bhd chief executive Suhaimi Kamaruzaman, Konsortium Abass Sdn Bhd director Abas Abdullah, Kumpulan Perangsang Selangor general manager (water management) Karim Endut and Perangsang Selangor planning, strategy and investment chief Kevin Lee.
“The state government is confident that this team will be able to work together with Syabas because each one of them has wide experience in water supply operations and management,” Khalid said.
Putrajaya will be informed
He said a letter informing the federal government, specifically the Energy, Green Technology and Water Ministry, which is also party to the 2004 water privatisation agreement, of Selangor's decision to "step in" to monitor Syabas will be sent tomorrow.
“The
delegation will be headed by state executive councillors Teresa Kok and
Xavier, who will personally deliver the letter to the ministry in
Putrajaya at 11am tomorrow,” Khalid said.“We hope Syabas and the federal government will not misuse the water issue to burden the people, especially with the fasting month being around the corner,” he said.
Khalid maintained that Selangor had been consistent about its water management restructuring plans as it was a “holistic” approach that would benefit the people.
On Tuesday, the state expressed its decision to take over the water management from Syabas, following doubts in the concessionaire's the claims on its water rationing exercise.
Syabas response was that the claims of suspicions in its management of the natural resource were "baseless" accusations.
Deputy Prime Minister Muhyiddin Yassin also stepped into the fray, insisting that an arbitrary takeover was not possible as Selangor had to submit its plan to Putrajaya if it intended to do so.
Don't blame Langat 2
Asked about Muhyiddin's assertion, Khalid the concession agreement spelled out the provisions under which the state could “step in”.
“Water management is related to operations. So we will show the federal government we have ability to step in,” Khalid said, adding that the state would work on the long-delayed restructuring deal after the its evaluation.
“Non-revenue water is the most important. If we manage to take over, the overhead costs of Syabas can be reduced - if we pay a CEO not more than 10 percent of the salary paid to Razali Ismail,” he said, referring to Razali's annual income of RM5.1 million.
Khalid also dismissed Syabas' claim that the delay in the construction of the Langat 2 treatment plant could result in water shortage in the Klang Valley.
"Syabas has to learn logic. If you are talking about the shortage of water now by saying that you need Langat 2 (which will take time to construct) you are still faced with a water crisis.
"Langat 2 has got nothing to do with our decision (to step in). The decision is (to monitor the) current management of water resources and the management of treatment plants and pipes,” he said.
The menteri besar reiterated that the "step in" process would be undertaken to "understand the problems faced by Syabas".
“This shouldn't be made an issue as it is an emergency situation. We are assuring the people of Selangor there is water.
“We must gear up the management of Syabas to the level that it will be able to serve the people as per the privatisation agreement of 2004, so that there will no longer be an issue of uncertainty in terms of delivery," Khalid added.
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