From 1996,the Barisan Nasional federal and state governments privatised Selangor's water management to four companies to increase efficiency,but it seems to have resulted only in CORUPTION,WASTAGE and MISMANAGEMENT. High profit margins were allowed to each company that handled the water at different stages and transfer costing has resulted in HIGHER TARIFFS.
Audits have revealed serious questions marks over the financial practices of Syarikat Bekalan Air Selangor Sdn.Bhd. (syabas) and Puncak Niaga (M) Sdn Bhd. - both owned by businessman Tan Sri Rozali Ismail.
72% of contracts awarded by Syabas were given via DIRECT NEGOTITIONS and WITHOUT OPEN TENDERS.Their combined value? RM600 million.When Syabas' public accounts were compared with the records of contracts they awarded for the years 2005-2007,a total DISCREPANCY of RM325 million was unaccounted for.
In 2005,Syabas breached concession terms by importing RM375 million worth of pipes from an INDONESIAN COMPANY instead of local one.Did this decision have anything to do with the fact that the indonesian company in question also belonged to Tan Sri Rozali Ismail?
His salary f RM5.1 MILLION A YEAR should be sufficient to dissuade any man from any questionable practice,but it would appear the greed of some remain boundless.
Which such practices running rampant,it's hardly suprising that all four water companies have a combines DEBT OF RM6.4 BILLION. Almost half of that amount is owed by Syabas alone.It is little wonder that Syabas PLANNED TO INCREASE WATER TARIFFS BY 37 % in 2009.
In 2009,the federal government provided a BACK-LOADED,INTEREST FREE,UNSECURED SOFT LOAN OF RM320 MILLION to Puncak Niaga (Syabas holding company).This mean that Malaysian and not Syabas will have to bear the full cost of financing this loan.The federal government will end up paying approximately RM250 million of the people's money just to finance the incredulous loan.
In fact,the federal government recognised the problems.In 2006,the WATER SERVICES INDUSTRY ACT was passed in Parliment to begin returning control of the water industry to state governments.
After March 2008,the federal made an abruot U-turn,preventing the planned takeover by Pakatan Rakyat led Selangor government.It is hard to see anything beyond petty political motivations behind such a complete change in policy.It would would appear partisanship comes well before the genuine interests of the rakyat.
The Selangor government has been trying to REACQUIRE THE PRIVATE-SECTOR WATER CONCESSIONS,and return control of water assets to the government.
They believe there should be a HOLISTIC WATER SERVICES INDUSTRY in Selangor-from its treatment all the way to distribution.Under their plan,all operations will be STREAMLINED INTO SINGLE-TIER MANAGEMENT. There will be no transfer costing,no inherent ineffiencies,lower water tariff hike,and more reasonable service charges.Whatever profits are gained from the water industry will be used for the RAKYAT'S WELFARE.
It is sad that political considerations stand in the way of the Selangor government's plan of a 12% ceiling every 3 years on all water tariff hikes,and the continued provision of 20 CUBIC METERS OF FREE WATER FOR ALL SELANGOR CITIZENS.
As the pressure on Syabas,Puncak Niaga and the federal government mounts,Malaysians must now ask ourselves whether we will have the courage necessary the stop the continued corruption and leakage from happening fight under our nose.
Find out more at www.AirUntukRakyat.net
dollah yankee -masa Dollah Badawi ZZZ jadi PM dulu, ini Rozali sudah guna itu Roslan Saidin(Ketua Pemuda Kepala Batas) sebagai dia punya runner.