Source: The Sun, 29 August 2007
Llew-Ann Phang

KUALA LUMPUR (Aug 28, 2007): Energy, Water and Communications Minister Datuk Seri Dr Lim Keng Yaik has proposed that Kumpulan Darul Ehsan Bhd (KDEB), the Selangor government's investment arm, be awarded the contract to construct and operate the Langat 2 water treatment plant.

Lim said Mentri Besar Datuk Seri Dr Mohd Khir Toyo had requested that KDEB be involved in the construction and operation of the plant, which will treat water from the Pahang-Selangor water transfer project.

‘The state government, through KDEB, is helping us acquire the land for the plant. I have considered their request and proposed that construction be awarded to them as well the operation,' he said.

Lim told newsmen after addressing the fourth National Utilities Summit 2007 yesterday that the cost for the infrastructure, encompassing reservoir and the water treatment station is estimated at RM2 billion.

'We have identified the land and will need to start acquiring it,' he said.

Progress on the water transfer project is taking place ‘slowly but surely' and the project is expected to be opened for tenders next month.

The Pahang-Selangor water project will involve the construction of the Kelau Dam and a 44.6km long water transfer tunnel bored through Titiwangsa Range to transport water from Pahang river to Selangor.

Work is expected to commence early next year for completion in five years.

Lim said the project would enable the government to supply alternative water sources such as underground water.

Meanwhile, Malaysia's national news agency Bernama quoted the minister as saying a proper tender exercise for the project, estimated at RM3.8 billion, could be reduced to RM3 billion.

Lim said he was confident of the progress being made and asked for it to ‘take its time' as he is ‘determined to reduce costs'.

Apart from this, he said, there are efforts to mitigate the water supply problems.

He dismissed concerns by non-governmental organisations over depleting water resources in Selangor.

The other efforts include plugging leakages in the water supply system, and finding alternative sources like underground water.

‘I was given a report (with findings) of a huge amount of water in districts in Perak, including my hometown of Tapah,' he said.

‘The collection of water is supposed to be so big. It is bigger than Singapore and if we decide to bring it in, then Selangor won't be out of water,' he said .

Addressing the summit, Lim announced that the Asean ministers' meeting recently had agreed to proceed with the Asean power grid (APG) which would also involve the Bakun dam hydropower project.

Asked later whether the project was viable, he expressed concern over the project costs, including the submarine cable supplying power from the dam in Sarawak to the peninsula.

‘I have to think about it. This is all dollars and sen. From the technical aspect, we are getting the expert to look into it, but the whole thing is the financing,' he said.

‘I am not saying it is not possible but we have all these things and angles to look at.'

He cited such factors as cables and pipes manufacturing and delivery.

It was recently announced that Sime Darby will be one of the parties jointly assigned to look into acquiring cables for the project.

Financing is being worked out between Sime Darby and the Finance Ministry, Lim said.