bil 2/2015

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APR - JUN EDISI Bil.2, 2015 Menarik di dalam... Keeping The Water Reforms on Tra ck 03 Di Belakang Tabir : Indah Water Korsortium ( IWK ) 12 Mengapa Perlunya Semakan Tarif Air 08 HOW MUCH DOES TREATED WATER COST?

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Page 1: Bil 2/2015

IBU PEJABATAras Bawah & Aras Satu,Prima Avenue 7, Blok 3510,Jalan Teknokrat 6, 63000 Cyberjaya,Selangor Darul Ehsan.Tel : + 603 - 8317 9333Faks : + 603 - 8317 9336 / 9339

WILAYAH SELATANSuruhanjaya Perkhidmatan Air Negara,

Tingkat 22, Menara MSC Cyberport,No 5, Jalan Bukit Meldrum,

80300, Johor Bahru,Johor Darul Takzim.

Tel : +607 - 222 5842 / 843Faks : +607 - 222 5844

WILAYAH TENGAHSuruhanjaya Perkhidmatan Air Negara,Aras Bawah, Prima Avenue 8,Blok 3508, Jalan Teknokrat 6,63000 Cyberjaya,Selangor Darul Ehsan.Tel : +603 - 8317 9333 / 334 / 335Faks : +603 - 8317 9460

WILAYAH TIMURSuruhanjaya Perkhidmatan Air Negara,

Tingkat 2, Wisma PERKESO,Lot 2467, Jalan Air Jernih,20200, Kuala Terengganu,

Terengganu Darul Iman.Tel : +609 - 624 6087 / 78

Faks : +609 - 624 6088

WILAYAH UTARA(CAWANGAN PERAK)Suruhanjaya Perkhidmatan Air Negara,Lot 6.3, Tingkat 6, Bangunan KWSP,Jalan Greentown,30450 Ipoh,Perak Darul Ridzuan.Tel : +605 - 241 3209 / 10Faks : +605 - 241 3213

WILAYAH SELATAN(CAWANGAN MELAKA)

Suruhanjaya Perkhidmatan Air Negara,Lot 4.2 & 4.3, Tingkat 4,Bangunan Bank Rakyat,

Jalan Hang Tuah,75300, Melaka

Tel : +606 - 281 6314 / 6559Fak : +606 - 281 9343

WILAYAH TIMUR(CAWANGAN PAHANG)

Suruhanjaya Perkhidmatan Air Negara,Lot 2.01A, Tingkat 2, Bangunan KWSP,

Persiaran KWSP, Bandar Indera Mahkota25200, Kuantan,

Pahang Darul Makmur.Tel : +609 - 573 0153 / 52

Faks : +609 - 573 0149

WILAYAH UTARASuruhanjaya Perkhidmatan Air Negara,

Tingkat 5, Kompleks Sempilai Jaya,Jalan Sempilai,

13700, Seberang Jaya,Pulau Pinang.

Tel : +604 - 397 0532 / 533Faks : +604 - 397 0531

APR-JUNEDISI

B i l . 2, 2 0 1 5

Menarik di dalam...

Keeping The Water Reforms on Track

03 Di Belakang Tabir: Indah Water Korsortium ( IWK )

12MengapaPerlunya SemakanTarif Air

08w w w. s p a n . g o v. m y

HOW MUCHDOES TREATEDWATERCOST?

Page 2: Bil 2/2015

2

BULETIN SPAN B i l .02, 2015

Suruhanjaya Perkh idmatan Air Negara (SPAN)

IBU PEJABATAras Bawah & Aras Satu,Prima Avenue 7, Blok 3510,Jalan Teknokrat 6, 63000 Cyberjaya,Selangor Darul Ehsan.Tel : + 603 - 8317 9333Faks : + 603 - 8317 9336 / 9339

WILAYAH SELATANSuruhanjaya Perkhidmatan Air Negara,

Tingkat 22, Menara MSC Cyberport,No 5, Jalan Bukit Meldrum,

80300, Johor Bahru,Johor Darul Takzim.

Tel : +607 - 222 5842 / 843Faks : +607 - 222 5844

WILAYAH TENGAHSuruhanjaya Perkhidmatan Air Negara,Aras Bawah, Prima Avenue 8,Blok 3508, Jalan Teknokrat 6,63000 Cyberjaya,Selangor Darul Ehsan.Tel : +603 - 8317 9333 / 334 / 335Faks : +603 - 8317 9460

WILAYAH TIMURSuruhanjaya Perkhidmatan Air Negara,

Tingkat 2, Wisma PERKESO,Lot 2467, Jalan Air Jernih,20200, Kuala Terengganu,

Terengganu Darul Iman.Tel : +609 - 624 6087 / 78

Faks : +609 - 624 6088

WILAYAH UTARA(CAWANGAN PERAK)Suruhanjaya Perkhidmatan Air Negara,Lot 6.3, Tingkat 6, Bangunan KWSP,Jalan Greentown,30450 Ipoh,Perak Darul Ridzuan.Tel : +605 - 241 3209 / 10Faks : +605 - 241 3213

WILAYAH SELATAN(CAWANGAN MELAKA)

Suruhanjaya Perkhidmatan Air Negara,Lot 4.2 & 4.3, Tingkat 4,Bangunan Bank Rakyat,

Jalan Hang Tuah,75300, Melaka

Tel : +606 - 281 6314 / 6559Fak : +606 - 281 9343

WILAYAH TIMUR(CAWANGAN PAHANG)

Suruhanjaya Perkhidmatan Air Negara,Lot 2.01A, Tingkat 2, Bangunan KWSP,

Persiaran KWSP, Bandar Indera Mahkota25200, Kuantan,

Pahang Darul Makmur.Tel : +609 - 573 0153 / 52

Faks : +609 - 573 0149

WILAYAH UTARASuruhanjaya Perkhidmatan Air Negara,

Tingkat 5, Kompleks Sempilai Jaya,Jalan Sempilai,

13700, Seberang Jaya,Pulau Pinang.

Tel : +604 - 397 0532 / 533Faks : +604 - 397 0531

APR-JUNEDISI

B i l . 2, 2 0 1 5

Menarik di dalam...

Keeping The Water Reforms on Track

03 Di Belakang Tabir: Indah Water Korsortium ( IWK )

12MengapaPerlunya SemakanTarif Air

08w w w. s p a n . g o v. m y

HOW MUCHDOES TREATEDWATERCOST?

LEMBAGA EDITORIAL / EDITORIAL BOARD

Penasihat / AdvisorYBrs. En. Mohd Ridhuan Ismail

Ahli-Ahli / MembersEn. Marzuki MohammadCik Leow Peen FongPn. Carol PellyPn. Loh Pit MuiCik Syaidatul Ehya NadzeriEn. Mohammad Helmie Mohd Noor Yazid

Penyelaras / CoordinatorPn. Carol Pelly

Diterbitkan oleh / Published bySuruhanjaya PerkhidmatanAir Negara (SPAN)Ground & First FloorPrima Avenue 7, Block 3510Jalan Teknokrat 6,63000 CyberjayaSelangor Darul Ehsan

Tel: 03-8317 9333Fax: 03-8317 9339

www.span.gov.my

Kandungan

PENGUMUMAN• Penerimaan Darjah Kebesaran Panglima Jasa Negara (P.J.N) YBhg. Datuk Roger Tan Kor Mee, Anggota Suruhanjaya, SPAN.

• Kenaikan Pangkat Ir. Mohd Shukri bin Abdul Razik sebagai Pengarah Eksekutif, Jabatan Kawal Selia, Pembetungan

03 - 05 Keeping the Water Reforms on Track

06 - 07 How Much Does Treated Water Cost?

08 Mengapa Perlunya Semakan Tarif Air 09 Thematic Audit: Ensuring Water and Sewerage Service Efficiency

10 - 11 Peraturan Mengenai Kajian Semula Deposit Bekalan Air

12 - 13 Di Belakang Tabir: Indah Water Korsortium (IWK)

14 - 15 Commission Members & Management of SPAN Visit the Water Legacy of the Late Mr. Lee Kuan Yew

16 - 17 SPAN Outreach Program 2015: Educating the Young

18 - 19 Aktiviti-Aktiviti Kelab Sukan, Rekreasi dan Kebajikan SPAN Sepanjang Mac - Julai 2015

Page 3: Bil 2/2015

KEEPING THE WATER REFORMS ON TRACKBy: Dr. Chin Yoong Kheong

BULETIN SPAN B i l .02, 2015

3Suruhanjaya Perkh idmatan Air Negara (SPAN)

The thought process of reforming the water services industry in Malaysia began as far back as in the 1990s. It was not until August 2004, a formal policy study to reform the water services industry was initiated, with the appointment of a consultant, after which various open and consultative dialogues took place leading to the Parliament passing two new legislations namely the Suruhanjaya Perkhidmatan Air Negara Act [Act 654] (SPAN) and the Water Services Industry Act [Act 655] (WSIA) in 2006. Both acts came into force in 2008. The former provides the establishment of a national water services regulatory body, which is better known as SPAN among the Malaysian water industry fraternity. The latter provides the enabling legal framework required for the regulation of the water and sewerage service industry.

The concept of reform was to

REFORM ROAdMAPOver the years, the demand for water increases as a result of population growth and increase in economic activities has called for a need to step up investment in the water services industry. The water services industry is a capital intensive business has often faced funding constraints by the respective states given the limitation of public funds coupled with the absence of objective tariff setting mechanism.

address the two fundamental issues of raising much needed funds and driving efficiency. With that strategic focus, the reform promoted the asset-light model, whereby, the liabilities of the water operators are taken over by Pengurusan Aset Air Berhad (PAAB), a water asset holding company fully-owned by the Federal Government. The State water operating entities are required to transfer their water assets to PAAB for a period of 30 to 45 years and the States will then have to pay lease rental to PAAB. With the funding burden facilitated by PAAB, the State water operators can then focus on operational efficiency with SPAN as the regulator.

REfORMs NEEDED TO CuRB wATER CRIsIs

The Star reported on 21 March 2015, a United Nations study showed the global water demand

was predicted to increase 55% by 2050. If the current usage trends did not change, the world could face 40% water shortfall by 2030, which is a mere 15 years away. With this, United Nations urged for major reforms to ensure the water supply is sustainable with systematic governance.

On March 2015, The Star reported a debate on the Selangor water deal in the house of Parliament between the Federal government and the State government, with both sides accusing each other of stalling the RM9.6 billion water restructuring deal for Selangor.

The recent water crisis in Selangor, Federal Territory of Kuala Lumpur and Putrajaya and other parts of Peninsular Malaysia indicated that it is imperative for the government to transform its water services industry to ensure an adequate supply of clean water. It is

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4

BULETIN SPAN B i l .02, 2015

Suruhanjaya Perkh idmatan Air Negara (SPAN)

pleasing to note that the Selangor government has finally signed the deal on 10th July 2015 to begin the consolidation of the water services in Selangor.

REfORM PROGREssIn total, nine (9) states have

migrated to the WSIA licensing regime. Of the nine states, five (5) states in Peninsular Malaysia, namely Melaka, Negeri Sembilan, Johor, Pulau Pinang and Perak have successfully transferred their asset and liabilities to PAAB and adopted the asset-light model.

Through this restructuring, there are some positive outcomes on performance and profit of operators as well the funding availability especially for the states that have restructured their water services industry. For example, the rate of Non-Revenue Water (NRW) for Melaka has reduced to 21.4% in 2014 compared to 30.1% in 2008, Johor has reduced to 25.9% in 2014 compared to 31.3% in 2008 and Negeri Sembilan has reduced to 35.9% in 2014 compared to 50.5% in 2008. In addition, the overall

billing and collection efficiency recorded by these water operators have improved. The achievements of these water operators, without doubt, have benefitted the consumers. An improvement in the operations of the water operators translates into better services to the consumers in the form of a more efficient and reliable water supply services.

Those states that have not fully migrated, saw their NRW increasing over the same period except for Selangor which had to meet its KPI pursuant to its concession agreement.

GAPs ON REfORMATION PROCEss

As in any other countries, the water services restructuring process in Peninsular Malaysia and Federal Territory of Labuan has to bridge the reform gaps which can be categorized as migration gap, integration gap, consolidation gap and governance gap.

The Federal Government set a policy direction for the restructuring to be based on an asset-light model

focusing on building up operational efficiency. The migration of water services industry should not be dictated by political interests rather than to fulfill the socio-economic needs of the people.

The reformation of the Malaysian water services industry has also encountered resistance from the state governments due to the lack of understanding and acceptance of the asset-light model. They fear losing ownership and control over their water assets as well as distrusting the system introduced by the Federal government which includes the issues related to the land.

In a holistic approach to reform the water industry, the sewerage services sector needs to restructure towards a long term sustainable model. The main challenge for the sewerage services in Malaysia is to have a tariff mechanism that reflects the cost of providing the service and full collection of the bills issued. Sewerage services in Malaysia cannot operate as a business on its own but to tie up as part of the value chain of providing holistic water services. The policy direction aims to integrate both water and sewerage services as a single industry. Towards this end, a joint billing exercise between water and sewerage services has been proposed based on a volumetric formula for sewerage tariffs. In the joint billing exercise, the charges will be based on actual water consumption as opposed to the current fixed rate. However, the reform of the sewerage services requires integration of sewerage into water services, whereby the water services along with a single tariff is provided holistically from drawing water from its source to returning the treated used water to its source. The holistic approach recognizes the responsibility of the

MALAysIA’s ROADMAP

Page 5: Bil 2/2015

BULETIN SPAN B i l .02, 2015

5Suruhanjaya Perkh idmatan Air Negara (SPAN)

current generation to protect the sources for our future generation and without shifting the financial burden to the future generation.

As of today, the integration of water and sewerage services has yet to be implemented as we have yet to rollout the funding facility along with a sustainable tariff setting mechanism for the industry.

The third area of gap that the water reform needs to address is the consolidation along the water sources or river basins. In Malaysia, the raw water resources fall under the jurisdiction of the state government through its state water authority. Under the state Enactment in each state, the respective water authority has to nurture, maintain and facilitate the sustainable development, efficient use and conservation of water sources. Besides urging the state government and its authorities to manage and protect their respective water resources, the Federal government is also looking at long-term solutions to address the water stressed states in the country.

One of the plans is to facilitate the sharing of water resources across the states. In some cases, the same water source may run through more than one state with inevitably, one state in the upper stream and the other in the lower stream. Other states may require interstate raw water transfer. Such a project will require the involvement and cooperation of both or more states. Overall, there is a need to look into long term security of water sources in water stressed states. Perhaps water services in future should consolidate along the river basins or water sources rather than state boundaries. Additionally, such a consolidation will promote common responsibility of the states to care for the water sources with a common policy and approach

on the environment for our future generation.

The fourth gap that the water reform needs to address is the governance gap. Whilst the migration process will take the water operators to establish a single-purpose company that ring-fences the water services and its revenue, the decisions at the board level must be socio-economic centric and not politically driven. In view of this, politicians should not sit on the boards and the majority of the directors should be independent with representation of consumers’ interest, the environment and socio-economic objectives.

CONCLusIONAll parties must realize that

water has no alternative in contrast to other resources such as energy or electricity. It is thus vital that future decision making of the water sector should be the nation’s long-term interests and recognizing the intergenerational equity of water consumption. We cannot afford for the current generation to consume water at the expense of future generations. In order to have a successful transformation of the water services industry, there should not be any political interference to the reforms once the policy direction is set. The water supply and sewerage services sector should be restructured in

order to transform it into an efficient and sustainable industry, with a higher level of governance. The success of execution lies in the people. Thus, the support from all stakeholders including the industry players and people is very much needed in order to achieve the goals of the reforms.

Malaysia’s roadmap for this reformation has been established. The first phase is to stabilize the water industry. During this phase, the operators should prepare and implement action plans in order to improve its operational efficiency. After the period of stabilization, there is a need to integrate the industry to provide a holistic water service. SPAN should facilitate the integration phase in order to ensure that the industry restructures efficiently and in accordance to WSIA. State operators may also consolidate at the regional level to further improve operational efficiencies through shared resources and leveraging opportunities for economies of scale. After the consolidation phase, the operators are expected to manage growth through efficiency and effectiveness.

The journey of a thousand miles starts with the first step. Malaysia has taken a giant leap and has begun the journey up the mountain of long-term sustainability. Let us speed up the pace of the reforms.

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6

BULETIN SPAN B i l .02, 2015

Suruhanjaya Perkh idmatan Air Negara (SPAN)

HOW MUCH DOEs TREATED wATER COsT?By: Corporate Communication Unit

In Malaysia, the domestic consumption per capita per day is 210 litres (Malaysian Water Industry Guide, MWIG 2014). We use water from drinking and bathing to watering our plants. Water may be free when it’s

flowing in a river or splashing against rocks, but it isn’t as soon as people start using it. It costs money to make good quality water available from taps and then return it to the environment after being treated.

We generally pay much less for our treated water than we do for most other goods and services, such as satellite TV, mobile phone, and electricity.

Water is important in our daily lives.

ThE wATER TREATMENT PROCEss

Transmission and distribution network

(138,669 km)watertreatment

PLant(488 PLantS)

BaLanCInGreSerVOIrSrIVer

SerVICereSerVOIr

SerVICereSerVOIr

tO 7.09mILLIOn

PremISeS

Page 7: Bil 2/2015

7Suruhanjaya Perkh idmatan Air Negara (SPAN)

BULETIN SPAN B i l .02, 2015

ThE wATER TREATMENT PROCEss

Raw water sources are pumped from rivers to the water treatment plants where it goes through various treatment processes before reaching consumers. The water treatment processes involve solid separation using physical processes such as settling and filtration, and chemical processes such as disinfection and coagulation, with the ultimate purpose of providing a safe source of water supply. Finally, the water leaves the treatment works and is then pumped to each of the premises through thousands of kilometers of pipe network.

Operating and maintaining water treatment systems, distribution systems, storage facilities, pump stations are costly. Much of the extensive network of water systems infrastructure is underground and unseen. Thus, managing these vital assets by careful maintenance, monitoring, rehabilitation, renewal, and replacement strategies is essential to ensure public access to clean treated water.

In 2013, the average labour cost was 23 percent of the treatment plant operation expenditure, the energy cost was at 26 percent and the chemical cost was 6 percent. Other costs are for equipment such as treatment plant distribution systems and maintenance of the system.

The cost of treating water continues to rise and most of the existing water treatment infrastructure such as networks of pipes, treatment plants and other facilities were built many years ago. As such, water tariff needs to be adjusted from time to time in order to sustain the water operators’ businesses in the long run. The water operators need to have a tariff that could cover not only their operational costs but also enables

them to replace aging assets such as old and leaking water pipes as well as to manage inflation and other finance costs.

CONCLusIONOverall, the water tariff in Malaysia is among the cheapest in ASEAN. However, Malaysia has the highest water consumption rate, with the average person using between 210 litres a day, higher than Singapore (150 litres), Philippines (175 litres) and Indonesia (130 litres).

The government introduced three tariff bands for domestic consumption which are the first

20m3, the first 30m3 and the first 35m3 and the non-domestic consumption are the first 80m3, the first 120m3 and the first 500m3. This tariff rate increases depending on the level of consumption and is intended to encourage water conservation.

The water industry regulator, Suruhanjaya Perkhidmatan Air Negara (SPAN)’s role is to ensure that tariff review is conducted under a fair and transparent manner and will not burden the consumers to achieve a sustainable, reliable and affordable water supply services for all.

Page 8: Bil 2/2015

BULETIN SPAN B i l .02, 2015

8 Suruhanjaya Perkh idmatan Air Negara (SPAN)

MENGAPA PERLuNyA sEMAKAN TARIF AIR Oleh: Forum Air Malaysia

Topik ini agak sensitif terutamanya dalam kalangan pengguna dan juga ahli politik. Tidak hairanlah hal ini berlaku kerana air merupakan sesuatu keperluan yang paling asas kepada semua orang di dunia. Rakyat Malaysia yang sudah biasa dengan tarif air yang rendah selama ini mungkin akan berasa tidak puas hati dan cuba menolak sebarang kenaikan tarif. Operator air pula terpaksa beroperasi dalam keadaan yang tidak menggalakkan kerana kos operasi dan modal sukar untuk ditampung berdasarkan kadar tarif pada masa ini.

Kenaikan tarif ini amat penting kerana pendapatan yang diperoleh itu dapat digunakan untuk menampung kos operator air, pembangunan dan pembinaan infrastruktur. Dengan pendapatan yang lebih tinggi dan stabil, operator air akan mempunyai modal yang mencukupi untuk membaiki infrastuktur dan menukar paip-paip yang sudah lama dan rosak. Justeru, ini akan menurunkan kadar air tidak berhasil (NRW). Dengan ini, kecekapan dan kualiti perkhidmatan boleh meningkat dan manfaat diterima oleh pengguna sendiri.

Manfaat yang diperoleh kenaikan tarif ini tidak semestinya disalurkan kepada operasi operator air sepenuhnya. Dengan pendapatan tambahan, operator air boleh melabur dalam sistem pemantauan kualiti sumber air seperti yang dilakukan di Selangor. Air tercemar boleh dikesan sebelum memasuki loji rawatan air supaya operasi loji itu tidak perlu dihentikan dan menyebabkan gangguan bekalan air. Usaha-usaha

untuk memelihara dan memulihara sungai juga boleh dibuat jika operator air mempunyai pendapatan yang mencukupi.

Dari segi pengguna pula, tarif yang lebih tinggi dipercayai akan menggalakkan sikap penjimatan air secara tidak langsung. Harga air semasa adalah terlalu murah jika dibandingkan dengan negara-negara maju yang lain. Hal ini merupakan salah satu faktor yang menyebabkan purata penggunaan air di Malaysia antara yang tertinggi di rantau ini. Kajian yang telah dibuat oleh pakar-pakar industri dan juga institusi telah menunjukkan terdapatnya hubungan di antara tarif air dengan cara penggunaan air. Walaupun negara mempunyai taburan air hujan yang banyak, namun bekalan air terawat bagi setiap pengguna sebenarnya semakin berkurangan. Hal ini disebabkan jumlah penduduk yang bertambah setiap tahun. Jika pengguna masih tidak peka dan mengamalkan sikap menjimatkan air dari sekarang, negara berkemungkinan besar akan menghadapi masalah kekurangan bekalan air atau mengalami catuan air pada masa akan datang.

Walaupun kenaikan tarif boleh membawa banyak manfaat kepada para pengguna pada masa hadapan, namun pihak berkuasa juga menghadapi tekanan dan kesukaran untuk melaksanakan kenaikan tarif ini. Hal ini disebabkan pihak berkuasa perlu menimbangkan kadar kenaikan yang bersesuaian dengan keupayaan para pengguna. Keperluan yang amat asas ini akan melibatkan semua pengguna tanpa mengira status ekonomi seseorang individu. Kenaikan tarif dikhuatiri akan menambah beban kehidupan mereka. Hal-hal ini juga mungkin akan dilaporkan dalam media dan seterusnya mungkin menjadi isu hangat.

Isu yang sering dipertikaikan adalah kenaikan beban kewangan terhadap golongan berpendapatan rendah. Kenaikan tarif yang telah berlaku sebelum ini, walaupun peningkatannya secara purata tidak melebihi RM10, namun ia telah menjadi beban kepada golongan ini. Oleh itu, kenaikan tarif air perlulah sentiasa mengambilkira pengguna dalam golongan ini supaya kepentingan semua golongan terpelihara dan masalah dapat dikurangkan ketika pelaksanaan kenaikan tarif.

Pihak berkuasa mempunyai tanggungjawab untuk memaklumkan orang ramai tentang sebarang perubahan tarif dengan menjelaskan faktor-faktor keperluan untuk menyelaraskan kadar tarif air. Mereka juga perlu mengambil pandangan dan cadangan pihak pengguna. Pihak operator air pula perlu menggunakan pendapatan tarif ini dengan bertanggungjawab, iaitu dengan meningkatkan kecekapan dan kualiti perkhidmatannya supaya dapat membekalkan air yang berterusan, bersih dan selamat diminum.

Sejak kebelakangan ini, topik tentang tarif air sering dilaporkan di media.

Page 9: Bil 2/2015

BULETIN SPAN B i l .02, 2015

9Suruhanjaya Perkh idmatan Air Negara (SPAN)

Thematic audit is performed to ensure the licensees carry out their duties and obligations efficiently and effectively in order to deliver the intended outcomes. Five (5) areas

METhODOLOGy Of ThEMATIC AuDIT

Planning • Objective, duration, scope and schedule to be determined

Implementation • Notification to the auditee• Obtaining preliminary information from auditee• Opening meeting with auditee• Implementation of audit• Verification conducted by document verification, interview and site verification• Closing meeting• Distribution of meeting minutes

Preparation of final audit report

• Submit draft audit report to auditee• Feedback from auditee• Finalize audit report and submit to SPAN Chief Executive Officer for approval• Distribute the final audit report to auditee or stake holders or related

parties

Follow up and monitoring

• Corrective action by auditee• Finalize corrective action plan• Follow up corrective action or improvement by auditee

THEMATIC AUdIT: ENsuRING wATER AND sEwERAGE sERVICE EffICIENCy By: Water Industry Audit Division

AChIEVEMENTIn 2014, the Water Industry Audit Division of SPAN carried out thematic audits in the planning of water demand and supply for Syarikat Air Darul Aman Sdn. Bhd. (SADA), and Non-Revenue Water management for Pengurusan Air

have been identified as high impact activities in the water services industry, namely planning on water supply and demand, Non-Revenue Water (NRW) management, planning

and development of regional sewerage system, implementation of capital expenditure (CAPEX) and billing management.

Pahang Berhad (PAIP). With the implementation of this thematic audit, SPAN is able to examine the efficiency, effectiveness and economy of the water and sewerage services operators. With the setting up of the Water Industry Audit

Division, SPAN has adopted a pro-active approach in improvoding the audited operators with independent advice on improving the efficiency and effectiveness in its water or sewerage services.

Page 10: Bil 2/2015

BULETIN SPAN B i l .02, 2015

1 0 Suruhanjaya Perkh idmatan Air Negara (SPAN)

PERATuRAN MENGENAI KAJIAN SEMULA dEPOSIT BEKALAN AIROleh: Encik Izaidi Bin Ahmad, Jabatan Kawal Selia Air

KENAPA DEPOSIT BEKALAN AIR PERLU DIKAJI SEMULA? Bayaran deposit adalah suatu kelaziman yang diamalkan oleh pembekal perkhidmatan seperti TNB, Telekom termasuk juga pembekal perkhidmatan bekalan air. Deposit yang dikenakan adalah suatu bentuk jaminan kepada pembekal perkhidmatan bagi perkhidmatan yang diberikan kepada pengguna.

Bagi operator bekalan air, deposit yang dikenakan adalah suatu jaminan kepada mereka sekiranya berlaku keadaan di mana bekalan air pengguna dipotong atau ditutup tetapi masih mempunyai tunggakan bil yang belum dijelaskan. Deposit tersebut akan digunakan untuk menjelaskan tunggakan tersebut.

Walau bagaimanapun sejak akhir-akhir ini, banyak kes yang berlaku di mana deposit tidak dapat menampung kadar tunggakan yang ada sehingga boleh menyebabkan kerugian kepada operator bekalan air. Keadaan ini berlaku kerana kadar deposit yang dikenakan tidak sepadan dengan purata penggunaan air pengguna dan deposit tersebut bersifat kekal dan tidak berubah.

Untuk mengatasi perkara tersebut, kadar deposit yang dikenakan hendaklah berpadanan dengan purata penggunaan air pengguna dan hendaklah boleh

diubah mengikut corak penggunaan air pengguna. Sekiranya purata penggunaan air penguna tinggi maka deposit yang dikenakan adalah tinggi dan sebaliknya.

Sehubungan dengan itu keperluan untuk kajian semula deposit bekalan air telah dimasukkan dalam Peraturan-Peraturan Industri Perkhidmatan (Deposit, Fi dan Caj Perkhidmatan Air) 2014 (Peraturan) yang berkuatkuasa pada 1 Februari 2014. Dengan ini semua operator bekalan air negeri di Semenanjung Malaysia dan Wilayah Persekutuan Labuan boleh melakukan kajian semula deposit bekalan air bagi pengguna masing-masing.

MEKANIsME KAJIAN sEMuLA DEPOsIT

Peruntukan dalam Peraturan tersebut menyatakan bahawa kajian semula deposit akaun bekalan air bagi premis kediaman adalah secara tahunan iaitu pada 31 Januari setiap tahun manakala

bagi premis komersial dan industri adalah setiap enam bulan iaitu pada 31 Januari dan 31 Julai setiap tahun. Tarikh kajian semula deposit yang pertama bagi akaun di bawah kategori domestik adalah pada 31 Januari 2015 manakala untuk akaun di bawah kategori komersial dan industri adalah pada 31 Julai 2014.

Kajian semula dikecualikan bagi akaun bekalan air yang diaktifkan bagi suatu tempoh yang kurang daripada 6 bulan sebelum tarikh kajian semula deposit. Kajian semula deposit untuk akaun tersebut hendaklah dibuat pada tarikh kajian semula yang berikutnya.

Akaun di bawah kategori sosial, institusi kerajaan dan organisasi tanpa untung seperti rumah ibadat/institusi keagamaan, dewan komuniti dan pejabat kerajaan adalah DIKECUALIKAN daripada kajian semula deposit.

Pengiraan kajian semula

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BULETIN SPAN B i l .02, 2015

1 1Suruhanjaya Perkh idmatan Air Negara (SPAN)

Deposit asal : RM100.00

Deposit baru = (purata penggunaan bagi tempoh 12 bulan ) x (kadar tarif air) x 2 = 54m3x (kadar caj ) x 2 = [(20m3x RM0.60) + (15m3x RM0.95) + (19m3x RM1.45)] x 2 = (RM53.80) x 2 = RM107.60

Tambahan deposit = RM107.60 - RM100.00 = RM7.60

Pengguna perlu membayar RM7.60 sebagai tambahan kepada deposit sedia ada

deposit adalah berdasarkan kepada formula berikut:

Domestik:Akaun yang genap 12 bulanDeposit = ( purata penggunaan air bagi tempoh 12 bulan ) x ( kadar tarif air ) x 2

Akaun yang kurang daripada 12 bulanDeposit = ( purata penggunaan bulanan bagi jumlah bilangan bulan sebelum bulan kajian semula ) x ( kadar tarif air ) x 2

Komersial / Industri:Deposit = ( purata penggunaan air bagi tempoh 6 bulan ) x( kadar tarif air ) x 2

Daripada kajian semula deposit ini, kadar deposit baru yang dikenakan akan bergantung kepada purata penggunaan air bagi tempoh kajian tersebut. Sekiranya selepas dikaji semula, kadar deposit lebih tinggi daripada deposit sedia ada maka pengguna perlu membuat bayaran tambahan deposit dan sekiranya lebih rendah daripada deposit sedia ada maka operator bekalan air akan membayar balik amaun lebihan tersebut dengan cara set off bil air pengguna. Deposit untuk rumah/flat kos rendah dihadkan kepada RM100.00.

Deposit hanya boleh diselaraskan jika perbezaan deposit lama dengan deposit baru adalah RM5.00 atau lebih.

Contoh pengiraan deposit dalam kajian semula deposit adalah seperti berikut:

Peraturan kajian deposit ini juga terpakai kepada akaun-akaun yang dibuka sebelum berkuatkuasanya Peraturan ini.

KEsIMPuLANMekanisme kajian semula

deposit yang diperuntukkan dalam Peraturan-Peraturan Industri Perkhidmatan (Deposit, Fi dan Caj Perkhidmatan Air) 2014 akan bersandarkan kepada purata

penggunaan air pengguna bagi tempoh kajian tersebut. Sekiranya purata penggunaan air pengguna lebih rendah daripada tempoh kajian semula terdahulu, maka deposit akan menjadi lebih rendah dan sebaliknya. Kaedah kajian semula deposit ini di harap dapat mendorong pengguna untuk sentiasa berjimat dalam penggunaan air seharian mereka.

Selain daripada itu, kaedah ini juga membolehkan kadar deposit

yang ditetapkan bersamaan dengan purata bil air pengguna bagi tempoh 2 bulan. Dengan itu, risiko kerugian di pihak operator bekalan air akibat daripada kes-kes tunggakan air dapat dikurangkan kerana setiap akaun akan mempunyai kadar deposit yang mencukupi untuk menampung bil bagi penggunaan air untuk tempoh 2 bulan sekiranya berlaku tunggakan bil yang tidak dijelaskan pengguna.

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1 2

BULETIN SPAN B i l .02, 2015

Suruhanjaya Perkh idmatan Air Negara (SPAN)

Umum mengetahui bahawa IWK, syarikat milik Menteri Kewangan Diperbadankan, merupakan syarikat pembetungan nasional yang telah diamanahkan sejak tahun 1994 untuk membangunkan dan menyelenggarakan sistem pembetungan awam yang moden dan efisien demi memelihara kebersihan alam sekitar, melindungi sumber air dan kesihatan awam.

IWK kini mempunyai lebih 3,300 warga kerja dan bertanggungjawab menyelenggara 6,292 loji olahan kumbahan, 1,012 stesen pam dan 17,281 kilometer paip pembetungan bawah tanah. Statistik ini dijangka akan terus bertambah sejajar dengan pertumbuhan populasi dan perkembangan ekonomi yang

pesat. Setiap hari, IWK merawat 5 juta meter3 air sisa kumbahan yang mengalir daripada tandas, bilik air dan sinki dapur rakyat Malaysia. Jumlah air kumbahan ini boleh mengisi lebih kurang 1,922 kolam renang bersaiz Olimpik.

Ramai pengguna yang tidak menyedari kepentingan sistem pembetungan yang efisien dan efektif kepada keselesaan hidup dan kelestarian alam sekitar. Cuba bayangkan apa yang akan terjadi sekiranya tiada sistem atau perkhidmatan pembetungan seperti yang disediakan oleh IWK.

Semua air sisa kumbahan dari premis kediaman, komersil, perindustrian dan kerajaan akan mengalir tanpa dirawat sehinggalah ia mengotorkan dan mencemarkan

sistem perairan kita seperti sungai dan pantai. Pencemaran ini kemudiannya akan memusnahkan tumbuhan dan hidupan di dalam sungai dan laut, serta mengganggu kemapanan alam persekitaran.

Air sisa kumbahan mengandungi bakteria, kuman, bahan kimia dan toksik yang boleh mendatangkan penyakit merbahaya yang mudah merebak seperti taun dan demam kepialu. Ia juga boleh memudaratkan kesihatan wanita mengandung dan menyebabkan kecacatan kepada bayi yang dikandung.

Air memainkan peranan penting dalam kehidupan seharian kerana kita memerlukan bekalan air yang bersih untuk diminum, memasak, menternak binatang,

dI BELAKANG TABIR: INDAh wATER KORsORTIuM (IwK)Oleh: Indah Water Konsortium

“Memang menjadi lumrah hidup, manusia hanya akan menghargai sesuatu setelah kehilangannya.” Kenyataan ini menggambarkan dengan tepat cabaran yang dihadapi oleh Indah Water Konsortium (IWK). Saban hari, kakitangan IWK menjalankan tugas-tugas yang sukar, kotor dan merbahaya tetapi masih ramai pengguna yang tidak menghargai perkhidmatan yang diberikan kerana tidak memahami hubung kait betapa pentingnya sistem pembetungan dengan kehidupan seharian.

Page 13: Bil 2/2015

bercucuk tanam, membersihkan diri dan sebagainya. Sekiranya air sisa kumbahan tidak dirawat dan dilepaskan semula ke sistem perairan, kita akan mengalami kekurangan bekalan air yang pastinya akan menjejaskan kualiti hidup.

Pada pandangan mata kasar orang ramai, IWK sekadar mengendalikan sistem pembetungan awam dan menyediakan perkhidmatan pengosongan tangki septik. Namun realitinya, tanggungjawab IWK merangkumi segala aspek perancangan sistem dan infrastruktur pembetungan negara seperti kerja-kerja membaikpulih, membina atau menaiktaraf sistem pengolahan enap cemar dan perancangan kawasan tadahan untuk pembangunan sistem pembetungan yang baru.

Kepesatan perbandaran dan pembangunan ekonomi negara telah mewujudkan pelbagai cabaran buat IWK. Antaranya ialah kos operasi dan penyelenggaraan yang tinggi serta ancaman terhadap alam sekitar yang berpunca daripada sistem pembetungan yang tidak bersambung.

Kos operasi dan penyelenggaraan tahunan setiap loji olahan kumbahan memerlukan antara RM1 juta – RM3 juta setahun. Bayangkan jumlah yang diperlukan untuk mengendalikan lebih 6,000 loji di seluruh Malaysia. Selain itu, IWK juga melaburkan wang yang banyak untuk melatih kakitangan dan mendapatkan peralatan dan teknologi terkini demi memastikan pengguna menikmati perkhidmatan pembetungan yang berkualiti.

Keadaan ini disulitkan lagi oleh segolongan pengguna yang tidak mahu atau keberatan melunaskan bayaran bil pembetungan, walaupun pada hakikatnya, tarif pembetungan di Malaysia (RM0.40/m3) adalah lebih rendah berbanding dengan negara lain seperti di Amerika Syarikat (RM5.17/m3) dan Jepun (RM3.30/m3). Hasil kutipan tarif pembetungan yang rendah berbanding dengan kos operasi

BULETIN SPAN B i l .02, 2015

1 3Suruhanjaya Perkh idmatan Air Negara (SPAN)

mengurangkan daya kemampanan kewangan jangka masa panjang IWK.

Selaras dengan Wawasan 2020 dan matlamat mencapai status negara maju, kerajaan telah menyasarkan peningkatan liputan perkhidmatan pembetungan bersambung sehingga 80% bagi bandar utama, menerusi empat inisatif seperti berikut:

• Meningkatkan kemampanan kewangan industri perkhidmatan air

• Memperluas rangkaian dan kapasiti loji olahan melalui pelaburan dalam infrastruktur dan penggunaan teknologi yang efisien

• Memantapkan kecekapan dan produktiviti perkhidmatan bekalan air dan pembetungan

• Memperkuhkuh rangka kerja kawal selia industri perkhidmatan air

Sejajar dengan aspirasi kerajaan yang telah diketengahkan dalam RMKe-11, IWK akan bangkit menyahut cabaran untuk melunaskan tanggungjawab sebagai Syarikat Pembetungan Nasional sebaik yang mungkin. Namun, tidak dinafikan bahawa sokongan padu para pengguna amat penting demi memastikan IWK terus meningkatkan kualiti perkhidmatannya demi kesejahteraan masyarakat dan negara. Bersama kita lakukannya untuk persekitaran yang sihat, negara kita dan generasi kita.

Sumber: Laporan Rancangan Malaysia ke-11

3RM0.4/mMalaysia

Perbandingan Tarif bagi Negara Terpilih, 2014

UnitedKingdom

AmerikaSyarikat

Australia Jepun

6.7

5.2

4.03.3

0.6

RM/m

3

KoreaSelatan

0

1

2

3

4

5

6

7

8

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BULETIN SPAN B i l .02, 2015

Suruhanjaya Perkh idmatan Air Negara (SPAN)

COMMISSION MEMBERS & MANAGEMENT OF SPAN VIsIT ThE wATER LEGACy Of ThE LATE MR. LEE KuAN yEw By: Corporate Communication Unit

Several Commission Members and the Management of SPAN made a memorable visit to Singapore on 17th April, 2015 to visit the water legacy of the late Mr Lee Kuan Yew. The delegates from SPAN met the management of the Public Utilities Board (PUB) of Singapore; the national water agency under the Ministry of the Environment & Water Resources, responsible for integrated water supply, sewerage and drainage services.

The late Mr Lee Kuan Yew had once proclaimed that “every other policy has to bend at the knees for our water survival” and those words were one of the many reasons why he became one of the

biggest icons of water management who saw the need to place water resources as high priority.

The delegates from SPAN were greeted by Mr Ng Joo Hee; Chief Executive of PUB and Mr

Chan Yoon Kum; Senior Advisor of PUB at the Marina Barrage. We were then shown a presentation on the Singapore Water Story by Mr Tan Kok Tian; Deputy Director - Industry Development Department of PUB and how the vision of one man became a game changer.

We were shown how in the 1960’s water was scarce; hence the implementation of a sustainable water resource management with the introduction of the “4 National Taps” policy, where water is generated from four sources; local catchment, imported water, NEWater and desalinated water.

We were then led on a tour of the Marina Barrage; another milestone achievement as a result The Commission Members and the management of SPAN who were involved in the visit.

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BULETIN SPAN B i l .02, 2015

1 5Suruhanjaya Perkh idmatan Air Negara (SPAN)

of the late Mr Lee Kuan Yew’s vision nearly 2 decades ago when he envisaged damming the mouth of the Marina Channel to create a freshwater reservoir. It is Singapore’s 15th reservoir, with a catchment area one sixth the size of Singapore; making it the island’s largest and most urbanized catchment. This innovative facility not only supplies water to Singaporeans and helps alleviate floods but also doubles up as a place of education mixed with fun as there are recreational water activities for all and has proven to be a tourist attraction.

Our next point of visit was the Changi Water Reclamation Plant, where we were greeted by Mr Yahya Abdul Ghani; Director – Water Reclamation Plant who gave us a presentation on used water management in Singapore. This plant is capable of treating approximately 800,000 cubic metres of used water a day which is equivalent to 320 Olympic sized swimming pools!

ThE ChANGI wATER RECLAMATION PLANT

As we were taken on a tour of this plant, we were made to realize that this plant was truly an engineering feat with advanced treatment facilities with an enhanced biological treatment and sludge drying facilities, the first in the region!

Our last part of our visit was to the Bedok NEWater Visitor

Centre where we were greeted by Mr. Tan Thai Pin; Director – Water Supply Plants and we were given a brief overview on the introduction of NEWater which is recycled waste water and since the introduction of NEWater in 2002, it has rose from zero to meeting 30% of Singapore’s water needs.

NEWater VIsITOR CENTREWe were then taken on a tour

of this Centre, where we experienced an interactive tour as we took a stroll through the gallery and understood

the science behind NEWater. We were shown how the membrane and ultraviolet technologies make NEWater so clean!

For a tiny island state, we can definitely say that Singapore has done an astonishing job ensuring it has sufficient water. Our visit to Singapore; specifically to PUB gave us a clear picture that building awareness through community engagement and good governance were the major factors behind the Singapore Water Story and its success.

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BULETIN SPAN B i l .02, 2015

Suruhanjaya Perkh idmatan Air Negara (SPAN)

The Outreach Program which was initiated in 2012 was organized with the objective of educating school students on the water cycle and an opportunity for the students to see for themselves how water is treated before it reaches the consumers. Besides that, the program was also aimed to create awareness and understanding on the functions and roles of SPAN as the water services

regulator in the Peninsular Malaysia and Federal Territories of Kuala Lumpur, Putrajaya and Labuan.

The first part of this series took place at Gunung Semanggol, Perak on 30th April 2015 with the cooperation from the local water operators Lembaga Air Perak (LAP), Aliran Utara Sdn. Bhd. (AUSB) as well as Indah Water Konsortium (IWK). The partner of this Outreach

Program was the Ministry of Domestic Trade, Co-operatives and Consumerism (KPDNKK).

Students from Sekolah Menengah Kebangsaan Gunung Semanggol at Simpang Empat, Gunung Semanggol, Perak were taken to visit the Bukit Merah Laketown Resort sewerage treatment plant operated by Indah Water Konsortium (IWK) and Gunung

SPAN OUTREACH PROGRAM 2015: EDuCATING ThE yOuNGBy: Corporate Communication Unit

In its continuous effort to raise awareness on water conservation by educating the younger generation on the water and sewerage treatment processes, Suruhanjaya Perkhidmatan Air Negara (SPAN) launched a series of Outreach Programs.

The guests visiting IWK exhibition booth at the school

Page 17: Bil 2/2015

The officiating ceremony at Sekolah Menengah Kebangsaan Gunung Semanggol at Simpang Empat, Gunung Semanggol, Perak

The students visiting Loji Rawatan Kumbahan IWK Laketown Bukit Merah.

Semanggol water treatment plant operated by Aliran Utara Sdn. Bhd.

Besides visiting the treatment plants, there was also an exhibition with interactive activities at the school by the water operators, LAP, IWK, AUSB and KPDNKK for the students to learn more about the water services industry.

Encik Shariful Azman Mustapa Yahya, Director of Consumer Affairs, Monitoring and Enforcement Division SPAN who oversees the implementation of this Outreach Programs commented that this Outreach Programs are part of communications plan of SPAN to promote and create awareness

on the importance of prudent use of water and sewerage treatment for environmental conservation. He added that SPAN feels that students are the best target groups to be given early exposure of the water services industry to know the value of the water.

The second part of this series was held on May 6, 2015 at Sekolah Menengah Kebangsaan Bukit Rangin, Kuantan, Pahang. 40 students and teachers were taken to visit the Lot Dagang sewerage treatment plant operated by IWK and Panching water treatment plant which was facilitated by the plant operator, Pengurusan Air Pahang Berhad (PAIP).

SPAN Regional Director, En. Mohamad Nasir bin Mahmood giving an explaination to the students on the water treatment process.

BULETIN SPAN B i l .02, 2015

17Suruhanjaya Perkh idmatan Air Negara (SPAN)

The students visiting Panching Water treatment plant in Kuantan, Pahang.

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BULETIN SPAN B i l .02, 2015

Suruhanjaya Perkh idmatan Air Negara (SPAN)

AKTIVITI-AKTIVITI KELAB SUKAN, REKREASI dAN KEBAJIKAN SPAN sEPANJANG MAC – JuLAI 2015Oleh: Kelab Sukan, Rekreasi dan Kebajikan SPAN

AKTIVITI MEMANCING, MENJALA DAN MEMuKAT IKAN DI KOLAM TAKuNGAN suNGAI LABu (ORs) 6 - 7 MAC 2015

KEJOhANAN BOwLING TERTuTuP PIALA PusINGAN PENGERusI sPAN 2015 DI ARL BOwLING ALAMANDA, PuTRAJAyA 3 APRIL 2015

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BULETIN SPAN B i l .02, 2015

1 9Suruhanjaya Perkh idmatan Air Negara (SPAN)

KEJOhANAN fuTsAL TERTuTuP PIALA PusINGAN DATO’ TEO yEN huA sPAN 2015 DI KOMPLEKs suKAN BATu BERENDAM, MELAKA 16 MEI 2015

MAJLIs BERBuKA PuAsA sPAN BERsAMA ANAK-ANAK yATIM DARuL IZZAh DI PRIMA 8, sPAN CyBERJAyA 2 JULAI 2015

Page 20: Bil 2/2015

IBU PEJABATAras Bawah & Aras Satu,Prima Avenue 7, Blok 3510,Jalan Teknokrat 6, 63000 Cyberjaya,Selangor Darul Ehsan.Tel : + 603 - 8317 9333Faks : + 603 - 8317 9336 / 9339

WILAYAH SELATANSuruhanjaya Perkhidmatan Air Negara,

Tingkat 22, Menara MSC Cyberport,No 5, Jalan Bukit Meldrum,

80300, Johor Bahru,Johor Darul Takzim.

Tel : +607 - 222 5842 / 843Faks : +607 - 222 5844

WILAYAH TENGAHSuruhanjaya Perkhidmatan Air Negara,Aras Bawah, Prima Avenue 8,Blok 3508, Jalan Teknokrat 6,63000 Cyberjaya,Selangor Darul Ehsan.Tel : +603 - 8317 9333 / 334 / 335Faks : +603 - 8317 9460

WILAYAH TIMURSuruhanjaya Perkhidmatan Air Negara,

Tingkat 2, Wisma PERKESO,Lot 2467, Jalan Air Jernih,20200, Kuala Terengganu,

Terengganu Darul Iman.Tel : +609 - 624 6087 / 78

Faks : +609 - 624 6088

WILAYAH UTARA(CAWANGAN PERAK)Suruhanjaya Perkhidmatan Air Negara,Lot 6.3, Tingkat 6, Bangunan KWSP,Jalan Greentown,30450 Ipoh,Perak Darul Ridzuan.Tel : +605 - 241 3209 / 10Faks : +605 - 241 3213

WILAYAH SELATAN(CAWANGAN MELAKA)

Suruhanjaya Perkhidmatan Air Negara,Lot 4.2 & 4.3, Tingkat 4,Bangunan Bank Rakyat,

Jalan Hang Tuah,75300, Melaka

Tel : +606 - 281 6314 / 6559Fak : +606 - 281 9343

WILAYAH TIMUR(CAWANGAN PAHANG)

Suruhanjaya Perkhidmatan Air Negara,Lot 2.01A, Tingkat 2, Bangunan KWSP,

Persiaran KWSP, Bandar Indera Mahkota25200, Kuantan,

Pahang Darul Makmur.Tel : +609 - 573 0153 / 52

Faks : +609 - 573 0149

WILAYAH UTARASuruhanjaya Perkhidmatan Air Negara,

Tingkat 5, Kompleks Sempilai Jaya,Jalan Sempilai,

13700, Seberang Jaya,Pulau Pinang.

Tel : +604 - 397 0532 / 533Faks : +604 - 397 0531

JAN--MACEDISI

B i l . 1 , 2 0 1 5

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