KUALA LUMPUR – Penang’s water tariff for domestic users will more than double beginning February 1, the state government announced today.
Those using less than 20 cubic metres a month will have to pay 55 sen per cubic metre, from 22 sen previously.
Accounts using between 20 and 35 cubic metres a month will pay RM1.10 per cubic metre, compared to 46 sen per cubic metre for usage within the 20 to 45 cubic metre band.
Consumers using more than 35 cubic metres will be charged RM2 per cubic metre, according to a fact sheet distributed to the media during a press conference in George Town this morning.
At present, those using between 40 and 60 cubic metres a month are charged 68 sen.
For domestic bulk metre users, such as those living in apartment buildings, they will be charged a new flat rate of RM1.66 per cubic metre. The minimum charge for bulk metre users is RM16.60
The rate hike is in line with the National Water Services Commission’s (SPAN) announcement earlier today that domestic water tariffs will be raised starting February 1 for consumers in Peninsular Malaysia and the federal territory of Labuan.
However, SPAN also warned operators to continue targeted rebate programmes to minimise the impact of water tariff hike on the B40 group.
As such, the Penang Water Supply Corporation (PBAPP) is to continue the state’s rebate programmes for selected groups of consumers, such as households earning RM2,250 and below each month, and B40 households with more than eight people.
These groups will receive a RM10 monthly rebate under the state’s family rebate programme (Rebat Mesra Keluarga).
Under the Mutiara rebate programme, a RM10 rebate will also be given to those registered under the e-Kasih scheme and households earning RM1,036 a month and below.
In his statement on the tariff hike, Penang Chief Minister Chow Kon Yeow said the new tariff rates would see PBAPP collect revenue of RM86 million a year, but even then it would still have to subsidise consumers to the tune of RM78 million a year.
Between 2019 and 2023, PBAPP had subsidised around RM503 million by bearing operational costs and infrastructure maintenance so as not to burden its 593,255 account holders.
“Consumers are paying much less than the actual cost of treated water,” Chow said.
He added that 77% of account holders on Penang island were paying less than RM10.85 a month, as the state has one of the lowest water tariffs in the country. – January 17, 2024