The right of reply

Enough is enough. People who proclaim to fight for freedom of expression and free media but censors other's legitimate reply based on their whims and fancy, must realise that on the internet, they cannot suppress peoples' legitimate right to reply and express contrarian views. This blog welcomes all views. ~ Ellese

Selangor Government conning us on the water crisis

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I’ve just read response from Trisha the former MB Selangor’s officer at loyar buruk. Please refer here for her article @ I think theres too many misleading misinformation. I’ve written plenty of times and debates many times on this. My reply is as follows:

“There are just too many untruths published here (in loyar buruk) that I think it should not deserve publication. First of all the failure of the negotiation falls squarely on the state government. Its approach of trying to make billions dollar rental seeking profit and inability to recognise Syabas beyond TS Rozali and UMNO crony are the main failure of negotiation. Selangor government does not have the capacity to purchase all the assets. It thus have to rely on PAAB to pay for the assets. It wants to buy very cheaply not only from Syabas but splash as well. And then sell higher to PAAB than what PAAB buys from other states. Its the federal government who has to fork out the funds for Selangor. But what SSG fails to state to the selangorians are that the billion dollar profits will result in the increase in tariff to the rakyat in accordance with the structure of WSIA.

Then failing to push all the parties to agree to its terms it unnecessarily relate the production capacity to the takeover exercise. Langat 2 has no relation at all to the price. It was planned in any event to be undertaken by Selangor GLC. To relate to the restructuring exercise was to the detriment of the rakyat.

Further lie is on the cost structure. No state in Malaysia has enough tariff to pay off capex. The current tariff barely covers opex. Thus to say theres enough revenue to replace the pipes are blatant lies. It is because of this problem that the whole water industry was restructured culminating into the enactment of WSIA.

And finally for this piece, please note Selangor has limited clean raw water supply. The previous crisis bore it all. We need new raw water supply. Many rivers are class 4 which cannot be treated. Even Khalid acknowledged this when he suggested to tap raw water earlier from Perak and recently from Kenyir dam.

I have enough of these blatant lies. If any wants to debate/discuss you can go to Many pr bloggers ban and censor me for my contrarion views despite their cheap call for free media and freedom of expression.”

I’m clear on this issue. For those who have followed me, I have been in the water industry among others and am fairly well acquainted with the facts. I have been called even to talk on the water industry.

To me its clear. The breakdown of negotiation on the takeover of not only Syabas but also Splash is due to Selangor Government (“SSG”). SSG does not want to recognise Syabas beyond Rozali. It sees UMNO shadows all the way. It doesn’t see that there are public holding public listed shares nor bond holders holding debts. So long as SSG does this, the negotiation with concessionaires will break down. Please watch the initial offer by SSG until its later revised offer which almost went to double. There are many market driven valuation methods which SSG does not want to recognise simply because they see too many shadows.

The other main problem is that it wants to make billion ringgit middle man profit from the federal government probably again because they see this as UMNO government. Please refer to Khalid’s various statements in the press of its intention. How is this done? SSG buys cheaply from the concessionaires and then sell higher to PAAB. It wants PAAB to pay more than what PAAB pays to other states. This is another stalemate. And for those who don’t know the financing structure under WSIA, all these acquisitions will actually be paid by federal government. It means Selangor does not have to fork out a sen. It does not have the money in the first place and has to rely on federal funding.

It’s sad how its being politicised. One particular exco named Charles Santiago is a nut case. He and his controlled NGO just refused to accept the fact as they are. They are dogmatic not grounded in reality and see shadows at every thing. I have much to write. In fact I’ve written a lot on this already. Its mere regurgitation for me. I’ll elaborate more next time.

PS. my reply above at loyar buruk has not been published yet though having sent out earlier.


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