Syabas wants S'gor government to pay RM1.05b in water tariff adjustment

KUALA LUMPUR (June 14): Syarikat Bekalan Air Selangor Sdn Bhd (Syabas) is seeking from the Selangor government RM1.05 billion which it allegedly owes in water tariff adjustment.

Syabas, in its amended statement of claim, is seeking a declaration that based on the concession agreement, dated Dec 15, 2004, the Selangor government still owed Syabas RM1,054,208,382 (based on Agreed Tariff of RM1.89/m3) for the period from Jan 1, 2009 to March 31, 2011.

Alternatively, Syabas is also seeking the High Court to declare applicable the Agreed Tariff under the concession agreement, dated Dec 15, 2004, for the period Jan 1 2009 to March 31, 2011, to be RM1.89/m3 as confirmed by the certificate, dated Dec 26, 2008, which was issued by the Auditor-General and a judgment be entered for the plaintiff against the defendant.

In the amended claim filed on Sept 8, 2011, Syabas is also seeking costs and other relief deemed fit by the court.

Syabas claimed that based on the agreement, signed by the Malaysian government, the Selangor government and the company, it was given a 30-year concession to buy treated water from water treatment operators and to supply the treated water to the distribution areas.

Syabas said that through a letter, dated March 31, 2008, Syabas sent a document to the Selangor government to support its application to increase the gazetted tariff of RM1.39 per cubic metre to the new agreed tariff of RM1.89 per cubic metre for the third operations period from Jan 1, 2009, to Dec 31, 2011.

Syabas claimed that the Selangor government had failed to inform the company whether or not it agreed to increase the gazetted tariff to the agreed tariff.

It also claimed that the company had sent several letters to the Selangor government to claim compensations in line with the concession agreement but failed to get any satisfactory reply from the defendant.

Meanwhile, the Selangor government, in its statement of defence, denied all the allegations in the statement of claim and also stated that Syabas was not entitled to the compensation as claimed.

The case came up for mention before High Court Judge Datuk Mary Lim Thiam Suan on Thursday.

At Thursday's proceeding, Syabas counsel Lua Ai Siew informed the court that Syabas had obtained leave from the High Court to amend its statement of claim and had served the amended claim on the Selangor government and the Malaysian government on June 6.

The counsel representing the Selangor government, Fahda Nur Ahmad Kamar, told the court that her client would file an appeal against the High Court ruling. — Bernama

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