KUALA LUMPUR, Nov 9 — Indah Water Konsortium (IWK) is expected not to need subsidies from the government, starting next year, following efforts to optimise the concession for management and operating costs.

Natural Resources, Environment and Climate Change Minister Nik Nazmi Nik Ahmad said in addition to that, IWK also runs its non-core businesses, such as secular economic programmes, solid bio-recycling and leasing of sewerage assets to third parties.

"This year, the allocation to IWK is RM90 million, but thus far IWK has been able to operate well by using only RM60 million from the allocation.

"The previous government cabinet meeting, on April 20, 2022, agreed on the tariff adjustment implemented in January 2023, so we expect that from 2024 IWK will no longer need subsidies from the government,” he said.

He said this when winding up the 2024 Budget debate at the committee level for his ministry, in the Dewan Rakyat today.

Meanwhile, Nik Nazmi said that his ministry will make the first phase amendment to the Water Services Industry Act 2006 (Act 655), involving several specific sections, to deal with pollution incidents effectively.

He said that the amendments included an increase in jail time and the rate of fines for actions which risk causing pollution to any waterway or water supply system.

"It will go up from RM10,000 to RM10 million, and the prison sentence from one year to 15 years, or both,” he said.

In addition, he said that the amendments to the Environmental Quality Act 1974 (Act 127) to effectively deal with pollution incidents will also continue, and are expected to be tabled in the Dewan Rakyat for the first reading on November 16.

The Dewan Rakyat sitting continues Tuesday. — Bernama