BN using Syabas to topple Selangor state government

It is very clear that the water deadlock in the state of Selangor is the work of the Barisan Nasional (BN) leaders. Syarikat Bekalan Air Selangor Sdn Bhd (Syabas) is not fully owned by the Selangor state government.

The major shareholder of Syabas is Puncak Niaga Holdings Berhad (Puncak Niaga) who holds 70 percent of the total share in Syabas. The Selangor state government through Kumpulan Perangsang Selangor Berhad only holds about 17 percent, while the other 13 percent is currently being held by the Ministry of Finance Incorporated (MOF Inc.)

We all know that Puncak Niaga is a company owned by those who had close connections with the federal government, BN and Umno. Plus the other part which is currently held by MOF Inc., the total BN interest in Syabas is at 83 percent, which means the Selangor state government which has only 17 percent stake in Syabas is only a minority shareholder.

In this case, what can the Selangor state government do as a minority shareholder? Certainly, they are powerless. In the day to day management of Syabas, it is Puncak Niaga Holdings Berhad and MOF Inc. who are making all the major decisions.

Syabas' major responsibilities are to ensure proper and sufficient water supplies are being distributed to the state, to ensure the people of Selangor enjoy quality water supply, as well as to ensure the well being of the people in the state are properly taken care of. Should there be any problem arise on the water supplies, Syabas should take full responsibilities.

In the recent water deadlock, Syabas continuously blame the Selangor state government for its poor management of the water supply in the state. During the water crisis, the Selangor BN leaders are quick to capitalize this issue by saying that the state government had failed this and failed that. Aside from this, these BN leaders had also instigated the some people in the state to come up against the state government for not fulfilling their promise to give the people free water.

Does that make sense in the first place? At present, how can the Selangor state government offer free water supply to the people when they are only the minority shareholder of Syabas, while those BN-linked companies (Puncak Niaga and MOF Inc.) are the major shareholders.

The actual fact in this issue is, the Selangor state government has clearly pointed out that Syabas has not being fulfilling its responsibilities and had therefore, proposed to Puncak Niaga and the federal government to take over Syabas at a fair price and to run the state water operations on its own.

So, when the Selangor state government offers to take over the entire operations of Syabas, why did the federal government refused to do so? BN and Umno had clearly failed in handling the water supplies in Selangor. In other words, BN and Umno had also failed the people of Selangor. As such, the Selangor state government should be given the opportunity to run Syabas on its own.

Just look at Penang. The state has been running its own water supply so efficiently for years without suffering any losses and yet has the lowest water tariff in this country. The Perbadanan Bekalan Air Pulau Pinang Sdn Bhd (PBAPP) is currently owned by PBA Holdings Berhad, a public listed company with the Penang state government as the majority shareholder.

When the federal government did not agree with the Selangor state government's proposed takeover of Syabas, BN and Umno leaders were very quick in going to the ground by saying that the Selangor state government had failed to provide sufficient water supply to the people, in hoping that the people in the state would stage a revolt against the state government which currently under Pakatan Rakyat since 2008.

We hope the people of Selangor would not be confused by the current situation, which has been twisted by BN and Umno in order to capitalize the issue for the next general election. In managing the water supply for the Selangor state BN and Umno (Puncak Niaga and MOF Inc.) had failed, just admit your failure. Let the state government take over Syabas for the people.

BN and Umno should stop using the water supply to capitalize their dirty politics at the expense of the people, welfare and the economy of the state. This is blatantly an act of political terrorism.