News & Articles Water deal between Putrajaya and Selangor concludes Tuesday
Water deal between Putrajaya and Selangor concludes Tuesday
6 Sep 2015
The water deal between the federal government and Selangor government will be concluded on Tuesday, according to the Energy, Green Technology and Water Ministry tonight.
A signing ceremony of the deal will be held in Shah Alam between Pengurusan Aset Air Berhad (PAAB) and Pengurusan Air Selangor Sdn Bhd (Air Selangor) to seal four agreements under the restructuring of Selangor's water services industry.
In a statement released by the ministry, the four agreements are the Facilities Agreement, Lease Agreement, Rights of Use Agreement and Settlement Agreement, which are Condition Precedents to effect the Master Agreement for the restructuring exercise.
At the same event, Energy, Green Technology and Water Minister Datuk Seri Maximus Ongkili will hand over to Selangor Menteri Besar Mohamed Azmin Ali the Facilities and Service Licenses issued to Air Selangor.
This is the final Condition Precedent to the Master Agreement that needs to be fulfilled by the federal government.
"With the conclusion of the agreements and handing over of the licenses, the critical Condition Precedents would be completed and fulfilled. This means the Master Agreement will take effect from September 9, 2015,"the statement said.
With the Master Agreement in effect, Air Selangor can now hand over the required land titles with value of up to RM2 billion to PAAB in order for PAAB to provide the necessary funds for Air Selangor to take over the Selangor water concessionaires.
A signing ceremony of the deal will be held in Shah Alam between Pengurusan Aset Air Berhad (PAAB) and Pengurusan Air Selangor Sdn Bhd (Air Selangor) to seal four agreements under the restructuring of Selangor's water services industry.
In a statement released by the ministry, the four agreements are the Facilities Agreement, Lease Agreement, Rights of Use Agreement and Settlement Agreement, which are Condition Precedents to effect the Master Agreement for the restructuring exercise.
At the same event, Energy, Green Technology and Water Minister Datuk Seri Maximus Ongkili will hand over to Selangor Menteri Besar Mohamed Azmin Ali the Facilities and Service Licenses issued to Air Selangor.
This is the final Condition Precedent to the Master Agreement that needs to be fulfilled by the federal government.
"With the conclusion of the agreements and handing over of the licenses, the critical Condition Precedents would be completed and fulfilled. This means the Master Agreement will take effect from September 9, 2015,"the statement said.
With the Master Agreement in effect, Air Selangor can now hand over the required land titles with value of up to RM2 billion to PAAB in order for PAAB to provide the necessary funds for Air Selangor to take over the Selangor water concessionaires.
Source: The Malaysian Insider