KUALA LUMPUR: Immediate financial reform and stronger climate resilience within Malaysia’s water sector are crucial to realising the Water Sector Transformation 2040 agenda.
Deputy Prime Minister Datuk Seri Fadillah Yusof stressed that current challenges must serve as catalysts for innovation and deeper collaboration across the sector.
He said financial reform must be treated as a national priority requiring a fair and sustainable financing framework.
“Tariffs must reflect the true cost of supply while ensuring that vulnerable groups are protected through transparent and targeted support mechanisms.”
“Only with financial stability can utilities reinvest, innovate and build a water sector capable of meeting future demands,“ he said in his keynote address at the 37th Malaysian Water Association Annual Dinner and Awards Night.
Fadillah noted that Malaysia’s progress has led to a surge in water demand from households and energy-intensive sectors.
He urged the adoption of an integrated and data-driven approach linking water planning with industrial development and environmental protection.
“Key strategies include stronger demand forecasting, efficient water use and diversification of supply sources through recycled water, rainwater harvesting, desalination and groundwater management.”
In addressing climate pressures, Fadillah said Malaysia is witnessing erratic rainfall patterns, prolonged droughts, and recurring floods.
He called for increased investment in climate resilience including protection of water catchment areas and modernisation of infrastructure.
“These efforts must be supported by the integration of environmental stewardship and early warning systems into every level of planning.”
Fadillah emphasised that AIR2040’s success depends on partnerships involving regulators, utilities, academia, and industry players.
“The Government, through PETRA, remains firmly committed to providing clear policy direction and supporting collaboration with state governments and agencies nationwide.”
Also present were Chief Minister of Penang Chow Kon Yeow and PETRA’s Deputy Minister Akmal Nasrullah Mohd Nasir. – Bernama