GEORGE TOWN: Penang Water Supply Corporation (PWSC) intends to delay a proposed water tariff increase by at least six months, according to Chief Minister Chow Kon Yeow. The decision comes as the National Water Services Commission awaits Cabinet approval for revised rates, which would affect multiple states, including Penang.
Chow, who chairs PWSC, noted that the deferment would result in an estimated RM40 million financial impact on the corporation. He shared these details during the launch of PWSC’s RM5 billion Islamic Medium-Term Notes (Sukuk Wakalah), a Shariah-compliant financing initiative aimed at funding water infrastructure projects.
The Sukuk issuance, rated AAA/Stable by RAM Rating Services Berhad, strengthens PWSC’s ability to secure long-term capital while adhering to sustainability principles. The framework also earned a Gold Sustainable Finance Rating from RAV Sustainability Sdn Bhd, reflecting its alignment with environmental and governance standards.
Maybank Investment Bank Berhad and United Overseas Bank (Malaysia) Berhad acted as joint advisers and lead managers for the Sukuk. Maybank additionally served as the sole Sustainable Structuring Adviser, ensuring compliance with sustainable finance guidelines.
The delay in tariff adjustments allows PWSC to prioritise infrastructure investments without immediate financial pressure on consumers. The move aligns with Penang’s broader strategy to balance affordability with sustainable water resource management. – Bernama
