Friday June 27, 2008
MP: Syabas profiting from reconnection fees
By OH ING YEEN
THE Coalition Against Water Privatisation (CAWP) coordinator Charles Santiago claims that Syabas is profiting from water disconnection.In a recent report, Syabas cut the supply to 237,655 households last year and collected RM8.2mil in reconnection charges.
From January to May 2008, the total disconnections were 54,033 units and the charges collected for reconnection were RM1.9mil in total.

This was in response to Santiago’s questions in Parliament on the number of units disconnected by Syabas and the revenue generated from disconnections in 2007 and the first five months in 2008.
However, Santiago, who is also Klang MP, said that the numbers did not tally and the amount should be higher, as the charges for disconnection and reconnection were RM50.
According to his sources, there were eight teams by Syabas to disconnect water supply and almost 400 units were disconnected per day and Syabas would probably make a profit of RM4.4mil a year.
Thus, Santiago is pushing for a performance audit, which should be transparent, to be carried out by NGOs and made available to the public.
“Transparency and accountability are the most important aspects (of the audit),” he stressed.
According to Syabas corporate affairs general manager Abdul Halim Mat Som, the actual cost of disconnection and reconnection is RM79.60, thus the remaining amount of RM29.60 is borne by Syabas.
“It is actually a loss for Syabas every time we disconnect the water supply,” he said.
He explained that the RM50 charge covered labour cost, overtime pay for the workers and transportation fees.
In response to complaints that not enough notice was given prior to disconnecting the water supply, he said that ample notice was given to consumers.
“Since last year, we do not send out the pink letter to those who have not paid their bills, instead we have a special stamp on the bill to remind them to pay before we disconnect their water supply.
“Please pay your bills and make life easier for everyone,” he urged.
A 50-year-old owner of a shoplot near Chow Kit, who only wanted to be identified as Steven, said that the RM50 charge (for reconnection of water supply) was too expensive and that reconnection was not prompt.
“I’ve always paid my water bills but I did not receive my bill (RM300) for April. I did not pay it as I forgot about it later.
“I only realised it this morning (June 25) when my water was disconnected at 10am and I went to pay my bill immediately.
“The water supply was only reconnected at 4pm. If they are prompt in disconnecting, then they should be prompt in reconnecting as well,” he said.
Steven added that the disconnection would be troublesome for families with children and senior citizens.
He said that he preferred the previous method of red bills as it was more effective than the warning stamped on bills and suggested that Syabas should alert customers through SMSes to pay up before disconnecting the water supply.
“What happens if the bill was issued when no one is at home and it is blown away? Syabas should give ample notice (before disconnecting the water supply) and adopt more modernised methods for customers to pay their bills such as the auto debit system or the convenience of paying through phone,” he suggested, adding that Syabas should be more customer-friendly.
