We call on the Deputy Prime Minister to announce the details of the privatization projects that he intends to review as ‘lopsided and short-changing the Government.’

Dr Tan Seng Giaw, DAP National Vice-Chairman and MP for Kepong

(Kuala Lumpur, Monday): The DPM says, “we had to re-negotiate the deal (with Spanco Sdn Bhd) and in the end did not terminate it. There have been other instances, some involving water and electricity deals, which we also had to review and re-negotiate.”  

Over 10 years ago, we pointed out to the Government in Parliament that the annual contract of RM100 million to Spanco to lease and maintain vehicles used by top civil servants was unacceptable. But, the Government went ahead.


Now, Najib talks about review and re-negotiation of contracts that are lopsided and short-changing the Government. We would like to know how he intends to achieve the objective.


The Government has negotiated with most concessionaires like PLUS and extended concession period. By so doing, it hopes that toll rate would not be increased as frequently as contained in the concession agreements. We know precious little about its re-negotiation with Tenaga Nasional Berhad to reduce the rates TNB has to pay independent power producers (IPPs).


Selangor has privatized the treatment of water to Puncak Niaga, Syarikat Pengeluar Air Sungai Selangor Sdn Bhd and Konsortium ABBAS Sdn Bhd. These companies charge Puas Sdn Bhd between 50 sen to RM2.00 per cubic metre for the supply of treated water. Puas distributes the water to customers. How does Najib reduce the charge and hence water tariffs? Will the concession period be increased to over 30 years?



* Dr Tan Seng Giaw, DAP National Vice-Chairman and MP for Kepong