The proposed rebranding of national sewerage company Indah Water Konsortium (IWK) may cost the rakyat more money, warns a PKR politician.

NONE Saifuddin Nasution (PKR-Machang) said that based on documents procured from a strategic plan workshop on March 29, the restructuring of IWK has reached its final stage and is ready to be examined by the cabinet.

According to Saifuddin, it was proposed that IWK be renamed National Sewerage Company (Nascom) and all entities involved in sewerage management, including the Sewerage Services Department, be combined under Nascom.

“This is a serious proposal that involves a high cost to the rakyat. Rebranding IWK is far too dangerous because the entire business model has been proven inadequate and not competitive, which has cost taxpayers RM1.2 billion since 2000 through financial aid,” he said.

IWK keeps failing

He told a press conference at the Parliament lobby yesterday that the government clearly showed no interest in looking for a permanent solution to resolve the problem other than renaming IWK as Nascom.

In fact, IWK had changed hands and been rebranded five times prior to the government takeover in 2000, he added.

“The suggestion to dissolve the Sewerage Services Department proves again BN’s tendency to eliminate the checks and balance process and create monopolies in national utilities,” he said.

 

Saifuddin pointed out that the Sewerage Services Department played a crucial role in monitoring the performance of IWK and other concessionaires.

“With a manpower of only 200, way smaller than the entire workforce of IWK, it is illogical if the department is being dissolved with the excuse that it is to reduce expenses,” he said.

The MP urged the Energy, Green Technology and Water Ministry, which manages the Sewerage Services Department, to explain the matter as it involves the rakyat being financially burdened, and the fate of civil servants being gambled for the profit of certain parties.