Summary
  • Lim raises concerns over RM210 million annual capacity charges.
  • Five independent PBA Holdings directors opposed the proposed agreement.
  • Penang could face financial obligations despite supply disruptions.

GEORGE TOWN, November 12 โ€” Air Putih assemblyman Lim Guan Eng has questioned a proposed RM24.6 billion water supply agreement between Penang and Perak, citing potential financial risks.

Lim said Penang Water Supply Corporation (PBAPP) could remain liable for RM210 million annually over 40 years, even if Perak fails to deliver the agreed minimum of 300 million litres daily.

He cited five independent PBA Holdings directors who opposed the proposal over payment obligations and supply risks.

Lim urged the Penang government to explain the contractโ€™s termination provisions and financial safeguards. The claims require clarification from the parties involved.