Malaysia Oversight

RM6.2b project to ease Bukit Merah water woes heads to Cabinet this week, says Perak MB

By MalayMail in August 11, 2025 – Reading time 2 minute
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TELUK INTAN, Aug 11 — The Cabinet paper on the implementation of the water transfer project to Bukit Merah to address the critical water shortage problem in northern Perak will be brought to this week’s cabinet meeting.

Menteri Besar Datuk Seri Saarani Mohamad said the paper took into account requests and comments from the state government because the water supply is the state’s right and his party knows the best course of action for the project.

“The implementation process also needs to give importance to contractors in the state. We have decided that the Ministry of Energy Transition and Water Transformation should agree to the collaboration of PKNPk (Perak State Development Corporation) and Gamuda as the implementers, taking into account the involvement of local small contractors,” he said.

He said this at a press conference after the Customer Day Programme at Teluk Intan Municipal Council Hall, Langkap here today.

Saarani said the water transfer project from Sungai Perak to Bukit Merah, which was implemented through a joint venture (JV) between PKNPk and Gamuda Bhd, costing about RM6.2 billion, was seen to provide economic benefits to the people of the state.

According to Saarani, the project alignment was determined as a result of a series of workshops involving state government representatives to ensure its implementation meets the state’s water needs.

He said the project would benefit the agricultural irrigation system in northern Perak and meet the water needs of the Kerian Integrated Green Industrial Park (KIGIP) in the Kerian district.

“I hope this project can be expedited because we want to solve the problem of agricultural irrigation in the north and help with KIGIP’s water needs.

“If there is a surplus (of water), then we will consider selling water to Penang,” he said.

Last July, Gamuda Bhd through a JV with PKNPk was given a mandate by the state government to design, build and operate a water treatment and distribution facility located in Kerian.

The project will supply treated water to the Kerian Integrated Green Industrial Park (KIGIP), while the surplus supply will be channeled to Penang.

It will be implemented through privatization, where the agreement is expected to be finalised within 90 days, with a minimum concession period of 40 years and is expected to begin operating by 2030. — Bernama 



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