Khalid: Water MoU binding and irrevocable


Selangor menteri besar Abdul Khalid says that Putrajaya and his state had inserted iron clad clauses in the memorandum of understand to make it binding to both parties.

Leven Woon, FMT

The memorandum of understanding (MoU) between Putrajaya and Selangor is irrevocable and is binding to both parties, said Selangor menteri besar Abdul Khalid Ibrahim today.

Khalid’s statement echoed another statement made by Deputy Prime Minister Muhyiddin Yassin yesterday, who also said that the agreement signed cannot be revoked even there is change in state leadership.

Speaking to reporters this morning, Khalid said that he has requested for the word “irrevocable” to be included in the MoU, sealing it as a commitment that needed to be fulfilled by the signatories.

“I spent a bit of the time to study this because as a law student, I know a MoU has nothing to do with being irrevocable but there are also issues of transparency and political monitoring.

“So to ensure both Barisan Nasional and Pakatan Rakyat commit to it, we introduced iron clad clauses,” he said.

Khalid added that both parties are currently looking at finalising the matter and announce the date of the water assets restructuring exercise.

Yesterday, Muhyiddin told the press that the MoU signed will be binding to both parties even if there PKR supremo Anwar Ibrahim takes over as Selangor menteri besar.

“Even though it is called MoU, it is an agreement. The obligations of both governments are absolute. It cannot be changed or amended. It is irrevocable,” he was reported saying

Seeking the middle ground

Selangor inked the MoU with Putrajaya on Wednesday to allow the federal government to build the Langat 2 Water Treatment Plan in exchange for the state to take over four water concessionaires.

The MoU marked the end of six years of intensive horse-trading between the two sides since Selangor announced its intention to restructure the state’s water industry and assets.

Khalid said the state would continue its free water policy on the first 20 cubic meters of usage, and hopes to extend this to consumers in KL and Putrajaya.

“But the federal government is very reluctant to work on the free water for Putrajaya and KL consumers.

“We will negotiate and we are confident that if we can prove our profit margins are good, and have excessive profits, they will allow us to translate it into free water to the two areas,” he said.