WATER TREATMENT, SUPPLY AND DISTRIBUTION

One of Taliworks’ core businesses is in the water supply sector. The business entails an operations and maintenance (“O&M”) contract for the Sungai Selangor Water Treatment Plant Phase 1 (“SSP1”) that supplies treated potable water to large parts of Selangor and Kuala Lumpur.

The Group had previously operated and maintained Pulau Langkawi’s entire water supply and distribution facilities under a 25-year concession with the State Government of Kedah commencing on 7^th October 1995 and ended on 31^st October 2020 under the Langkawi Water Supply Privatisation Agreement.

All operations have since been handed over to Syarikat Air Darul Aman Sdn. Bhd., a corporatised body under the government of Kedah.

Sungai Harmoni Sdn. Bhd.

Sungai Harmoni is the O&M operator of SSP1 with a combined design operating capacity of 950 million litres per day. As part of the water restructuring exercise undertaken by the State Government of Selangor to consolidate the water industry in the state, Sungai Harmoni entered into the Bulk Water Supply Agreement in 2019 with Pengurusan Air Selangor Sdn. Bhd. (“Air Selangor”) in which its SSP1’s O&M contract was extended for an additional 7 years to December 2036. As a condition to operate SSP1, Sungai Harmoni was awarded an Individual License pursuant to Section 9 of the Water Services Industry Act 2006 from the Suruhanjaya Perkhidmatan Air Negara (“SPAN”).