Former Selangor Menteri Besar Tan Sri Abdul Khalid Ibrahim has urged both the state and the Federal government to set aside their differences and work towards implementing the water agreement, signed last year.

“I believe that the land ownership issue which was cited as the reason for the state government to nullify the agreement, can be solved if all arguments are worked out at the negotiation table,” he said in a media statement today.

“I have met the Energy, Water and Green Technology Minister and he has given me the assurance that the Ministry will work towards implementing the agreement to make way for a holistic restructuring of the Selangor water industry as intended by the Water Services & Industry Act 2006,” he said.

He said the Selangor state government has much to lose if it does not resume talks with the Ministry and called on the state leadership to put the interest of the people in making their next course of action.

Abdul Khalid warned that one of the repercussions in failing to implement the agreement was the risk of losing the opportunity to take over the equity of four water concessionaires, which the Pakatan Rakyat pact had often said to have been milking handsome profits all these years.

“Without full control of the water industry, Selangor government may not be able to continue its 20 cubic metre free water programme due to lack of fund,” he further warned.

The Port Klang state assemblyman said this would also cause water tariff to see an increase by 5 per cent by 2015.

“To make it worst, the state will to pay water tariff increment arrears amounting to more than RM2 billion,” he said.

The Bandar Tun Razak member of Parliament also said that the people must also take note that the price for the equity takeover of the four concessionaires must not exceed RM9.65 billion as previously agreed.

“Any price above that is akin to robbing the rakyat’s resources to enrich the greedy concessionaires.,” he added.

Selangor MB Mohamad Azmin Ali said the failure to implement the main agreement was due to Putrajaya’s latest stance in refusing to respect the principles of the main agreement signed on Sept 12, 2014.

However, Datuk Seri Maximus Ongkili who is the Minister of Energy, Water and Green Technology Ministry said the Selangor water restructuring stalled due to the state government's refusal to resolve three of the eight conditions in the master agreement with the federal government, thus prolonging the water supply crisis in the state.