Penang shows the way on water tariffs

MALAYSIA'S exports grew a slower-than-expected 8.4 per cent in March, below the street's expectation of 9.4 per cent and way below February's performance of 12.3 per cent. One reason cited for this is that the water rationing exercise could have disrupted manufactured exports in Selangor and Negri Sembilan between February and April. That is a lot of money down the drain and, more to the point, quite inexplicable given that the country receives an average of 98 inches (249 cm) of rain a year.

Like everything that has demand, water is a resource - and should be treated as such. Selangor's water policy does not do this. By allowing Selangor residents to have their first 20 cubic metres of water free, it devalues the importance of a scarce and valuable resour…