The Energy, Water and Communications Ministry will ask the Government for RM23 billion under the Ninth Malaysia Plan to reform the water and sewerage services. Minister Datuk Seri Dr Lim Keng Yaik said the money would cover all aspects of restructuring water supply and distribution, including building new treatment plants and maintaining old ones, building central sewerage systems in some areas, and replacing old pipes.

"We're bursting all over the place. Replacing old pipes will cost a lot," he told reporters.

"Yes, RM23 billion is for water and sewerage services alone. That is what we're asking for."

Dr Lim declined to give the figures for the energy and communications sector.

He said plans were still on to corporatise water supply services, instead of the Government taking over the management of water from the states.

This is pending the approval of a new legislation in Parliament, namely, the Water Services Industry Bill and the Water Services Commission Bill.

The Government has ditched earlier proposals to either privatise or federalise water supply. In the Federal Constitution, water is now listed as a commodity for which responsibility is shared by both the Federal and State Governments.