If it fails, Energy, Green Technology and Water Minister Maximus Ongkili said the Federal Government will have the option to take over Splash under Section 114 of the Water Services Industry Act (WSIA) 2006.

“But I am confident they can come up with an amicable solution, the way the state government did with the other water concessionaire, Puncak Niaga.

“The question is how much and where the state can find the money (to take over Splash). The extreme option is 114 WSIA,” he told reporters at Parliament lobby today.

Ongkili said at the moment, it was a “willing buyer and willing seller” situation and the state government was still in the discussion stage with Splash.

He pointed out the government could not interfere in mitigating the price as the concession was between the two parties.

It was reported that the Selangor Government had offered RM250.6 million to buy out Gamuda’s stake in Splash. However, Gamuda had said that it would result in a divestment loss of RM920 million.

“That is for Selangor to state their case. If they can afford it, why not? Any price, if they can afford it.

“If they don’t have the money, maybe they will come to the Federal Government, and we will look at the price if it is reasonable or not,” Ongkili said.

Earlier, in the Dewan Rakyat, Ongkili said the state government must take over the water company by Oct 7 this year when the concession period ends.

He also said the issue was not causing a delay in the Langat 2 water treatment plant project, which is 52% completed.