ALOR STAR: The decision on whether the developer of Sungai Limau Water Treatment Plant (WTP) should be accorded with the third Extension of Time (EOT) is the prerogative of the Public Works Department (PWD).
Menteri Besar Datuk Seri Muhammad Sanusi Md Nor said the project, which is supposed to be completed by January 2025 under the second EOT, is seven per cent behind schedule.
"The Sungai Limau WTP project has been granted the second EOT and the developer will face a daily fine by the government should it fail to deliver theproject according to the stipulated completion date.
"The developer must find ways to deliver the project on time and the project was probably delayed due to a steep hike in building material costs since it was awarded in 2021," Sanusi said in a press conference after chairing the state executive council meeting in Wisma Darulaman today.
He said the onus is on the developer to seek the federal government's approval for variation of price (VOP) to mitigate the higher cost of building materials.
It was reported that the project was awarded to Widad Builders Sdn Bhd at a cost of RM89.90 million.
Meanwhile, Sanusi said the Bukit Selambau WTP project progress recorded a positive pace with one per cent ahead of schedule under the second EOT.
"Bukit Selambau is ahead of schedule by one per cent. There is no issue there," said Sanusi.
Sanusi was responding to the visit by Energy Transition and Water Transformation Minister Deputy Minister Akmal Nasrullah Mohd Nasir to both sites recently.
The Bukit Selambau project is scheduled to be completed by April 2025 under the second EOT granted by the PWD.
Sanusi said, based on his visit to both sites yesterday, the situation was under control and not alarming.
"The state government will extend cooperation whenever necessary to ensure both projects are completed according to their respective schedules," he said.