Gamuda Bhd and Perbadanan Kemajuan Negeri Perak (PKNPk) have been appointed by the Perak state government to jointly develop and operate water treatment and distribution infrastructure in Kerian, Northern Perak.
The project is part of the Northern Perak Water Supply Scheme (NPWSS), a strategic initiative with an estimated development value of RM5 billion. Launched by the Perak state and federal governments, the scheme is designed to address persistent water shortages affecting irrigation, domestic and industrial needs in the region.
Under the appointment terms, the Gamuda-PKNPk joint venture will undertake the development and operation of the infrastructure on a minimum 40-year concession basis.
The joint venture will supply treated water to the upcoming Kerian Integrated Green Industrial Park, while surplus treated water will be channelled to the neighbouring state of Penang. The NPWSS includes the transfer of 1,500 million litres per day (MLD) of raw water from Sungai Perak to the Bukit Merah Dam, with 500 MLD allocated for immediate irrigation needs in Northern Perak. The remaining water will be treated for domestic and industrial use across the state.
The privatisation agreement is expected to be finalised within 90 days of the appointment to ensure the timely implementation of the scheme, which is targeted for completion by 2030. The project remains subject to approvals from the relevant regulatory authorities.
Gamuda Engineering Sdn Bhd executive director Faris Mohd Yusof said the appointment represents a significant milestone in Northern Perak’s long-term water security strategy.
“We are pleased to have been entrusted with the opportunity to jointly develop a key component of the NPWSS scheme for our home state of Perak. We are committed to ensuring the critical delivery of water for the state with a focus on local workforce and community development,” he said.
Faris highlighted the group’s expertise in water-related infrastructure, referencing past projects such as the Skim Bekalan Air Fasa 3 Sungai Selangor and the Smart Tunnel. He added that Gamuda’s experience in water treatment plants, distribution networks and tunnelling positions the group strongly to deliver the essential infrastructure.
Gamuda has also played a role in other major water infrastructure developments, including the RM4 billion Sungai Perak Raw Water Transfer Scheme, slated to begin construction in 2026, and the RM1.97 billion Sungai Rasau Water Supply Scheme Stage 1, which is currently underway and expected to complete by mid-2025.
Additionally, the group holds a 75 per cent stake in the Ulu Padas hydroelectric project in Sabah, valued between RM3 billion and RM4 billion, with commercial operations scheduled for 2030.
-The Star
