IPOH, July 13 — Perak Menteri Besar Datuk Seri Saarani Mohamad today said that the delay in signing the agreement for the Perak-Penang water transfer project was not due to political reasons.

Saarani stressed that the matter was purely a business arrangement between Khazanah Air Perak (KAP) and the Penang Water Supply Corporation, and not between the Perak and Penang state governments.

“The agreement between KAP and Penang actually has nothing to do with the state government because it is a business-to-business (B2B) arrangement.

“Khazanah Air Perak is a business entity, a joint venture company between Gamuda Berhad and the Perak State Development Corporation (PKNP).

“They are the ones negotiating and signing the agreement with the Penang Water Supply Corporation,” he told reporters after attending the State Service Award ceremony at the Perak Darul Ridzuan Building here.

Saarani said the signing was originally scheduled to take place on July 10, but was postponed at the request of the Penang side.

“Based on the original date that I was informed of, it was supposed to be on the 10th, which was last Friday.

“However, I was informed that the Penang government requested a slight postponement, perhaps because there are still some matters that need to be fine-tuned. It was Penang that requested the postponement, not KAP,” he said.

Asked when the agreement would be signed, Saarani said the timeline now depends entirely on Penang.

“I do not know. That is up to Penang. Once they are ready, they will sign it,” he said.

On whether the water price under the agreement had been finalised, Saarani said the details could not be disclosed until the agreement is officially concluded.

“We cannot announce the price until the agreement is finalised. This is a business-to-business matter,” he said.

On June 16, Penang Chief Minister Chow Kon Yeow said the Perak-Penang water transfer project was in the final stages of negotiations and that the agreement was expected to be signed within a week.

Chow said both parties had tentatively agreed to conclude the negotiations and sign the agreement in Ipoh.

The Perak-Penang water project is a major strategic initiative aimed at facilitating the transfer of raw and treated water to meet growing demand in northern Peninsular Malaysia, particularly to support domestic and industrial needs in Penang.

Chow said the agreement includes several preconditions that must be fulfilled before it can be fully implemented.

He added that technical aspects of the deal were still being refined by experts and officials from both sides to ensure mutual agreement on all terms.

“When reviewing an agreement, there are many technical elements and issues that must be refined by experts before both parties can agree,” he said.

“All matters, including pricing, have been discussed, but further refinement is still required before the agreement is signed,” he added.