The Selangor state government has announced a revision of water tariffs, which will take effect on 1 September 2025 for users in Selangor, Kuala Lumpur, and Putrajaya. This revision is part of a wider review by the National Water Services Commission (SPAN) that will see new tariffs implemented across Peninsular Malaysia and Labuan from 1 September 2025. According to the official announcement, the new rates are intended to support the long-term sustainability and improvement of the state’s treated water services, following a review led by the National Water Services Commission (SPAN).

The changes will affect domestic, commercial, and industrial users differently. Here is a clear breakdown of the new tariff structure and what it means for your monthly water bill.

How The New Water Tariffs Affect Domestic Households

For most households, the impact of the tariff revision will depend entirely on water consumption levels. There will be no price change for households that use 20 cubic metres (m³) of water or less each month. The rate for this bracket will remain at RM0.65 per m³, with the minimum monthly charge staying at RM6.50.

For consumption beyond the first 20 m³, the rates will increase. Households using between 20 m³ and 35 m³ will be charged a new rate of RM1.62 per m³, which is an increase of RM0.30. For usage that exceeds 35 m³, the rate for each additional cubic metre will rise by RM0.88 to become RM3.51 per m³.

To lessen the financial burden on residents of low-cost homes, the increase will be smaller. The rate for this category will see a minimal adjustment of RM0.10, bringing the new price to RM1.18 per m³.

Revised Tariffs For Other Properties And Commercial Users

The new tariff structure also applies to other types of properties and non-domestic users. For residents in properties with bulk meters, such as condominiums, flats, estates, and government quarters, there are specific revisions to be aware of. The usage rate for these categories will increase by RM0.41, bringing the new tariff to RM2.09 per m³.

While the usage rate is increasing, the minimum monthly charge for condominiums and flats will be maintained at RM173. Similarly, the minimum charge for estates and government quarters remains at RM20.90.

Commercial and other non-domestic users will face a new rate of RM3.51 per m³. If their consumption goes above 35 m³in a month, the subsequent usage will be charged at a higher tier of RM3.83 per m³. A new tariff category has also been introduced specifically for data centres, which will be charged RM5.31 per m³ due to their significant water usage for cooling systems.

In contrast, places of worship and welfare institutions will continue to benefit from the lowest tariff rate, which will see a very slight increase to RM0.76 per m³. The Selangor government has also committed to absorbing the estimated RM100,000 annual cost increase for these institutions.

Free Water Scheme Expanded To Assist More Households

To help cushion the impact of these changes, the Selangor government is expanding its free water programme, the Darul Ehsan Water Scheme (SADE). Through this scheme, more than 1.3 million qualifying households in Selangor will continue to receive the first 20 m³ of water for free every month.

Crucially, the eligibility criteria for the SADE programme have been broadened. The qualifying monthly household income threshold will be raised from RM5,000 to RM6,000, allowing more families to benefit from the initiative. This is one of several government assistance programmes aimed at helping Malaysians manage the rising cost of living.

Eligible residents who wish to apply for the scheme can do so through the official Air Selangor website starting from 8 August 2025. The state government is allocating RM52.7 million annually to fund this important initiative.

Why Are The Water Tariffs Being Increased?

The decision to revise the water tariffs is driven by the need to fund significant investments in Selangor’s water infrastructure. In the statement by Selangor Menteri Besar Datuk Seri Amirudin Shari, these funds are highlighted as crucial for ensuring a secure and reliable water supply for the future.

Since 2018, over 730 kilometres of old pipes have been replaced, and the state plans to increase this rate to 300 kilometres per year. These efforts have helped reduce water losses from issues like pipe leaks from 27.7 per cent to 27.3 per cent.

Furthermore, Selangor is investing over RM8 billion to construct two new water treatment plants, Rasau and Labohan Dagang 2. Together, these plants will add 2,730 million litres per day to the state’s water supply. These projects are vital steps towards achieving the state’s goal of a 20 per cent water reserve margin by 2030, a key performance indicator outlined in SPAN’s framework for sustainable water services.

Understanding how these updates affect your expenses allows you to plan better and make smarter financial decisions. To stay on top of the latest news and learn more about managing your money, you can explore more personal finance tips and news on the RinggitPlus blog.

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• Air Selangor
• Tariffs
• Water
• Water Tariffs