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NINE water supply projects valued at more than RM133 million have been successfully completed in the Federal Territory of Labuan, reinforcing the government’s commitment to resolving long-standing water supply issues on the island.
The projects were implemented by the Department of Water Supply under the Energy Transition and Water Transformation Ministry, reflecting sustained federal investment to improve water infrastructure and service delivery in Labuan.
Deputy Prime Minister II Datuk Ser Fadillah Yusof reaffirmed the ministry’s commitment during the handover ceremony for the completed water supply projects held in Labuan today.
Of the nine projects completed, three projects with a combined value of RM106.5 million were implemented in phases under the Eleventh Malaysia Plan.
In addition, two one-off projects under the Twelfth Malaysia Plan, valued at RM4.77 million, were completed within a seven-month timeframe.
Four short-term projects were also completed using funds from the RM300 million allocation announced by the Prime Minister during Budget 2024.
These projects, costing a total of RM22.4 million, involved repairs to mechanical and electrical equipment, replacement of pumps and refurbishment of water tanks.
The completion of all nine projects has strengthened Labuan’s water distribution system and contributed to a reduction in non-revenue water.
The improvements have had a significant impact on residents and key institutions in Labuan, including Hospital Labuan, industrial training institutes, schools and the Labuan Crude Oil Terminal.
A more stable and reliable water supply is also expected to support Labuan’s economic development as an international financial and business centre, while enhancing its attractiveness to investors.
According to records from the National Water Services Commission, the number of consumer complaints declined by 15 per cent between 2023 and 2024, reflecting higher levels of user satisfaction following improvements in water supply services provided by the Labuan Water Supply Division.
Beyond the completed projects, 13 additional medium- and long-term projects are currently being implemented at various stages.
These include the National Non-Revenue Water Programme, Approach 1 Phase 2, with an estimated total cost exceeding RM470 million.
The initiatives are designed to further strengthen distribution systems, increase capacity and reduce water losses, ensuring a sustainable supply of clean water for all residents of Labuan.
Fadillah, who is also Minister of Energy Transition and Water Transformation, expressed his appreciation to all agencies involved, particularly the Department of Water Supply as the implementing agency, as well as local authorities, technical agencies and local communities, for their cooperation in ensuring the smooth execution of the projects.
The Federal Government, through the Energy Transition and Water Transformation Ministry and the Department of Water Supply, said it would continue to prioritise the well-being of the people in line with the Malaysia MADANI framework, which emphasises sustainability, well-being and responsiveness to public needs. - January 27, 2026
