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SHAH ALAM – Perlis may be Malaysia’s smallest state by land area, but it recorded the country’s highest Non-Revenue Water (NRW) level in 2025, highlighting that financial capacity and infrastructure investment - not geography - are the key determinants of water loss performance.
National Water Services Commission (SPAN) chief executive officer Datuk Ahmad Faizal Abdul Rahman said NRW levels varied significantly across the country, largely reflecting differences in the consistency and scale of investment in pipe replacement, leak detection and network upgrades.
“Based on 2025 performance, the highest NRW levels among the states mentioned were recorded in Perlis at 62.3 per cent, followed by Kelantan at 55.2 per cent and Kedah at 51.8 per cent.
“In contrast, Johor recorded a much lower NRW level at 24 per cent, followed by Selangor at 26.8 per cent and Penang at 28.4 per cent,” he told Sinar Daily.
Faizal said states with stronger financial resources were generally able to implement sustained NRW reduction programmes, including pipe replacement, active leakage control, pressure management, meter replacement and the establishment of district metered areas.
For states with more limited financial resources, these initiatives are often implemented in phases based on available funding, slowing the pace of NRW reduction.
“In such cases, the challenge is not purely technical, but also financial and operational,” he added.
NRW refers to treated water that enters the distribution system but does not generate revenue because it is lost through leaks, pipe bursts, inaccurate metering, illegal connections or authorised but unbilled consumption.
According to SPAN, Malaysia’s national NRW level currently stands at 34.4 per cent, although performance varies widely across states and service areas.
Faizal cautioned against making direct comparisons with other countries, noting that water supply systems differ significantly in terms of infrastructure age, operating conditions and investment levels.
“Many countries report NRW at the utility or city level rather than as a single national figure. High-performing cities such as Tokyo and Singapore are often cited for leakage rates below five per cent, but these are city-level performances rather than national averages.
“In Malaysia, NRW performance also varies significantly. Kuala Lumpur records an NRW level of 11.1 per cent, while Johor Bahru stands at 17.6 per cent, demonstrating what can be achieved through sustained investment and stronger operational controls,” he said.
Within Asean, Faizal said Malaysia’s NRW performance remains broadly comparable with several developing neighbours. Indonesia records NRW levels of about 34 per cent, while Thailand reports around 30 per cent.
However, he acknowledged that Malaysia’s national NRW rate remains higher than what would be expected of a mature, highly efficient and financially resilient water supply system.
He said one of Malaysia’s strengths lies in its ability to monitor and report NRW consistently through SPAN’s standardised guidelines based on the International Water Association Water Balance Framework.
The issue has attracted growing attention from water sector experts, who have warned that NRW is increasingly becoming a national water security concern.
Former SPAN chairman Charles Santiago previously told Sinar Daily that about 35 per cent of treated water was lost before reaching consumers, largely because of ageing infrastructure, particularly asbestos cement (AC) pipelines.
He has called for stronger financing mechanisms and accelerated pipe replacement programmes to address the problem.
Meanwhile, Universiti Putra Malaysia water engineering expert Associate Professor Dr Syazwani Idrus said reducing NRW would require a combination of infrastructure upgrades and technologies such as smart meters, acoustic leak detection systems, pressure management tools and predictive analytics to improve efficiency and reduce water losses.
