Embassy of Japan in Malaysia

Embassy of Japan in Malaysia
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Top Page �� Bilateral Relations �� Japan's ODA to Malaysia �� Completion of Sewage Treatment Plants

Completion of Sewage Treatment Plants funded by Japanese ODA Loan
- reduce 90% pollution, be to benefit one in ten Malaysian -

The official launching ceremony of the five sewage and sludge treatment plants was held at Pantai Sewage Treatment Plant on Dec 2nd. These completed plants (four Sewage Treatment Plants; Bunus, Pantai, Bandar Tun Razak, and Puchong and one regional sludge treatment plant; Klang) are the first set of facilities under the 'National Sewage Treatment Plant Project' funded by the Japanese ODA Loan program.

In total, there will be 13 treatment plants by March next year, and they will benefit about 2.8 million residents in urban areas with high population density. In other words, this project will benefit one in ten people living in Malaysia. These treatment facilities based on modern mechanized treatment processes, have the ability to produce high quality effluents that would reduce more than 90% of pollution discharged into rivers.

The loan to 'National Sewage Treatment Plant Project' was signed between JBIC(now JICA) and the Government of Malaysia in March 2000 totalling JPY48.5 billion, with highly concessionary terms: 0.75% interest, 40 years repayment period, 10 years grace period and untied condition; in other words 80.46% of grant elements.

The Japanese Government has been providing very favourable and concessionary Japanese ODA Loans to Malaysia since 1966 totalling more than 900 billion Yen or 30 billion ringgit. Among the projects under this program were the Kuala Lumpur International Airport, Port Klang Power Station, Bintulu Deepwater Port and Higher Education Loan Funds.

This project also involved full-time on-the-job transfer of technology as well as operation and maintenance skills with experienced Japanese plant operators working alongside the Malaysian operators in order to ensure that the advanced sewage and sludge treatment technologies are sustainable under operating conditions.

Beyond this project, JICA is also providing support and assistance to improve the policy planning capacity of the Sewerage Services Department, the implementing agency of the Ministry of Energy, Water and Communications, through a project to develop updated 'Guidelines for Developers' and 'Manual for Prioritizing of Sewerage Projects'.