SINGAPORE, Sept. 3 (UPI) -- Little progress was achieved at a two-day meeting between senior officials from Malaysia and Singapore to resolve several outstanding bilateral issues, including a key water deal.
Following the meeting Tuesday, a statement indicated that both sides expressed a desire to resolve the package of issues and agreed much would be gained through cooperation and collaboration, with a third round of talks in Malaysia. But the statement fell short of any concrete details on progress achieved.
Last September, a breakthrough meeting between Singapore Senior Minister Lee Kuan Yew and Malaysian Prime Minister Mahathir Mohammed resulted in a broad framework to solve several bilateral issues related to some Malaysian railway land in Singapore; the Malaysian Customs, Immigration and Quarantine facilities in Singapore; Malaysian airspace use; a water supply agreement between the two countries; and the Singaporean Central Provident Fund savings of West Malaysians.
But little progress has been achieved since. This latest meeting was the second ministerial meeting, which continued on discussions started early July.
The sticking point has been the water supply issue with both sides unable to agree on prices. Singapore obtains half of its water needs from Malaysia under long-term agreements running until 2011 and 2061. The Malaysian state of Johor provides 350 million gallons of water a day to Singapore at $0.008 per 1,000 gallons, while Singapore has to resell a minimum 17 million gallons per day of treated water to Johor at $0.13 per 1,000 gallons.
Malaysia believes the current price for its raw water is "ridiculously" low, especially when compared to the price of the treated water it buys back from Singapore. The Singaporean authorities argue the Malaysians are not taking into consideration the cost of treating the water. Singapore estimates that cost at $0.63, and so say they are selling at a loss.
The island-state has been actively working on new water supply sources, including producing recycled waste water, called "Newater." Singaporeans got a taste of Newater in August when thousands of bottles were handed out at a National Day event, but this recycled water will be first aimed for industrial use and air conditioning systems. The government is also planning to build a desalination plant by 2005.
