Malaysia: Minister Warns Councils Over RM200M SWCorp Debt Threatening Public Cleansing Services
Malaysia's Housing and Local Government Minister Nga Kor Ming has issued a stern warning to local councils. He cautioned that their unpaid debts to the Solid Waste Management and Public Cleansing Corporation (SWCorp) could disrupt public services. The minister reminded councils of their legal obligations under the Contracts Act 1950.
The outstanding debt to SWCorp currently stands at a hefty RM200 million, despite significant efforts to reduce it. Through ministry interventions, the debt has been cut by 60%, but the remaining amount still poses a threat to service quality and efficiency. Minister Nga Kor Ming has stressed that non-payment could have severe consequences for the public services that councils are responsible for.
With the current debt situation, the ministry is set to adopt a more aggressive approach to prevent councils from accumulating arrears again. Local councils are urged to honor their agreements with SWCorp to ensure the smooth operation and effectiveness of public services.
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