Regulatory Decision Making Processes

Paradigm Shift in the nature of how the

government conducts itself

Quantum Leap in the maturity level of the

society as a whole in coping with the

responsibility and implications of decision

making

To avoid allotting too much of resources in

the mechanism of achieving the decision

This shows the sincerity of the Commission

towards adopting good governance in their

decision making.

•Demonstrating adherence to capital plans and policies for water & sewerage sectorAccountability

•Engagement with stakeholdersResponsiveness

•Reviewing old bureaucracy procedure and adopt best practices for effectiveness in performing regulatory functionEffective & Efficiency

•Ensuring transparent decision-making process and development of regulations, technical specification and guidelinesTransparency

•Soliciting public comments and feedback about new regulations or guidelinesParticipation

•Enabling/attempting to provide a sustainable business model to ensure the sustainability of the sectorFinancial Sustainability

•Determination & discussion guided within legal ambitRespect for The Rule

of Law

Systematic public consultation

procedures with affected interests

Improving regulatory co-

ordination

Reducing red tape

Reviewing and updating existing

regulations & guidelines

Regulatory Impact Analysis

• Focus Group consist of stakeholders such as government bodies, developer, consultant, association & NGO’s

• Identify all affected parties to ensure involvement and participation

Formation of Focus Group

• Positively engage and influence our stakeholders to ensure a shared understanding of expectations, roles and responsibilities

• Work in partnership with our stakeholders to develop and deliver innovative solutions

Engaged Stakeholder

Committed to effective consultation

with stakeholders and other interested parties who have

clear interest in the regulation in question

Effective consultation

provides valuable

information

Effective consultation allows us to make informed

decisions on matters of policy and improve the

accountability of the public service

� Improve transparency

� Responsiveness

� Accountability

� Accessibility of consultations

reduce unnecessary

regulatory burdens in the country

use to design effective

regulation or other non regulatory solutions

SPAN & JPP

DOE

IWK &

Maajari

Reduce red tape and streamline

regulatory requirement

To reduce excessive regulation or rigid conformity to formal rules that is

considered redundant or bureaucratic and hinders or prevents action or

decision-making

�Filing & Certification Requirements,

�Reporting,

�Investigation,

�Inspection & Enforcement Practices

�Procedures

Implement water & sewerage sector

reform to improve the efficiency and

effectiveness of the water services

sector in the short & long term

Introducing SPAN online services

Sewerage Works Approval

Transformation

Changes should be made in order to

improve the efficiency of the process

Inline with National Policy for the

Development and

Implementation of Regulations (NPDIR)

AT THEIR BEST:

� Achieve social and environmental goals

� Provide consumer protection

� Improve economic performance by promoting competition

AT THEIR WORST:

� Create unintended and often unavoidable barriers to trade

� Present unnecessary burdens to business

Created before a new government regulation is

introduced

RIA is to provide a detailed and systematic

appraisal of the potential impacts of a new

regulation in order to assess whether the

regulation is likely to achieve the desired

objectives

To avoid:

�unnecessarily complex regulations

�excessive costs of compliance

�adverse and unintended effects

Development And Implementation Of Technical Specifications And Standards

Sewerage Works Approval Transformation Initiative

Development Of Sewerage Infrastructure Selection Criteria

Restructuring Of Competency And Skills Landscape For Water Services Sector

Development Of Regulatory Water Accounting Framework

TECHNICAL SPECIFICATION SEWAGE TREATMENT SYSTEM

Part 1: Prefabricated Tanks - Packaged Plants

• First Edition October 2010, Revision March 2013

• Publish by SPAN

TECHNICAL SPECIFICATION SEWAGE TREATMENT SYSTEM

Part 2: Construction and Installation - Packaged Plants

• First Edition October 2010, Revision March 2013

• Publish by SPAN

MALAYSIAN SEWERAGE INDUSTRY GUIDELINES VOL. 2-5 – SEPTIC TANKS

• 3rd Edition January 2009, (Vol.2 Amendment July 2013)

• Published by SPAN

MALAYSIAN STANDARD ON SITE TREATMENT UNITS PART 1 : PREFABRICATED SEPTIC TANKS SPECIFICATIONS

• Published on June 2012

MALAYSIAN STANDARD ON SITE TREATMENT UNITS PART 2 : PACKAGED PREFABRICATED SMALL SEWAGE TREATMENT SYSTEM SPECIFICATIONS

• Published on December 2014

Development and Implementation of Technical Specifications and Standards

SELECTION & FORMATION OF TECHNICAL WORKING GROUPSPAN,

Government

Bodies, Cert.

Bodies, Operator,

Supplier,

Association, etc. DELIBERATION BY TECHNICAL WORKING GROUP

APPROVAL FROM TECHNICAL COMMITTEE

SPAN,

Government

Bodies , Cert.

Bodies, Operator,

etc.

PUBLIC CONSULTATION

Online Public

Consultation by

SPAN – 2 Months

COMMISSION APPROVAL

Sewerage Works Approval Transformation Initiative

OBJECTIVE

•To streamline and standardiseapplication processes

•To expedite the approval time for processing

•To enhance efficiency of enforcement by the regulators

DELIVERABLES

•Streamlined, improved and quicker procedures

•Faster approval time in processing

•Automation, standardised and transparent approval process

OUTCOME

transparent, uniform and

practical sewerage works approval procedures in

accordance with WSIA 2006

Mar – May 2013 Jun

2013

Current2013

Approval of Concept

Paper

Mini Lab I

Stakeholder Engagement

Briefing the Team Findings to Certifying Agencies and SPAN

Management

Mini Lab II

Mini Lab III

Deliberation on Documentation

PUBLIC CONSULTATION

PICC Putrajaya

SWAT PC Analysis

Implemented since April 2014 with take up rate more than

60%

Seminar On Enhancing Regulatory Quality In Conjunction With

Launching Of National Policy On The Development And Implementation

Of Regulations

Jan

2013

Feb

2013

July

2013

Planning – PDC 1

Sewerage Work Application

[ SWA ]Design – PDC 2

Notice to Start Work

– PDC 6

Intermediate

Inspection – PDC 7

Final Inspection

– PDC 8

Sewerage Work Completion

[ SWC ]

CURRENT PROCEDURE (PDC)NEW PROCEDURE – LOW

RISK (SWAT)

Development of Sewerage Infrastructure Selection Criteria

OBJECTIVE:

To establish criteria based approach in determining sewerage system used

(regional, multipoint, connect & upgrade, local consolidation, on-site, others)

OUTCOME:

To attain framework, criteria, application methodology, review method for

SISCA

Participants

• Suruhanjaya Perkhidmatan Air Negara (SPAN)

• Jabatan Alam Sekitar (JAS)

• JabatanPerancang Bandar dan Desa (JPBD)

• Jabatan Pengairan dan Saliran (JPS)

• Jabatan Perkhidmatan Pembetungan (JPP)

Government/ Regulator

• Association of Environmental Consultants and Companies Malaysia (AECCOM)

• Real Estate & Housing Developers Association Malaysia (REHDA)

• Association of Consulting Engineers Malaysia (ACEM)

Professional Body/ Association

• Forum Air Malaysia (FAM)

• PersatuanPenyelidikan Air &Tenaga Malaysia (AWER)Consumer

• Indah Water Konsortium S/B (IWK)

• Majaari Services S/B (MSSB)Operator

Restructuring of Competency and Skills Landscape for Water Services Sector

Capacity building:-

The process to develop and improve abilities and skills to;-

� Perform core functions, solve problems, define and achieve objectives

� Understand and deal with their development needs in a broad context and in a

sustainable manner

Competencies:-

Set of knowledge or skills critical for producing the intended outputs.

Obtain approval from the

Commission

Preliminary discussion with DSD on the knowledge & skill area, and way

forward

Consultation with stakeholders finalizing the

capacity building and competency

components

Consultation with training providers on accreditation requirement and

training needs

Preparation of final National

Water Services Capacity Building Blueprint

Obtain approval from the

Commission on the Capacity

Building Blueprint

Appoint consultant to

develop competency

training module and syllabus

Development of competency modules and

syllabus

Establishment of evaluation committee to

evaluate training module syllabus

Obtain approval from the Commission

for the developed and evaluated modules and

syllabus.

Kick off implementation plan & impose competency

requirement to the stakeholders

Dec, 13 – 1stQ, 14 2ndQ, 14 – 2ndQ, 15 2ndQ, 15 – 4thQ, 15

Development of Regulatory Water Accounting Framework

Enhancement of operators’

level of service

Consumers Acceptance

Willingness to pay by

Consumers

Regulatory Effectiveness

Political Will/ Commitment

� Water regulatory accounting for water services

� Assisting SPAN to work with a uniform financial reporting, consistent and reliable

which enables it to monitor and evaluate the financial performance of the water

services industry more effectively under the regulatory regime

1990s 2004

1 Jan: WSIA 2006

come into effectAug: KeTTHA

appointed KPMG

to conduct tariff

setting and

benchmarking

study

SPAN Workshop –

Realising the

Water Tariff Setting

Mechanism –

RWA”

RWA Phase 2:

� WIRA

�Tariff Gap

Analysis

� Cost

Benchmarking

RWA:

“Implementation

of Water Tariff

Setting Model

using the RWA for

the Water Services

Industry”

Phase 1: 5 Pilot

States

Preparation of

Water Industry

Regulatory

Account (WIRA)

� Johor

�Penang

�Terengganu

�Kedah

�Negeri Sembilan

Phase 2: 7 Pilot

sites

�Selangor

� Kelantan

�Perak

�Pahang

�Melaka

�Perlis

�Sewerage

Operator

Public Consultation

� Less participation

from public

�Less input from

industry players

�Online

consultation issues

•Lack of concern or interest from public on new consultation exercises

•Less participation in water services related consultation

PUBLIC

•Lack of input from industry players for the development of new standards & technical specification

•Selective participation or overloaded participation by certain stakeholders – only participate if it concerns about new cost and chargers

INDUSTRY PLAYERS

•Inaccurate contact data

•Does not respond in timely fashion

ONLINE CONSULTATION

Promote Transparency in Decision Making

Process

Promote & Encourage

Participation of Stakeholders

Continuous monitoring & review

Improving Regulatory

Coordination & Reducing Red Tapes

Continuous Reform Initiative

THANK YOU

TECHNICAL STANDARD & COMPLIANCE

DIVISION

SEWERAGE REGULATORY DEPARTMENT

NATIONAL WATER SERVICES

COMMISSION