A/HRC/42/47/Add.2 management of water resources and the supply and distribution of water. Second, the Water Supply Regulations 1995 outlines technical and administrative standards related to the provision of water supply services, including tariffs related to abstracting groundwater and consumer tariffs. Third, the Sewerage Systems and Services Ordinance 2005 regulates the sewerage systems and services in urban areas. 12. The Special Rapporteur emphasizes that the Government should take steps to harmonize the legal standards and ensure that practices throughout Malaysia are in line with the human rights framework. He highlights the responsibility of the Government to ensure coherence across states in both Peninsular Malaysia and East Malaysia, particularly providing legal safeguards to protect the human rights to water and sanitation of the entire population. B. Institutional framework 13. Prior to the reform of the water and sanitation sector, the water services industry was under the purview of each state government, which owned the water infrastructure and operated water services. Some states, such as Selangor and Johor, were exceptions in that water services operations had been privatized and private concessionaires were responsible for the treatment and supply of water to consumers. 2 The decentralized system of the water sector was not centrally regulated, resulting in varying quality and differing charges for water and sanitation services, from state to state. In the states in which water services had been privatized, operations were fragmented with several private operators involved in providing water supplies to the states, in a highly inefficient manner. 3 14. As a result of the reform, the federal government is mandated to regulate water supplies and sanitation services with authority over water-based projects, while the states retain their power to declare and regulate water catchment areas, water sources and river basins. Institutional actors at the federal level have been consolidated to ensure provision, regulation, and funding for both water and sanitation. Notably, in 2018, the Ministry of Water, Land and Natural Resources was established. It is responsible for developing integrated water management systems, from water catchment to households’ access to water. Several other institutional bodies in the water and sanitation sector were established, including: the federal mechanism for the provision of sanitation; the National Water Services Commission, the national regulator; and the water asset management company, the custodian of water assets. Sabah and Sarawak decided not to be part of the new institutional architecture and retained their own institutional frameworks and autonomy over the provision of water and sanitation services. 1. Service providers 15. In Peninsular Malaysia, responsibility for water resources rests with the state governments, which manage the existing water basins, canals, rivers and water catchment areas. Many states provide water directly, except for Johor, in which certain water services are privatized. As regards sanitation, Indah Water Konsortium provides sewerage services to states in Peninsular Malaysia, except for the State of Kelantan and the two districts in the State of Johor. The Special Rapporteur notes that it is essential that the Government assess whether the absence of federal bodies in those states has affected the quality of services. This assessment should be the fundamental guideline for assessing whether stronger support for sewerage services and individual sanitation solutions in East Malaysia and Kelantan and Johor is needed. 16. In Sabah, institutional actors in the water sector are divided between those involved in bulk water supply, including water treatment, and those involved in retail water distribution to households. Bulk water management in the urban areas of Sabah is privatized and managed by three private companies with concession contracts from the state. In areas in which the concessionaires are not present, particularly rural areas, the 2 3 4 See www.paab.my/regulations/national-water-services-industry-restructuring-initiatives. Ibid.

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