This article first appeared in The Edge Financial Daily, on May 25, 2016.

GEORGE TOWN: PBA Holdings Bhd, the holding company for Perbadanan Bekalan Air Pulau Pinang Sdn Bhd, said it could be in “serious trouble” next year if the Beris Dam and Muda Dam in Kedah, which are designed to release water into Sungai Muda, are not filled up.

Sungai Muda is Penang’s primary source of raw water. PBA chief executive officer (CEO) Datuk Jaseni Maidinsa said PBA’s business model is sustainable on the principle that its dams are kept full.

“Our business model is sustainable in the sense that we ensure our dams are full by the end of the year. As of today (yesterday), our Air Itam Dam and Teluk Bahang Dam are around 50% [full].

“What is a cause of concern to us is our main source of water, Sungai Muda and the two dams (Beris and Muda). Beris is currently 29% full and the Muda Dam is at 32%. We are very concerned about this, and we could be in serious trouble next year if these two dams are not filled up,” he told reporters after PBA’s annual general meeting yesterday.

“The prolonged dry season caused by the Super El Niño lasted five months. We cannot continue business as usual without cloud seeding as the Super El Niño has reduced rainfall by 70%. We need cloud seeding to [make up] for this 70%, if not the northern region will not be ready for the dry season in 2017,” he stressed.

Jaseni said these are preventive measures needed for the future, and are in line with Penang state’s policy of not practising water rationing. At present, PBA’s operations are going on normally.