The federal government has agreed to write off Kedah's rural water supply debt, amounting to RM699 million, after the signing of the state water services industry restructuring agreement, today.

Minister of Environment and Water Tuan Ibrahim Tuan Man (above) said the move would reduce the state's water supply debt from RM1.82 billion to RM1.12 billion, and the balance would be taken over by Pengurusan Aset Air Berhad (Paab).

He said the agreement would enable critical rural water supply infrastructure...