Page 41 - AirSelangor_Sustainability_Report_2021
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Key Business Risks             Key Risk Management Strategies & Action Plans

             Delay in tariff increase       •  Delays in tariff review are managed through reviewing and revising the financial budget
                                              for 2021 and the 30-year business plan.
             Water  tariff  revision  is  important
             to ensure sustainable returns for
             effective cost recovery and improved
             water services for consumers.



             Potential shortfall of raw water  •  In addressing this risk, the activation of HORAS 600 and Operasi Pengepaman Air
                                              Kolam (“OPAK”) is vital to increase river levels for raw water extraction.
             Raw  water  availability  is  affected
             by various factors such as pollution   •  In addition, raw water storage such as ORS enables Air Selangor to store raw water and
             and climate change.  These events   ensures continuity of water supply to consumers.
             affect  Air  Selangor’s  ability  to  meet   •  Air Selangor conducts feasibility studies on water sources, including identifying new
             consumer demand.                 water resources.
                                            •  The reclaimed water venture between Air Selangor and IWK provides an alternative
                                              water source that can reduce the dependency on surface water.

             Raw water pollution            •  River monitoring systems (“RMS”)  were installed to monitor real-time raw  water
                                              quality which can help in the early detection of poor water quality.
             Raw water pollution incidents affect
             Air Selangor’s operations leading   •  Periodic river surveillance is conducted by Pasukan Khas Lembangan dan Alur Air
             to  water supply  disruption  for   (“PAKAR”)  which complement surveillance activities carried out by Skuad PANTAS
             consumers.                       from LUAS.
                                            •  OPAK and HORAS also serve to increase the dilution factor during incidences of raw
                                              water pollution. In the future, the impact of pollution can be further reduced upon
                                              the  completion of Skim Jaminan  Air  Mentah  (“SeJAM”) led  by the  Selangor State
                                              Government.
                                            •  The development of Langat 2 WTP and Rasau Water Supply Scheme, and water grid
                                              interconnectivity is expected to increase the water reserve margin and also minimise
                                              the impact of raw water pollution on consumers.
                                            •  Air Selangor also encourages participation from selected local communities to fight
                                              against raw water pollution incidents through the Friends of River programme.

             Brand and reputational risk    •  Air Selangor has formalised its social media protocol and strategy to support efforts
                                              toward delivering the best experience to customers.
             Maintaining  the  Air Selangor brand
             and reputation is crucial to ensure   •  Air Selangor conducted customer service experience  workshops, strengthened
             good brand positioning, customer   case resolution  visibility and system enhancement, completed an annual customer
             acceptance and continued license to   engagement survey, and improved stakeholder engagement to address this risk.
             operate.
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