EU Business Avenues in Southeast Asia hosted a Virtual Business Mission for European companies looking for opportunities in Malaysia’s water sector. Pravi Bansal, Partner for Amane Advisors’ Southeast Asia office, was invited to speak on the Water Treatment and Management Market Landscape and Potential Opportunities in Malaysia on 29th November, 2020. The virtual event was attended by over 100 participants.

Pravi Bansal shared the following key insights on the market:

• Malaysia is a strong economy with the second-highest GDP per capita in the region. However it has been facing challenges from high non-revenue water (NRW). At 35%, the NRW rate is higher than that of Indonesia, Vietnam, Philippines and Thailand.
• The country is spending ~$3.7bn on water treatment and management for both municipal and industrial CapEx and OpeEx, making it the 2nd largest water market in the region after Indonesia, which is a ~$4.1bn market. Malaysia’s municipal market accounts for ~$2.9bn in spending, and the overall market is set to grow at a modest 4.3% CAGR over the next 5 years.
• Recent water pollution incidents have caused water treatment plant shutdowns and supply cuts, exposing major risks in the country’s water security, which need to be addressed as a priority. Since June 2020, multiple river pollution incidents have disrupted essential water supply to >1.6 million of consumers in Malaysia, including in the capital Kuala Lumpur
• Current gaps in the water management system create opportunities for water technology companies to provide solutions across the water value chain

• Due to the critical nature of water supply and political pressure, the government is ready to invest and strengthen regulations. For example, Selangor plans to spend RM200m (US$49mn) on river pollution mitigation, and new laws and deployment of surveillance drones are planned to combat the crisis.

About Amane Advisors
Amane Advisors is a leading global advisory firm with a proven track record of advising leading water companies, utilities, and investors on their growth strategies. We are 100% focused on the water industry and have broad international experience with teams across the globe. All our Partners are independent, well-known industry insiders with decades of experience in water across all continents. Our partner in Singapore has more than 20 years of experience in project financing and investments in the SEA region. Every year, we conduct over 100 consulting projects and have worked with some of the leading companies in the sector. We have assisted both international and Asian clients to evaluate and pursue opportunities in South East Asia.

About EU Business Avenues in South East Asia
The EU Business Avenues in South East Asia is a business programme that is organised and funded by the European Union. The progamme will bring European companies to South East Asia to seek and establish long-lasting collaborations through coaching, pre-arranged business meetings and other business support services.

Find out more at eubusinessavenues.com