Johor Menteri Besar reassures investors: Johor has sufficient water and power for SEZ growth AURORATOTO GROUP

JOHOR BAHRU: Johor Menteri Besar Datuk Onn Hafiz Ghazi has stepped in to calm worries about whether the state has enough water and electricity to support the boom expected under the Johor-Singapore Special Economic Zone (JS-SEZ).

Speaking at the launch of MBW Innexus Industrial City in Forest City, Onn Hafiz brushed aside claims that Johor’s infrastructure might not keep up with demand, calling them unnecessary attempts to spook investors. Instead, he stressed that Johor and the federal government are fully committed to building the backbone needed for big-ticket projects.

“When a company wants to build a data centre in Johor, we review first. If water and electricity are not sufficient, we will not approve the application,” he told the audience, making it clear that no project gets the green light unless supply is guaranteed, as reported by the New Straits Times (NST).

He added that Johor isn’t leaving things to chance. The state has partnered with Indah Water Konsortium on alternative water supply measures and is working with the Energy Transition and Water Transformation Ministry (PETRA) on long-term plans that will secure utilities well into 2030.

Read related: Johor’s data centre boom set to drive 18-fold surge in water demand, pushing shift to reclaimed wastewater

Why this matters for Singapore investors

For businesses across the Causeway, especially those in Singapore struggling with limited land and high costs, Johor’s reassurances are big news. A stable and reliable supply of water and electricity means Singapore companies can expand with less risk. This is true for industries related to data centres, manufacturing, or logistics.

This lowers the barriers for Singaporean firms to plant their flag in Johor, knowing that critical infrastructure won’t be an afterthought. With this in mind, the investors can instead focus on growth without worrying about power cuts or water shortages that may affect their businesses

What it means for ordinary Singaporeans

It’s not just companies that benefit. Everyday Singaporeans are also likely to feel the ripple effects of Johor’s stronger infrastructure planning; with more companies choosing Johor as their base, job opportunities are also expected to grow. This is likely to happen specifically in industries that thrive on connectivity between both countries, including manufacturing, semiconductors, and tech.

Singaporeans who frequently travel to Johor for shopping, dining, or weekend getaways might also see a boost in services, from retail and hospitality to entertainment, as the local economy gains strength.

Building trust for the long haul

Onn Hafiz urged critics to stop spreading misinformation, reminding everyone that Johor’s growth benefits more than just the state. “Johor is very serious about attracting investment, and we will ensure investors who choose Johor feel secure with adequate water and electricity supply. For those trying to take advantage, I hope they stop, because we want to build not only Johor’s economy but also contribute to the country,” he said, as cited by NST.

With both Malaysia and Singapore pushing the JS-SEZ forward, Johor’s promise of stable utilities could be the key to unlocking a new chapter of growth—one that benefits investors, workers, and families on both sides of the Causeway.

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