Prior to this Project, the water supply to the Kuala Lumpur International Airport (KLIA) which was supplied from the Semenyih Water Treatment Plant had been found to be at risk of disruption. In recognition of this vulnerability, the Federal Government of Malaysia has initiated an alternative water supply scheme to support the existing and future water demands at KLIA and the surrounding areas.
An open tender was called for Construction of Sg. Labu Dam by Jabatan Bekalan Air of Kementerian Tenaga, Teknologi Hijau Dan Air Malaysia and Asia Baru Construction Sdn Bhd was successful in its bid and was awarded the Contract. Briefly, the scope of works under the Contract comprised the following major components: