The government aims to build 500,000 units of houses at sewage treatment plant areas using a new technology in the next five to 10 years.

Deputy Prime Minister, Datuk Seri Ahmad Zahid Hamidi said the figure could be achieved through a smart partnership between Syarikat Perumahan Negara Berhad (SPNB) and a private company.

He said, the smart partnership is one of the ways that would allow SPNB to develop a residential area by redeeming the use of sewage sites owned by Indah Water Konsortium Sdn Bhd (IWK).

"SPNB also cooperates with a company to build houses in the sewage areas which were previously under IWK to turn it into public housing areas.

"If the program is fully implemented in the next five to ten years, about 500,000 housing units will be able to be built in more strategic locations," he said in his opening speech of SPNB's 20th Anniversary and Hari Raya Aidilfitri celebration at the Felda Tower, here, today.

Datuk Seri Ahmad Zahid who is also the chairman of the Cabinet Committee of Housing said the smart partnership had obtained policy approval from Cabinet ministers.

"The smart partnership between SPNB and the company had obtained unanimous approval from the Cabinet and it is being refined for final approval.

"What I'm doing is a creative idea where sewage areas, which once took up a huge area, is using a new technology by minimizing the area that is probably five to 10 percent the size of the initial area while the rest of the 90 to 95 percent is for the use of public housing without having to compromise on sewage," said Datui Seri Ahmad Zahid.

He stated, through this technology, the appointed concessionaire would finance the construction of the smaller sewage areas without neglecting its effectiveness.

The initiative is in line with the government's three-key priorities which is to cover the cost of living, transportation and housing.