The 878 projects that had been put on hold for months because of insufficient water supply in Selangor state will now be carried out in stages.
State chief Khalid Ibrahim said the projects had been halted since June after the National Water Services Commission (SPAN) cited insufficient water supply in the state.
Khalid, however, pointed out that the state had enough water supply to last until 2016.
"In a meeting with SPAN earlier this month, the state government was informed that 878 projects in Selangor, Wilayah and Putrajaya were kept on hold because of lack of water.
"But we told them that several initiatives had been put in place to increase the water supply capacity to cater to the needs of consumers until the Langat 2 project starts," he told reporters after chairing the weekly executive council meeting on Thursday.
Khalid also said the state government had agreed to pay indemnity to SPAN for all actions and losses incurred by the developers.
On another matter, Khalid said the meeting to discuss and justify the salary increase for state lawmakers with opposition Pakatan Rakyat coalition leaders was expected to be held in early January.
Asked if he would consider lowering the salary adjustment, he said the meeting was mainly to let the leaders know about the mechanism of the increment.
He reiterated that the percentage of increment was still "acceptable" compared with the pay hike for lawmakers in Sarawak.