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2009 Dec 15 - Chua: Q&A on power plants

Chua: Q&A on power plants at parliament

Kuala Lumpur, Dec 15, 2009: Replying on issues raised by Datuk Chua Soon Bui (MP Tawau) in the ministry committee debate, the Minister of Energy, Green technology and Water, Datuk Seri Chin Fah Kui said that for early power plants based on diesel and early MFO, failure to supply electricity as directed by the SESB only affects the availability factor which will result in penalties in the form of reduced payments if the rate of capacity availability falls below the agreed level. For matters relating to the "Failed Despatch Instruction" in Energy Purchase Agreement for the new power plants, additional clause has been included on the supply of electricity as directed. The IPP will also receive a reduced payment for the month concerned. He was replying to the issue of penalties imposed on IPPs in Sabah that fail to supply electricity to the system, as raised by YB Datuk Chua Soon Bui (MP Tawau).

Regarding the location and date of implementation of additional generation capacity in Tawau by Sime Darby, the Minister told the House that an extension of 20MW supply through mobile generator sets has been planned to be placed in the PPU Pasir Putih, Tawau to help improve the supply in Tawau. A10 MW generator set has started supplying electricity on 15/11/2009 while another 10 MW will begin operating by 24/12/09. In addition, maintenance on the Serudong IPP’s11 MW generator set damaged since June 2009 is in process and it will start operating again in April 2010.

The Minister also said that the exemption of payment of electricity bills of less than RM20 per month is an initiative of the Government to help the low-income group. Exemption is given to all eligible consumers in Peninsular Malaysia, Sabah and Sarawak and it is funded by the Ministry of Finance with effect from October 1, 2008 to 31 December 2009. The government is considering to continue this exemption until December 2010. Since this measure was introduced, the Government has to bear the average monthly cost of RM11.95 million, benefiting about 1.05 million users.

Datuk Chua also asked about energy efficient programs and IPPs to generate renewable energy in Sabah, particularly Tawau and the penalty imposed on IPPs that cannot generate energy as required. The Minister in his reply said that under the program of Small Renewable Energy Power (SREP), Renewable Energy Power Purchase Agreement (REPPA) was signed without setting any penalty on the generator as only very small supply is generated under SREP compared with IPPs using fossil energy sources.


Debate Committee Stage - Rujukan 00100 Energy facilities and Renewable Energy Programme

I would like to know from the minister of Energy, Green Technology and Water:-
(1) List the number, names and the capacity of IPP (Independant Power Plant) in various parts of Sabah.
(2) The Terms and Conditions for each IPP,
(3) When the IPPs failed to supply the power as stipulated, whether the IPPs had to pay compensation to SESB or to the consumers for their failure in supplying power ? As reported by the SESB manager, the main problems encountered in disruptions of power supply in Sabah in the recent years were due to the problems from the IPP leading to insufficient supply,
I would like to know what is the rational while IPP is providing the excess power, TNB is obligated to pay, but when IPP generators broke down regularly, like what has been happening in Sabah, no penalty is imposed.

(4) Has the ministry any plan to standardize the excess power supply in Semenanjung Malaysia, Sabah and Sarawak, if yes, when and how much excess? Is this true that Sabah has negative power supply excess, whereas Sarawak has 20% excess and Semenanjung Malaysia has 50% excess?
From the report, Sabah has 7% excess power, but with the power disruptions happening in Sabah everyday, it's not practical to say that Sabah has any power excess at all, whereas Sarawak has 20% "true" power excess and west malaysia has 50% power excess. With the power excess of 20% in Sarawak and 50% power excess in Semenanjung Malaysia, How much does it cost the TNB or the government to pay for the excess? Has the Ministry any plan to standardize the power excess in Sabah, Sarawak and west malaysiaq. If so, how many %?
(5) With the upgrade of power from Sime Darby in Tawau, How many MW will be build , Where and when will it be completed?
(6) I would also like to know whether it's true that 50,000 to 80,000 families from Sarawak who used less than RM20/month will be given free? Whether it is true that TNB will bear the cost of subsidizing more than RM 1 million/month or more than RM 12 Million/year to the prople in Sarawak? What is the rational especially when Sabah being the poorest state and with the highest power disruptions in the country are not given such subsidy or same considerations? I hope TNB will perform the same social responsibility in Sabah.

SAPP Policies

SAPP's 17 point Manifesto - Sabah deserves better in terms of more equitable distribution of opportunities, in social, economic and infrastructural development and a better quality of life. [BM][Chinese]

SAPP's Economic Plan for Sabah - SAPP aims to achieve economic prosperity and financial self-reliance for Sabah. Version in [BM] [Chinese]

SAPP's Land Reform Policy - To promote and protect the rights and interests of local natives and other citizens in Sabah [BM][Chinese]

On Oil Royalty - SAPP is not giving up its struggle for more oil royalty payment for Sabah.

SAPP's Eight (8) Points Declaration - Whereas our mission is to establish a trustworthy govt and a progressive ...

SAPP's 14 point memo in 2006 - Time for Direct Preventive Actions

SAPP Constitution (booklet)

Our Sabah..

Books on ....
RCI Report on Immigrants in Sabah
The Birth of Malaysia
Malaysia Agreement Article 1-11
The Original Agreement of Malaysia
Heroes of Kinabalu 神山美烈誌
Schedule 9 of the Federal Constitution

more on ...
Twenty points safeguard
20 Perkara
Illegals & IC issues
Bernas Monopoly
No to coal-fired plant
Sabah Gas pipeline
3 million acres oil blocks ceded
The Formation of Msia & Devt in Sabah
Proclamation of Msia 1963...details
Restore Sabah's right to appoint JCs,
Ex-minister: Review 20-point
Supply Sarawak power to Sabah...
Sedition Act 1948
Continental Shelf Act 83 (1966)
Petroleum Development Act 144 (1974)
Petroleum Oil Agreement (1976)


SAPP bid to discuss Sabah claim rejected
Take action against anti-Malaysia elements
Call for Philippines Consulate in Sabah
Get the RM1 billion and solve the QEH debacle
SAPP's objection of coal-fired plants in Sabah
SAPP: Explain the RM 601 loan to KL company
The missing billion ringgit "special grant"
SAPP on SEDIA Bill 2009
SAPP supports the call for the abolishment of Cabotage Policy
Probe illegals having Mykad also
Political Autonomy for Sabah
Sabah Schools still awaiting share of RM30 million
Special fund: Eric wants ACA probe
Oil royalty: SAPP not giving up
Scrap Bernas monopoly on rice
More News in Search Archive.....

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