KUCHING: A proposal by Sarawak Energy Berhad (SEB) and its partner in Indonesia to build a hydroelectric plant in North Kalimantan is still being studied, said Minister of Utility and Telecommunication Datuk Julaihi Narawi.
He said SEB would need to conduct an in-depth study on the proposal.
“It is also important to ensure that there is a sufficient number of customers/consumers before the investments are made.
“Next, we must ensure that the partner has a developed status to enable the project to continue to run smoothly,” he said.
He said this to reporters after attending SEB Centenary Celebration at Borneo Kuching Convention Centre (BCCK) on Monday (Feb 21).
Sarawak Energy Group chief executive officer (CEO) Datuk Sharbini Suhaili also said that the proposed hydro-power project was still under a feasibility study.
Thus far, he said, the proposal has not come to the stage where a decision on investment is made.
“Sarawak Energy needs to identify customers in the industrial park (in North Kalimantan) and a final decision will be made after that,” he said.
Asked whether the proposal would be implemented soon, he said it was likely that it would start being implemented in 2030.
Earlier in his speech, Sharbini said that SEB was working with its partners in Indonesia through joint venture companies to materialise the proposed project.
He said that if the project could materialise, it would be SEB’s first international project.
“It will also be a significant milestone for us to become a regional powerhouse in Southeast Asia.
“Our experience and expertise in renewable hydropower development were keys to the success of our first international venture.
“With the strong support of the government of Sarawak, we believe we can ensure that Sarawak becomes the ‘battery of ASEAN’ with interconnections from Borneo to elsewhere in the region,” he said.
Apart from that, he said, Sarawak Energy is also talking with Brunei and Singapore
He said Sarawak Energy also signed the Power Exchange and Interconnection Agreements with Sabah Electricity Sdn Bhd and it will export 30 to 50MW to Sabah after the completion of transmission infrastructure in the next few years.
“All these started when we took the first step in driving a transboundary Borneo Grid with the commissioning of Sarawak’s first interconnection to West Kalimantan in 2016.
“This successful implementation led to the identification and possible implementation of other, similar bilateral interconnection projects, laying the foundation for an interconnected Borneo and eventually ASEAN,” he said.
