KOTA KINABALU – State utility company Sabah Electricity Sdn Bhd (SESB) has decided to source power from Sarawak with an initial import of 30MW to 50MW for 15 years.
The supply will be made via a 274kV double-circuit transmission line spanning 31km, running from Lawas in Sarawak to Mengalong, Sipitang, in Sabah.
SESB today inked an agreement towards this end with Syarikat Sesco Bhd, a subsidiary of Sarawak Energy Bhd (SEB).
The connection for this between the states is expected to commence operations by end-2023.
The link is part of the Sabah Grid expansion initiative under SESB’s Cross-Border Transmission Project Plan, as well as SEB’s Northern Agenda, which connects Miri to the northern towns of Limbang and Lawas.
Witnessing the signing of the power exchange and interconnection agreement held virtually today, Sabah Chief Minister Datuk Seri Hajiji Mohd Noor said the state welcomes the initiative as it will boost its electricity system.
The deal was inked by SESB chief executive Datuk Abdul Nasser Abdul Wahid and SEB group CEO Datuk Sharbini Suhaili, representing Syarikat Sesco.
The ceremony was also witnessed online by Sarawak Chief Minister Datuk Abang Johari Openg from Wisma Bapa Malaysia Petra Jaya in the state capital.
“It is an effort that will help spur Sabah’s development as underlined in the five-year development plan, Hala Tuju Sabah Maju Jaya (SMJ), launched earlier this year,” said Hajiji in his opening speech.
“A stable electrical supply is very important to ensure the success of the SMJ agenda that is centred on three main thrusts, namely agriculture, industrial and tourism.”
He said the deal marks an important first step towards realising the vision of a common goal for the Brunei-Indonesia-Malaysia-Philippines-East Asean Growth Area to link infrastructure among Southeast Asian countries through the Asean Power Grid.
A more stable power supply will directly increase domestic and foreign investments, apart from supporting the growth of the manufacturing and upstream sectors, as well as creating employment opportunities in the heavy and light industrial sectors, he said.
“This will improve the economic level of all the countries involved. More importantly, it will uplift socio-economic levels, especially in rural areas (in Sabah).”
Hajiji noted that the agreement augurs well for SESB’s vision to become a utility firm that is effective, credible, and a catalyst for Sabah’s development.
“In an increasingly challenging energy industry environment, and with rising consumer expectations for reliable services, such an initiative is imperative for SESB.”
He expressed hope that the deal will foster closer relations and promote greater cooperation between Sabah and Sarawak.
Earlier today, Abang Johari in a statement said the agreement commits both organisations to the realisation of Sarawak-Sabah interconnection, and brings the states a step closer towards realising the Greater Borneo Grid.
“Through this unified approach, we will be able to foster greater understanding and benefit-sharing between Sarawak and Sabah.”
Also in attendance via videoconference were Datuk Seri Mahdzir Khalid, who is chairman of both Tenaga Nasional Bhd (TNB) and SESB; TNB chief executive Datuk Baharin Din; and, SEB chairman Datuk Amar Abdul Hamed Sepawi. – The Vibes, August 6, 2021