THE awarding of a multi-million ringgit battery storage system contract to a peninsula-based firm by Sabah Electricity Sdn Bhd (SESB) underwent a stringent selection process, said SESB chairman Datuk Seri Wilfred Madius Tangau.
Tangau clarified that SESB's parent company, Tenaga Nasional Bhd (TNB), had the final say on the project.
"The final decision on projects over RM100 million is made by TNB, so it was out of SESB's hands," Tangau said at an SESB event in Kota Kinabalu today.
"TNB's board made the final decision, and it stands."
The battery energy storage system (BESS), to be developed in Lahad Datu, has come under scrutiny from state opposition party Warisan.
Warisan veep Datuk Junz Wong had questioned why the project was RM113 million rather than other bidders.
The project, valued at RM 645 million, was awarded through a bidding process involving six companies.
The process took eight months and concluded in November last year.
Junz had earlier called for transparency in the bidding process.
SESB CEO Mohd Yaakob Jaafar announced in September that the 100MW BESS project aims to improve the state’s reserve margin.
On Sept 13, MSR Green Energy, a company linked to Seal Incorporated Sdn Bhd, accepted the RM654 million contract from SESB for the construction of the BESS. — October 16, 2024
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