MAKING A POINT By Jagdev Singh Sidhu
IT would appear that green is in judging by the number of announcements companies have recently made with regards to generating power from renewable sources.
On Tuesday, two companies inked renewable power purchase agreements.
Cepatwawasan Group Bhd’s subsidiary, Cash Horse (M) Sdn Bhd, signed a 12MW, 21-year renewable energy power purchase agreement (PPA) with Sabah Electricity Sdn Bhd (SESB) at 21 sen per kwh while Tenaga Nasional Bhd (TNB) agreed to buy electricity from KUB-Berjaya Energy Sdn Bhd for a period of 21 years at an estimated cost of RM1.84mil annually.
Those announcements come after Premium Renewable Energy announced some weeks back that it would set up a RM124mil bio-oil plant in Lahad Datu, Sabah.
Premium Renewable is also investing in 29 bio-oil plants by 2020 as part of the Economic Transformation Programme to commercialise second-generation biofuel using oil palm biomass.
The move towards green energy is expected to be formalised once the feed-in-tariff mechanism under the Renewable Energy Act is implemented.
The feed-in-tariff is needed to boost the costlier renewable energy contribution to the country’s electricity generation mix from less than 1% in 2009 to around 5.5% by 2015 and to 11% of all electricity generated nationwide in 2020.
Consumers have to be prepared to pay a little bit more for their monthly electricity bills to support the higher charges being levied on renewable energy.
Proper education and awareness campaigns need to be created if consumers are to understand why they will be asked to pay more for their monthly electricity bills as the last thing anyone wants is a public hue and cry when those charges are implemented in the future.
Judging from the anecdotal evidence so far, I would suspect people would be more than willing to do their part.
Consumers in Selangor have got used to not getting free plastic shopping bags from hypermarkets on weekends and in Penang starting next year, consumers will not be given free plastic bags at all hypermarkets when they do their grocery shopping.
Those are small steps in the large scheme of things as there is already a commitment by the Government to drastically reduce carbon emission intensity per gross domestic product by 40% by 2020.
The drop in taxes and excise duties for hybrid and electric cars is a step towards that as apart from reducing carbon emissions, those cars would also cut down on petrol usage.
The next thing the Government must do properly where it has failed in the past is to get Malaysians to start separating rubbish to help in the recycling process.
Again, proper education is needed to get people to understand the importance of recycling and proper bins and a clockwork schedule would be needed as waste tends to bio-degrade faster in Malaysia.
Incinerators would have to be built as landfills are not the long-term solution. All of these add to the overall cost taxpayers would have to bear to do their part for the environment.
- Deputy news editor Jagdev Singh Sidhu wonders why today’s music is not as nice as in the 1980s and the early 1990s.
By Sira Habibu and Joshua Foong
KUALA LUMPUR: Nine agreements worth at least RM30bil have been inked between the Government and the private sector, boosting the RM1.3tril Economic Transformation Programme (ETP).
“This will convince those who have doubted the ETP,” Prime Minister Datuk Seri Najib Tun Razak said yesterday at the launch of the goal-oriented programme, which is seeking to transform Malaysia into a high-income nation by 2020.
He said the agreements to kick-start nine Entry Point Projects (EPPs) would put the nation on the right course on the ETP roadmap.
The companies are German-based LFoundry, St Regis, Mydin Group, Abu Dhabi-based Muba dala, WCT Bhd, renowned oilfield services player Schlumberger, Asia e-university, Premium Renewable Energy Sdn Bhd and Genting Bhd.
The projects are:
* Germany’s LFoundry will invest a total of RM1.9bil to set up five wafer fabrication plants in Kulim Hi-Tech, Kedah. The initial investment is RM214mil.
* St Regis will build a six-star hotel and residence worth RM1.2bil in KL Sentral. The 208-room hotel and 160-unit residence will be built on a 0.88ha plot.
* Mydin is investing RM1bil to open 14 new branches and assisting the Government in its sundry shop transformation programme.
* Schlumberger has invested RM300mil to establish a new Global Financial Hub and shared services in Bandar Utama, Selangor. This is part of the Greater KL New Key Economic Area to attract 100 multinational corporations to relocate to Kuala Lumpur by 2020.
* Premium Renewable Energy will set up a RM124mil bio-oil plant in Lahad Datu, Sabah. It is also investing in 29 bio-oil plants by 2020 as part of the Palm Oil NKEA to commercialise second-generation biofuel using oil palm biomass.
* Mubadala of Abu Dhabi is investing in the RM26bil KL International Financial District on a 34-ha plot near Jalan Tun Razak, Kuala Lumpur.
* Malaysia Airports Holdings Bhd had awarded a 25-year concession to WCT Bhd to build a RM486mil integrated complex at KLIA 2, the upcoming low-cost carrier terminal in Sepang.
* Asia e-University has been picked as the gateway university for international education in distance and on-line learning. It is expected to generate gross national income of RM100mil.
* Genting is investing RM150mil to build Johor Premium Outlets in Genting Indahpura.
Najib said the projects were part of the 131 EPPs that would be implemented to create 3.3 million new jobs.
KUALA LUMPUR: The nine parties that sealed their commitment to Malaysia’s Economic Transformation Programme (ETP) have described it as a golden opportunity which provides a win-win situation for both sides.
Managing director Datuk Ameer Ali Mydin, whose Mydin Mohamed Holdings Bhd will see another 14 branches set up over the next three years from its current 57 with investments worth RM1bil, said: “The healthier the nation, the better our economy will perform and, as a result, there will be better sales.”
“In business, it is not about winning or losing but the perseverance of our Malaysian retail entity.”
He was speaking at a joint press conference with the other eight companies that have pledged investments totalling RM30bil in agreements signed yesterday following the launch of the ETP.
Genting Simon Sdn Bhd director Datuk Justin Leong said the ETP had set an attractive climate for investors to develop a keen interest in the country.
His firm, which will develop the RM150mil Johor Premium Outlets, is expected to “put Malaysia on the world’s retail tourism map.”
The project is expected to attract four million visitors yearly. It is a joint venture between Genting Simon and Chelsea Premium Outlets as part of the Iskandar Malaysia project.
One IFC Sdn Bhd chairman Tan Sri Chua Ma Yu said the six-star St Regis Hotel, when completed in 2014, would be a testament of the ETP as it would establish a new benchmark in the Malaysian hospitality industry and service sector.
The RM1.2bil project will see a 208-room hotel and a 160-unit residential complex in Kuala Lumpur.
Premium Renewable Energy Sdn Bhd managing director Anand Selvaratnam, whose firm, will be building a RM124mil bio-oil plant in Sabah, said the ETP was a holistic programme.
by Rupinder Singh
PREMIUM Renewable Energy (Malaysia) Sdn Bhd, which is building the first bio-oil plant in Sabah, is planning to invest an initial RM1 billion to set up such power plants in the state, its top executive said.
"We are talking to a very large independent power producer (IPP) to go into power generation in Sabah," Premium Renewable managing director Anand Selvaratnam said.
He said the biodiesel power plants would likely be located in the east coast of Sabah.
"There isn't an east coast solution (for power supply). That's where the power shortage really is," Anand said at the launch of the Economic Transformation Programme (ETP) Roadmap in Kuala Lumpur yesterday.
The west coast of Sabah, he said, would be served by a new 300 megawatts (MW) gas-fired power plant under construction by Petronas.
"We would be hoping to roll out a pretty sizeable power plant, and if that works, we can roll out two or three other sites," he said.
Asked when the first power plant would be up, he said: "We are in negotiation right now. So it might happen very fast."
Anand said Premium Renewable would raise funds locally to set up the power plant on a joint-venture basis.
"In terms of technology, we are hoping to get Caterpillar Inc as one of the partners there for the power plant. They are the first diesel engine manufacturer able to burn bio-oil in their diesel engine stations."
He said Caterpillar's solution is 2.5 times more efficient than direct combustion engines and has a conversion rate of 45 per cent instead of 20 per cent.
"It really does make the utilisation of our resource that much more efficient," he said.
Premium Renewable's rapid thermal process (RTP) bio-oil plant will be built near Lahad Datu, Sabah, in 2011.
Dubbed as the first of its kind in Malaysia, the plant will use oil palm biomass as feedstock in partnership with one of the country's largest plantation companies.
"Our target is to generate RM3.3 billion Ebitda (earnings before interest, taxes, depreciation and amortisation) by 2002," Anand said.
The company's long-term plans were to build 38 plants producing RM5 billion to RM6 billion worth of biofuel, he added.
The following are some of the early wins from projects identified under the Economic Transformation Plan (ETP) launched by Prime Minister Datuk Seri Najib Razak in Kuala Lumpur today.
1. LFoundry of Germany to relocate and invest in five Wafer Fabrication Plant in Kedah over 5 yrs. RM1.9bil estimated investment.
2. MYDIN to invest in 14 new branches over 3 yrs, valued at RM1 bil. Also assist small sundry shops via Project TUKAR
3. St.Regis to manage 208-room hotel, 160-unit residence on 2.2-acre site at KL Sentral. RM1.2bil investment over 1.4 mil sqr ft
4. Schlumberger opened Eastern Hemisphere Global Financial Servcs Hub in BU. Initiative to attract 100 new MNCs to KL
5. MAH awarded 25-yr concession to WCT, build and operate integrated complex at KLIA2. RM486 mil transport hub,mall,carpark.
6. Mubadala to collaborate with 1MDB, develop KL Int'l Financial District (KLIFD). RM26bil on 34-hectre near Jln Tun Razak
7. Premium Renewable Energy to build 5 bio-oil plants over 5 yrs. First will be at Lahad Datu, Sabah costing RM124mil.
8. Asia e-University appointed by MoHE as gateway for development of online & distance learning. GNI USD110mil expected.
9. Johor Premium Outlet at Genting Indahpura offers designer labels at less than retail price, 1st in SEA. Investment: RM150mil.
Source: etp_roadmap Twitter feeds
KUALA LUMPUR: Premium Renewable Energy (Malaysia) Sdn Bhd plans to set up a bio-oil plant costing US$40mil (RM124mil) near Lahad Datu, Sabah, and will consider building another 14 plants by 2015.
Premium Malaysia expects to start building the initial plant in the second quarter of 2011, with plan for full operation in the second quarter of 2012.
“We expect to have revenue of US$200mil from the operation of 15 plants by 2015,” said managing director Viswananthan Selvaratnam.
The plant, to be built on an 3.2ha site, will be financed by equity and debt with Premium Malaysia having a significant majority share in the project.
By AZLAN ABU BAKAR
PREMIUM Renewable Energy (Malaysia) Sdn Bhd will spend US$40 million (RM124 million) to build a rapid thermal process (RTP) bio-oil plant near Lahad Datu, Sabah in 2011.
Dubbed as first of its kind in Malaysia, the plant will use oil palm biomass as feedstock in partnership with one of the country's largest plantation companies.
"Construction of the RTP bio-oil plant is scheduled to start within the second quarter of next year and be completed by 2012," Premium Renewable managing director Anand Selvaratnam said.
KUALA LUMPUR, 21 Sept (Bernama)-- Premium Renewable Energy (Malaysia) Sdn Bhd bercadang membina sebuah kilang bio-minyak yang menelan kos US$40 juta berdekatan Lahad Datu, Sabah, dan akan mempertimbang membina 14 lagi kilang menjelang 2015.
Premium Malaysia menjangka memulakan pembinaan kilang permulaannya itu dalam suku kedua 2011, dengan operasi sepenuhnya dirancang pada suku kedua 2012.
"Kami mensasarkan pendapatan US$200 juta daripada operasi 15 kilang menjelang 2015," kata pengarah urusan Viswananthan Selvaratnam.
by FINTAN NG
PETALING JAYA: Premium Renewable Energy Sdn Bhd, in partnership with Ottawa-based Ensyn Corp, plans to build at least 15 bio-oil plants for both power and transport fuels by 2015.
Premium Renewable managing director Anand Selvaratnam said the plants would be funded with a mix of equity and debt but would not reveal the total cost of the plants.
“We’ve been in talks with a couple of major international financial institutions on the debt part and they have indicated that financing will not be an issue,” he told StarBiz.