TENOM: The government has begun planning for a unique hydroelectric project with high potential to generate reliable and affordable electricity for the long term in Sabah.
Energy, Green Technology and Water Minister Datuk Seri Panglima Dr Maximus Ongkili said the construction of the Upper Padas Hydroelectric Project (UPHEP) with a capacity of 180MW at the Padas basin, upstream of Kuala Tomani in Tenom, would proceed next year and is targeted for completion in 2019.
Ongkili, who is also PBS deputy president, said the project had been approved with a government soft loan of RM569 million for SESB’s equity injection into a special purpose company to be set up to undertake the project.
The total project cost was estimated at RM2.3 billion, he said when opening the PBS Kemabong division AGM yesterday to inform division members on government measures to improve electricity supply in Sabah.
Earlier, Ongkili made an aerial inspection of the project site as well as the existing Tenom Pangi hydro power station.
He said the UPHEP required a water catchment area of only 590 hectares, involving 2.3 hectares per megawatt, unlike the Bakun hydroelectric project which requires up to 29 hectares of land per megawatt of power generated and the Murum hydro’s 26 hectares per megawatt.
“Hence, this project can qualify for the Clean Development Mechanism status under the United Nations Framework Convention on Climate Change,” Ongkili said.
Furthermore, he said the construction of the UPHEP would not only increase SESB’s capability to generate power but also provide a flood mitigation measure, especially for Beaufort and Tenom.
Ongkili also stressed that the project would create employment for 1,000 people during the construction as well as resuscitate the economy in Tenom.
“This infrastructure is expected to save the government about RM4 billion in 40 years of the project operation as it would be undertaken by the SESB and a consortium to be set up by the federal government.
“This can also subsequently reduce SESB’s dependency on government subsidy, aside from costs and losses saved from possible flooding,” he said.
Ongkili added that the state government will ensure the preservation of the ecosystem at the project site while the SESB is currently conducting a detailed engineering study and relevant activities associated with the special Environment Impact Assessment study.