The Sabah Electricity Sdn Bhd (SESB) and Syarikat SESCO Berhad (SESCO), a subsidiary of Sarawak Energy today signed a Power Exchange Agreement and an Interconnection Agreement on 6th August 2021.
The event marks a historic milestone in materialising the Borneo Grid and the wider ASEAN Power Grid.
“The agreement commits both organisations to the realisation of the Sarawak-Sabah interconnection and moves us a step closer towards the greater Borneo Grid,” said Sarawak Chief Minister in his speech.
“This partnership between Sarawak and Sabah will encourage greater collaboration in the region and foster shared learning, driving us closer to a sustainable energy future for all,” he added.
Datuk Patinggi (Dr.) Abang Haji Abdul Rahman Zohari bin Tun Datuk Abang Haji Openg also added that this collaboration will encourage close cooperation in many other important areas as the development of an interconnection is a big, long-term investment for both parties.
In his congratulatory remarks during the event, Sabah’s Chief Minister said the state government welcomes the good initiative and collaboration which will support the development agenda under Sabah Maju Jaya (SMJ), and the growth of the industrial sector in Sabah as a whole.
“We do believe the collaboration will also assist in creating employment opportunities both in heavy and light industrial sectors in Sabah and boost the social-economy particularly in the rural areas,” he said before witnessing the signing ceremony from Pusat Pentadbiran Negeri Sabah in Kota Kinabalu.
He added that it is hoped that the inked agreement will establish good cooperation between the governments of Sabah and Sarawak in all future undertakings.
The agreements will pave the way for an initial export of 30MW for a term of 15 years via a 31km 275kV double circuit transmission line which will run from Lawas in Sarawak to Mengalong in Sabah.
The interconnection is expected to commence by end 2023, once the grid expansion under the Sarawak Energy’s Northern Agenda has connected Miri to the northern towns of Limbang and Lawas in Sarawak.
The Power Exchange Agreement and Interconnection Agreement were signed on behalf of SESB by its Chief Executive Officer Datuk Ir. Abdul Nasser Abdul Wahid while Datu Haji Sharbini Suhaili, Group Chief Executive Officer for Sarawak Energy signed on behalf of SESCO.
Witnessing the signing ceremony between both energy companies were Sabah Chief Minister Datuk Seri Panglima Haji Hajiji bin Haji Noor and Sarawak Chief Minister Datuk Patinggi (Dr.) Abang Haji Abdul Rahman Zohari bin Tun Datuk Abang Haji Openg.
Joining them were Sarawak State Secretary, Datuk Amar Jaul Samion; Sarawak Minister for Utilities, Dato Sri Dr. Stephen Rundi Utom; Sarawak Assistant Minister for Utilities (Rural Electricity), Datuk Liwan Lagang; and Sarawak Energy Chairman, Datuk Amar Abdul Hamed Sepawi.
The signings were also witnessed by Hjh. Zunaidah Osman, SESB Company Secretary and Lau Kim Swee, Chief Executive Officer for SESCO.
