To our valued customers and websites visitors,
First of all, on behalf of SESB’s management team and workforce, I extend our gratitude for your continuous support and understanding.
- CAPACITY BUILDING FOR SABAH ELECTRCITY INFRASTRUCTURE: ASPIRATION & CHALLENGES
The impetus of development in the State of Sabah, in the past years has posed a great challenge to our organization to keep up with the demands for an adequate and reliable electricity supply and service delivery.
Granted, the vision towards economics and social progress, necessitate, the establishment of developmental framework, including electricity infrastructure. SESB fully acknowledge the role it has to play to make this happen. However, despite the financial assistance received from the Government and TNB, in the form of subsidies, grants and secured loans, our desire to move fast forward has often been hindered by our limited income structure, which are directly impacted by the evolving global economic scenarios and fluctuation of commodity prices.
To move in tandem with developmental imperatives, is a challenge, because, planting up of new generation power plant and transmission lines requires huge capital investment. The overall capital expenditure could easily falls within the hundred of million and/or billion RM. Construction of such infrastructure facilities also requires long lead time as it involves management of multiple legislative and administrative procedures, including lengthy processes involving public reaction on way leaveissues and settlement of compensation claims.
Currently, depleting resources and geopolitical instability are directly escalating prices for energy resources, fuel, coal and gas in particular. More than ever before, the cost of fuel, gas, materials, equipment, manpower, and technologies has gone up by leaps and bounds. Transportation, manufacturing, heavy industry sectors are impacted and in turn affect the cost of running SESB business operation. The impact of the global economics challenges to the local infrastructural development is even more enormous than ever before .
It has long been the determination of SESB to become an energy company, operating on sound business principles and financial model. This approach is driven by the realization that business success rests to a great extent on its ability to progressively achieve financial sustainability. An untenable income structure will not contribute to sustained reliability and quality, in fact it will continue to jeopardize long term performance. Unsustainable financial structure will contribute to unsustainable power reliability, low service delivery quality, dampen Sabah business & economics climate, de-motivate venture capitalist to invest in Sabah’s growth potential, hinder social progress and community well-being.
- MANAGING DEMAND THROUGH ADVOCACY ON ENERGY EFFICIENCY
As population continue to increase, and eco-social development programs continue to progress with faster upbeat phases, at the same time energy resources, materials for infrastructure development and maintenance are becoming more expensive, and potentials of renewable energy are still at the embryonic stage worldwide, a new solution requiring new paradigm shifts must be adopted.
Electricity supply and consumption must be viewed with a new mindset, new perception. It is powered by resources that are fast becoming less and less available and more and more costly.
Despite past and present heavy investments, and escalating operational costs, Sabah, for the past 25 years has been enjoying one of the cheapest tariff structure in the region. Many have suggested that the low electricity cost has lead to low appreciation to the real value of energy. To a large extent, energy wastage in our homes and, or offices, business premises has become a way of life.
In the past year, it has also been highlighted in a well articulated argument, that sustainable development of our country should not only consider the people’s needs for modernize livelihood and rapid economic development but as well as the responsibilities towards environmental protection.
We fully subscribe to this proposition. Furthermore, we strongly believe sustainable development, is a shared goal and responsibility between the Government, the product & service providers and consumers. In the context of the energy sector, to achieve this goal, we need to identify strategies that can create the image and reputation of Sabah as a State with a very high utility standards, prudent resource utilization and environmental stewardship.
This aspiration call for value-re-orientation and a drastic change in consumer mindset and behavior.
Dear Customers, cognizance of the prevailing concerns and aspiration, our Collective Future Investment demanded us to :
- Be more efficient in our energy usage,
- procure energy efficient equipment and appliances,
- reduce or avoid energy wastage, manage energy wisely,
- reduce our consumption costs and;
- be more committed in promoting energy conservation.
All of these actions will not only reflect responsible living but to ensure that the future generation will inherit the necessity, comforts and convenience of living we are enjoying now.
I sincerely seek advocacy from all of you, to assume the stand of a responsible consumer.
You Have The Pow er to influence how much more or how much less, SESB need to spend to strengthen the electricity infrastructure;
You Have The Power to influence reduction of energy burden on the environment;
You Have The Pow er to reduce carbon emissions and climate change.
Decide wisely.
If not us, who? If not now, when?
Thank You
“Light The Way Towards A Brighter Future”
Sincerely,
Ir. Hj. Abd Razak Sallim
December 2011
