SEB to invest RM10bil to build two more hydroelectric dams

Chief executive officer (CEO) Datuk Torstein Dale Sjotveit (file pic) told Sarawak Business Summit 2014 here yesterday that SEB was in the process of tendering out the Baleh and Baram dam projects

KUCHING: Sarawak Energy Bhd (SEB) will invest an additional RM10bil to RM15bil in new energy generation projects in the next five years.

It is proceeding to build another two major hydroelectric dams to boost power generation capacity.

Chief executive officer (CEO) Datuk Torstein Dale Sjotveit (pic)told Sarawak Business Summit 2014 here yesterday that SEB was in the process of tendering out the Baleh and Baram dam projects

He said SEB’s new policy required the engineering, procurement and construction (EPC) contractors of these mega projects to have at least 40% local contents.

Sjotveit was chairing a session on Sarawak Corridor of Renewable Energy (SCORE): Power new opportunities for investors.

The session’s panellists were Regional Corridor Development Authority (Recoda) CEO Tan Sri Wilson Baya Dandot, Malaysian Investmernt Development Authority deputy CEO (II) Datuk N. Rajendran and Press Metal Bhd CEO Datuk Paul Koon.

The controversial Baram dam project in northern Sarawak will have an installed power capacity of 1,200MW while the Baleh dam project in the upper Rejang Basin in central Sarawak will have an installed capacity of 1,295MW.

Based on SEB’s concept phase design, the project would be a roller compacted concrete type of dam with its crest elevation of 185m while the proposed Baleh dam would be a 204m high concrete faced rock-filled dam with five generation units.

Despite strong protests and blockades mounted by the local villagers to stop the Baram dam project, the state government recently decided to continue with the resettlement project action plan.

The project, according to media reports, is expected to displace up to 20,000 villagers who have to be relocated from the dam site.

No human resettlement is required for the Baleh dam project in Kapit Division where the 2,400MW Bakun dam built by Federal Government-owned Sarawak Hidro Sdn Bhd and the 944MW Murum dam project developed by SEB are also located.

SEB is purchasing the entire power output from Bakun dam for energy-intensive industries in Samalaju Industrial Park, Bintulu.

Murum dam is expected to generated first power soon and a major part of its output has been pre-sold to industries to be set up in Samalaju.

To a question from a participant at the summit as to how the rights of the natives who would be affected by the dam construction would be protected, Sjotveit said SEB and the state government would listen and have more dialogue sessions with those who were against the project.

He said SEB and the state authorities had learnt from the resettlement exercises of the Bakun dam and Batang Ai dam (constructed in the 1980’s) projects when carrying out resettlement of villagers affected by the Murum dam project.

“If you see how the Murum villagers are treated, you will be proud of your government,” he added. Some 1,400 natives, including Penans, who were displaced by the dam project, were relocated to two resettlement sites .