SHAH ALAM: Kumpulan Darul Ehsan Bhd (KDEB) has entered into an agreement with PT PLN (Persero), a utility company in Indonesia, to build a RM50mil mini hydro-electric plant in Kabupaten Solok, West Sumatra.
The 10-megawatt plant marked the company's maiden foray overseas and president Datuk Abdul Karim Munisar said KDEB would actively look for opportunities in China and South-East Asia.
“Although this is a relatively small project, it is significant because we plan to be a global player. It is imperative for us to not only complete this project as soon as possible but to ensure it is successful,” he said after signing the agreement here yesterday.
Abdul Karim said construction would start in three months and take about a year to complete.
He said KDEB and its Indonesian partner, PT Limaco Energi, would build, operate and manage the plant upon completion. They would set up a company for this purpose, with KDEB holding 60% equity, he said.
Persero general manager Sudirman said demand for electricity outstripped supply by about 20MW and 30MW daily in West Sumatra. “We have 770,000 customers in the region and the figure grows by about 10% yearly,” he said.
He said there were three power plants supplying 253MW of electricity to West Sumatra at the moment.
“We hope this new plant in Kabupaten Solok, along Sungai Gumanti, will help alleviate the shortage during the drought season when there is not enough water to power the turbines in the other three plants,” he said.