YTL Power's combined cycle power plant in Paka, Terengganu.
PETALING JAYA: Tenaga Nasional Bhd
(TNB) has withdrawn its judicial review proceedings against the Energy Commission (EC) and the Energy, Green Technology and Water Minister with regard to a condition precedent in the proposed new power purchase agreement (PPA) between the utility giant and YTL Power International Bhd.
“The application (to withdraw) was made following the settlement of the dispute between the parties and the agreement by YTL to incorporate the condition precedent as required by TNB in the new PPA,” said TNB in a filing with the stock exchange.
The national utility company recently signed a new PPA and a new land lease agreement with YTL Power for the independent power producer to continue operations of its Paka power plant for a further period of three years and 10 months.
TNB said aside from the legal and management costs, the withdrawal of the judicial review proceedings would not have any material financial and operational impact on it.
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