Tiered electricity tariffs mulled for Sabah


KOTA KINABALU: A tiered electricity tariff system may be in the pipeline for Sabah, aimed at improving and sustaining the power supply.

The Energy Commission of Sabah (ECoS) said it would work closely with the relevant authorities to ensure sustainable electricity supply throughout the state.

Its chief executive officer Datuk Abdul Nasser Abdul Wahid (pic) said on Tuesday (Oct 29) that under this system, electricity rates would vary by supply, area and economic status of the communities in each location.

His remarks came after Sabah Electricity Sdn Bhd (SESB) chairman Datuk Seri Madius Tangau said the utility company was studying a different tariff system.

Nasser said the proposed new tariff system's design would be based on and aligned with the cost of service, without any hidden charges.

He said supplying electricity to certain parts of the state incurred higher operating and supply costs as the locations were far away from power plants.

On subsidies to targeted groups, he said those who are eligible are guaranteed to receive the benefits.

Nasser said ECoS would ensure that target groups continue to receive such assistance.

He also said Sabah was on track to achieve its goal of generating 40% renewable energy by 2030.

The figure is currently between 11% and 12%, projected to increase to 16% by the end of next year and continue rising given ongoing hydro and solar power projects being implemented, he added.

Among these is the Ulu Padas Hydroelectric Project in Tenom and Sipitang.

Areas in Kinabatangan and Mamut have also been identified as suitable hydropower sites.

For solar power, a theoretical capacity of 100,000MW is expected once fully operational, provided issues of unstable reliable power supply can be reduced and addressed.

The latest renewable energy source being tapped is ocean thermal energy conversion (OTEC) because Sabah waters are suitably deep for the process, Nasser added.

He was speaking at a media engagement session to explain ECoS's role and responsibilities as a regulatory body.

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