Public views sought over Lahad Datu coal-fired plant

The government takes into account, views and concerns of the people, including non-governmental organisations (NGOs), with regard to the proposed coal-fired plant in Lahad Datu.

The plant is primarily aimed at boosting electricity supply in Sabah.

"We will take into account their views but whatever we do, it will be based on the environmental impact assessment (EIA) report, and we will make sure we conform to the EIA report," Prime Minister Najib Abdul Razak told reporters after attending a luncheon with Sabah Chinese community leaders in Kota Kinabalu today.

He said that currently, the government's priority was to provide power for the state because incidences of power interruption was still too high.

"For Sabah to be developed, Sabah needs continuous and uninterrupted supply at a reasonable cost. Of course, there are other alternatives but the cost of the alternatives is still higher than through the conventional system.

"People in Sabah are not prepared to pay higher rate...how do we develop alternative energy? And, in the short term, there is not much alternative," he said.

Najib said this when asked about the development of green energy in the country, including a proposal to build a coal-based power plant in Lahad Datu on the eastern coast of Sabah.

Sabah Chief Minister Musa Aman had recently said that the EIA report on the controversial proposed coal-fired plant was expected to be out soon.

In September last year, Najib disclosed Felda Sahabat in Lahad Datu as the proposed site for the construction of the 300-megawatt coal-based power plant.

Currently, the electricity supply capacity in the eastern coast of Sabah is 200 megawatts from a diesel-based power plant.

Environmental groups such as Green Surf have protested against the construction of the coal-based power plant, which they consider as "dirty" energy, and called on the government to scrap the plan.

On a different note, Najib said the government was in the process of studying the possibility of giving incentives to the private sector, with a view to increasing investments, as well as develop further private partnership.

"All proposals and suggestions with regard to giving incentives to the private sector will be taken into consideration and where appropriate, the government might include them in the 2011 budget," he said.

On the questionable awarding of government contracts in Unversiti Malaysia Sabah, which resulted in several local contractors lodging police reports recently, Najib called on the Malaysian Anti-Corruption Commission to investigate the matter.

- Bernama