The Sustainable Energy Development Authority (Seda) is looking into initiating legal action against DAP parliamentarian Tony Pua.

Seda chairperson Fong Chan Onn declined to respond to questions arising from Pua's claims that quotas for solar energy supply were tendered to unqualified companies.

mca disciplinary board 230210 fong chan onn 2 "The lawyers are looking into it. I mean if you have a company, you registered yesterday and apply today, I can't reject (your application) right?" posed Fong ( left ), when pressed.

He refused to provide details on the selection process for the companies and the qualifications required, repeating that the "lawyers are looking into it".

"I don't want to answer. He (Pua) is questioning the robustness of the system, not just me.

"And he is calling me a liar. The legal advisers will advise me accordingly. I'm directed to abide with the directive," said Fong.

Fong, who is also the Alor Gajah BN MP, during the press conference pointed out that “calling a person a liar is a serious offence”.

“Because the allegations are serious, my legal advisers will look into that and see if we can seek any legal recourse.”

On Tuesday, Pua claimed that the “lion’s share” of the allocation for solar energy via the Feed-In Tariff (FiT) mechanism went to companies “without a proven track record” in the energy field.

Pua claimed these companies were linked to former chief secretary to the government Mohd Sidek Hassan’s daughter Suzi Suliana, who through 12 companies controls 32.4 percent or 45.9MW out of the quota set for solar energy through FiT, far above the limit of 1MW-5MW to bidders.

Established power players such as Cypark Resources Bhd and Petronas Power Sdn Bhd control 9.2 percent and 7.1 percent respectively, together with other suppliers who hold a smaller percentage.

Moreover, Pua pointed out that the majority of the companies controlled by Suzi  and her business partners were set up weeks before the Dec 2, 2011 application deadline.

Fong, however, rebutted the claims, insisting that “the selection was above board as it was done through an online system” and that all companies selected had fulfilled the technical and financial requirements.

Fong responded today that there were no regulations to stop newly-set-up companies from bidding.

'Few experienced companies'

Seda’s chief operating officer (CEO) Ali Askar Sher Mohamah told Malaysiakini that as renewable energy (RE) is “fairly new” in Malaysia, there are few “experienced companies where photovoltaic is concerned”.

He explained that bidders who are awarded the quotas will still have to abide with the rules and regulations set by the Energy Commission to obtain the operating licence for their plants.

“The regulation didn’t state any pre-requirements that the companies must have experience. So anyone can register a company and there are no laws against today you register, tomorrow you can apply,” he reiterated.

“We don’t have a minimum requirement because after they get the FiT, they have to go to the Energy Commission and get the operating licence.

“The commission already has a rule that to get the operating licence they must pay RM200,000 as paid up capital or 2 percent of the project cost. So that is already taken care of,” said Ali.

He added that companies which were not able to meet the “milestones” set by Seda have been omitted and the solar energy quotas will be re-tendered at the end of the year.

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