KOTA KINABALU: The Sabah government is taking action to address the lack of basic needs for the people for many years, said state Chief Minister Datuk Seri Hajiji Noor.
"We launched the Sabah Energy Roadmap & Master Plan 2040 last September in efforts to transition from non-renewable energy sources such as natural gas and reliance on Sabah's river networks.
"The increasing demand for electricity supply at present can be addressed by expediting hydroelectric production to meet the rapidly growing industrial needs in the state.
"Renewable energies such as solar, biomass, and biogas will further enhance the electricity generation capacity in Sabah," he said.
Hajiji was speaking during the assembly of state and federal civil servants for 2024 at the Sabah International Convention Centre (SICC) here.
He added that with the completion of the Ulu Padas Hydroelectric Project in Tenom, expected by 2029, the electricity supply would be expanded by connecting the southern and southeastern regions of Sabah, thereby creating a more stable power network.
Sungai Ulu Padas would also help alleviate water supply shortages in the long run by producing 6,000 million litres of water per day.
To ensure a more stable water supply, the government has also increased the water supply capacity at the Telibong 1 and 2 Water Treatment Plants from 130 million litres per day to 160 million litres per day, capable of supplying water to the northern Kota Kinabalu area, including Tuaran, Kota Kinabalu Industrial Park (KKIP), and Universiti Malaysia Sabah (UMS).
Hajiji said the government had also increased the water supply capacity at the Kogopon Water Treatment Plant in Papar to 80 million litres per day, covering the Papar and Kimanis areas to the south of Kota Kinabalu.
The project, which commenced five months ago with a cost of RM385 million, is expected to be completed by 2026.
Hajiji also said that the state government had also established its own oil and gas company on Dec 7, 2021, namely SMJ Petroleum Sdn Bhd (now known as SMJ Energy Sdn Bhd), and as of December 2023, SMJ Energy has assets totalling more than RM5 billion.
He said SMJ Energy has beneficial asset acquisitions with strong cash flows through a 50 per cent stake in the Samarang Production Sharing Contract (PSC), 25 per cent in the Sabah Ammonia and Urea Plant (SAMUR) in Sipitang, and a 10 per cent ownership stake in LNG9, which is controlled in the Bintulu LNG Complex after the acquisition of Sabah International Petroleum Sdn Bhd (SIP) in November 2023.
"Additionally, we have obtained a 25 per cent stake in the construction of the ZLNG floating liquefied natural gas facility in SOGIP, Sipitang.
"SMJ Energy has also successfully sold crude oil three times in August 2023, October 2023, and January 2024 through its 50 per cent interest in the Samarang PSC to international oil companies, with a combined gross revenue of RM371 million.
"We will continue efforts to secure more participation interests with Petronas."