KUALA LUMPUR (Apr 2): The Association of Water and Energy Research Malaysia (AWER) said it rejects the explanation of Minister of Energy, Green Technology and Water Datuk Seri Maximus Ongkili on the potential issues that may delay the construction of the 2,000MW Jimah East coal power plant project.

Last week, Ongkili had cited challenges such as land ownership, reclamation and other issues that may cause a delay in the completion of the project.

“AWER rejects this explanation as it is not the duty of the government to ‘kowtow’ to lame excuses.

“Any project owner must ensure the project is completed within the stipulated time and if any delay occurs, they have to pump in resources in terms of financial, technology and human capitals to ensure the project is completed in time,” said Piarapakaran S, president of AWER in a statement today.

He further reiterated that any agreement signed should not be given extensions.

Piarapakaran added that AWER was standing firm on its previous suggestion to cancel the Jimah East award to 1MDB, and to allow for new competitive bidding for the combined cycle gas turbine (CCGT) power plant.

Moreover, Piarapakaran also suggested the cancellation of the 2,000MW Malacca CCGT, or Track 4B, that was awarded to 1MDB via direct negotiation in late 2014 due to “gross violation of Energy Commission Act and Electricity Supply Act.”

On the 1,000MW Tanjung Bin coal power plant project, AWER noted that Malakoff Corp Bhd had said reports about a possible delay in its construction is untrue, misleading and do not present the current situation.

However, based on documentations with the Energy Commission (EC), AWER pointed out that Malakoff has been seeking for an extension for the plant since the third quarter of 2014.

Meanwhile, the EC had sent a letter to Tenaga Nasional Bhd early-2015 seeking an extension for the completion date of the plant.

“If the construction problems can be solved within months, why was Malakoff continuously seeking for an extension until early this year?

“Did the EC fail to update itself on the latest development of the project and eventually wrote a letter to TNB to seek for extension?” asked Piarapakaran.

He further demanded that the EC investigate, certify and guarantee that the Tanjung Bin power plant has solved its construction issues, and no delay will arise.

With the assurance of no delay for the Tanjung Bin power plant, Piarapakaran added that there is no need to extend any retiring old gas power plants, as previously suggested by the EC.