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January-February . 2024 | @ green
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Diesel fuel for power generation in Sabah has been heavily subsidised for decades . The diesel fuel and other subsidies have been inordinately high and growing over the years , as shown in the chart below .
Hence , it makes sense to " divert some of the fuel subsidies " to support PV farms and biomass / biogas RE power plant development for the overall benefit of the Sabah power supply system . Even with a more attractive RE tariff , Sabah should benefit from a more reliable supply at an even lower overall generation cost than the current heavily subsidised tariff , as shown in the extract attached .
The promotion of biomass / biogas RE power plant development may need possible support for the development of the local MV ( medium voltage , i . e . 1l kV and 33 kV ) distribution lines to " harvest " the biomass / biogas RE generated energy by reducing the interconnection cost for the RE project developers .
The possible development of such REgenerating plants could be much faster than the development of alternative fossil fuel or hydroelectric power plants in the State ' s Power Development Plan ( PDP ).
GEOTHERMAL POWER- GENERATING CAPACITY
It is somewhat perplexing to note that the SE-RAMP has included the potential of a geothermal power generating capacity of 0.1 GW , presumably the previously proposed Tawau Green Energy plant , as included under MYRER ( Malaysia Renewable Energy Roadmap ).
The Tawau Green Energy plant was granted FiT ( Feed in Tariff ) approval by SEDA ( Sustainable Energy Development Authority ) to develop a 30 MW capacity plant . Unfortunately , the proposed project was abandoned even before the MYRER was finalised .
It is also commendable that the SE-RAMP has planned to achieve 100 per cent rural electrification by 2030 . But why should the target achievement date be more than seven years away when 98.3 per cent electrification was completed by 2021 ?
Indeed , this initiative could be fast-
is the unattractive tariff resulting from the e-bidding mechanism . Why can ' t the tariff be enhanced to attract ( or even compel ?) prospective developers ( primarily the " government-owned entities ") to develop these projects on a fast-track basis to overcome the generation capacity shortfall ?
Similarly , solar PV farms can supplement the generation capacity to meet the day peak demand if reasonably attractive RE tariffs are offered . PV farms can be developed relatively quickly if the regulatory needs can be accelerated for the community needs . These RE generation projects would displace the high-cost diesel power generation and save hundreds of millions of ringgit over the coming years .
tracked to an earlier target date , say by the end of 2027 , giving a lead time of four years to achieve the desired objective successfully .
In this respect , Sabah can engage local NGOs / CSOs ( such as Tonibung , Light Up Borneo and the like ) with the experience and expertise of successfully electrifying several isolated remote communities with funds from generous corporate and individual citizens .
Such electrification initiatives have exploited the " Run of the River " type of micro-hydro-electric power generation technologies ( and perhaps solar PV power systems ) to establish mini-grids for the communities concerned .
Funding these NGOs / CSOs to accelerate their electrification activities can expedite full ( 100 per cent ) electrification in Sabah , besides reducing its need for exorbitant subsidies for the long term .
The additional generating capacity will help to enhance the system reserve margin to a healthier level . Still , it will enable the system to feed higher demand from the growing population and the desired additional industrial and commercial consumers .
These are initial observations on some " urgent " issues in the SE-RAMP . – @ green