TNB's sembahyang hajat, I think better give Edra to them
As a response to it, my friend Wan Dal Cha sent me this piece which I think I should share with you all.
By Wan Dal Cha
TNB would be naturally alarmed by the hints of uncertainties ahead in the energy sector given that the proposed sale of 1MDB power assets has already produced surprises.
A big jolt has been reports suggesting the lifting of the 49 per cent foreign equity cap in the energy sector. While the exemption is said to be one-off, it would be odd for the Government to revert to 49 per cent-limit in the future. Such flip flopping will expose Malaysia to suggestions of inconsistencies on key policies.
Crucially therefore the foreign equity-tweaking will now threaten to expose the energy sector to unequal competition. CGN the State-owned enterprise from China which has submitted a joint bid with Nebras of Qatar brings with it an overwhelming advantage over TNB in the future conduct of the energy sector.
One scenario is TNB risks being reduced to just being one of the players instead of operating as the main utility company.
This will by extension further weaken TNB in the market. Analysts are bound to highlight the diminishing earning potential of TNB. This as a time when TNB has been a major driver of market capitalisation and wealth effects.
Against this backdrop, TNB has overnight found itself staring at a pivotal moment something it had not prepared for. TNB would naturally like any changes to the groundrules to be effected in a structured and gradual manner.
This is not strictly about TNB wishing to have an equal chance of securing the 1MDB power assets although winning it would be a perfect-fit for TNB. With the five Edra Global power assets, TNB generating capacity will grow to 70 per cent. Its regional ambitions will be further enhanced with the Edra Global foreign eight power plants.
A bigger concern is the possibility of a weaker TNB with the presence of an international giant with big ambitions.
As for the poser of whether customers will be better served with greater competition, the tariffs structure is determined by various factors.
While greater competition cannot conceivably be bad for customers, it would be better if TNB grow in capacity as a result. A stronger TNB could eventually in the long term drive down prices as well as driving growth of energy entrepreneurs and the industry at large.
TNB would be naturally alarmed by the hints of uncertainties ahead in the energy sector given that the proposed sale of 1MDB power assets has already produced surprises.
A big jolt has been reports suggesting the lifting of the 49 per cent foreign equity cap in the energy sector. While the exemption is said to be one-off, it would be odd for the Government to revert to 49 per cent-limit in the future. Such flip flopping will expose Malaysia to suggestions of inconsistencies on key policies.
Crucially therefore the foreign equity-tweaking will now threaten to expose the energy sector to unequal competition. CGN the State-owned enterprise from China which has submitted a joint bid with Nebras of Qatar brings with it an overwhelming advantage over TNB in the future conduct of the energy sector.
One scenario is TNB risks being reduced to just being one of the players instead of operating as the main utility company.
This will by extension further weaken TNB in the market. Analysts are bound to highlight the diminishing earning potential of TNB. This as a time when TNB has been a major driver of market capitalisation and wealth effects.
Against this backdrop, TNB has overnight found itself staring at a pivotal moment something it had not prepared for. TNB would naturally like any changes to the groundrules to be effected in a structured and gradual manner.
This is not strictly about TNB wishing to have an equal chance of securing the 1MDB power assets although winning it would be a perfect-fit for TNB. With the five Edra Global power assets, TNB generating capacity will grow to 70 per cent. Its regional ambitions will be further enhanced with the Edra Global foreign eight power plants.
A bigger concern is the possibility of a weaker TNB with the presence of an international giant with big ambitions.
As for the poser of whether customers will be better served with greater competition, the tariffs structure is determined by various factors.
While greater competition cannot conceivably be bad for customers, it would be better if TNB grow in capacity as a result. A stronger TNB could eventually in the long term drive down prices as well as driving growth of energy entrepreneurs and the industry at large.
ReplyDeleteWhat is importance hear ,is that 1 MDB must look good ,never mind about other things .
Why are Ministers not discussing this issue. By letting Rafizi emerge as a policy champion, BN-Umno has abdicated its role. Rafizi is winning brownie points at the expense of BN-Umno.
ReplyDeleteBetul juga pandangan Wan Dal Cha ni. Walaupun nama dia agak melucukan betul la pandangan Wan Dal Cha ni. Annie ni rupanya blogger Top Ten sebab pengikutnya pelbagai.
ReplyDeleteSanggupkah rakyat Malaysia biarkan syarikat asing memegang 100 peratus ekuiti dalam Edra dan seterusnya mempunyai kepentingan dalam industri terpenting negara?
ReplyDeleteYang pelik dan hairan ni bukan tindak tanduk 1MDB tetapi mengapa ahli politik Kerajaan yang begitu bijak dan bernas tidak langsung memberi sebarang pandangan.
ReplyDeleteIni bukan masalah TNB menang atau kalah, ini merupakan test case. Rakyat pastinya ingin mengetahui tahap kebijaksanaan pemimpin pemimpin Umno-BN
ReplyDeleteso the exemption is ON?
ReplyDeletegoodness gracious me there people are breaking the law they created.
why the exemption is given?
because tenaga money is LESS and 1MDB need MORE money?
hahahahahahahaha
itu arul kanda said last time they factored in the low tariff in the inflated price. i tell u simple kanda brother. it does not work like that. u got aunty and uncle clappings inside hall but outside hall all people laughing stomach crammed u know.
Tak ada siapa boleh ramal apa kesan sebenar sekiranya TNB berjaya atau gagal dalam bidding Edra tetapi pembabitan syarikat asing telah membangkitkan pelbagai spekulasi mengenai masa depan industri tenaga di Malaysia
ReplyDeleteChina and Qatar..what a combination..cheap labour and unlimited wealth..Ching and Arabs..PH and BN..Half Annie and Half Syed Akbar (kalau betoi dia Arab la)..
ReplyDeleteI believe TNB has contributed so much in developing this country and its not fair if the 3rd party bidder is given a big cut of cake. Its not a smart move for IMDB and the entire nation.
ReplyDeleteCalamity is slowly befalling on us and the country. All because of IMDB.
ReplyDeleteIni kisah negara yang dah kering dan tak punya DANA nak bangunkan pembangkit listrik/eletrik(Indonesia).Indonesia walau apa carapun tidak akan membenarkan syarikat asing penguasai 100%(yang diizinkan sekarang 49%asing 51% anak negeri)Bagi Indonesia Tenaga Eletrik adalah Keselamatan negara dan kepentingan ekonomi anak negeri,jika apa yang berlaku diMalaysia(Isu EDRA) seluruh rakyaat Indonesia akan berdemo di Jalanan,bagi mereka biar susah mereka nak dapat tenaga eletrik asalkan jangan tergadai milik bangsa dan negara.Saya selaku IPP (saya warga malaysia hanya punya 49%)yang kecil)di Indonesia tidak diperbolehkan nak nego2 tarif jual beli sebelum PPA(Power Purchase Aggrement),tapi saya selesa dengan tarif yang ditetapkan oleh PT PLN/TNB(US 12cts/kwh).YTL melalui pegangan mereka dlm Jawa Power dan juga Malakof gagal di Indonesia bukan kerana birokrasi sangat tapi kerana mereka memandai mandai saperti mereka lakukan di Malaysia.Tenaga eletrik adalah hak milik pengguna(Rakyat).
ReplyDeleteWho cares. Does it matter. So what if foreigners take charge.
ReplyDeletetahniah rakyat malaysia..anda semua dpt pemimpin yg super bijak
ReplyDeleteThe scheme to sell off Edra through international biddings is another of 1MDB's concealment.
ReplyDeleteThere is no two ways about it, fraudulent and malpractice already occurred. The fact is, someone has pocketed huge sum of money from the borrowed 42 billion. In mind, 1MDB has yet to earn its single penny from all the efforts of "doing business."
1MDB's bad debt cash-flow is going to be reconstructed so that it looks good and accurate. In reality, the actual transaction of 1MDM T-Account is still in a holy mess.
Selling off Edra, national asset, is a mean to recover back some of the exhausted money. Arul calls it "the rationalization program", to rationalize what? It is to rationalize the pocketed money. Every Tom, Dick and Harry can see that. Even the blinds can hear that.
Arul said to 'match up'!....the bad cash-flow? He must be kidding. Everybody know the rationalized exercise is going to be a manipulation of 1MDB's record of book keepings and its T-Account entries in order to show a sound balance sheet.
As for TNB, forget it! TNB cannot afford to bid and plus it will appear as Government bail out. It won't be a surprise, the prerequisite has been prearranged for foreign bidders to win the bid. That's why foreigners are permitted to hold 100% equity.
Therefore, the call for the international tender is another whitewash and hokey-pokey exercise. This exercise is an act of betrayal to the nation because the sovereignty of National assets (energy and land) are going to be in the hands of foreigners. It has to do, in relation to Malaysian TPP's partnership.