Malaysia eyes more gas-fired power plants

Malaysia plans to call for bids by as early as the first quarter of next year for gas-fired power plants in Peninsular Malaysia.

Energy Commission chairman, Tan Sri Ahmad Tajuddin Ali said the country will need another 4,500 megawatts  from 2017 and all of that will be fuelled by gas, according to Business Times.

The initial tender will be for a 750MW gas-fired plant.

"The 750MW is part of the 4,500MW that will be needed in 2017 ... We hope through this process, we will get offers that are competitive, so we will be able to maintain at least reasonable tariffs to the consumers," Ahmad Tajuddin told newsmen after launching the International Energy Regulatory Forum 2011 in Kuala Lumpur yesterday.

The EC is now preparing tender documents and is also in the midst of appointing consultants for the job.

Apart from saying that the power plants will be in Peninsular Malaysia, Ahmad Tajuddin did not say where they would be located.

Asked if there will be competitive bidding for the new jobs on offer, Ahmad Tajuddin said the bids will be based on an open competitive bidding process.

This year alone, two major power plant contracts have been given out by the government to help secure the country's future energy requirements.

The government recently awarded 1,000MW coal-fired power plant contracts to Tenaga Nasional Bhd and Malakoff Corp Bhd.

These power plants are being built in Manjung, Perak and Tanjung Bin, Johor, and are slated to be commissioned in 2015 and 2016, respectively.