SABAH Umno wants the Sabah government to further study Sabah Electricity Sdn Bhd before taking control of power utility.

Its strategic and communication director, Ghazalie Ansing, said the move could put the ailing utility firm into further trouble if it is done in haste.

He said the government needs to consider the power supply problems and the welfare of SESB’s 2,600 staff before making a decision.

“The public is aware that during the last six years, SESB received RM4.2 billion in capital injection and aid from parent company Tenaga Nasional Bhd.

“It is  the federal government’s responsibility to ensure all the infrastructure in Sabah in good condition, as stated in the Malaysia Agreement.”

He said the federal government’s intention to return SESB to Sabah is an attempt by Putrajaya to wash its hands off its responsibilities.

He said the Warisan-led government’s effort to get back SESB is a populist move that will jeopardise the state.

SESB is incurring huge losses, and the state government will bear the costs if it takes over the utility, said Ghazalie.

“Will the government raise the tariff in Sabah to cover the losses? Or will the government gamble between upholding state rights before the welfare of SESB workers, 99% of whom are Sabahans,” he said.

Senator Adrian Lasimbang of DAP said he has mixed feelings over  Putrajaya’s decision to return SESB back to the state, saying if it is done now the state government will face a huge financial burden.

“If SESB is returned, it will be a burden for the state. For the record, the federal government is subsidising SESB around RM1 billion a year.

“If the handover happens, where will the state government look for funds?”

Lasimbang said although the idea is good for state autonomy, he feels Putrajaya should resolve all of the utility firm’s problems before handing it back.

He is also concerned that if the handover happens too soon, the state government will turn to coal as a cheap way to generate power.  

“This might be a bit speculative, but as an environmentalist, I see the (state) government has no other choice but to find cheaper resources due to the present financial standing of SESB,” said Lasimbang, adding that the move will have a negative affect to the state’s tourism industry. – January 19, 2019.