SARAWAK Energy Bhd (SEB) has taken a 25% equity in the consortium building the US$2.6 billion (RM11.53 billion) hydro-electric dam project at Mentarang, North Kalimantan.

Two Indonesian firms, PT Adaro Energy Indonesia TBK and PT Kayan Patria Pratama have taken a 50% and 25% stake respectively.

Indonesian president Joko Widodo performed the ground-breaking for the dam today.

The 1,375megawatt (Mw) of electricity the dam is expected to generate are for local industries in north Kalimantan.

The dam is expected to be fully operational by 2030. 

Sarawak Premier, Abang Johari Openg, who was one of the guests-of honour told Indonesia media in a media conference in Malinau that SEB’s participation in the project was “an important step forward for Sarawak’s renewable energy sector”.

He also said SEB’s participation was “a reflection of the strong spirit of co-operation between the people of Indonesia and Malaysia as neighbours and who are people of the same stock”. 

The Sarawak Premier and his entourage, who arrived in Malinau via Tarakan yesterday, added that SEB’s investment was “to enhance Sarawak’s position as a regional economic powerhouse”.

Jokowi, as the Indonesian president is popularly known, described the dam as “a strategic national project” and will be the biggest hydro-electric project in the country. –  March 1, 2023.