Tuesday, June 14, 2011

Cabinet Committee To Study IPP Issue

IPOH, Jun 12 (Bernama) -- The cabinet has set up a committee to study the Independent Power Producer issue, Second Finance Minister Datuk Seri Ahmad Husni Hanadzlah said on Sunday.

He stressed that the committee would study all aspects of power supply and not just the IPP issue.

Ahmad Husni is in the committee with Minister in the Prime Minister's Department Tan Sri Mohamed Yakcop and Minister of Energy, Green Technology and Water Datuk Seri Peter Chin Fah Kui.

"The committee will study various aspects (of power supply) and not just the IPP problem...among them (production) costs and (requirements for) the future because there are IPPs whose concession is due to end in 2014 and 2015," he told reporters here after opening the Rukun Tetangga beat base for Kampung Tengku Hussin.

He was commenting on a statement by Gua Musang Member of Parliament Tengku Razaleigh Hamzah who suggested that the government set up a royal commission of inquiry to IPP concessions.

IPPs are said to be reaping huge profits supplying power to Tenaga Nasional Berhad.

Ahmad Husni said the committee would also look at the question of subsidies and present a report to the cabinet as soon as possible although no deadline had been set.

"We have not been given any deadline for submitting the report, but what must be stressed here is that it will give priority to the interests of the people," he said.

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