Friday, July 18, 2008

TNB and the IPPs



When Information Minister Ahmad Shabery Cheek and former deputy prime minister and de-facto opposition leader Anwar Ibrahim took the stage for the recent debate, the name of former Tenaga Nasional Berhad's (TNB) executice chairman was mentioned.

Anwar said that Tan Sri Ani Arope resigned because he was not in favour of the government' s stand on the independent power producers (IPPs). Tan Sri Ani was TNB's executive chairman from 1990 to 1996 and it was during his tenure that the first generation IPPs were created.


Tan Sri Ani is known for his honest and no nonsence way of doing things and former high court judge, Dato Syed Ahmad Idid justly described the Penang-born scientist as follows:


"Tan Sri Ani was and remains an upright person and had to suffer because he did not agree with the IPPs getting away with too much ... and consumers have to pay."


"I am not anti-IPPs per se. It is good to have other players but it has to be done fairly. It has to be fair to the consumers, not just TNB, which is a conduit. TNB, because of the electricity hike, has been treated as the whipping boy. The focus should be on the consumers," Tan Sri Ani once told StarBiz in an exclusive interview.


When the generous terms were given to the IPPs, Tan Sri Ani said all of his other peers around the world asked what was happening. They said they would like to have a share in the IPPs. They said (the contracts to IPPs) were "too darn generous."


When Anwar touched on the IPPs, Shabery Cheek replied that it was implemented when Anwar was Finance Minister. It is interesthing to note that in the StarBiz interview, Tan Sri Ani was asked "How was the Malaysian model of IPPs created?" and he answered "Ask our Prime Minister."

He was also asked "How was the process of negotiations with IPPs conducted?" and he replied: "There was no negotiation. Absolutely none. Instead of talking directly with the IPPs, TNB was sitting down with the EPU (Economic Planning Unit of the Prime Minister's Department). And we were harassed, humiliated and talked down every time we went there. After that, my team was disappointed. The EPU just gave us the terms and asked us to agree. I said no way I would."


Tan Sri Ani also said the pricing and terms of the contracts was all fixed up. "This is the price, this is the capcity charge and this is the number of years. They said you just take it and I refused to sign the contracts. And then, I was put out to pasture."
He described the terms agreed by the EPU as "grossly unfair.

" At 16 sen per unit (kWh) and with the take or pay situation, actully it was 23 sen per unit. With 23 sen, plus transmission and distribution costs, TNB would have had to charge the consumer no less than 30 sen per unit. If mix with TNB's cost, Tan Sri Ani said the cost would come down but that was at TNB's expense because the utility company were producing electricity at 8 sen a unit. "We can deliver electricity at 17 sen per unit," he said.


Tan Sri Ani also said that "nobody produces excess electricity like Malaysia and it goes to waste because there are no batteries to store that power. TNB only needs a reserve of 15 per cent to 20 per cent."


In the interview, Tan sri Ani told StarBiz that he felt sick of the process of awarding the IPP contracts. "It was morally wrong and not fair. If it is legal and not fair, I will not do it. If it is fair and illegal, I still won't do it. It has to be legal and fair. We work for the consumers, workers and shareholders. TNB is morally obliged to these three, but the consumers come first, otherwise we won't be around. It is then the workers and the shareholders."


Source: StarBiz (The Star)

15 comments:

Anonymous said...

Tuan Syed,
Saya harap si kardi tu membaca blog ini dan penerangan tuan mengenai IPP dan bertaubat atas kesesatan fikiran yang ada pada dirinya.ternyata IPP sebenarnya alat untuk mencetak wang bagi pemimpin. Akronim yang tepat untuk IPP ialah: Iblis Penyangak Penyangak
-DOL

Anonymous said...

Thanks for sharing those interview with your readers..

kluangman said...

Tan Sri Ani Arope adalah seorang Pengerusi Eksukutif TNB pada masa tersebut, dalam lain perkataan dilantik, makan gaji dan perlu patuh kepada arahan dan polisi kerajaan, tidak lebih dari itu. Beliau meletakan jawatan adalah atas haknya tetapi tidak semestinya pandangannya betul pada masa itu atau sekarang.

Pada masa sekrang pun semua Pengerusi atau pegawai dan kakitangan kerajaan pun ramai yang tidak bersetuju dengan dasar dan polisi kerajaan, tetapi itu bukanlah hak mereka seperti yang termaktub dalam peraturan. Mereka cuma boleh meletakan jawatan jika tidak bersetuju.

Kerajaan tidak bergerak jika mahu mendengar semua pendapat dalam satu masa yang sama.

wisdomthinker said...

But then again, who was the prime minister at that time? Is this mean that this blame should not be put on AAB, but to TDM instead?

This also means that TDM screw up by creating the IPP's, but instead AAB had to solve the problems over?

Currently that is my understanding to the issue. Correct me if I'm wrong. Thanks.

Syed Imran said...

Wisdomthinker,

Yes, it was Tun Dr Mahathir and nor Pak Lah.

Syed Imran said...

Kluangman,

Di Malaysia soal orang nak letak jawatan bukanlah satu budaya.

Jika orang lain dah tentu ikut saja kerana dibayar gaji yang lumayan. Tetapi tidak bagi Tan Sri Ani. Dia berpegang pada prinsip. Itulah bezanya antara Tan Sri Ani dengan penjawat awam mahupun pemimpin politik lain di Malaysia.

INTIP said...

Tuan Syed,
Tan Sri Ani memang seorang yang berpegang pada prinsip beliau. Kerana itulah beliau meletakkan jawatan. Ini membezakan beliau dengan penjawat awam yang lain.
Ini jugalah yang membezakan beliau dengan DSAI. Sebagai TPM dan Menteri Kewangan pada masa itu, kenapa DSAI tidak membantah tentang IPP dan sekiranya tidak bersetuju dengan apa yang Kerajaan pada masa itu buat,kenapa beliau tidak bertindak meletakkan jawatan.
Apakah kerana jawatan yang disandang itu empok kerusinya dan takut hilang jawatan?
DSAI - dulu cakap lain, sekarang cakap lain.

thquah said...

Mungkin TDM boleh memberi penjelasn yang mendalam ke atas isue ini.
Walau apa pun nampaknya pengguna adalah mangsa dan IPP adalah penyangak.
Harga yang sentiasa naik akan menjadikan rakyat menderita.
Setakat ini nampaknya kerajaan tidak dapat menringankan beben rakyat.

Syed Imran said...

Intip,

Orang politik di Malaysia, sama ada Anwar, Daim, Liong Sik, Rahim T Chik, Khir Toyo mahupun Najib tak akan letak jawatan malainkan dipecat. Itu adalah kenyataan dan apa yang saudara katakan adalah benar.

TH Quah,

Setuju. TDM perlu beri penjelasan.

AFRAR YUNUS said...

salam pak tuan,
budaya meletak jawatan di malaysia belum wujud lagi kecuali kes terpinggir spt yang ditunjukkan tan sri ani arope. saya berharap falsafah disebalik budaya dihayati terutama sekali oleh kepimpinan negara yang sepatutnya menjadi pemimpin melalui teladan.

Anonymous said...

Salam Ya Tuan Syed

Dalam dunia kapitalis, the well being of the people diletakkan di tangan Tuhan; mereka tak nak campok. Kepercayaan bahawa money makes money adalah prinsip utama. Biarpun mereka ini nampak alim dan warak, mereka adalah penjarah tak berhati perut. Macam Yahudi.

The Last Malay

Anonymous said...

Penubuhan IPP mempunyai sebab dan matlamat tertentu pada masa tersebut dan boleh dipercayai wajar dan penting.

Apa yang menjadi isu sekarang ialah kenapa kerajaan tidak meminimakan sumbangan ke dalam IPP atau menggunakan sebahagian dari IPP untuk membantu mengurangkan harga petrol.

Bukan sesuatu yang menyelesaikan masalah untuk kita menunding jari mencari salah kepada pemimpin atau kerajaan yang lalu, yang paling penting 'betulkan' sekarang untuk kepentingan rakyat.

Ani Arope bukan pembuat dasar, perletakan jawatannya kerana tidak besetuju bukan semestinya betul pada masa itu, ia cuma hanya kebetulan pada masa sekarang - kluangman

Anonymous said...

this info should be made published in harakah/pkr paper/dap paper so that pakcik makcik at kampung know about this and would topple the government to bring back the era of cheap electric. LLN(previous tnb by the english) produced electric at 4 cents those days and was awarded "best power producer" by world bank.

Anonymous said...

Sdr Ranggi,

Apa nak heran pasal mereka yang pegang jawatan pengerusi? Ada yang pikiaq jawatan tu bagi lesen untuk depa buat sesuka hati.
Tengoklah keadaan di Bernama.
Apa nak jadi?
Sekarang pengurus besaq baru pun pengerusi yang nak lantik.
Walaupun kita ni dah pencen, tapi Bernama tetap dekat di hati.

Warga pencen Bernama

Lu Fikirlah Sendiri....... said...

Wahai Ahli UMNO Yang BODOH dan BAHLOL! Dengarlah....!

Yang pasti, jika benar tiada apa-apa tindakan yang boleh membawa perubahan kepada pucuk pimpinan UMNO pada Disember 2008 nanti, maka penulis tidak teragak-agak akan memberi sokongan padu kepada mana-mana parti selain daripada UMNO dan BN dan memastikan UMNO akan berkubur pada PRU 13 nanti. Ini kerana dalam tempoh dua tahun ini akan membuatkan rakyat akan terus menderita. Banyak duit negara habis dirompak oleh Abdullah Ahmad Badawi dan konco-konconya. Itu adalah pasti. Rakyat tidak mampu meredhai akan kebangsatan ini. Sudah habis maki hamun dihamburkan namun ahli UMNO lebih menjaga temolok diri sendiri daripada kepentingan rakyat kebanyakan.

Fine! Bersiap sedia lah wahai semua hali UMNO yang BODOH dan BAHLOL....parti anda akan berkubur sebaik sahaja keputusan PRU 13 diumumkan. Tiada maaf jika anda membiarkan Abdullah Ahmad Badawi terus memerintah negara selepas Disember 2008. A Lu Fikirlah Sendiri! Nokhtah!

lawati -
fikirlahsendiri.blogspot.com