TNB wins the Prai combined cycle bid
Tenaga Nasional Bhd (TNB) has won the international bid to develop a new Combined Cycle Gas Turbine plant (Track 1) in Prai, Penang worth RM3 billion.
Chairman of the Energy Commission, Tan Sri Dr Ahmad Tajuddin Ali, said with the bidding results out, TNB can now build, operate and own the integrated gas turbine power plant with a capacity of 1,071 MW and a tariff of 34.7 sen/kWh.
The plant is scheduled for operations on March 1, 2016.
For the Track 1, from the eight bidders selected, six made their offers through the International Competitive Bidding (ICB) standard which was newly introduced to offer the best in value to the country while raising the level of efficiency and transparency in government delivery.
“The combined cycle gas turbine plant (Track 1) will be using two units of the Siemens Technology H-Class turbine gas which will see a performance efficiency of 60 per cent for the plant when it begins operations in 2016 compared with a 55 per cent efficiency rate offered by the existing F-Class technology,” Ahmad Tajuddin said.
He said this when announcing the results of the international bid for the power plant development in Prai and on the extension of the power purchase agreement for the first generation independent power producers, here, today.
Meanwhile, Genting Sanyen Power, Segari Energy Ventures and TNB’s Pasir Gudang plant have been offered extension for their existing first generation IPP’s plants and TNB (Track 2).
“Genting Sanyen Power, with a 675 MW capacity, and tariff of 35.3sen/kWh will have a term of 10 years; Segari Energy Ventures, with 1,303 MW capacity, tariff of 36.3 sen/kWh a period of 10 years and TNB Pasir Gudang with a capacity
of 275 MW, tariff of 37.4 sen/kWh will have a period of five years,” he said.
He said the tariff rate offered under the Track 1 and Track 2 bidding were based on the price projection for gas in the market at RM42.24/GJ by 2016.
“The gas price used in the assessment of the two bids was the market gas price and not the subsidised gas price,” he said.
He said the Track 1 and Track 2 were in line with plans to increase capacity to cater to increased demand for electricity power throughout the peninsula by 2016/17.
Tay Chong Peng
A sign of times to come in Malaysia and other countries in South East Asia. Positive movement