Sarawak Energy Signs With Sinohydro - Trenergy JV For 500kV Backbone Transmission Works (Packages B & C)

Kuching, February 26, 2014 – Sarawak Energy, the State’s energy provider is pleased to announce that works for the 500kV transmission backbone is well on track as it pens the agreement with Sinohydro Corporation (M) Sdn Bhd ["Sinohydro"] - Trenergy Infrastructure Sdn. Bhd. ["Trenergy"] JV for the 500kV transmission backbone (Packages B & C) works today.

Spanning over 500 km from Similajau in Bintulu to Tondong in Kuching, Trenergy Infrastructure a wholly owned company of Sarawak Cable, together with its joint venture partner Sinohydro, one of the leading and reputable power industry player in China, will be entrusted with the task of constructing two sections of the 500kV backbone - Mapai to Lachau (Package B) and Lachau to Tondong (Package C). Works for the contracts worth RM619 million, is expected to be completed in Q1 2016.

The tender for the different packages of the 500kV has been on international tender, following the stringent procurement process in Sarawak Energy. During the tender submission stage all tenders were evaluated based on their full compliance with tender submission requirements following Sarawak Energy's guiding principles which upholds the highest level of integrity, governed by the following principles: best value for money; open and effective competition; impartiality and transparency of process; and enhanced opportunity for local content.

Datuk Torstein Dale Sjotveit, CEO of Sarawak Energy said, “The award of the two packages are in line with the key objective of our procurement process which is to achieve the best possible value for the State and maximize the participation of local businesses."

"Sinohydro - Trenergy JV was the lowest bidder for these packages showcased a wealth of construction experience and technical know-how. In addition, they have demonstrated their depth of understanding and knowledge of the 500kV backbone transmission project. As such, we are pleased to have them on board and we are confident that they will be able to deliver.”
Managing Director of Trenergy Infrastructure, Mr Aaron Toh said, “We are excited and proud to be able to contribute our experience and expertise in building one of Sarawak’s most ambitious infrastructure projects to date. With our proven track record and quality of delivery, we are confident that works will be completed within the time and cost.”

Assistant Managing Director of Sinohydro Corporation, Mr Gu Hong Liang commented “Both Trenergy and Sarawak Cable are our long term business partners. We have been working together since 2008 for Bakun-Similajau and Murum Junction Transmission Line Project. We will continue such partnership and work closely with them as before for timely completion and delivery of this mega project.”

The 500kV backbone transmission project will be crucial for Sarawak’s future. With the completion of this second grid, the State will be well protected against the incidence of system blackout.

“The 500kV transmission backbone project will support the future development of Sarawak Energy’s generating system and provide a secured supply to the fast-expanding SCORE customers.  In turn, more transmission capacity is required to strengthen the current electricity supply into Kuching and southwestern Sarawak” added Torstein.