June 3, 2011
Ani Arope Blames Economic Plundering Unit(epu) for High Electricity Tariffs
By Debra Chong@http://www.themalaysianinsider.com
Former Tenaga Nasional Berhad (TNB) chief executive Tan Sri Ani Arope is blaming the Economic Planning Unit (EPU) for rising electricity tariffs, saying the powerful agency forced the national power company to sign lopsided purchase deals nearly 20 years ago.
Ani said EPU, which he sarcastically dubbed “Economic Plundering Unit”, forced Tenaga to buy electricity from an independent power producer (IPP), believed to be Genting Sanyen, at 14 sen per kilowatt hour (kWh) despite an existing offer of 12 sen/kWh then. Other IPPs then were charging 16 sen/kWh Genting Sanyen became the first IPP to transfer 15 million watts (MW) in electricity to TNB’s national grid on April 15 and is scheduled to complete a RM1.8 billion upgrade on its existing gas-fired plant with a capacity for 720 MW by June next year.
“You don’t need to go to a fanciful business school to figure out why we need a tariff hike — just revisit the terms given to some IPPs,” Ani, who helmed the utility company between 1990 and 1996, said in his last Facebook posting three days ago.
“With the take-or-pay clause and with the 40 per cent excess reserve that we have today, one only has to produce half of one’s capacity and be paid 80 per cent of the agreed capacity. Well done the then-EPU — Economic Plundering Unit,” he added, mocking the economic unit under the Prime Minister’s Department.
Ani called for a review of the original terms with the IPPs as the storm over energy price deals continues to build up.
DAP publicity chief Tony Pua cited today Ani’s 2006 interview with English daily, The Star, to increase pressure on the federal government to declassify the power purchase agreements (PPAs) inked between TNB and the IPPs.
Ani caused a stir 15 years ago when he chose to resign from his executive chairman post rather than sign the imbalanced deals, which saw the first generation of IPPs created, such as YTL Power Services, Powertek and Malakoff during the Mahathir administration.
Malakoff’s Tanjung Bin power plant in Johor
“TNB is the whipping boy. TNB has no control of the price it has to pay to the IPPs. Get to the source of the problem,” said the Penang-born now in his early 80s.
The Najib administration has been savaged for allegedly protecting the interests of IPPs rather than the public. Putrajaya announced the 7.12 per cent hike in electricity rates in an effort to trim a subsidy bill that would otherwise double to RM21 billion this year and promised the hike will not affect 75 per cent of domestic consumers.
But power prices will now rise by as much as 2.3 sen per kWh in areas taking TNB’s electricity supply, a potential source of public anger just ahead of a general election expected within the year.The Star Daily reported today the government was close to inking a deal for a 1000 MW coal-fired plant in Manjung which will charge 25 sen/kWh.
Din Merican: the Malaysian DJ Blogger 
Why EPU? The blame should go to Octo Kutty for giving sweetheart IPP deals to YTL and other crony companies. I would also blame Anwar Ibrahim (when he was Deputy Prime Minister) for giving the IPP in Lumut to Segari Energy Ventures which later sold it to Malakoff.Now Anwar makes a lot of political noise on IPPs and promises voters what he will not do when he takes over Putrajaya (one big IF!). What a hypocrite this de facto PKR leader is!
We can hardly come across Malaysians like Ani who is prepared to resign than sully his reputation. All he had to do was put his signature and be done with. But he chose to be a man of principle. He can enjoy wealth, prestige and power but then he chose to resign.
I can recall there are few man of integrity I can think of – Aziz Taha of Bank Negara comes to mind.
All our institutions are led by scums who will sell their soul for the perks of office.
Aziz Taha? You gotta be kiddin’.
” All our institutions are led by scums who will sell their soul for the perks of office .” – sam01
” The world is a dangerous place not because of people who do evil, but because of good people who look on and do nothing about it .” – albert einstein.
For 22 years , the MCA , the MIC, UMNO and all the other component Barisan parties, senior members of the civil service and senior members of the GLC’s collectively are guilty of misleading the public and did nothing to protect the interests of all Malaysians and Malaysian national interests .
Worse of all , they unlike Ani Arope , caved in to dr kutty’s diabolical schemes . And today , because of Dr Kutty’s diabolical schemes 28 million malaysians will suffer while Dr kutty and his sons live the high live off the Malaysian poor.
And this is the Man, Ibrahim Ali and the Malays hero worship ! And he says , ” Melayu senang lupa ” ?
” HOW DARK THE CON OF MAN !”
Tan Sri Ani Arope, thank you, thank you. EPU was the almighty in the PM’s Dept then and nobody go against them without getting hurt. Not only do they force the other government department to accept their ways but also hijack project proposals and give them out to their friends. Remember the DG of EPU caught with stash of cash in his office?
TNB :
If this happens over here, security will be called in within minutes and this guy NameWee will be detained and handed over to the police and charged for disturbing the peace which is a misdemeanor (punishable b y a fine) , assault if he creates immediate apprehension and fear for the safety of the other and battery if he touches any of the staff.
I’m shocked he was allowed to get away with it.
He kept yelling “Notice”.
He thinks if he is about to be accidentally run over by a car he at least deserves a notice. Does that make any sense??
Hello Gobala
What c**k are you talking? Ani Arope has made it clear that all negotiations for IPPs took place between Economic Plundering Unit (my fav is Economic MsPlanning Unit) controlled and instructed by Mahathir, and Tenaga.
Where was Anwar involved in approving any IPP? Segari was later taken over (97%?) by Malakoff in 2005 I recall – again, no Anwar to influence any underhanded sweetheart deals!!
Don’t just shoot from the hip or be stand accused of being a stupid cnut!
Are you stupidly suggesting contracts signed by GLC’s like Tenaga and that are against public interest and reek and stink of corruption, should not or cannot be re-negotiated?
Give me the power and mandate and I’ll show you how!
dpp
we are all of 1 Race, the HUman Race
And brader Gobala
Why are you not making noise about Putrajaya and Rosemajib now in the last stages of awarding another 1000MW IPP to Malakoff/MMC and Syed Mokhtar Bukhary?
With globally unheard of 54% electrcicty reserves, we need another power station like we need a hole in our heads.
Who are the hypocrites, robbers and thieves? Men like Anwar fighting to restore a semblance of order or those like the Rosemajibs perpetuating a crooked system and continuing to rob us blind?
You sure you have your head screwed on the right way?
When Tan Sri Ani Arope displayed signs of resistance to signing PPA with the favoured IPP, if I recalled correctly, the UMNO controlled media began to spin stories with headlines in Utusan Malaysia about the man taking a helicopter ride to ITM ( now UiTM ) to attend some official functions.
Everything about Ani Arope was bad from then on and their fascination with ” helicopter-ride script ” lives on.
Scarecrow
Mr Kerala,
now the goose is coming home to roost? Dont fret. There is enough billions to last a few generations. Will Msians ever wake up to this grand theft by the man from Kerala?