Sarawak Energy, the Malaysian utility company owned by the state of Sarawak, has set a target to install a minimum of 400 megawatts (MW) of floating solar power capacity at its dams by 2030. The move comes as the company looks to meet the increasing demand for renewable energy from neighboring countries. Sarawak Energy, which primarily generates power from hydroelectric dams, plans to diversify its energy sources and reduce reliance on coal while boosting exports to regions such as Sabah state, Indonesia, Brunei, and Singapore.
Construction has already commenced on the company's first floating solar unit at the Batang Ai dam, with a capacity of 50 MW. The project is expected to be completed by the end of 2024, according to Sarawak Energy's CEO, Sharbini Suhaili. Additionally, studies have indicated that the company could reliably connect up to 1,500 MW of power from its three existing hydropower plants to the grid. In line with its expansion plans, Sarawak Energy is also in the process of constructing a fourth hydropower plant, which is set to commence operations by 2028, resulting in a total hydropower capacity of 4,737 MW.
To fulfill its export commitments, Sarawak Energy has already signed agreements to supply between 30 MW and 50 MW of electricity to Sabah state in 2024. The company currently exports approximately 80-100 MW of electricity to Indonesia's West Kalimantan and is actively involved in a joint venture to develop a 1,375 MW hydropower plant in North Kalimantan, which may be operational by 2030.
In addition to neighboring countries, Sarawak Energy is engaging in discussions with Brunei and Singapore to explore potential energy partnerships. A feasibility study has already been completed for exporting hydropower to Singapore via undersea cables by around 2030. However, challenges such as high costs and technical complexities need to be addressed, especially considering that a significant portion of the cable will be located in Indonesian waters.
CEO Sharbini Suhaili believes that establishing such a connection would be instrumental in kickstarting an ASEAN power grid, a concept that has been under discussion for an extended period but has yet to be implemented.
In an effort to reduce the reliance on coal, Sarawak Energy has outlined plans to decrease the proportion of coal in its power mix from the current 18% to just 10% by 2030. This will involve the decommissioning of the 210 MW Sejingkat power plant by 2028 and the 270 MW Mukah power plant after 2030. However, the recently constructed 624 MW Balingian coal power plant, established in 2020, will be retained to ensure energy security, as stated by Sharbini Suhaili.
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The ambitious plans and initiatives undertaken by Sarawak Energy underscore the company's commitment to renewable energy expansion and its aim to meet the growing regional demand for clean power. With its focus on floating solar and hydropower projects, as well as efforts to reduce coal dependency, Sarawak Energy is actively contributing to the region's sustainable energy goals.
