B.Grimm Power Plc (BGRIM) plans to supply electricity from renewable sources to TNB Power Generation Malaysia in an effort to support energy security in Asia and assist the Asean Power Grid project.
TNB Power Generation Malaysia, a subsidiary of state-owned Tenaga Nasional Berhad (TNB), signed a memorandum of understanding (MoU) with BGRIM to secure the power supply between Malaysia and Thailand, as well as seek new business opportunities.
The MoU signing ceremony at Government House in Bangkok was presided over by Thai Prime Minister Prayut Chan-o-cha and Malaysian Prime Minister Anwar Ibrahim during his official visit to Thailand.
Harald Link, chief executive of BGRIM, said the Malaysian firm plans to import 200 megawatts of electricity from hydropower, wind and solar power facilities from B.Grimm Power (Laos), the firm’s power generation arm in Laos.
The agreement follows a joint
statement on the Laos, Thailand, Malaysia and Singapore Power Integration Project (LTMS PIP), which was signed by the four countries in 2014 in Vientiane.
Energy authorities from the four countries expect the LTMS PIP to complement efforts to build the Asean Power Grid and the Asean Economic Community by creating opportunities for cross-border electricity trading.
The project is also expected to help identify and resolve issues affecting cross-border electricity trading in Asean.
In a related development, the Electricity Generating Authority of Thailand signed an MoU with TNB to conduct a feasibility study to further secure the power supply between Malaysia and Thailand.
The signing ceremony was held during Mr Ibrahim’s two-day visit.
The study is projected to last three years, covering the design, efficiency, risks and costs of a power supply system.
The move is part of efforts to develop the Asean Power Grid, which aims to enhance energy security in the region.
There are power transmission lines with 300MW of high-voltage direct current running from Songkhla’s Sadao district to Malaysia’s Kedah.
The facility, in use since 2002, is scheduled to be retired in 2027.
