TNB - Siemens - Samsung sign agreements for the RM2.47 billion Prai Power Plant
Tenaga Nasional Berhad (TNB) on 21 January 2013 signed three agreements for a RM2.47 billion combined cycle gas turbine power plant in Seberang Prai, Penang that is scheduled for completion by end 2015. The agreements comprise of the Engineering, Procurement and Construction (EPC) contract for the Prai Power Plant with Samsung Engineering & Construction Malaysia Sdn Bhd, a Long Term Service Agreement (LTSA) with Siemens AG for a period of 20 years and an Operation and Maintenance Agreement (OMA). The 1,071MW power plant will follow strict emission limits set by the World Bank, with efficiency values of over 60 per cent. The EPC contract, signed between TNB Northern Energy and Samsung E&C is TNB’s first collaboration with Samsung E&C. One of the key features in the contract is the inclusion of a structured technology transfer package. The LTSA, meanwhile was inked between TNB Perai Sdn Bhd and Siemens. As for the OMA, it was between TNB Perai Sdn Bhd and TNB REMACO. Signing for TNB Perai Sdn Bhd for the LTSA was TNB Vice President, New Business and Major Projects, Dato’ Ir. Mohd Nazri bin Shahruddin while for Siemens AG, was Siemens Malaysia Sdn Bhd President and CEO, Prakash Chandran. For the EPC contract, TNB Northern Energy was represented by its Director, Mustaffa Jaafar while Samsung E&C, by its VP Regional HQ Head SEA, Singapore, Paul Shin. The OMA was signed by TNB REMACO Managing Director, Azman Mufti while TNB Dato’ Ir. Mohd Nazri signed for TNB Perai. Present at the event was TNB President/Chief Executive Officer (CEO), Datuk Wira Ir. Azman Mohd and Samsung E&C Vice Chairman/Chief Executive Officer, Yeon Joo Jung. The project is part of TNB’s planned RM9.7 billion investment to build new power capacity over the next five years to meet Malaysia’s growing electricity demand.