Peninsular electricity rates to increase in 2016 as rebates cut by 33%
Consumers in Peninsular Malaysia will have to pay 0.73 sen more per kilowatt hour (kWh) for the first six months of 2016, as the power tariff rebate will be cut by about 33%. The Energy, Green Technology and Water Ministry yesterday announced that effective January to June next year, the base electricity tariff nationwide will remain unchanged at 38.53sen per kWj. The rebate for Sabah and Labuan, however, will remain the same at 1.20sen/kWh. This means that consumers in the peninsular will have to pay higher electricity bills due to the reduced rebate. Minister Datuk Seri Maximus Ongkili said the decision to maintain the electricity tariff in the peninsula was due to the savings in fuel costs and generation, or Imbalance Cost Pass-Through (ICPT). (The Malaysian Insider; New Straits Times Online)
KUB Malaysia looking to double plantation assets
KUB Malaysia Bhd, which recently announced the disposal of two subsidiaries, is planning to double the size of its plantation assets by acquiring brownfield plantation land in Indonesia or Malaysia. The group currently has over 7,000ha in Malaysia (valued at RM300-RM400 million), and is looking to acquire an additional 7,000ha by spending about RM200 million to RM300 million. The expansion plans are part of its strategy to strengthen its core sectors such as power, plantation, and oil and gas related businesses. (The Sun Daily)
Bandar Malaysia SPA by Dec 31, says 1MDB
1MDB Real Estate has said it will be signing the sales and purchase agreement (SPA) for its Bandar Malaysia township development by Dec 31 this year. It reiterated that on Nov 13, it had received two final, binding and funded bids for the proposed sale of 60% equity in Bandar Malaysia Sdn Bhd. The two bidders bidding for the asset are a China-backed consortium comprising of Iskandar Waterfront Holdings Sdn Bhd and China Railway Engineering Corp (M) Sdn Bhd, and it was reported that the other bidder was Permodalan Nasional Bhd. (The Malaysian Reserve)
Gamuda to invest RM7.5bil in construction for 2016
Gamuda Bhd is planning to invest about RM7.5 billion in its construction division for the financial year ending July 31, 2016 (FY16). The company has already invested over RM2 billion on three townships, as well as another RM2 billion infrastructure spend on interchanges and roads. The group plans to spend a further RM3bil to RM3.5bil next year, which will bring its total investments to about RM7.5bil. Group managing director Datuk Lin Yun Ling said that the outlook for FY16 was positive as the government was embarking on many railway projects. These projects will have multiplier effects that will help to mitigate the economic slowdown, by creating job opportunities along with consumer demand that will help aid economic growth, he said. (The Star Online)
TRC Synergy wins RM292mil PPA1M job
TRC Synergy Bhd’s wholly-owned subsidiary, TRC Land Sdn Bhd, has been appointed as developer for the 1Malaysia Civil Servant Housing Development (PPA1M) project from Putrajaya Corporation (PJC). Three blocks of housing are to be developed with an estimated gross development cost of RM292.7 million, with TRC Land selling two blocks back to PJC and keeping one block for its own disposal. There will be a total of 500 PPA1M residential units, 316 public residential units and 20 commercial units. (The Edge Markets)
Malaysia Airports seek owners of abandoned Boeing 747s
Malaysia Airports Holdings Berhad (MAHB) is seeking the owner of three unclaimed planes left at the Kuala Lumpur International Airport (KLIA). A notice was placed in The Star’s classifieds section on Monday by Malaysia Airports (Sepang) Sdn Bhd, requesting the unknown owner(s) of three Boeing 747-200F aircraft to claim the planes. The notice said if the owners “fail to collect the aircraft within 14 days…, we reserve the right to sell or otherwise dispose of the aircraft”. Fees for landing, parking and storage were also owed. If no payment is received by December 21, the planes will be auctioned or sold for scrap to recoup the outstanding charges. (The Star Online)
The classifieds ad in The Star newspaper seeking the owner(s) of the 747s
Proton considering price increase in 2016
Proton Holdings Bhd is planning to increase the prices of its cars starting January next year due to the weakening ringgit. Its CEO said in a statement that the price increase is seen as an industry situation, as prices need to be raised to compensate for the effect of the lower ringgit, due to the fact that many of the raw materials are purchased in foreign currency. The company is evaluating its price structure and the percentage of the price increase will depend on the models. Despite efforts in reducing operational costs and rationalising operations, the weak ringgit continues to put pressure on Proton and affecting the industry as a whole. (New Straits Times Online)
