Almost RM250 million yet to be paid by IPPs into national trusts

KUALA LUMPUR, 7 Nov 2019:

The Energy, Science, Technology, Environment and Climate Change Ministry (MESTECC) has yet to receive RM197.9 million in arrears – which is due to be deposited into the Electricity Supply Industries Trust Account (AAIBE) from independent power producers (IPPs) for the period 2008 to 2018.

Minister Yeo Bee Yin, said that for Sabah AAIBE, a total of RM50.7 million in arrears had yet to be cleared by IPP.

“To ensure that IPPs meet licence requirements and contributed to the AAIBE and Sabah AAIBE funds, the ministry recently through the Energy Commission took action to ensure that contributions for the financial year ending 2018 could be collected before Dec 31 this year.

“For IPPs that are unable to make a ‘one-off’ payment, negotiations are underway to provide a payment plan in installments and to ensure that the existing arrears are cleared,” she said in response to a question by Chan Foong Hin (PH-Kota Kinabalu) at the Dewan Rakyat today.

Yeo also informed that until now the ministry had successfully secured IPPs’ commitment to pay RM100.7 million to AAIBE and RM4.8 million to Sabah AAIBE in instalments before Dec 31 next year.

She said the ministry would ensure that no IPPs were spared from paying the outstanding contribution to AAIBE.

– Bernama