[asia-apec 1705] Malaysian PM Says Govt Studying Scale Of Bakun Dam-Report

[Kevin Yuk-shing Li]

Malaysian PM Says Govt Studying Scale Of Bakun Dam-Report

   KUALA LUMPUR (Dow Jones)--Malaysian Prime Minister Mahathir Mohamad
Monday said the government was studying whether to revive the mammoth Bakun
hydroelectric dam project in its originally planned scale, Bernama news
agency reported.

   The dam, located in the East Malaysian state of Sarawak, had been
intended to have a production capacity of 2,400 megawatts.

   Mahathir said a lot of money had been spent on various requirement for
the project and "this must not be wasted." He said "demand for electricity 
is mounting very fast in Malaysia."

   The Far Eastern Economic Review reported in its Jan. 18 issue that the
government's Economic Planning Unit last month began calling for bids for
the controversial 15 billion ringgit ($1=MYR3.80) project.

   The report said the tender specifications indicate the dam won't be
scaled back, as Mahathir had indicated last year.

   It said the cost of the project could surge to MYR20 billion because of
the ringgit's fall against the U.S. dollar.

   The project, which was shelved in 1997 in the wake of the East Asian
financial crisis, was undertaken by a consortium led by construction company
Ekran Bhd. (P.EKN), but was taken over by the government in late 1997.

   -By Nirmala Menon; Dow Jones Newswires; 603 2692 5254;

The Borneo Post

Tuesday January 16, 2001

Bakun HEP: Full-scale revival still under study
By BERNAMA

Publishing Date : 16/01/2001

KUALA LUMPUR, Mon.- The government is studying whether to revive the Bakun
Hydro-Electric Dam project on a full scale basis, Prime Minister Datuk Seri
Dr Mahathir Mohamad said today at the Ministry of National Unity and Social
Development's Hari Raya gathering here.

Last October, the Prime Minister confirmed that the project in Belaga,
Sarawak, would be revived.

However, he said the government had not decided then if the project would
be revived to its full scale.

He had said a lot of money had been spent on various requirements for the
project and "this must not be wasted and that "demand for electricity is
mounting very fast in Malaysia."

The Bakun project was shelved during the economic downturn in late 1997 and
was taken over by the Minister of Finance Incorporated from Bakun
Hydroelectric Corporation Bhd (BHC) in August last year.

Speculation that the Bakun project would be revived to its full scale had
boosted prices in shares of companies controlled by Tan Sri Ting Pek
Khiing, who owns BHC.