Saturday, 17 May 2025

Sarawak Energy’s solar projects unaffected by US tariffs

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The 50MW Batang Ai floating solar farm on the Batang Ai Hydroelectric Plant (HEP) reservoir marks Sarawak's first integrated hydroelectric and solar power scheme, paving the way to enhanced energy security in alignment with the region’s vision for a low carbon economy.

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KUCHING: Sarawak Energy remains unaffected in its solar project plans despite the United States’ tariffs targeting Chinese-manufactured solar panels.

In response to concerns about the minimal impacts of these tariffs on Sarawak’s renewable energy initiatives, Sarawak Energy Group Chief Executive Officer, Datuk Sharbini Suhaili, said the utility provider will continue to source panels based purely on technical specifications and sustainability criteria, irrespective of their origins.

“Our solar projects in Sarawak continue as planned according to relevant governing policies and requirements,” he stated.

Datuk Sharbini Suhaili

He highlighted that Sarawak Energy maintains a balanced supply chain involving both international and domestic suppliers, including Chinese and Malaysian manufacturers, reflecting the company’s broad risk management strategy.

“Sarawak Energy has always maintained a diverse supplier base as part of our risk management strategy. The recent US tariffs have not fundamentally altered this approach.

“We continuously evaluate suppliers based on multiple criteria, including technical capabilities, reliability, commercial terms, and sustainability considerations,” he explained.

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On whether Sarawak Energy would pivot towards local manufacturing due to tariff pressures, Sharbini indicated a positive stance towards local production, provided quality and sustainability standards are met.

“We welcome the development of local manufacturing capacity that meets our quality standards and contributes to Sarawak’s industrial development,” he said.

Regarding the role of international investments, particularly from China, Sharbini acknowledged their contribution positively.

“Sarawak Energy views all investment in Sarawak’s renewable energy sector, whether domestic or international, by how it contributes to Sarawak’s sustainable development goals.

“Chinese companies, like other international partners, bring valuable expertise that can accelerate our renewable energy ambitions,” he added.

While he did not elaborate on upcoming solar projects, he reiterated Sarawak Energy’s ongoing commitment to nurturing local industrial capabilities, provided they align with commercial and technical viability.

“Our procurement processes will continue to prioritise integrity, quality, reliability and value, while considering the broader economic benefits to Sarawak,” he said.

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