Tuesday, January 20, 2009

TNB turn red and IPPs lol

Watched the Buletin Utama and read online news that our sole power provider TNB for this country announced loss RM944 million in the 2nd quarter ended November 30 2008.

TNB claim loss because of forex exchange,weaker demand and fuel cost.

TNB also warned that it performance for the year will be worse than 2008.
Whom TNB warned? Government, us as customers or shareholder for it's own bad perfomance.

TNB possibly warned government that its revenue is already tight so do not try to cut the tariff.

TNB possibly warned customers that they have to maintain current rate (at least) so please do not dream of enjoying lower tariff.

BUT TNB cannot give a warning to our beloved corporations under the name of INDEPENDENT POWER PRODUCERS (IPPs) that suck the money from TNB's pouches of 9.5bil for FY2008 and it will soar to 12bil this year eventhough demand for the power forecasted to drop this year due to economic slowdown. According to TNB, payment for these IPPs and fuel cost represent 60.5% of their operating cost.

Everybody knows that the main problem here is not foreign exchange or fuel cost but it's all about IPPs. Look like nobody can do anything with this IPPs.

Even our government can't do anything when they try to imposed windfall tax but eventually revoke after certain pressure put by certain parties mainly the financiers to this IPPs.

So who else can we give hope?


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