Rangkaian Khidmat Awam Negeri Sarawak
A MONTHLY SUPPLEMENT OF RAKAN SARAWAK BULLETIN

(People, events, activities and programmes which make for a total quality-managed Sarawak Civil Service)

ISSN 1394-5726

 
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Currents Of Necessity Sarawak Electricity Supply Corporation (SESCo).

In The Beginning

In this present age and modern society, electricity has become synonymous with the basic necessities of life such as food, water and shelter. It is very difficult for us to imagine going for a period of time without the currents of electricity to ease our days and light up our nights.

In Sarawak, public electricity supply came into existence more than eight decades ago when in 1921, an electrical section was set up in the Public Works Department to look into this particular aspect for the state. From that small base, the Sarawak Electricity Supply Company Limited was then formed in 1932. The Company was licensed to operate public electricity supply throughout Sarawak with exclusive generating rights. The state government held 51% of the shares while Messrs. United Engineers Ltd. of Singapore held 49% shares. In September 1953, the state government bought over all shares held by United Engineers Limited and became the sole owner of the Sarawak Electricity Supply Company. Since then, the Sarawak Electricity Supply Company Limited has been operating as a public utility undertaking. Under theSarawak Electricity Supply Ordinance 1962, the Sarawak Electricity Co. Ltd. was dissolved and on 1 January 1963, the Sarawak Electricity Supply Corporation (SESCo) was established.

Thirty years after SESCo’s establishment, the Sarawak Electricity Supply Ordinance 1962 was amended in 1992 to enable other parties besides the state government to own shares in the Corporation. On 31 January 1996, the Sarawak Enterprise Corporation Berhad acquired 45% stake in SESCo to date.

Vision, Mission and Goals

SESCo’s vision is to become a world class utility which is acknowledged as excellence-driven, results oriented, and customer and community-sensitive.

As SESCo is in the electricity supply business, its mission is to supply electric power reliably and at the lowest possible cost - for development of the State and to contribute to the improvement of quality of life of the people of Sarawak.

SESCo has set out several corporate goals to achieve its vision and mission as follows:

- To supply reliable power at lowest possible cost.
- To provide our customer with value through quality service.
- To provide caring work environment for our people at work and foster openness, mutual respect and teamwork.
- To be financially viable and maintain a reasonable return on investment.
- To be valued member of the community that we served.

Statutory Functions

Pursuant to Sec 14 (l)(a)-(e) of the SESCo’s Ordinance 1962, the general functions of the Corporation shall be:

- to manage and work the electrical installations transferred to the Corporation by this ordinance 1962 and such other installations and apparatus as may be acquired by the Corporation under the provisions of this Ordinance;
- to establish, manage and work such electrical installations as the Corporation may deem it expedient to establish;
- to promote and encourage the generation of energy with a view to the economic development of Sarawak;
- to secure the supply of energy at reasonable prices; and
- to advise on all matters relating to the generation, transmission, distribution and use of energy.

Electricity Licence
Visual caliper and resistance checking of Type-V MR on-Load Tap Changers (OLTCs) used for MV distribution (33/11kV) network


Pursuant to Section 4(1) of the Electricity Ordinance, SESCo was granted licence to use, work and operate installation and supply for the use of other person, energy from such installation. The said licence was consolidated into a Block Licence on 15 November 1992. The Block Licence basically stipulates that SESCO has the sole and exclusive right to the following:

i. use, work or operate any installation, and
ii. supply to, or for the use of any person within the licence or area of supply.

The above right applies throughout the geographical areas of the state of Sarawak except for eight areas that are currently covered by other electricity licence, e.g., MLNG areas. The duration of the Block Licence is for a period of fifty years commencing from 15 October 1992.

Power System Development in Sarawak

During the early days, public electricity supply was made available through localized power generated using diesel engines with a small local distribution network using 11kV and 415V. The first 33kV network was introduced in 1973 in Kuching, and the first parallel operation of power systems was introduced in 1978. Further progress in electricity supply was made in the state with the Batang Ai Project in 1984/85 where the first 275kV transmission system became a reality. This 275KV system was extended to Sibu in 1987/88 to optimise Batang Ai operation and in 1992, the system was then extended to Bintulu to exploit gas for power generation through the four fuel strategy.

By 1997, the 275KV system was extended to Miri and this milestone captured about 95% of SESCo’s demand. At this time, only Kapit, Limbang, Lawas, Marudi, Mukah and a host of other smaller towns and rural settlements are still supplied by isolated systems. Today, electricity supply has improved by leaps and bounds.

SESCo has increased to 808MW grid installed generation capacity (including 310 MW IFF), transmission lines of 765km-275kV and 135km-132kV, and a consumer base of 361,545.

In 2002, the energy generation in Sarawak was 3,798GWh provided by 36 power stations with the maximum demand at 603MW. The sources for the energy generation comes from hydro (10%), fuel oil (12%), gas (38%), coal (IPP) (16%) and gas (IPP) (24%). The sales income for SESCo in February 2003 was RM71 million. Revenue was generated from four main classes – commercial (38%), industrial (30%), domestic (30%) and street lighting (2%).
At present, the electricity supply in Sarawak is divided into 7 administrative regions – Western Region (Kuching), Sri Aman Region, Sarikei Region, Central Region (Sibu, Mukah), Bintulu Region, Northern Region (Miri) and Limbang Region.

Generation Development Plan

In order to anticipate the future demand of electricity supply in Sarawak, SESCo is embarking on strategic development plans to expand and increase the energy generation of the state.

The short term plan includes expanding the existing grid baseload coal fireplant to achieve a regional power balance (2x50MW IFF is under construction), and establishing small stations with small diesel sets and mini-hydros that are connected to grid where it is feasible and beneficial.

The medium term plan is to continue expanding the Bintulu Power Station for peaking/ reserve. A total of 200MW of new generation capacity is planned
before the Bakun Hydro Power development.

The long term plan is to utilise the Bakun Hydro Power development or alternative hydro sources.

Transmission Development Plan

With the projected increase in energy generation in Sarawak, transmission capacity throughout state will need to be improved as well.

The short and medium term plans in this area are as follows:

- Continue reactive power compensation to increase power transfer capability and reduce transmission losses of transmission system.
- Provide new bulk supply points or additional transformation capacity
- Extend sub-transmission network, e.g., Kemana to Mukah The long term plan is to associate with new baseload generators, e.g., the
Bakun Hydo Power development and establishing lines along the coastal line.

There is also the possible interconnection with neighbouring utilities such as the Borneo Grid Masterplan Study under TBICC, Sarawak - West Kalimantan Inter-connection, and Brunei, Sabah and Sarawak Interconnection.

MS ISO 9002 Internal Quality Audit (IQA) in progress at the control room of the Bintulu Power Station Staff Training on Integrated Occupational Health & Safety and Environmental Management System in Kuching

Human Resource

SESCo presently employs 2,023 staff with 12% in the managerial & professional level, 38% in the Technical Support level and 40% in the Clerical Support level. The Corporation places great importance on human resource development and management. Thus, there is strategic emphasis on the
following:

1. Maximising the utilisation of the human resources through correct deployment of employees according to their skills.
2. Skills development and retaining of skilled employees.
3. Providing ample opportunities for employees of all levels to enhance their skills and competencies through training.
4. Providing ample opportunities for employees at all levels to advance in their careers.
5. Caring policies for employees welfare and recreation
6. Maintaining a progressive workforce with a high sense of belonging and high productivity level.
7. Providing a conducive working environment for the employees.

Customer Service and Asset Management

According to the Chief Executive Officer, Mr. Roger Wong, SESCo plays a critical role in the development of the state. The Corporation is responsible
for improving the living standards of the people. Therefore, there is the need to ensure it is successful in playing its role.

SESCo started with a small base and very basic technology but after 20- 30 years, it has now managed to achieve a low debt-to-equity ratio due to its good management. As the newly appointed CEO, his main concern is the long term viability of SESCo so that the state could continue to receive good
electricity supply at reasonable rates.

The first focus of SESCo is on good progress customer service and customers satisfaction is a priority.

The second focus is on good management. SESCo has a fixed asset of RM4.104 billion in 2002 which need to be looked after, properly managed and timed such that it receives better returns which in turn would keep the cost of electricity down.

A proper organisational structure is in the process of being implemented whereby the main focus is on customer care and asset management. The restructuring exercise will serve to propel a proper sense of ownership and a positive change in work culture and mindset.

The new structure of SESCo will include a Customer Care Division where experts will be placed to take care of and plan strategic customer care programme and initiatives. Customers with special requirements could then be properly attended to in the long run. In addition, a fully manned, 10-hour,
call centre will be established during office hours where a skeleton staff will be available to handle emergency calls.

The ultimate aim is to treat the customers as persons. There will be regular customer surveys conducted to gather feedback on the quality and level of services SESCo is providing.

Public awareness campaigns are in the future workings where the public could be educated on different aspects of electricity supply, e.g., possible causes of power outages that could be due to cables and equipments exposed to weather, vandalism or obstruction from vegetation.

Besides providing electricity supply to the public, SESCo also assist by contributing to the community in various ways – connecting remote areas despite
higher costs involved, working closely with educational institution as its sees education as an important part of the state’s development, and providing training for staff as well as electricians from the private sectors. In addition, SESCo frequently donates to charitable organisations.

The CEO would like SESCo to be seen as a model statutory body and utility company in the state, and his hopes is for the staff to be excited about the bright future of SESCo. More details on SESCo can be found in its website www.sesco.com.my

 
 



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