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Dialogue with TNB Distribution

Posted on 1st February 2011 06:06 PM | News and Event  
 

For the album – A group photo capped off the dialogue.

An annual dialogue with TNB Distribution was successfully held on 9th December 2010. Engr Fu Wing Hoong (TEEAM President) led a 9-member delegation to the dialogue. They were Ir Chew Shee Fuee (Vice President), Mr Yap Ching Kiat (Vice President), Mr Ho Khai Hong (Honorary Secretary), Mr Suresh Kumar Gorasia (Past President), Members: Ms Theresa Lam, Mr Christopher Wong and Mr Mohd Supian, and Ms Agnes Keng (Deputy Executive Secretary).

The dialogue was chaired by Tn Hj Hussin Othman (TNB Vice President – Distribution). Other TNB officials present were Mr Mohd Yusof Ibrahim (Chief Engineer – Operation Region 1), Ir Syed Abu Hanifah Syed Alwi (General Manager – Materials Management), Ir Nirinder Singh (Assistant General Manager – Customer Relationship), Ir Abdul Aziz Abdul Majid (Chief Engineer – Region 2), Mr Mohd Subian Sukaimy (Chief Engineer – Engineering Services), Mr Zulkeple Hussin (Special Officer to Vice President, Distribution) and Mr Hafeez Khalib (Special Officer to Vice President, Distribution).

TEEAM took the opportunity to highlight to TNB the on-going activities of the association and current issues faced by the members. Among the issues discussed were as follows:

Local Products and Sijil Gunapakai

Local manufacturers have invested much time and effort to produce electrical equipment that meet and conform to International Standards. Despite that such products are exported, accepted and used overseas, TNB still insists on testings by the utility and getting the ‘Sijil Gunapakai’ (SGP) prior to TNB’s purchase.

TEEAM appealed for the withdrawal of this practice which deters our local industry to carry out further research and innovations. Should there be specific requirements that TNB feels necessary, TEEAM proposed that TNB incorporates them into the Malaysian Standards.

TEEAM hoped that TNB can accept the certification issued by any Conformity Assessment Bodies listed with the Joint Sectoral Committee of the ASEAN EE MRA (Mutual R e c o g n i t i o n Agreement). The objective of the ASEAN EE MRA is to do away with retesting and recertification through mutual acceptance of test reports and certification. All manufacturers will find their products competitive if there was in place the concept of ‘one standard’, ‘one test’ and ‘one approval’.

TNB responded that when a tender is called for a product and there are five or more suppliers with SGP, then it is mandatory for that tender to be opened only to suppliers who have SGP. However, if the product has less than five suppliers with SGP, then the SGP is not mandatory except for cables whereby SGP is mandatory.

He stressed that it is advantageous for suppliers to get SGP for their products. Products that have SGP will not be subjected to further testing and instead will have a simpler evaluation process for their technical compliance. If a product does not have SGP, TNB may request for all relevant documents such as type testing report for the evaluation process.

E-application for Electricity Supply

TEEAM requested TNB for an update on the progress of e-application for electricity supply as there were some difficulties faced by members.

TNB informed that the e-application was launched and presented to TEEAM. The system has gone through many upgrading exercises and TNB is now revising the software to link directly with the ST database. When the system is fully implemented by early 2011, all contractors who are licensed by ST can subscribe to the e-application. Electricity supply application and submission of G&H forms will be on-line.

Location of meters

TEEAM members from Penang Electrical Merchants Association (PEMA) disclosed that there were some problems with the metering location for their domestic and commercial projects. A dialogue was held with TNB Penang in August 2010 and thereafter some guidelines were published on the meter location as well as connection charges, application for road excavation permits and types of fire-fighting equipment. These were distributed to PEMA members for reference.

TEEAM would like to see updated national uniform guidelines from TNB for domestic and commercial customers to be published in the TNB website. The metering location is decided by the architects and consultants. TNB should dictate the preferred locations and requirements to these professionals. Contractors merely follow the drawings. TNB highlighted that in principle, there should be an unobstructed view of the meter.

TEEAM’s proposal that TNB to liaise with the architects and consultants on the meters location is well taken. TNB will write in officially to stakeholders association on the matter.

Tender Policy

TEEAM seeked clarification on TNB’s tender policy such as special preference for Bumiputra on certain tenders.

TNB informed that there is a preference policy on TNB procurement. For works and services project valued below RM 250,000 the project is reserved for Bumiputra contractors. Whereas for projects above RM 250,000 value, they are open tenders.

There is a 5% loading factor added on the non- Bumiputra tender price for the evaluation process to select the lowest tender price.

TNB confirmed that the utility normally issues open tender ahead, before the special reserved tender for TNB vendors.

Power Factor (PF) Improvement

TEEAM is promoting that if every consumer can achieve at least 0.95 PF, then TNB has another 10% of electricity for sale, without incurring any additional investment cost. TEEAM hoped that TNB is receptive to this win-win idea to perhaps offer some incentives in the form of discounts to the consumers’ bill.

TNB duly noted of TEEAM’s proposal on the reimbursement to consumers who achieve power factor of > 0.85.

Since there is a revision on the electricity tariff which is announced by the Minister, TNB will consider TEEAM’s proposal on PF improvement.

Conclusion

The dialogue was fruitful and TEEAM thanked TNB for the time and opportunity to voice the industry’s concerns. Both parties hoped the close working relationship will continue to flourish.

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