Preparatory Survey Report P P G - E - P M (PPP I P) (Public Version)

Malaysia
PREPARATORY SURVEY REPORT

FOR
PHOTOVOLTAIC POWER GENERATION
- ECONATION - PROJECT
IN
MALAYSIA
(PPP INFRASTRUCTURE PROJECT)
(PUBLIC VERSION)
February 2016
Japan International Cooperation Agency
Panasonic Corporation
NEWJEC Inc. O S
JR（先）
16-034
Table of Contents
Preparatory Survey Report List of Figures and Tables / Abbreviations
Table of Contents
Chapter 1 Socio-economic Conditions in Malaysia and Northern States

Socio-economic Status of Malaysia ............................................................................... 1 - 1
1.1.1 Population ......................................................................................................... 1 - 1
1.1.2 Economy ........................................................................................................... 1 - 1
1.1.3 National Development Policy ........................................................................... 1 - 4
Northern States and NCIA ............................................................................................. 1 - 9
1.2.1 Outline of Northern States (from NCIA's Brochure) ........................................ 1 - 10
1.2.2 Socio-economic Status of Northern States........................................................ 1 - 10
1.2.3 Northern Corridor Implementation Authority (NCIA) ..................................... 1 - 15
Brief history of the Project ............................................................................................. 1 - 16
1.3.1 Activities of Panasonic Group in Malaysia....................................................... 1 - 16
1.3.2 Evolution of the Project .................................................................................... 1 - 17
Chapter 2 Power Sector and Use of Renewable Energy in Malaysia

2.1 Power Sector Policy ....................................................................................................... 2 - 1
Energy Policy .................................................................................................... 2 - 1
Electricity Policy ............................................................................................... 2 - 2
2.2 Organizations of Electricity Sector ................................................................................ 2 - 2
Administrative Bodies....................................................................................... 2 - 2
Private Companies ............................................................................................ 2 - 4
Private Initiative in Electricity Sector ............................................................... 2 - 5
2.3 Power Market in Peninsular Malaysia ........................................................................... 2 - 11
Current Situation of Power Market ................................................................... 2 - 11
2.4 Promotion of Renewable Energy and Feed-in-Tariff ..................................................... 2 - 16
Government Policy on Use of Renewable Energy ............................................ 2 - 16
Feed-in-tariff (FIT) Measure ............................................................................. 2 - 18
New Framework to Promote PV Generation Development .............................. 2 - 21
Chapter 3 Project Formation

3.1 Project Background and its Necessity ............................................................................ 3 - 1
3.1.1 Local Development Issues and Necessity of Business...................................... 3 - 1
3.1.2 Project Overview and Basic Scope ................................................................... 3 - 1
3.1.3 Expected Business Effect .................................................................................. 3 - 2
3.2 Site Selection.................................................................................................................. 3 - 2
3.2.1 Site Selection Policy ......................................................................................... 3 - 2
3.2.2 Site Selection Process ....................................................................................... 3 - 2
3.3 Project Formation based of PPP ..................................................................................... 3 - 4
3.3.1 Special Purpose Company (SPC) as a main player of the project .................... 3 - 4
3.3.2 Operation and Maintenance Organization ........................................................ 3 - 4
3.3.3 Econation Sub Committee ................................................................................ 3 - 5
3.3.4 Facility after 25 Years of the Project Period ..................................................... 3 - 5
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in Northern States of Malaysia
Table of Contents
List of Figures and Tables / Abbreviations Preparatory Survey Report
Chapter 4 Outline Design and Project Cost

4.1 Site and Capacity of Solar Farm..................................................................................... 4 - 1
4.1.1 Acquisition Process for the Land (Business Site) ............................................. 4 - 1
4.1.2 System Size Study ............................................................................................. 4 - 1
4.1.3 Installation Site.................................................................................................. 4 - 2
4.1.4 Characteristic of the Surrounding Area ............................................................. 4 - 3
4.1.5 Necessity of Site Preparation Work .................................................................. 4 - 3
4.2 Outline Design................................................................................................................ 4 - 4
4.2.1 Outline Design of Power Generation Equipment and related Equipment ......... 4 - 4
4.2.2 Estimate of Power Generation Amount............................................................. 4 - 8
4.2.3 Grid Interconnection ......................................................................................... 4 - 12
4.2.4 Transmission Line Equipment .......................................................................... 4 - 18
4.2.5 Construction Plan .............................................................................................. 4 - 24
Chapter 5 Project Scheme and Financing of the Project

5.1 Business Scheme ............................................................................................................ 5 - 1
Chapter 6 Environmental and Social Consideration

Overview of the Project Component that causes Environmental and Social Impacts.... 6 - 1
6.1.1 Project Site ........................................................................................................ 6 - 1
6.1.2 Project Outline .................................................................................................. 6 - 1
6.1.3 Installation Work Plan....................................................................................... 6 - 7
Environmental and Social Baseline................................................................................ 6 - 8
6.2.1 Natural Environment ......................................................................................... 6 - 8
6.2.2 Social Environment ........................................................................................... 6 - 16
System and Organization related to Environmental and Social Consideration
in Malaysia ..................................................................................................................... 6 - 21
6.3.1 Legal Framework related to Environmental and Social Consideration............. 6 - 21
6.3.2 Organization related to Environmental and Social Consideration .................... 6 - 21
6.3.3 EIA System in Malaysia.................................................................................... 6 - 22
Comparative Study on Alternatives ............................................................................... 6 - 24
6.4.1 Comparison of Site Location............................................................................. 6 - 24
6.4.2 Zero Option ....................................................................................................... 6 - 24
Scoping and TOR of Environmental and Social Consideration Study........................... 6 - 25
6.5.1 Scoping.............................................................................................................. 6 - 25
6.5.2 TOR ................................................................................................................... 6 - 26
6.5.3 Methods of Site Survey ..................................................................................... 6 - 27
Result of Environmental and Social Consideration Survey ........................................... 6 - 28
Environmental Impact Assessment ................................................................................ 6 - 31
Mitigation Measures and Cost........................................................................................ 6 - 33
6.8.1 Mitigation Measures.......................................................................................... 6 - 33
6.8.2 Cost for Mitigation Measures ............................................................................ 6 - 33
Monitoring Plan.............................................................................................................. 6 - 33
6.9.1 Implementing Organization............................................................................... 6 - 33
6.9.2 Monitoring Plan ................................................................................................ 6 - 34
Stakeholder Meeting ...................................................................................................... 6 - 35
6.10.1 Attendance......................................................................................................... 6 - 35
6.10.2 Jabatan Kerja Raya – Public Works Department, Subject of Discussion ......... 6 - 35
Preparatory Survey on Econation Solar Project - ii -

Table of Contents
Chapter 7 Project Execution Plan

Schedule ......................................................................................................................... 7 - 1
Construction Schedule of Solar Power Plant ................................................................. 7 - 1
Appendices
Appendix 1 Memorandum of Understanding between the Northern Corridor Implementation
Authority and Panasonic Eco Solutions (M) Sdn. Bhd.
Appendix 2 Sample of License for Generation and Supply of Electricity
Appendix 3 Topographic Map of the Site
Appendix 4 Specifications of Photovoltaic Module
Appendix 5 PSS Report
Appendix 6 Minutes of the Stakeholder Meeting
Appendix 7 Monitoring Form
Appendix 8 Environmental Checklists
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Table of Contents
List of Figures
Figure 1-1 Population of Malaysia ............................................................................................. 1 - 1

Figure 1-2 Malaysia's GDP Growth and Per Capita GDP .......................................................... 1 - 2
Figure 1-3 Malaysia's GDP Growth by Sectors .......................................................................... 1 - 2
Figure 1-4 Malaysia's Export/Import Values (nominal).............................................................. 1 - 3
Figure 1-5 Components of Malaysia's Export (nominal)............................................................ 1 - 3
Figure 1-6 Productions of Crude Oil and Natural Gas in Malaysia ............................................ 1 - 4
Figure 1-7 Malaysia's National Development Planning Framework .......................................... 1 - 4
Figure 1-8 Generation Mix Target in 11MP................................................................................ 1 - 6
Figure 1-9 Renewable Energy Development Plan in 11MP ....................................................... 1 - 7
Figure 1-10 Target of Increase of Reliability of Electricity in 11MP ........................................... 1 - 7
Figure 1-11 Economic Corridors in National Development Plan ................................................. 1 - 9
Figure 1-12 Comparison of State Population, 2000 and 2010 ...................................................... 1 - 11
Figure 1-13 Change of GDP by State ........................................................................................... 1 - 12
Figure 1-14 GDP per capita by State [2014]................................................................................. 1 - 13
Figure 1-15 Four State GDP by Sector ......................................................................................... 1 - 14
Figure 1-16 Organization Structure of NCIA ............................................................................... 1 - 15
Figure 1-17 Geographical Linkages of Major Economic Activities in Northern Corridor ........... 1 - 16
Figure 1-18 Locations of Malaysian Companies under Panasonic Group.................................... 1 - 17
Figure 2-1 Vertical Structure of Energy Supply Industry ........................................................... 2 - 5

Figure 2-2 Application Process for Power Sector Business License .......................................... 2 - 6
Figure 2-3 Power Infrastructure of Peninsular Malaysia ............................................................ 2 - 12
Figure 2-4 Primary Energy Mix in Peninsular Malaysia ............................................................ 2 - 14
Figure 2-5 Change of Energy Sales by Customer Category ....................................................... 2 - 15
Figure 2-6 Change of Tariff by Customer Category ................................................................... 2 - 15
Figure 2-7 Target Capacity of Renewable Energy Development ............................................... 2 - 17
Figure 3-1 Locations of Proposed Candidate Sites ..................................................................... 3 - 3
Figure 4-1 Location of Perlis Site ............................................................................................... 4 - 2

Figure 4-2 Current Status of Project Site .................................................................................... 4 - 3
Figure 4-3 Topographic Map of the Site ..................................................................................... 4 - 4
Figure 4-4 Solar Radiation Distribution in Malaysia .................................................................. 4 - 9
Figure 4-5 Estimation of Monthly Energy Generated ................................................................ 4 - 10
Figure 4-6 Probability Distribution of Annual Generated Energy .............................................. 4 - 10
Figure 4-7 Key Map with Nearest TNB Substation Location .................................................... 4 - 14
Figure 4-8 Kangar Substation ..................................................................................................... 4 - 14
Figure 4-9 Single Line Diagram for Grid Connection between PV Plant
and Kangar Substation .............................................................................................. 4 - 15
Figure 4-10 Calculation Method of Inductance and Reactance of Transmission Line ................. 4 - 16
Figure 4-11 Variability of Load at Kangar Substation .................................................................. 4 - 17
Figure 4-12 Transmission Route ................................................................................................... 4 - 20
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Table of Contents
Figure 4-13 33kV Transmission Underground (UG) Segment (Part 1) ........................................ 4 - 21

Figure 4-14 33kV Transmission Underground (UG) Segment (Part 2) ........................................ 4 - 22
Figure 4-15 Location of PV Module Production Site and Power Plant Site ................................ 4 - 27
Figure 6-1 Project Site Location ................................................................................................. 6 - 1

Figure 6-2 Conceptual Design of the System ............................................................................. 6 - 2
Figure 6-3 Components along the Transmission Line ................................................................ 6 - 4
Figure 6-4 Detailed Transmission Line Route (1) ...................................................................... 6 - 5
Figure 6-5 Detailed Transmission Line Route (2) ...................................................................... 6 - 6
Figure 6-6 Distance from Chuping Meteorological Station to the Project Site .......................... 6 - 8
Figure 6-7 Average Monthly Rainfall over 11 Years Period (2003 to 2013) .............................. 6 - 9
Figure 6-8 Average 24-hour Mean Temperature from Year 2003 to 2013 ................................. 6 - 10
Figure 6-9 Wind Rose Summary of Chuping from Year 2003 to 2013 ...................................... 6 - 10
Figure 6-10 Geological Map of Peninsular Malaysia ................................................................... 6 - 12
Figure 6-11 Soil Type Map of Perlis ............................................................................................ 6 - 13
Figure 6-12 Protected Area Map .................................................................................................. 6 - 14
Figure 6-13 Forest Type Map ....................................................................................................... 6 - 15
Figure 6-14 Distance from Project Site to Timah-Tasoh Dam ..................................................... 6 - 15
Figure 6-15 Project Site Location within the Perlis State............................................................. 6 - 17
Figure 6-16 Project Site and the 3km Radius Surrounding .......................................................... 6 - 19
Figure 6-17 Current Site ............................................................................................................... 6 - 20
Figure 6-18 EIA Procedure in Malaysia ....................................................................................... 6 - 23
Figure 6-19 Location of Measurement Sites for Air and Water Quality, Noise Level.................. 6 - 28
Figure 6-20 Stakeholder Meeting on 6th August, 2015 ................................................................ 6 - 36
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Table of Contents
List of Tables
Table 1-1 Proportions of Population of Northern Four States................................................... 1 - 11

Table 1-2 Proportions of GDP of Northern Four States ............................................................ 1 - 12
Table 1-3 Malaysian Companies owned by Panasonic Group .................................................. 1 - 16
Table 2-1 Type of Licenses in Power Sector Businesses .......................................................... 2 - 6

Table 2-2 IPP Operator's Generation Type, Capacity, Generated Energy [2014] ...................... 2 - 8
Table 2-3 Issues PPAs in the Past and Improvements Made ..................................................... 2 - 10
Table 2-4 Energy Balance in Peninsular Malaysia .................................................................... 2 - 13
Table 2-5 Generation Capacity in Peninsular Malaysia [2013]................................................. 2 - 13
Table 2-6 Primary Energy Mix in Peninsular Malaysia ............................................................ 2 - 13
Table 2-7 Number of Customers of Electricity in Peninsular Malaysia .................................... 2 - 14
Table 2-8 Energy Sales by Customer Category in Peninsular Malaysia ................................... 2 - 14
Table 2-9 Average Selling Price of Energy of TNB .................................................................. 2 - 15
Table 2-10 Electricity Demand Forecast for Peninsular Malaysia .............................................. 2 - 16
Table 2-11 Change of FIT Tariff for PV Power Generation [RM per kWh] ............................... 2 - 19
Table 2-12 Capacity of Renewable Plant based on FIT Measure [as of Jan. 2016] .................... 2 - 19
Table 2-13 Generated Energy of Renewable Plant based on FIT Measure [as of Jan. 2016] ..... 2 - 19
Table 2-14 Reduction of CO2 Emission due to Renewable Plant based on FIT Measure
[Jan. 2016]................................................................................................................. 2 - 20
Table 2-15 FIT-Applicable Capacity Quota of Renewable Energy [Jan. 2016] .......................... 2 - 21
Table 3-1 Proposal on Candidate Sites by Four States .............................................................. 3 - 2

Table 3-2 Results of Site Reconnaissance ................................................................................. 3 - 3
Table 3-3 Possible Substations for Interconnection and Their Conditions ............................... 3 - 3
Table 4-1 Possible Substations for Chuping Valley (Perlis) Project (Detail) ............................ 4 - 1
Table 4-2 List of Major Equipment ........................................................................................... 4 - 7
Table 4-3 Certification of the Model of PV Module ................................................................. 4 - 7
Table 4-4 Solar Radiation in Malaysian Cities .......................................................................... 4 - 8
Table 4-5 Monthly Radiation, Temperature and Estimated Generated Energy ......................... 4 - 11
Table 4-6 Monthly Radiation, Temperature and Estimated Generated Energy
for NASA-SSE .......................................................................................................... 4 - 11
Table 4-7 Candidate Substations and Their Outlines ................................................................ 4 - 13
Table 4-8 Power Loss and Voltage Drop due to Transmission .................................................. 4 - 15
Table 4-9 Inductance and Reactance of Transmission Cable .................................................... 4 - 16
Table 4-10 Selection of Cable for Transmission Line ................................................................. 4 - 17
Table 4-11 33kV Overhead Line Equipment............................................................................... 4 - 19
Table 4-12 33kV Underground Line Equipment ......................................................................... 4 - 19
Table 4-13 Voltage Drop ............................................................................................................. 4 - 23
Table 4-14 Concrete Poles........................................................................................................... 4 - 23
Table 4-15 33kV Overhead Line OC-W 150mm2 ....................................................................... 4 - 23
Table 4-16 33kV Underground Line CVT 200mm2 .................................................................... 4 - 23
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Table of Contents
Table 4-17 33kV Overhead Ground Line AW 25mm2 ................................................................ 4 - 23

Table 4-18 33kV Overhead Line Insulator.................................................................................. 4 - 24
Table 4-19 33kV Transmission Line Construction Schedule ...................................................... 4 - 24
Table 4-20 Installation Work Schedule ....................................................................................... 4 - 25
Table 6-1 System Overview ...................................................................................................... 6 - 1

Table 6-2 33kV Overhead Line Equipment .............................................................................. 6 - 3
Table 6-3 33kV Underground Line Equipment......................................................................... 6 - 3
Table 6-4 Installation Work Schedule ....................................................................................... 6 - 7
Table 6-5 Summary of Meteorological Data (2003-2013) ........................................................ 6 - 9
Table 6-6 Percentage Frequencies of Occurrence for Concurrent Wind Direction (degrees)
and Speed (m/s) within Specified Ranges (%).......................................................... 6 - 11
Table 6-7 Record for Maximum Surface Wind Speed from the Year 2003 to 2013 ................. 6 - 11
Table 6-8 Population of Perlis state, Sub-district of Chuping, 2010 ......................................... 6 - 18
Table 6-9 Ethnic Composition of Perlis state, Sub-district of Chuping, 2010 .......................... 6 - 18
Table 6-10 Land Use Surrounding the Proposed Site ................................................................. 6 - 19
Table 6-11 Laws and Regulations ............................................................................................... 6 - 21
Table 6-12 Organizations of the MONRE .................................................................................. 6 - 22
Table 6-13 Comparison with Site Location ................................................................................ 6 - 24
Table 6-14 Scoping ..................................................................................................................... 6 - 25
Table 6-15 TOR .......................................................................................................................... 6 - 27
Table 6-16 Measurement Items and Sites for Air and Water Quality, Noise Level .................... 6 - 27
Table 6-17 Result of the Environmental and Social Consideration Survey ................................ 6 - 28
Table 6-18 Environmental Impact Assessment ........................................................................... 6 - 32
Table 6-19 Mitigation Measure ................................................................................................... 6 - 33
Table 6-20 Environmental Management Responsibilities .......................................................... 6 - 34
Table 6-21 Monitoring Plan ........................................................................................................ 6 - 34
Table 6-22 Main Opinions from Stakeholders ............................................................................ 6 - 35
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Table of Contents
Abbreviations
DL Distribution Licensee
DSCR Debt Service Coverage Ratio
EC Energy Commission
EPC Engineering Procurement Construction
EPU Economic Planning Unit
EqIRR Equity Internal Rate of Return
EXCO Executive Committee
FIT Feed In Tariff
IPP Independent Power Producer
IRR Internal Rate of Return
KeTTHA Kementerian Tenaga, Teknologi Hijau dan Air
LLCR Loan Life Coverage Ratio
MIDA Malaysian Industrial Development Authority
MP Malaysia Plan
NCIA Northern Corridor Implementation Authority
NEM Net Energy Metering
O&M Operation and Maintenance
PESMY Panasonic Eco Solutions Malaysia Sdn. Bhd.
PPA Power Purchase Agreement
PPP Public Private Partnership
PSS Power System Study
PV Photovoltaic
RE Renewable Energy
RM Malaysia Ringgit
SEDA Sustainable Energy Development Authority
SPC Special Purpose Company
ST Suruhanjaya Tenaga
TNB Tenaga Nasional Berhad
UPEN Unit Perancan Ekonomi Negeri
USS Utility Scale Solar
Preparatory Survey on Econation Solar Project - viii -

Chapter 1
Preparatory Survey Report Socio-economic Conditions in Malaysia and Northern States
CHAPTER 1
SOCIO-ECONOMIC CONDITIONS IN MALAYSIA

AND NORTHERN STATES
- Preparatory Survey on Econation Solar Project

Chapter 1
Chapter 1 SOCIO-ECONOMIC CONDITIONS IN MALAYSIA AND NORTHERN STATES
Socio-economic Status of Malaysia
Federation of Malaya became independent after WWII in 1957. In 1963 it became Malaysia with
Sabah, Sarawak and Singapore. Singapore later departed to be a sovereign state in 1965.
1.1.1 Population
Population in Malaysia was around 10 million in 1965 when it became independent. Since then it
has grown three folds into 30 million in 2013. The growth rate of population is slightly falling,
from 2% plus to less than 2 % in the 2000s.
35,000
30,000
25,000
Population (1,000)
20,000
15,000
10,000
5,000
0
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010
Source: Malaysia EPU
Figure 1-1 Population of Malaysia
Major ethnicity components are approximately; Malay 60%, Chinese 20%, and Indian 10%. The
comparison between the surveys in 2000 and 2010 shows that the proportion of Malay has been
slightly increasing.
1.1.2 Economy
Time series of GDP since 2000 (2005 base real value) and GDP per capita of Malaysia are shown
in the figure below. Except for the period of World Financial Crisis in 2008 - 2009, GDP
continuously grew at a rate around 5 to 6% p.a.
In sector GDP, Manufacturing has the largest proportion at 25 %, followed by Financial Services
16%, Commercial and Services 15%, Transport and Communication 7.5%. The growth of GDP
is mostly led by Commercial and Services, and Financial Services while the largest
Manufacturing sector growing at a lower rate.
1-1 Preparatory Survey on Econation Solar Project

Chapter 1
Socio-economic Conditions in Malaysia and Northern States Preparatory Survey Report
900 30,000
GDP [RM billion, 2005 constant price]
800
25,000
700
GDP per Capita [RM]

600 20,000
500
15,000
400
300 10,000
200 GDP
GDP per Capita 5,000
100
0 0
2000 2002 2004 2006 2008 2010 2012 2014
Source: Department of Statistics, Malaysia
Figure 1-2 Malaysia's GDP Growth and Per Capita GDP
Government Services
900
800 Other Services
GDP [RM billion, 2000 C. Price]
700 Finance, Real Estate,

Business Services
600 Transport, Communication
500 Wholesale, Retail,

Hotel and Restaurants
400 Construction
300 Electricity, Gas, Water
200 Manufacturing
100 Mining
0 Agriculture
2005 2006 2007 2008 2009 2010 2011 2012(e) 2013(p) 2014(p)
Figure 1-3 Malaysia's GDP Growth by Sectors
Malaysian economy has characteristically high export/import values in comparison with GDP. As
shown in the figure below, current account has been continuously positive with the volume of
export as large as the GDP.
The largest export items are Machineries and Transport Equipment, whose growth, however, did
not keep up with the growth of other items. Meanwhile, the export of Mineral Fuels and
Lubricants and other Manufactured Goods have been growing rapidly.
Preparatory Survey on Econation Solar Project 1-2

Chapter 1
900
800 Export
Volume of Trade [RM billion]
700 Import
600
500
400
300
200
100
0
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013p
2014p
2015p
Figure 1-4 Malaysia's Export/Import Values (nominal)
900
800
Value of Expoert [RM billion]
700 Miscellaneous Transactions and Commodities

Miscellaneous Manufactured Articles
600
Machinery & Transport Equipment
500 Manufactured Goods

Chemicals
400
Animal and Vegetable Oils and Fats
300 Mineral Fuels, Lubricants, etc.
Crude Materials, Inedible
200
Beverages and Tobacco
100 Food
0
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013p
2014p
2015p
Figure 1-5 Components of Malaysia's Export (nominal)
As seen in the above figures, the export of crude oil and natural gas, which are primary sources
of power generation in many countries, is not very large in proportion. The production volumes
of crude oil and natural gas are shown in the figure below. The growth of production of crude oil
peaked out at around 1990, and turned downward in mid 2000s. Meanwhile the production of
natural gas developed rapidly since the 1980s. It is still growing although the pace has slowed
down around in 2005.

Chapter 1
40 2.5
35
Crude Oil 2.0
Natural Gas [million MMSCF]

30
Crude Oil [million tonne]
Natural Gas
25 1.5
20
15 1.0
10
0.5
5
0 0.0
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010
Figure 1-6 Productions of Crude Oil and Natural Gas in Malaysia
1.1.3 National Development Policy
Malaysia's national development policy consists of three layers, local, regional/state, and national
levels from the bottom, to realize the future depicted in VISION 2020.
Source: The Second National Physical Plan
Figure 1-7 Malaysia's National Development Planning Framework

Chapter 1
(1) VISION 2020
VISION2020 is a statement on the national development vision made by the President then, Dr.
Mahathir in 1991. It advocated Malaysia to be a fully developed advanced nation with all
dimensions; economically, politically, socially, spiritually, psychologically and culturally. There
were nine elements pointed out which would be building components to realize this vision, as
follows;
1) Nationals integrated with an emotion that they share a destiny,

2) Malaysian society well-developed, psychologically liberal and confident,
3) Matured democratic Society,
4) Society with morality and ethics,
5) Matured, liberal and tolerant society
6) Scientific and progressive society,
7) Considerate society and helpful culture
8) Society with economic justice
9) Society with prosperity
(2) National Plan - The Eleventh Malaysia Plan
Malaysia Plan is a national development policy formulated every five years. The latest Malaysia
Plan was published in 2015 as The Eleventh Malaysia Plan (11MP). The plan covers the last five
year period toward the target year of VISION 2020, confirming the nation's intention to become
a fully developed advanced nation with all dimensions; economically, politically, socially,
spiritually, psychologically and culturally. Malaysian National Development Strategy, MyNDS is
currently under planning in line with 11MP, and the government is discussing such policy issues
as the optimal usage of limited resources, focuses on high-impact projects at low cost including
efficient yet rapid implementation, making Budget 2016 the start to the final five years of
Malaysia’s progress to a high-income advanced economy by 2020.
11MP summarizes the national development plans since 1970s as below;
New Economic Policy 1971-1990

focused on poverty eradication irrespective of ethnicity and eliminating identification of
ethnicity by economic function,
National Development Policy, 1991-2000

focused on ensuring the balanced development of major sectors of the economy and regions,
as well as reducing socio-economic inequalities across communities,
National Vision Policy, 2001-2010

focused on building a resilient and competitive nation,
National Transformation Policy, 2011-2020

maintains the people-centric focus through the New Economic Model, which sets the goal of
becoming a high-income economy that is both inclusive and sustainable.
11MP also sets six strategic pillars as shown below;
- Pillar1: Enhancing inclusiveness towards an equitable society

- Pillar2: Improving wellbeing for all
- Pillar3: Accelerating human capital development for an advanced nation

Chapter 1
- Pillar4: Pursuing green growth for sustainability and resilience

- Pillar5: Strengthening infrastructure to support economic expansion
- Pillar6: Re-engineering economic growth for greater prosperity
Energy related strategies are included in Pillar 4 and Pillar 5. Pillar 4 covers adaptations and
mitigations of climate change, the latter of which announces the goal of 40% reduction of carbon
dioxide emission intensity, and the expansion of renewable power production capacity up to
2,080MW in 2020.
Source: 11th Malaysia Plan, EPU Malaysia
Figure 1-8 Generation Mix Target in 11MP
According to the figure below, the strategies put emphasis on the expansion of biomass, biogas,
mini-hydro and solid waste while PV expansion target is set at modest 30MW in 6 years.

Chapter 1
Source: 11th Malaysia Plan, EPU Malaysia
Figure 1-9 Renewable Energy Development Plan in 11MP
Pillar 5 proposes the strengthening of stakeholder cooperation in energy sector, including

advancement of emission control at power stations, renewable energy power generation. It also
stresses the importance of power supply security, referring to the possibility of nuclear power
development and ultra-high voltage power network expansion.
Figure 1-10 Target of Increase of Reliability of Electricity in 11MP

Chapter 1
(3) National Physical Plan 2 (Ministry of Housing and Local Government)
National Physical Plan is placed between Malaysia Plan and sectoral policies/plans, and depicts
geography-specific plans such as the land use and spatial development. The first edition of the
plan was formulated in 2005, and the second in 2010. The purpose of National Physical Plan is to
make the ideas proposed in VISION 2020 more concrete, and prepare necessary quality and
efficient environment in cities, towns and rural areas.
The goal of National Physical Plan 2 is set as below,
The establishment of an efficient, equitable and sustainable national spatial framework to guide
the overall development of the country towards achieving a developed and high-income nation
status by 2020.
And there are five objectives arising from the goal,
i. To rationalise and consolidate the national spatial planning framework supported by key
strategic infrastructure for economic efficiency and global competitiveness.
ii. To optimise utilisation of land and natural resources for sustainable development and
biodiversity conservation.
iii. To promote more balanced regional development for national economic integration and
social unity.
iv. To enhance spatial and environmental quality, diversity and safety for a high quality of life
and liveability.
v. To facilitate efficient integrated inter-state connectivity and public common users’ space
provision for social interaction and sustainable communities in line with the 1 Malaysia
concept.
Concerning the electricity sector directly related to this project, the following matters were
discussed in National Physical Plan 2,
- To meet the electricity demand growth, more new efficient power plants will be built and
proposed to be located at the peripheries of the main conurbations of Kuala Lumpur, George
Town, Johor Bahru and Kuantan.
- In line with the national aspirations of green energy, more hydro power plants will be
constructed to reduce the use of fossil fuels.
- The steady growth in demand will require the transmission and distribution of electricity being
strengthened to improve the adequacy and reliability of supply. 500kV and 275kV
transmission will form the backbone of transferring large amounts of power from the power
plants to the load centres in Peninsular Malaysia,
- Cross-border power interconnections with neighbouring ASEAN countries have been in place
since 1981 and today the power systems of Peninsular Malaysia, Singapore and Thailand are
interconnected to enable exchange of power. The high voltage direct current (HVDC)
transmission links between Peninsular Malaysia and Sarawak and also between Peninsular
Malaysia and Sumatra will ultimately pave the way for the establishment of the ASEAN power
grid.

Chapter 1
Northern States and NCIA
The subject areas for this study where the solar power plant(s) will be located is the northern four
states of Malaysia, called Northern Corridor of Koridor Utara in Malay, covering four states,
Perlis, Kedah, Penang (Pulau Pinang), Perak (northern part only). It includes 21 administrative
districts and is 17,816 km2 in area.
Source: The Second National Physical Plan
Figure 1-11 Economic Corridors in National Development Plan

Chapter 1
1.2.1 Outline of Northern States (from NCIA's Brochure)
(1) Perlis State
Perlis is the smallest state in Malaysia. It lies in the northern part of the west coast of Peninsular
Malaysia, and has the Satun and Songkhla provinces of Thailand on its northern border. The
capital of Perlis is Kangar, while the royal capital is Arau. Another important town is Padang
Besar, at the Malaysian-Thailand border. The main port is the small village of Kuala Perlis,
linking mostly to Langkawi Island.
(2) Kedah State
The state of Kedah is located in the northwestern part of Peninsular Malaysia, and covers a total
area of 9,425 square kilometers, including the island of Langkawi. It consists mostly of flat rice
growing areas, and was called Syburi by the Siamese when it was under their influence.
(3) Penang (Pulau Pinang) State
Penang is located on the northwest coast of Peninsular Malaysia by the Strait of Malacca. It is the
second smallest state in Malaysia after Perlis. Penang, known as “Pearl of the Orient” to many
people, is one of the famous islands in South-East Asia. It is renowned for its culture, food and
heritage. In order to preserve the heritage of Penang, modern structures are built surrounding
these pre-war buildings. Some of these structures are built more than 100 years ago. Penang was
formally inscribed as a UNESCO World Heritage Site on 7th July 2008.
(4) Perak State
Perak is the second largest state in Peninsular Malaysia, bordering Kedah and the Yala Province
of Thailand. Ipoh, the state capital of Perak, is known historically for its rich tin-mining activities
until the drop of tin prices, which had severely affected the state economy. The royal capital is set
in Kuala Kangsar, where the palace of the Sultan of Perak is located.
1.2.2 Socio-economic Status of Northern States
(1) Population
In the statistical system of Malaysia the territory is divided into 13 states and two Federal
Territories. The populations of these states and Federal Territories in the years 2000 and 2010 are
compared in the figure below. Perlis is the smallest in population among 13 states.
Preparatory Survey on Econation Solar Project 1 - 10

Chapter 1
6,000
2000
5,000
Pupulation (1,000)
2010
4,000
3,000
2,000
1,000
0
Pulau Pinang
Terengganu
Kedah
W.P. Kuala Lumpur
Pahang
Sabah
Perlis
Selangor
Kelantan
Sarawak
Negeri Sembilan
Johor
W.P. Labuan
Perak
Figure 1-12 Comparison of State Population, 2000 and 2010
The proportions of the northern four states to the national populations are tabulated below. In
Perlis and Kedah the proportions remain the same for two periods, but in Penang and Perak they
show a slight decline.
Table 1-1 Proportions of Population of Northern Four States

Perlis Kedah Pulau Pinang Perak 4 states
2000 0.9% 7.3% 5.8% 9.2% 23.2%
2010 0.9% 7.3% 5.7% 8.7% 22.5%
Source: Study Team edited using Department of Statistics material
(2) Production
The change of GDP by state, and the proportions of four state GDP to the national figures are
shown in Figure 1-13 and Table 1-2. The four state GDPs seem to have been moving with other
states. However, the proportion figures reveal that the recovery from 2008-2009 World Financial
Crisis was a little slower in the four states than the national average.
1 - 11 Preparatory Survey on Econation Solar Project

Chapter 1
900
Supra
WP Labuan
800
Sabah
GDP [RM billion, 2005 constant price]
700 Sarawak
Melaka
600 Kelantan
Terengganu
500
Pahang
Johor
400
Negeri Sembilan
300 WP Kuala Lumpur

Selangor
200 Perak
Pulau Pinang
100 Kedah
Perlis
-
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Figure 1-13 Change of GDP by State
Table 1-2 Proportions of GDP of Northern Four States

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Perlis 0.5% 0.5% 0.5% 0.5% 0.5% 0.5% 0.5% 0.5% 0.5% 0.4%
Kedah 3.3% 3.4% 3.4% 3.3% 3.3% 3.3% 3.3% 3.4% 3.4% 3.4%
Pulau Pinang 7.2% 7.6% 7.6% 7.6% 6.9% 7.1% 7.0% 7.0% 7.0% 7.1%
Perak 5.1% 5.2% 5.1% 5.2% 5.2% 5.1% 5.2% 5.3% 5.3% 5.3%
4 states 16.1% 16.6% 16.6% 16.6% 16.0% 16.0% 16.1% 16.1% 16.1% 16.2%
GDP per capita by state is shown in Figure 1-14 below. Penang State was placed in the fourth,
while Perak in the eleventh, Perlis the thirteenth, and Kedah in the Fourteenth.

Chapter 1
100
GDP per Capita [1000 RM]
80
60
40
20
0
Pulau Pinang
Kedah
Terengganu
Perlis
Selangor
WP Kuala Lumpur
Pahang
Kelantan
Sarawak
Sabah
Negeri Sembilan
Johor
WP Labuan
Perak
Melaka
Source: Malaysia Department of Statistics
Figure 1-14 GDP per capita by State [2014]
Next, GDP by industry for four states are shown in Figure 1-15.
Perlis has the largest proportion of agriculture among four states, and the lowest manufacturing.
The largest sector is services and the growth of state GDP for the past decade depended mostly
on the services sector.
Kedah State has a similar structure of industry composition of GDP as Perak, while the
manufacturing is larger and the services smaller than in Perak. GDP growth is again supported by
services sector, with manufacturing growing at a slower pace.
Penang State GDP characteristically consists entirely of manufacturing and services.

Manufacturing seems not to have recovered entirely after World Financial Crisis in 2009, while
services sector increased the growth rate thereafter.
Perak State has a similar structure as Kedah, with smaller manufacturing and larger services
sectors in comparison. Like other states, growth is slower in manufacturing and faster in services.

Chapter 1
4,000
Perlis
3,500
GDP [RM million, 2005 C.Price]
3,000 • Plus : Import Duties
2,500 • Services
2,000 • Construction
1,500 • Manufacturing
1,000 • Mining and Quarrying
500 • Agriculture
0
2005 2006 2007 2008 2009 2010 2011 2012 2013
30,000
Kedah
GDP [RM million, 2005 C. Price]
25,000
Plus : Import Duties
20,000 Services
15,000 Construction
Manufacturing
10,000
Mining and Quarrying
5,000
Agriculture
0
2005 2006 2007 2008 2009 2010 2011 2012 2013
60,000
Pulau Pinang
50,000
Plus : Import Duties
40,000 Services
30,000 Construction
Manufacturing
20,000
Mining and Quarrying
10,000
Agriculture
0
2005 2006 2007 2008 2009 2010 2011 2012 2013
45,000
40,000 Perak
35,000 • Plus : Import Duties

30,000 • Services
25,000 • Construction
20,000
• Manufacturing
15,000
10,000 • Mining and Quarrying
5,000 • Agriculture
0
2005 2006 2007 2008 2009 2010 2011 2012 2013
Figure 1-15 Four State GDP by Sector

Chapter 1
1.2.3 Northern Corridor Implementation Authority (NCIA)
The Northern Corridor Implementation Authority (NCIA) was established under the Northern
Corridor Implementation Authority Act 2008 (Act 687) as the authority responsible for providing
direction and for devising policies and strategies in relation to socio-economic development in
the Northern Corridor Economic Region (Koridor Utara), which encompasses 21 districts in
northern Peninsular Malaysia in the states of Kedah, Perak, Perlis and Penang.
The objectives of the Northern Corridor Implementation Authority are:
• To promote and accelerate the development of the Koridor Utara into a world-class economic
region and a choice destination for investment, work and living; and
• To ensure that social development and sustainable development are kept as priorities whilst
driving economic growth in the Koridor Utara.
NCIA's organization structure is illustrated below.
Council
Chief Executive
Marketing &
Tourism & Corporate Education &
Agriculture Manufacturing Investor
Logistics Services Human Capital
Relations
Figure 1-16 Organization Structure of NCIA
NCIA's income comes from support from the federal government, grant and the management of
fund, and its expenses go to projects that support four key sectors and education and human
capital development activities. In 2013, NCIA spent RM 81 million for Manufacturing Sector
(R&D support in biotechnologies, solar technologies, etc.), RM 25 million in Agriculture Sector
(development of seeds, greenhouses, etc.) and RM 22 million in education and human capital
development (training programs in agriculture, health services, tourism, car-manufacturing, etc.).

Chapter 1
Source: Northern Corridor Economic Region Socioeconomic Blueprint, NCIA
Figure 1-17 Geographical Linkages of Major Economic Activities in Northern Corridor
Brief history of the Project
1.3.1 Activities of Panasonic Group in Table 1-3 Malaysian Companies owned by

Malaysia Panasonic Group
Number of
Panasonic Corporation started its investment Type of Business
companies
activities in Malaysia as early as 1965. In 1970,
Manufacturing 10
it opened its first Malaysian company,
Sales 4
Matsushita Electric Malaysia. Since then, it has Research & Development 1
developed manufacturing and sales bases and Logistics/Trade 1
today, owns 20 companies as shown in Table Finance 1
1-3. Insurance 1
Management 1
In the northern states, multiple business bases Engineering 1
have been established as shown in the figure total 20
below.

Chapter 1
Panasonic Energy Company MY
Panasonic Automotive Systems MY
Panasonic Manufacturing Malaysia

Panasonic AVC Networks Kuala Lumpur Malaysia
Panasonic Appliances Air-Conditioning Malaysia
Panasonic Industrial Devices Malaysia
Panasonic Malaysia
Panasonic System Engineering Malaysia
Panasonic Industrial Devices Sales Malaysia
PanaHome Malaysia
Panasonic Appliances Air-Conditioning R&D MY
Panasonic Procurement Malaysia
Panasonic Financial Center Malaysia
Panasonic Insurance Services Malaysia
Panasonic Management Malaysia
Panasonic Eco Solutions Malaysia
Panasonic Appliances Foundry Malaysia Panasonic AVC Networks Johor

Panasonic Appliances Refrigeration Devices Malaysia Panasonic System Networks
Figure 1-18 Locations of Malaysian Companies under Panasonic Group
1.3.2 Evolution of the Project
Panasonic has developed a relationship with NCIA along with efforts to contribute to the regional
societies according to its company motto. In particular in 2013 it opened a new factory in Kedah,
which gave it a focus in the northern states. The discussion with NCIA started with such an idea
as providing low-income households with a solar generation system and financial scheme in a
package, using Panasonic's locally manufactured solar modules.
At the same time, one of group companies of Panasonic Corporation was undertaking EPC
contract works for solar generation projects with a few MW size. These two were eventually
merged to become a plan to build MW-class solar power stations in northern states.
NCIA and Panasonic in collaboration further developed the plan in October 2013 into a scheme
illustrated as; the projects
- have objectives which is not to seek for short-term financial profit, but mid- to long term
regional benefit,
- to construct and operate solar farms in northern states with public and private funds,
- to utilize its financial surplus to such projects and activities as environmental protection,

Chapter 1
human resource development, realization of low-carbon societies, development of local

industries, etc.
In February 2014, the project was named as Econation Project after Malaysian Government's
initiative to build an environmentally friendly economy and nation. NCIA made public its
commitment to collaborate with Panasonic Eco Solutions Malaysia (PESMY) and cooperate with
him undertaking a feasibility study for the projects, which was confirmed in a form of
Memorandum of Understanding (MOU) signed by these two parties. A copy of MOU is attached
as Appendix 1.

Chapter 2
Preparatory Survey Report Power Sector and Use of Renewable Energy in Malaysia
CHAPTER 2
POWER SECTOR AND USE OF RENEWABLE ENERGY

IN MALAYSIA

Chapter 2
Chapter 2 POWER SECTOR AND USE OF RENEWABLE ENERGY IN MALAYSIA
2.1 Power Sector Policy
Energy Policy
National Energy Policy
National energy policy placed above the power sector policy is prescribed in the National Energy
Policy established in 1979. The National Energy Policy defines three policy objectives as below;
Supply Objective
- To ensure adequate, secure and cost-effective energy supply through developing and utilizing
alternative sources of energy (both non-renewable and renewable) from within and outside the
country.
- To ensure the realization of the supply objective, the focus of policy initiatives, particularly
with respect to crude oil and gas, were aimed at both extending the life of domestic depletable
energy resources, as well as diversifying away from oil dependence to include other forms of
fuel resources.
Utilization Objective
- To promote efficient utilization of energy and discourage wasteful and non-productive patterns
of energy consumption.
- The Government's approach to realize this objective is through the implementation of various
awareness programmes, the energy efficiency regulation, energy auditing program, support
programmes and technology demonstration programmes, etc.
The Environmental Objective

- To minimize the negative environmental impacts of the energy supply chain i.e. energy
production, conservation, transportation and utilization.
To realize these objectives it states that regulatory approach has to be in place to supplement the
market approach.
National Depletion Policy
National Energy Policy was already conscious of the importance of extending the life of
domestic depletable energy reserves as well as the need for alternative energy options to sustain a
future that is self-sufficient for energy. National Depletion Policy was implemented in 1980 to
avoid over-exploitation and depletion of oil reserves by controlling the rate of crude oil
production.
Four-Fuel Diversification Policy
Four-Fuel Diversification Policy implemented in 1981 was, in a way, supplementing the National
Depletion Policy, to ensure reliability and security of energy supply by reducing
over-dependency on crude oil by diversifying with coal, natural gas and hydropower, to broaden

Chapter 2
Power Sector and Use of Renewable Energy in Malaysia Preparatory Survey Report
the national energy base and secure long-term supply of domestic energy resources.
Electricity Policy
The foundation of electricity policy of Malaysia was laid by Electricity Supply Act of 1990. The
act was amended in 2001 reflecting a new framework introduced by Energy Commission (Energy
Commission Act 2001).
The structure of Electricity Act (amendment 2001) is shown below.

PART I Preliminary Section
PART II Establishment (Deleted)
PART III Functions, Duties and Powers of Commission
PART IV Licensed and Registered Installations
PART V Competent Control
PART VA Efficient Use OF Electricity
PART VI Supply by Licensee
PART VII Notification of Accident OR Fire
PART VIII Enquiry and Arbitration
PART IX Offences and Penalty
PART X General
PART XI Power to Make Regulations
PART XII Miscellaneous
SCHEDULE
In particular, Part IV contains such topics as license required for use of installations and
inspection, Part VI duty to supply and fixing tariffs, and Part IX offences, penalty and
compensation.
From these titles and contents, it is clearly understood that the electricity supply industry is the
licensed industry, and the market is basically open to private enterprises. It is the Energy
Commission who gives related licenses to, regulates and observes the licensees, which is
discussed in the next section.
2.2 Organizations of Electricity Sector
Administrative Bodies
Economic Planning Unit (EPU)
The energy policies in Malaysia are formulated by the Energy Section of EPU under the Prime
Minister's Department. It is renewed every five years as part of the Five Year Malaysia Plan. EPU
is responsible for formulating, regulating and implementing policies, regulations, legislations,
programmes and projects to improve the economy and also coordinate functions of other energy
related institutional bodies responsible for a specific sector.
Energy Commission
The power sector of Malaysia is regulated, observed and managed by the Energy Commission
established by Energy Commission Act 2001.

Chapter 2
The purpose of the commission is;

- To advise the Minister regarding any matters in the power supply businesses,
- To formulate and execute regulations (economic, technical, safety and customer protection) for
the power supply businesses,
- To implement policies for the power supply businesses.
The commission thus controls the businesses and services of power supply companies.
Ministry of Energy, Green Technology and Water: KeTTHA
KeTTHA, as its name represents, consists of three departments, energy, green technology and
water services.
Energy Department's role is to formulate energy related policies and strategies, and implement
plans related to power supply industries. In particular, it includes,
- To improve energy efficiency and promote renewable energy use,
- To Review the tariffs imposed by electricity utilities,
- To Monitor standards of service provided by the electricity utilities,
- To administer and monitor the implementation projects funded by the Malaysian Electricity
Supply Industry Trust Account (MESITA), etc.,
and its objectives are;

- To provide quality, efficient, and adequate supply of electricity,
- To promote the efficient utilization of electricity usage,
- To minimize the negative environmental impact arising from production/generation,
conversion, transportation and utilization of electricity,
- To improve the electricity supply industry for economic development,
- To increase the contribution of RE to the generation mix.
There are four sections under the energy department,

Sustainable Energy : administer the use of renewable energy and energy efficiency
Division improvement,
Electricity Supply : formulate national energy policy, analysis and policy proposal for
Section electricity supply
Industry Development : analysis and policy proposal on laws and regulations for energy
& Regulation Section supply industries, monitoring the level of services of power
supply industries, arrangement and management of matters
related to Energy Commission,
MESITA Fund : management of MESITA (Malaysian Electricity Supply Industry
Management Section Trust Account), monitoring and management of projects funded
by MESITA
Also, KeTTHA administers economic incentive measures to promote the use of renewable energy
and improvement of energy efficiency. The incentive measures are discussed later in Section
2.4.1 below.

Chapter 2
Sustainable Energy Development Agency (SEDA)
SEDA is an organization set up by Renewable Energy Act 2011. Its mail role is to implement and
manage FIT measures introduced by the same act. In particular, the following tasks were given to
SEDA;
- To advise the Minister and relevant Government Entities on all matters relating to sustainable
energy including recommendations on policies laws and actions to be applied to promote
sustainable energy,
- To promote and implement the national policy objectives for renewable energy,
- To promote, stimulate, facilitate and develop sustainable energy,
- To implement, manage, monitor and review the feed-in tariff system including to carry out
investigations, collect, record and maintain data, information and statistics concerning the
feed-in tariff system, and to provide such data information and statistics to the Minister as he
may from time to time require,
- To implement sustainable energy laws and to recommend reform to such laws to the Federal
Government,
- To promote private sector investment in the sustainable energy sector including to recommend
to the relevant Government Entities incentives in relation to taxes, customs and excise duties
and other fiscal incentives applicable to such investment,
- To carry out or arrange for the conduct of researches, assessments, studies and advisory
services, collate, analyses and publish information, statistics and factors influencing or
relevant to the development of sustainable energy and to disseminate such relevant information,
statistics and factors to Government Entities, the public and investors or potential investors
investing in sustainable energy,
- To conduct promote and support, in such manner as SEDA Malaysia deems fit, research and
innovation activities relating to sustainable energy,
- To conduct, promote and support, in such manner as SEDA Malaysia deems fit, training or
other programmes relating to the development of human resources and capacity building in the
sustainable energy sector,
- To implement measures to promote public participation and to improve public awareness on
matters relating to sustainable energy;
Private Companies
The main power utility in Peninsular Malaysia is TNB (Tenaga Nasional Berhad). TNB was
formerly a state power company of Malaysia. In 1990s, it was privatized and divided horizontally,
TNB for Peninsular Malaysia, SESCO (Syarikat SESCO Berhad) for Sarawak and SESB (Sabah
Electricity Sdn. Berhad) for Sabah State. It is only these three companies which deal in all of
power generation, transmission and distribution integrated vertically. Transmission business is
regionally monopolized by these three companies, while power generation and distribution are
opened for private companies. The structure is illustrated in a figure below.

Chapter 2
RE Energy
Generation IPP TNB
Companies
Transmission TNB
Distribution DLs TNB DLs
Source: edited by Study Team based on Energy Commission materials
Figure 2-1 Vertical Structure of Energy Supply Industry
According to the Energy Commission publication, there are 200 strong distribution licensees in
Peninsular Malaysia. Airport, sea port, large factory, industrial estate, university and large
commercial complex are the examples of distribution licensees which supply power to its own
facilities and/or its tenants. There is a large variation of capacities of supply among these
distribution licensees; small of a few hundred kW to as large as a few hundred MW.
Private Initiative in Electricity Sector
Regulations
As mentioned above, power generation and power distribution businesses are opened to private
companies. They all have to obtain license for their business.
For generation companies, there are different types of licenses issued by the Energy Commission
as summarized in the table below.

Chapter 2
Table 2-1 Type of Licenses in Power Sector Businesses

1. Public License a. Supplying electricity to b. Generating electricity to c. technology such as
For the licensee to consumers. supply/sell to utilities. co-generation for own use and
operate a public e.g. Tenaga Nasional (TNB) and e.g. Independent Power Plants selling excess energy to others
installation to supply Sabah Electricity (SESB) (IPPs) within the licensed area.
energy to others. e.g. Gas District Cooling in KLIA
Activities allowed under d. Supplying/selling electricity and providing e. Generating electricity using Renewable Energy
this license include: other services to users in a complex or high rise to be sold to utilities.
building using electricity purchased from e.g. Projects benefiting from the Feed-in-Tariff
utilities. Scheme
e.g. Malakoff Utilities in the KL Sentral Complex
2. Private License a. Managing own power lines or b. Managing electricity c. Managing temporary
For a licensee to operate underground cables which generation for own use in electricity generation for own
a private installation to traverse across roads /rivers an area that does not supply use in construction sites,
generate electricity for /bridge /telecommunication electricity. funfairs, exhibition sites etc.
their own use or at their lines /railways owned by
own property. others.
Activities allowed under d. Managing electricity generation for own use using efficient technologies such as co-generation or
this license include: power generation using Renewable Energy sources.
Source: Energy Malaysia, Energy Commission
Meanwhile, the process to apply for and obtain licenses is common to all power licenses, which
is illustrated in the figure below. The application shall be submitted through On-Line process,
debated by the Licensing Committee of EC, approved by the Minister of KeTTHA, and made
effective by the applicant paying the License Fee. According to EC’s document (Guidelines on
Procedures for Licensing Electricity Supply 2015), there are other agencies and their approval
involved in the process, such as EPU, local government, TNB, financial institutes, etc.
Considering this requirement, it seems that, when the application is submitted, prior consultation
and unofficial approval must have been obtained.
Figure 2-2 Application Process for Power Sector Business License

Chapter 2
Energy Commission considers the applications in light of Electricity Supply Act 1990 and
Energy Commission Act 2001. The following matters are among the items to be considered;
1. Promote competition in generation and supply of electricity to ensure it is offered at

reasonable prices.
2. Promote and encourage the generation of energy for the economic development of Malaysia.
3. Ensure all reasonable claims for electricity supply are met.
4. Ensure consumer needs in terms of affordable prices, security, reliability of supply and
quality of services are met.
5. Ensure the licensee can finance the activities as set out in the licence.
6. Encourage efficient use and supply of electricity.
In addition to the above, the following matters are considered to reflect the government policy to
create quality electricity supply industry;
1. To increase fuel diversity and reduce dependency on a particular fuel.

2. To use renewable energy such as biomass (e.g. palm oil waste, sawdust), industrial waste (e.g.
industrial waste gas) or solid waste (e.g. municipal waste and landfill gas).
3. To use efficient technology.
4. To use technology and methods that are efficient in energy management, and provide
value-added services to end-users.
5. To give efficient, economical and satisfactory service to the users.
6. To use environmentally friendly electricity generation technology.
7. To encourage the growth of new methods.
A sample of License for generation and supply of electricity provided by EC’s Guidelines
mentioned above is attached as Appendix 2.
IPPs in Power Generation Business
Currently, there are twenty private companies in power generation business in Peninsular
Malaysia. The total installed capacity of these IPP companies is 17.3GW, and generating energy
of 92,000GWh a year.
The type of generation mostly used by these IPP companies is combined cycle, but a few
companies use conventional steam turbine, coal fired thermal, and small hydro.

Chapter 2
Table 2-2 IPP Operator's Generation Type, Capacity, Generated Energy [2014]
Source: Performance and Statistical Information on Electricity Supply Industry in Malaysia, Energy Commission

Chapter 2
Issues Identified and Countermeasures
At the start of IPP introduction, power purchase agreements (PPAs) had many flaws in retrospect.
According to the Energy Commission literature,
“As part of its efforts to ensure that the people are given access to a safe, secure, reliable and
reasonably priced supply of energy, the Energy Commission ensures that the new power purchase
agreements (PPAs) are more stringent. The latest generation PPAs are notably more balanced,
with guidelines set in place to ensure efficiency and transparency, and to prevent exploitation.
The new generation PPAs have also given way to a level playing field within the industry, with
IPPs sharing costs among each other, and the elimination of the common occurrence of some
IPPs getting financial gains from discrepancies. These changes ultimately result in benefits for
everyone - power consumers, utilities and IPPs.
Owing to the latest generation Power Purchase Agreements, consumers can enjoy more
competitive rates of electricity. In addition, the Energy Commission’s introduction of the
competitive-bidding exercise has also resulted in lower buying rates, thus cutting costs for the
people. Thanks to its efforts in creating a system that is fair to all stakeholders – IPPs, utility and
end-users – the Energy Commission is taking another important step in creating a world-class
energy sector.”
There have been efforts to correct such flaws, some samples of which are summarized in the
table below.

Chapter 2
Table 2-3 Issues PPAs in the Past and Improvements Made

Area of Concern Previous Generation PPAs Latest Generation PPAs Significance
Structure of Under Take-or-Pay conditions, TNB Take-or-Pay is not applicable and IPPs will be A more structured technical and
Power Purchase has to either take the electricity paid based on capacity and energy payment commercial arrangement
Agreements generated by the IPPs even if they structure.
do not need it or they will need to
pay compensation to the IPPs.
Heat Rate Contracted heat rate is higher than Contracted and actual heat rates are more Lower generation costs in the
the actual heat rate, resulting in IPPs in-line with each other. system
receiving extra payment.
Sharing of No sharing mechanism for 1st, 2nd Sharing of savings is provided for in the first Sharing of savings allows for
Savings in and 3rd generation IPPs. bidding exercise under the capacity rate reduction of generation costs
Project Cost, financial (CRF) revision in the financial model.
Refinancing and The amount of savings will be reported to the
Tax Exemption Energy Commission for tariff review under
Incentive- Based Regulation (IBR).
Performance 85-87% 91-93% A higher availability rate
Requirements signifies more efficient
Availability Rate machines in place for lower
electricity
generation cost
Performance No distinction between forced A distinction is made between forced and A lower tolerance threshold
Requirements (unexpected) and planned planned outages. The former has a tolerance aims to increase efficiency in
Outages (scheduled) outages. Both are set at threshold of 4-6% while the latter is 7-9%. plant management
a tolerance threshold of 13-15%.
Power Plant No conditions set for power plant Conditions are clearly defined at each level, Clearly defined terms and
Readiness readiness. namely conditions ensure that each step
• When the agreement takes effect of the power purchase process
• Commencement date from commencement to
• Initial operation date (IOD) operation is monitored and
• Commercial operation adhered to properly
Liquidated Liquidated damages are applicable Liquidated damages are clearly defined, and Clearly defined conditions
Damages for failure to follow dispatch fixed monetary penalties will be imposed for create greater transparency and
instruction. • Failure to follow dispatch instruction accountability
• Failure to meet scheduled commercial
operation date (SCOD)
• Failure to meet technical requirements
• Failure to achieve Contractual Available
Capacity
• Abandonment of project
Force Majeure TNB has to make capacity payments Payment in force majeure events under latest A fairer system is in place in the
to IPPs even if there is a force generation PPAs is dependent on whether TNB event of force majeure which
majeure event. or the IPP is affected. ensure that TNB and IPPs are
If the former and the commercial operation date not being penalised for factors
(COD) is delayed beyond the scheduled
commercial operation date (SCOD), TNB will
pay the IPP the cost of servicing its debt.
However, if the latter, TNB has no obligation to
pay.
Financing Financing is less competitive with Financing is more competitive with interest Lower generation cost in the
Arrangement expected DSCR (Debt Service rates between 4.5 – 5.5%. system
Coverage Ratio) of 1.75 to 3.56. Also DSCR is estimated at 1.2 to 1.25.
Energy Price for Levelised tariff of 22-23 sen/kWh at Levelised tariff of 18-21 sen/kWh at a coal The cost of purchasing power
Coal a coal price of US$ 87.5/tonne. price of US$ 87.5/tonne. has gone down
Conditions are clearly defined at each level,
namely
• When the agreement takes effect
• Commencement date
• Initial operation date (IOD)
• Commercial operation date (COD)
Energy Price for Levelised tariff of 45-47 sen/kWh at Levelised tariff of 34-35 sen/kWh at a gas price The cost of purchasing power
Gas a gas price of RM 44/mmbtu. of RM 44/mmbtu. has gone down

Chapter 2
2.3 Power Market in Peninsular Malaysia
Current Situation of Power Market
Malaysia is a country well-endowed with primary energy resources such as oil and natural gas.
However, the government of Malaysia was aware of future depletion of the energy resources and
started diversification of primary energy as early as the 1980s. As a result, the dependency on oil
decreased and the use of natural gas increased, in return. In the 1990s, deficiency of power
supply capacity became evident and private investments in power development were promoted.
There are many IPPs today and TNB’s share in power generation capacity fell to one third of
total capacity in Peninsular Malaysia.
Electrification in Peninsular is almost 100 %.
The power system in Peninsular is interconnected with that of Thailand (EGAT: Electricity
Generation Authority of Thailand) and of Singapore’s Power Grid.
The power infrastructure in Peninsular Malaysia is depicted in the figure below.

Chapter 2
Figure 2-3 Power Infrastructure of Peninsular Malaysia

Chapter 2
Power balance in Peninsular Malaysia is summarized in the table below. Peak demand has been
growing at about the rate of 3 % p.a. after the slump in 2008-09 World Financial Crisis. Energy
consumption has been increasing at about the rate of 4% p.a. during the same period.
Table 2-4 Energy Balance in Peninsular Malaysia

2008 2009 2010 2011 2012 2013 2014
Maximum Demand (MW) 14,007 14,245 15,072 15,476 15,826 16,562 16,901
Total Units Generated (GWh, TNB) 27,691 29,608 27,689 24,018 26,329 24,914 28,409
Total Units Sold (GWh) 85,616 82,443 89,621 93,713 97,256 100,999 103,449
Sales of Electricity (RM Million) 22,555 26,388 28,020 29,273 32,464 33,857 40,202
Licensed Installed Generation Capacity (MW) 6,346 7,040 7,040 7,054 6,986 6,866 6,616
Total Purchased Units (GWh) 68,091 63,156 73,830 76,887 81,733 86,767 86,335
Total Units Exported (GWh) 1,152 166 88 73 13 17 17
Total Units Imported (GWh) 0.11 0.06 0.03 225 100 220 22
Generation capacity is shown in the table below, with TNB’s own capacity along with other
entities’ capacities (IPP, co-generation, captive and FIT license holders).
Table 2-5 Generation Capacity in Peninsular Malaysia [2013]

Hydro N.Gas Coal Heavy oil Diesel Biomass others Total
TNB 1,911 4,955 - - - - - 6,866
IPPs 20 8,069 7,200 - - - - 15,289
Co-Generation - 806 - 3 84 - 893
Self-Generation - 31 - - 577 307 1 979
SREP/FIT 9 - - - - 2 67 78
SUBTOTAL 1,940 13,861 7,200 - 580 455 68 24,105
Source: Malaysia Energy Statistics Handbook 2014, Energy Commission
Compositions of primary energy for the last 6 years are shown in the table below.
Table 2-6 Primary Energy Mix in Peninsular Malaysia

Fuel Type 2008 2009 2010 2011 2012 2013 2014
Hydro 6,669 24% 5,916 20% 5,227 19% 5,950 25% 5,524 21% 5,392 22% 4,111 14%
Natural Gas 20,979 76% 23,658 80% 22,337 81% 15,915 66% 19,558 74% 19,394 77% 24,298 86%
Medium Fuel Oil - - 6 0% 686 3% 86 0% 128 1%
Diesel 43 0% 34 0% 119 0% 1,468 6% 1,161 4% - -
Total 27,691 29,608 27,689 24,018 26,329 24,914 28,409


Chapter 2
100%
90%
Diesel
80%
Medium Fuel Oil
70% Natural Gas
60%
Proportion
Hydro
50%
40%
30%
20%
10%
0%
2008 2009 2010 2011 2012 2013 2014
Figure 2-4 Primary Energy Mix in Peninsular Malaysia
The numbers of customers by category have been increasing as well, faster in domestic and
commercial categories.
Table 2-7 Number of Customers of Electricity in Peninsular Malaysia

2008 2009 2010 2011 2012 2013 2014
Domestic 5,750,325 5,938,095 6,128,224 6,288,281 6,456,647 6,503,417 6,710,032
Commercial 1,110,718 1,164,959 1,224,414 1,281,108 1,334,371 1,334,856 1,404,501
Industrial 25,330 25,663 25,580 26,203 27,599 27,954 24,852
Public Lighting 45,037 47,715 50,122 53,075 56,715 61,121 63,340
Mining 13 15 17 20 22 27 29
Agriculture 906 996 1,080 1,166 1,241 1,494 1,574
Free Units n/a n/a 2,218 2,264 2,271 - -
TOTAL 6,932,329 7,177,443 7,431,655 7,652,117 7,878,866 7,928,869 8,204,328
Energy sales has been increasing, in a similar way as in the number of customers, at a rate of
6-7 % for domestic and commercial categories.
Table 2-8 Energy Sales by Customer Category in Peninsular Malaysia

Sector 2008 2009 2010 2011 2012 2013 2014
Domestic 15,810 16,792 18,217 18,916 20,301 21,601 22,350
Commercial 26,939 27,859 29,872 31,755 33,218 34,878 35,801
Industry 40,511 36,261 40,071 41,449 42,047 42,721 43,380
Public Lighting 956 1,078 1,046 1,139 1,235 1,302 1,370
Mining 34 47 62 75 98 121 133
Export (EGAT) 1,152 166 88 73 13 17 -
Others (Agriculture) 214 240 265 306 344 375 414
Total 85,616 82,443 89,621 93,713 97,256 101,105 103,449

Chapter 2
120,000
100,000
Others (Agriculture)
80,000 Export (EGAT)
Sales [GWh]
Mining
60,000
Public Lighting
Industry
40,000
Commercial
Domestic
20,000
0
2008 2009 2010 2011 2012 2013 2014
Figure 2-5 Change of Energy Sales by Customer Category
Power tariff is tabulated in the table below. Tariff for domestic and industry customers are at
about the same level, and a little higher for commercial and agriculture categories.
Table 2-9 Average Selling Price of Energy of TNB

2008 2009 2010 2011 2012 2013 2014
Domestic 28.0 27.7 27.7 27.6 28.8 29.2 31.23
Commercial 39.0 37.7 37.7 38.2 40.7 40.9 44.93
Industrial 29.4 28.8 28.4 28.9 30.9 31.0 34.17
Public Lighting 20.7 20.6 20.6 20.5 21.5 21.5 23.32
Agriculture 38.0 37.1 37.0 37.2 39.8 39.4 43.15
Average 28.8 31.5 31.3 31.7 33.7 33.9 37.13
Unit; sen per kWh Source: Malaysia Energy Statistics Handbook 2014, Energy Commission
50
45 Domestic Commercial Industrial Public Lighting Agriculture
40
35
Tariff [sen/kWh]
30
25
20
15
10
5
0
2008 2009 2010 2011 2012 2013 2014
Figure 2-6 Change of Tariff by Customer Category

Chapter 2
The Energy Commission published its power demand forecast up to year 2030. It was forecast to
grow at a rate around 3% until 2023, and at around 1.5% thereafter until 2030.
Table 2-10 Electricity Demand Forecast for Peninsular Malaysia
Source: Peninsular Malaysia Electricity Supply Industry Outlook 2014
2.4 Promotion of Renewable Energy and Feed-in-Tariff
Government Policy on Use of Renewable Energy
Malaysian Government’s effort to promote renewable energy was initiated by Small Renewable
Energy Program in 2001, implemented on the basis of 8th Malaysia Plan (2001-2005). The
program introduced reduction of taxes related to operation of renewable energy business. Later in
9th Malaysia Plan (2006-2010) the conditions of transaction of energy under Renewable Energy
Power Purchase Agreement (REPPA) were prescribed. Further in 10th Malaysia Plan, the
government enacted Renewable Energy Act introducing Feed-In-Tariff (FIT) measure, which was
enforced in the same year. SEDA was established and has been managing the FIT measure since.
Renewable Energy Act envisioned the targets of renewable energy proliferation as in the figure.

Chapter 2
Source: National Sustainable Energy Framework and Policy, 2nd International

Sustainable Energy Summit (ISES) 2014, March 2014
Figure 2-7 Target Capacity of Renewable Energy Development
To promote investment in renewable energy use, the government has implemented economic
incentive measures. There are four types of such measures explained below.
a) Tax Incentives for Energy Generation Activities Using Renewable Energy Resources
Companies undertaking generation of electricity using renewable energy resources such as

biomass, biogas, solar photovoltaic, inorganic waste and, hydropower (not exceeding 30
megawatts) are eligible for the following incentives:
1. Pioneer Status with income tax exemption of 100% of the statutory income for ten
years. Unabsorbed capital allowances as well as accumulated losses incurred during the
pioneer period can be carried forward and deducted from the post pioneer income of
the company, or
2. Investment Tax Allowance of 100% on the qualifying capital expenditure (such as

expenditure on factory, plant, machinery or other equipment used for the approved
project) incurred within a period of five (5) years This allowance can be offset 100% of
the statutory income for each year of assessment. Any unutilised allowance can be
carried forward to subsequent years until fully utilised.
b) Tax Incentives for Companies Providing Energy Conservation Services
In order to reduce operation costs as well as to promote environmental preservation,

companies providing energy conservation services are eligible for the following incentives:
1. Pioneer Status with income tax exemption of 100% of the statutory income for a period
of ten years. Unabsorbed capital allowances as well as accumulated losses incurred

Chapter 2
during the pioneer period can be carried forward and deducted from the post pioneer
income of the company, or
2. Investment Tax Allowance (ITA) of 100% on the qualifying capital expenditure

incurred within five (5) years. The allowance can be offset against 100% of the
statutory income for each year of assessment. Any unutilised allowance can be carried
forward to subsequent years until fully utilised. The companies must implement their
projects within one (1) year from the date of approval.
c) Tax Incentives for Companies Investing to Conserve Own Energy Use
Companies intending to incur capital expenditure for conserving energy for own
consumption are eligible for:
ITA of 100% of the qualifying capital expenditure incurred within a period of 5 years.
d) Tax Incentives for Building Obtaining Green Building Index Certificate
In order to widen the usage of green technology, the Government has launched the green
building index (GBI) on 21 May 2009. GBI is a green rating index on environment friendly
buildings. As a measure to encourage the construction of buildings using green technology:
(discontinued in December 2014)
Feed-in-tariff (FIT) Measure
Outline of FIT Measure
As mentioned above, FIT measure was introduced by the Renewable Energy Act of 2011, and
started in January 2012.
It is similar to the preceding cases in countries such as Germany, distribution licensees are
obligated to purchase energy produced by a Feed-in Approval Holder (FIAH) for a certain time.
The period of purchase is pre-determined for types of generation; 16 years for biomass and
biogas, and 21 years for mini-hydro and solar PV. The purchase prices are also determined by the
government (SEDA) and are called FIT Rates. FIA (Feed-in Approval) is administered by SEDA
by means of issuing a certificate to a successful applicant.
FIT Rates for solar PV have been revised five times since the introduction of FIT measure, and
they were always down-ward revision. Different rates are given for PV installation of different
sizes, and there are special top-up rates to promote;
- PV modules that are integrated into architectural materials,

- PV equipment (modules and inverters) manufactured in Malaysia.

Chapter 2
Table 2-11 Change of FIT Tariff for PV Power Generation [RM per kWh]
Description of Qualifying Renewable Energy Installation Jan-12 Jan-13 Mar-13 Jan-14 Mar-14 Jan-15 Jan-16
(a) Basic FiT rates having installed capacity of :
(i) up to and including 4kW 1.2300 1.1316 1.1316 1.0411 1.0184 0.9166 0.8249
(ii) above 4kW and up to and including 24kW 1.2000 1.1040 1.1040 1.0157 0.9936 0.8942 0.8048
(iii) above 24kW and up to and including 72kW 1.1800 1.0856 0.9440 0.7552 0.8496 0.7222 0.6139
(iv) above 72kW and up to and including 1MW 1.1400 1.0488 0.9120 0.7296 0.8208 0.6977 0.5930
(v) above 1MW and up to and including 10MW 0.9500 0.874 0.7600 0.6080 0.6840 0.5472 0.4651
(vi) above 10MW and up to and including 30MW 0.8500 0.782 0.6800 0.5440 0.6120 0.4896 0.4162
(b) Bonus FiT rates having the following criteria (one or more) :
(i) use as installation in buildings or building structures 0.2600 0.2392 0.2392 0.2201 0.2153 0.1722 0.1550
(ii) use as building materials 0.2500 0.2300 0.2300 0.2116 0.2070 0.1656 0.1325
(iii) use of locally manufactured or assembled solar PV modules 0.0300 0.0276 0.0300 0.0300 0.0500 0.0500 0.0500
(iv) use of locally manufactured or assembled solar inverters 0.0100 0.0092 0.0100 0.0100 0.0500 0.0500 0.0500
Source: SEDA
Development of FIT-based Generation
The development of renewable energy use after the introduction of FIT measure is summarized
in the table below.
Table 2-12 Capacity of Renewable Plant based on FIT Measure [as of Jan. 2016]
Biogas Biomass
Small
Year Biogas (Landfill / Biomass (Solid Solar PV Geothermal Total
Hydro
Agri Waste) Waste)
2012 2.00 3.16 43.40 8.90 11.70 31.59 0.00 100.75
2013 3.38 3.20 0.00 0.00 0.00 106.84 0.00 113.63
2014 1.10 0.00 12.50 0.00 0.00 64.94 0.00 71.63
2015 0.00 5.40 12.00 7.00 6.60 20.90 0.00 51.90
Total 6.48 11.76 67.90 15.90 18.30 224.27 0.00 337.91
Unit: MW Source: SEDA
Also, the development of energy produced by FIT-based power plants is shown below.
Table 2-13 Generated Energy of Renewable Plant based on FIT Measure [as of Jan. 2016]
Biogas Biomass
Small
Year Biogas ( Landfill / Biomass ( Solid Solar PV Geothermal Total
Hydro
Agri Waste) Waste )
2012 98 7,465 101,310 3,235 25,630 4,714 0 142,452
2013 12,217 9,478 209,408 11,144 73,032 48,416 0 363,695
2014 19,772 31,844 226,196 4,348 64,550 178,330 0 525,040
2015 16,626 33,632 120,199 18,090 35,283 240,235 0 464,066
The estimation of reduction of CO2 emission due to the generation by FIT-based renewable
power plants is shown below.

Chapter 2
Table 2-14 Reduction of CO2 Emission due to Renewable Plant based on FIT Measure [Jan. 2016]
Biogas Biomass CO2
Small
Year Biogas ( Landfill / Biomass (Solid Solar PV Geothermal Avoidance
Hydro
Agri Waste) Waste) (tonne)
2012 68 8,009 92,820 2,232 17,751 3,750 0 124,629
2013 8,498 14,548 237,312 9,921 68,143 37,306 0 375,728
2014 22,140 36,521 393,387 12,921 112,682 160,354 0 738,006
2015 33,613 59,727 476,325 25,404 137,028 326,116 0 1,058,211
Latest Revisions to FIT Measure
Since the implementation of FIT measure in January 2012, rapid expansion of installed capacity
especially of solar PV has been observed. Call for application of FIT approvals for each period
has been reportedly terminated soon every time because many applicants rush to apply. With this
situation in the background, SEDA and KeTTHA are revising the practices of FIT measure
operations.
F/S Team met with SEDA officials in January 2015 to inquire about the latest situation of FIT.
Although it had not been made public through media, there were some on-going changes being
implemented;
- Capacities and generated energy have been increasing at a pace unexpected, and there is a
concern now over the availability of RE Fund, which is the source of FIT payment,
- In particular, solar PV has been extremely popular and resulted in large number of applications,
possibly because the technology used is relatively easy to adopt for anybody,
- At the moment, the capacity quota for solar PV published is meant for applications up to 1MW
in size,
- And the PV quota for 2016 will be the last one. There will not be a quota for 2017 onwards,
- SEDA is now handling applications up to 1MW in size. It is KeTTHA which is dealing with
over-1MW project proposals. This category is not inside the PV quota published. Proponents
of over-1MW projects should meet directly with KeTTHA.
Presently, FIT capacity quota posted on SEDA's homepage is as shown below.

Chapter 2
Table 2-15 FIT-Applicable Capacity Quota of Renewable Energy [Jan. 2016]

2015 2016 2017 2018 2019
H1 H2 H1 H2 H1 H2 H1 H2 H1 H2
Available for FiT Applications
Community 0 6.46 0 0 0 0 0 0 TBA TBA
Individual 0 0 0 0 0 0 0 0 TBA TBA
Non-individual (≤ 500 kW) 0 0 0 0 0 0 0 0 TBA TBA
Non-individual (> 500 kW) 0 0 0 0 0 0 0 0 TBA TBA
PV
Allocated
Community 0.01 0.62 0 0 0 0 0 0 0 0
Individual 3.92 16.93 3.24 15.56 0 0 0 0 0 0
Non-individual (≤ 500 kW) 0 17.27 0 0 0 0 0 0 0 0
Non-individual (> 500 kW) 0 29.99 0 0 0 0 0 0 0 0
Biogas 0 0 0 0 0 0 0 0 TBA TBA
Biogas (Landfill / Agri Waste) 0 1.97 0 0.33 0.99 1.38 0.21 0 TBA TBA
Biogas
Allocated
Biogas 0 0 0 0 0 0 0 0 0 0
Biogas (Landfill / Agri Waste) 0 43.17 37.95 8.67 22.17 8.70 5.85 0 0 0
Biomass 0 0 0 0 0 3.53 1.79 0 TBA TBA
Biomas Biomass (Solid Waste) 0 0 0 0 0 1.80 0 0 TBA TBA
s Allocated
Biomass 16.00 22.00 9.95 46.74 15.00 25.00 13.0 0 0 0
Biomass (Solid Waste) 0 0 0 0 22.20 1.00 0 0 0 0
Small Available for FiT Applications 0 0 0 0 0 77.84 31.84 0 TBA TBA
Hydro Allocated 41.94 0 0 118.85 39.00 0 25.80 0 0 0
Geo- Available for FiT Applications 0 0 0 0 0 0 TBA TBA TBA TBA
thermal Allocated 0 0 0 0 0 30.0 0 0 0 0
New Framework to Promote PV Generation Development

As discussed in the previous section, there is already a limitation of availability of RE Fund
which is a source of FIT payment, and the quota and actual approval of popular solar PV FIT
license have been decreasing rapidly. On the other hand, the government of Malaysia has a
reason to further push forward the development of PV generation.
In AMEM (Asean Ministers of Energy Meeting) held in 2014, the following matters have been
agreed by the participants;
a) Large hydro and off-grid hybrid RE systems to be classified as RE

b) Target RE capacity for 2020 increased to 30 % of installed capacity from old target of 15 % of
installed capacity by 2015.
For Malaysia, this has two important implications. First for a), RE installed capacity has
immediately shot up from < 300 MW to almost 4000 MW, by including Temengor, Bakun, and
all the other existing large hydros and off-grid systems. For b), RE target for 2020 will be 9000
MW. Assuming here that RE installation by FIT reaches 1,000MW in 2020, and considering
Expected new large hydro and off-grid RE to be 800 MW, we have a shortfall of new capacity of
RE, 3,500MW.
Meanwhile, biogas, biomass and small hydro resources that the government wanted to develop
more have finite limits, there are an issue of distance of these resources from demand centers
requiring further development of mid-voltage network, and the aforementioned limitation from
RE fund. Therefore, it is only solar PVs that seem to have no finite limitation to develop in a

Chapter 2
short period of time. The government decided to promote PV by means of NEM (Net Energy
Metering) and USS (Utility Scale Solar) methods.
NEM
Net Energy Metering is, simply said, a method to subtract the energy sent out to grid from the
energy purchased from distribution network. The government expects that as PV prices continue
to fall, and electricity tariffs rise, it will make sense for more consumers to reduce their bills and
hedge further increases in tariffs by installing PV on their rooftops, which requires no additional
land to secure. Utility company also benefits from more PVs in that the loss through
transmission/distribution system becomes smaller, and the reserve capacity for peak hours, that
will be secured. The government is also looking to reduce the subsidy expense on gas supplied to
power stations by large scale introduction of solar PV in the power system.
Some details of NEM method include;
• Open to residential, commercial and industrial customers

• Only for rooftop PV
• Limited to 12 kW for residential and 75% of MD for commercial and Industrial or 1 MW,
whichever is lower
• Any interconnection costs, changes to metering, etc., to be borne by the customer
• The Distribution Licensees also allowed to participate in Net Metering
–E.g. TNB can install on the office or PMU rooftops
• After 500 MW has been reached, new NEM customers will have to pay a monthly fee to the DL
USS
USS (Utility Scale Solar) is for a large scale installation of PV, while NEM is for a small scale
installation. Still, PPA rate could be “expected to be lower than FiT rate, probably about 50
sen/kWh at today’s PV prices” (as of May 2015). Other than that the following matters are
considered;
• PV plants awarded by a bidding process

• Plant capacity to be limited to 50 MW or less and spread throughout the Peninsula to mitigate
intermittency issues
• Plants connected to Transmission voltages and meeting Grid Code requirements
• PV power will help meet peak demand, making it competitive with OCGT, or even
unsubsidized CCGT
• If utility cost does in fact rise, the cost will be passed through using the ICPT (Imbalanced
Cost Pass Through) mechanism, so no effect to utility finances
– The actual effect may be the opposite, so tariffs may be adjusted downward due to lower
costs rising from use of PV power
• Proposed 1000 MW by 2020
– 500 MW COD in 2017
– 500 MW COD in 2019

Chapter 3
Preparatory Survey Report Project Formation
CHAPTER 3
PROJECT FORMATION

Chapter 3
Chapter 3 PROJECT FORMATION
3.1 Project Background and its Necessity
3.1.1 Local Development Issues and Necessity of Business
(1) Northern region’s development issues
The northern Malaysian region has big income gap between the other areas of peninsula part. In
order to develop the economy of good balance of nation to overcome this situation, the government
announced in 2007 the development of Northern Corridor Economic Region Initiatives.
Northern Corridor Economic Region includes Perlis, Pulau Pinang, Kedah, Perak and the purpose
for this initiative promote the regional development and increase the income by enhancing the
additional value of 4 sectors such as agriculture, manufacture, sightseeing and logistics.
Malaysian government legislated Northern Corridor Enforcement Law (687) and established
NCIA (Northern Corridor Implementation Authority). They started the development of northern
region by delegating the policy and strategy of its region’s economical development.
(2) Necessity of business
This project started under the purpose of executing the 25 year long term regional economical
development support to the northern 4 states together with NCIA. The window of Malaysian
government is in charge of NCIA and Mr. Dato Redza, CEO and his colleague executed the
adjustment with other ministries and government offices.
Especially, the development of Perlis is delayed compared with other states. Through this
research, Perlis government and NCIA expressed to promote the industrial park under planning by
utilizing this project.
This project is reported to Mr. Redza of NCIA and he expressed to realize this project and Malaysia
government also requested earlier realization of the project.
3.1.2 Project Overview and Basic Scope
(1) The purpose of the project
The purpose of this project is to support the economic development to Perlis for the 25 year long
term view based on the income from the electricity by installing the large scale solar power plant.
By constructing the solar power plant utilizing the public and private capital and operating its
business together with proposer and NCIA, it is aimed to realize the regional contribution such as
protecting environment, training the human resources, realizing the low CO emission society, and
promoting the development of regional economy.
By utilizing the solar panel manufactured in the proposer’s factory in Kedah, it will realize the
local production for local consumption for northern 4 states.

Chapter 3
Project Formation Preparatory Survey Report
(2) Project Overview
[ System Scale ] 16.744MW Panasonic solar panel installation

[ Installation Area ] 50 acre (estimate)
[ Total Construction Cost ] Approx. JPY 5 Billion
[ Place ] Chuping Valley
3.1.3 Expected Business Effect
We estimate the annual generating power output of 25GWh when completing 16.744MW solar
power plant.
Based on this power output, annual CO2 reduction will be estimated to 15,775t (which is the
reduction of 0.63kg CO2 per 1kWh). Also, this project creates 20 maintenance employees
locally.
3.2 Site Selection
3.2.1 Site Selection Policy
The purpose of this project is to construct and operate large-scale solar power plants in the northern
four states in Malaysia, and is to contribute to the regional development on the basis of the fund
obtained from the electricity sales revenue.
For this reason, F/S team decided as its selection policy to offer four states a fair chance to propose
their candidate sites for the study. After their proposal F/S team conducted site surveys on the land
proposed from the states. The process is explained in the following sections.
3.2.2 Site Selection Process
At the beginning, F/S team made an offer jointly with NCIA to the northern four states. F/S team
then provided project briefing and requested each state to provide the proposal of candidate site if
they agreed to the offer.
Following proposals were submitted by four states as a result.
Table 3-1 Proposal on Candidate Sites by Four States

Perlis Chuping Valley, Total 300 acre
Perak Tasik Bukit Merah, Total 230 acre
Kedah Sungai Ular, 400 acre
Penang No proposal

Chapter 3
Perlis
Kedah
Perak
Figure 3-1 Locations of Proposed Candidate Sites
F/S team made site reconnaissance and the results were as follows.
Table 3-2 Results of Site Reconnaissance
Perlis Enough space and no major issue found.

There is a river inside the land and the area cannot be used in full, although the area was
Perak large enough. Top up soil would be required for 1-2m in depth, and this would have a
significant impact on the construction cost.
Space is enough.
Kedah There was no infrastructure and it would require construction of a bridge to access the
site. It would take time to make the land usable.
Also, to identify substations to be connected, F/S team did the consultation with TNB of Perlis and
Perak, and found the following situations.
Table 3-3 Possible Substations for Interconnection and Their Conditions
Able to connect a substation at Kanger at the voltage of 33kV.

Perlis
Distance to the substation was 23km and acceptable PV system size was up to 22MW.
Able to connect a substation at Bukit Merah at the voltage of 33kV.
Distance to the substation was 20km, and acceptable PV system size was up to 20MW.
Perak
However, the substations already received an application for connection by other project
(small hydro).
Perak site was abandoned because TNB advised there had been a connection plan already applied
to for the Bukit Merah substation and there was no extra capacity. As a result, the Chuping Valley
site of Perlis was selected as the location for the solar power generation of this project.

Chapter 3
Project Formation Preparatory Survey Report
3.3 Project Formation based of PPP
The business scheme of this project as below

.
3.3.1 Special Purpose Company (SPC) as a main player of the project
Special Purpose Company (SPC) will be established to operate this project.
The SPC’s business will involve such activities as;
Construction and possession of the solar power plant;

the land will be leased from Perlis State for 25 years
Construction of Transmission line;

at his own cost, connection between site and TNB’s substation in Kangar,
modification of the substation, set up distribution panel and meter, where
management of facilities between the plant and the interconnection point shall be
SPC’s responsibility
Operation of Power Supply Business;

as an IPP, contracts PPA with TNB and earns revenue.
The details of capital formation will be indicated in the Chapter 5.
3.3.2 Operation and Maintenance Organization
Although SPC will operate this project, mainly PESMY who will be the biggest capital share
holder operate and manage the business. Also, PESMY will take over the operation and

Chapter 3
maintenance of solar power plant from SPC. PESMY will hire the total 22 local residence
including 2 managers, 5 engineers, 10 local staffs and 5 others, and plan to give a necessary training
and maintain. In addition, about 50 number of temporary employment is expected.
3.3.3 Econation Sub Committee
Although originally the Committee inside of SPC who will manipulate the contribution, we found
out that it will be favorable to be established outside of SPC.
Contribution from SPC will be managed in the Econation account under Perlis State
Socioeconomic Development Trust Account in Perlis.
This account will be managed by Perlis government and be put under Perlis Executive Committee
(EXCO). As purpose to operate and manage the Econation account, Econation Sub Committee
(ESC) will be established under Perlis State Socioeconomic Development Trust Account and
manipulated as Econation Fund.
The details will be explained at the Chapter 5.
3.3.4 Facility after 25 Years of the Project Period
SPC will be dissolved after the repayment of capital to the investors at the end of this project for
25 years. However, it will be estimated that solar power system can be operated continuously
after 25 years although the output power guarantee period of the manufacture will be expired.
Therefore, as of now, it is expected that the facility will be sold at reasonable price or contributed
to Perlis. At this moment while creating this report, either clear discussion or decision has not
been made between Perlis since this matter is relating to land loan fee negotiation.

Chapter 4
Preparatory Survey Report Outline Design and Project Cost
CHAPTER 4
OUTLINE DESIGN AND PROJECT COST

Chapter 4
Chapter 4 OUTLINE DESIGN AND PROJECT COST
4.1 Site and Capacity of Solar Farm
4.1.1 Acquisition Process for the Land (Business Site)
This project is proceeded under study based on the land acquisition from the state government.
As mentioned in the Chapter 3, since Perlis proposed the appropriate developed land, we
considered to study the installation in Perlis.
This developed land is owned by Perlis and managed by State Economic Planning Unit (UPEN).
In order to acquire the land, it is necessary to make the land use contract between Perlis after the
approval of Perlis state government congress.
Generally, land use contract will be proceeded between Perlis as follows:
1. It is necessary to negotiate with UPEN and get the approval from UPEN.
2. UPEN will study various kinds of proposals and get the approval of business UPEN would like
to execute after requesting to Perlis upper council called EXCO.
3. After this process, UPEN will officially propose the business to the state council and make
decision. However, once getting the approval from EXCO, it usually will be the decision.
As of the end of this research, we negotiated and got the approval from UPEN executives. Also,
we completed the official proposal to EXCO and state governor, and reached out to the agreement
for this project from the state government related members. However, in order for the State
Congress to make decision, we are requested from UPEN for the official confirmation that this
project is objected to selling electricity from KeTTHA and State Congress could not make decision
as of this report submission date.
4.1.2 System Size Study
The details of the information provided by TNB of Perlis concerning possible substation to be
connected were summarized in the table below.
Table 4-1 Possible Substations for Chuping Valley (Perlis) Project (Detail)
Power Existing renewable Connectable
Voltage Distance
Place demand project size
(kV) (km)
(MW) (MW) (MW)
Chuping 275/132 15 12 1.5 8-10
Bukit Keteri 132/33/11 10 5 0 0
Bukit Keteri (South) 132/33 14 18 0 10-15
Kangar 132/33/11 23 25 0 20-22

Chapter 4
Outline Design and Project Cost Preparatory Survey Report
To minimize the energy loss by transmission cable, transmission distance should be as short as
possible, usually up to 10km or so between the power plant and the substation. Transmission at
higher voltage results in the smaller energy loss, while higher voltage transmission line requires
steel towers instead of poles. It is more economical to use 33kV line which is the upper limit
voltage to be laid over along public roads with poles. Also, 33kV single circuit can carry power up
to about 20MW. Therefore, a substation which can accept power transmission at 33kV should be
selected for the project.
To determine the solar generating equipment capacity, it is required to match the capacity with the
power demand of surrounding area, and more specifically, TNB sets its policy that it accepts
connection of renewable energy power plants up to 85% of the power demand. After considering
these conditions, Bukit Keteri (South) and Kangar became the candidates.
However, it was informed by TNP Perlis office that there had been another connection application
made for Bukit Keteri (South) and that would fill up their capacity. Therefore, Kangar Substation
was selected as the connection point and the capacity of solar power generation equipment was set
at 20 MW.
4.1.3 Installation Site
Chuping Valley is located close to Thai border, approximately 25km in the northeast of Kangar
City of Perlis State. The coordinates of the location is latitude 6 degrees 36 minutes 17 seconds
north, longitude 100 degrees 17 minutes 07 seconds east.
Site
Figure 4-1 Location of Perlis Site
The land is owned by Perlis State Government as redevelopment sites, and whole land secured is
2,339.10 acres. Perlis State Government is aiming to develop this site by inviting green technology
industries, and is making a development plan called Chuping Green Valley.
The development priority is given to 1) Solar Energy Generation, 2) Green Manufacturing, and 3)
Halal Food Industries. There are two phases for development planned and the first phase is between
2016 to 2020 and the second phase 2021 to 2025.
A plot of 300 acres is allocated for renewable energy sector, and the project is going to use 50 acres
for the installation of the solar power generation equipment.

Chapter 4
4.1.4 Characteristic of the Surrounding Area
Redevelopment site is located approximately 3km from Padang Besar, a town nearest to the Thai
border. It is a flat land and there is no residential or industrial development near around.
There are many sugar canes left after abandoning cultivation. These will have to be removed and
cleaned during the construction stage.
Figure 4-2 Current Status of Project Site
Although there is a pond in the vicinity and some agriculture activities are seen around, the solar
equipment installation would have no effect on these because there is some distance to these
activities. A highway is running next to the planned site and also a power distribution line, as well.
Planned site has gentle slope facing south. There is a risk that run-off of rain water may cause
damages to the equipment especially the areas near to the foot of the slope. To avoid this risk, F/S
team selected the higher and dryer areas for the installation.
No major issue was found for the installation work as the result of actual site survey.
4.1.5 Necessity of Site Preparation Work
As a result of land measurement research, site preparation work is estimated to be completed by

clearing since the land is comparatively gradual.
Although the risk can be considered when installing the solar power plant as follows, we can judge
fully clear the situation.
Risk Result of analysis

Flood The installation site is located on upper gradual slope and the risk that accumulates
water is low because muddy stream is flowing into the bottom of slope when flooding.
Lightning The lightning is within the assumed range and we will manage it by installing the
lightning rod and Surge Protection Device (SPD) to the solar power system.
The topographic map obtained in this study is shown below (See Appendix 3 for details).

Chapter 4
Figure 4-3 Topographic Map of the Site
4.2 Outline Design
4.2.1 Outline Design of Power Generation Equipment and related Equipment
(1) System overview
There are two major types of solar power installation, one is roof top installation and the other is
land installation. Land installation is selected for this project which is most popular for large scale
solar plants. The system size is 16.744MW and detail is as below;
System size 16.744MW

Connection 33kV, one circuit
Power Inverter 33kW, 456-units
Mounting Structure Foundation Concrete footing
Mounting Structure Framework made of Zinc-plated single tube
Meteorological equipment Radiation meter, Thermometer
Data collection weather and power data
(2) System configuration
One block of solar modules is 2MW in capacity. Eight blocks are to be connected to make
16.744MW whole system. There is an equipment storage house at the center of each block and
necessary equipment will be installed inside.

Chapter 4
System image

Chapter 4
System diagram
Block diagram

Chapter 4
(3) System equipment list
The system components to be used in the project are listed below (Refer to Appendix 4).
Table 4-2 List of Major Equipment

Product Specification Quantity
Photovoltaic module Panasonic VBHN240SJ25 69,768 pcs
Output : 240W
Module efficiency : 19%
Power inverter Huawei SUN2000-33kTL 456 units
Output : 33KW
Mounting Structure Galvanized single tube 1368 sets
Step-up Transformer 2200KVA Step Up TX 0.4/11KV 8 sets
Measuring Equipment Radiation, Wind Speed, Outside 1 set
Temperature, Module Temperature
Data Collecting System Performance Monitoring 1 set
*Model may change depending on new product development
1) Photovoltaic module
The project will use HIT Ⓡ photovoltaic module made by Panasonic factory in Malaysia.
There are various types of photovoltaic modules depending on the type of the semiconductor
used. This PV module is the original product developed by Panasonic and the PV cell has a
unique hetero-junction structure of thin film amorphous silicon and mono crystal silicon wafer.
The conversion efficiency is 19% and also has excellent temperature characteristics. Combined
these technology can realize a high amount power generation and maintain for a long time.
Since the manufacturing place is Panasonic factory in Kedah Kulim hi-tech park, this is the
best product that can contribute to the local production for local consumption with Japan
technology. Output warranty is 25 years by Panasonic and cover the whole project cycle.
The certification that acquires this module is as follows:
Table 4-3 Certification of the Model of PV Module

Certification Date of Issue Issued by
IEC61215 Second edition 2005-04 2013/8/22 JET
IEC61730-1 First edition 2004-10 2013/8/22 JET
IEC61730-2 First edition 2004-10 2013/8/22 JET
IEC61701:2011(Salt mist corrosion) 2014/10/30 TUEV
2) Power inverter
Power inverter to be used in this project is the SUN2000 series made by Huawei.
Although generally a large size solar farm uses large capacity inverter units from the
economical point of view, it was decided to use larger number of units with smaller capacity
because inverter is the most probable faulty component in the system. Main reason why this
model was selected is this product has been already used by Panasonic Eco Solutions Malaysia

Chapter 4
as their standard system unit, and it is already confirmed the compatibility with Panasonic PV
modules.
3) Mounting Structure and Foundation
Mounting structure will be made of galvanized single tubes. This is the most popular material
in Malaysia. Installation height should be set to maintain 1m minimum clearance from the
ground to prevent submersion during flood.
4.2.2 Estimate of Power Generation Amount
(1) Solar radiation amount
Malaysia is a suitable place for solar power generation thanks to rich solar radiation as shown
below. Generally, the northern areas receive higher irradiation than the southern areas.
Table 4-4 Solar Radiation in Malaysian Cities

Region Annual average value (kWh/m2) Region Annual average value (kWh/m2)
Kuchung 1,470 Senai 1,629
Bangi 1,487 Kota Baru 1,705
Kuala Lumpur 1,571 Ipoh 1,739
Petaling Jaya 1,571 Taiping 1,768
Seremban 1,572 George Town 1,785
Kuantan 1,601 Bayan Lepas 1,809
Johor Bahru 1,625 Kota Kitabalu 1,900
Source: “Energy Situation in Malaysia: Present and Its Future”, Sustainable Energy and Environment Forum
According to the following solar radiation distribution map of Peninsula Malaysia, Chuping Valley
is found to be the area receiving high irradiation. According to the power generation simulation
software, the amount of solar radiation at Chuping Valley is 1,806kWh which is one of the best
results among all part of Malaysia.

Chapter 4
Site
Source: “Monitoring results of Malaysian Building Integrated PV Project in Grid-connected

Photovoltaic system in Malaysia”, Energy and Power 05/2012
Figure 4-4 Solar Radiation Distribution in Malaysia
(2) Power generation amount simulation
Using the industry standard simulation software PVSyst, generated energy was calculated for the
Chuping Valley site. Conditions are as follows.
System size 16.744MW

PV module 240W HIT module, 69,768-pcs,
17-modules in series, 4104-strings
Tilt angle 8 degrees
Irradiation 1,805.07kWh/㎡
We use the accumulated climate data from Meteonorm for the intensity of solar radiation based on
this estimation. This data includes the climate data for more than 20 years.
As a result, it was found that although there would be a seasonal peak in April, stable power
generation could be expected throughout the year.

Chapter 4
Figure 4-5 Estimation of Monthly Energy Generated
Annual energy production, after considering the system loss such as cables and inverter, was
estimated at 25,067MWh for 50%, 23,930 MWh for 90%, and 23,610 MWh for 95% probability.
Figure 4-6 Probability Distribution of Annual Generated Energy
Power generation forecast for each month for P50 is as follows.

Chapter 4
Table 4-5 Monthly Radiation, Temperature and Estimated Generated Energy
In order to make sure the accuracy of this estimation, we also calculate with NASA-SSE for
comparison purpose, and we get higher irradiation and higher generation power as a results.
Irradiation 1,812.6kWh/m2
Generation power 25,349MWh
Table 4-6 Monthly Radiation, Temperature and Estimated Generated Energy for NASA-SSE

Chapter 4
Based on this comparison, the data with Meteonorm shows the minimum figures therefore we
judge that this estimation can be used as a conservative generation plan.
4.2.3 Grid Interconnection
(1) Power System Study (PSS) on Grid connection

1) Power System Study (PSS)
In order to connect solar system to TNB grid and sell the electricity, it is necessary to apply
the Utility Scale Solar (USS) and be approved by TNB from 2016. Before the application, it
is ruled that commitment of Power System Study (PSS) to TNB based on the ruled fee is
necessary. For PSS application, the solar system operator has to submit the application form
where Solar system specification and necessary information such as grid interconnection point
are described. TNB will take into consideration based on the application and make the report
where the solar system can be connected to TNB grid or not, and power system measurements
necessary for the grid connection are described.
The solar system operator will apply the USS after taking into consideration the power system
measurements described in the report.
Upper mentioned, it is unnecessary for solar system operator to take into consideration the
power system study such as system stability, and power system’s technical information and
supply & load balance at substation unit are not opened to private companies who want to
submit the USS application.
2) Consideration step
PSS’s consideration step is following.
a) Pre-study before PSS application
• By the site survey wit TNB’s local stuff, the candidates of grid connection substation to
be inventoried.
• After submitting the inventory to TNB, interview on the previous judge result and the
necessary adjustment with TNB to be carried out.
b) PSS application step
• Submission of the PSS application form to TNB

• Attendance to the TNB’s meeting and adjustment
• Acceptance of PSS report from TNB
AS upper mentioned, the consultation on the candidate of grid connection substation is to be
finished practically before the PSS application.
3) Consideration contents
In PSS, the following points will be confirmed.
• Adequacy of grid connection point such as substation

• Feasibility of solar system’s generation power transmission
• Adequacy of supply & load balance at the substation
• Impact estimation on power system (ex. Voltage dynamics in the case of the system fault

Chapter 4
• Recommendation of meter and protection relay necessary for grid connection

• Recommendation of power system measurements necessary for grid connection
As upper mentioned, in the TNB’s PSS report, the technical judge and necessary measurements on
solar system’s TNB grid connection are described. Therefore, the PSS result will be reflected to
FIT application of the solar system.
(2) Consideration of grid connection substation in Perlis state’s solar system

1) Selection of candidate substations
Based on the site survey with TNB, the candidate substations of grid connection in Perlis
state’s solar system are shown in down table. Estimation points are the distance (km) between
the substation and the solar system, and the substation’s load (MW). The distance impacts on
the construction cost of the transmission line, power loss and voltage drop. Therefore, the
shorter distance is desirable. The substation’s load impacts on the supply & load balance at
substation where TNB request that solar system’ s generation power will be smaller than the
substation’s load and will not inject into the substation’s upper side system. Therefore, the
larger substation’s load is desirable.
Except upper estimation points, it is important to be able to set the feeder equipment of the
transmission line in the substation.
After total estimation, it was judged that Kangar substation is the best grid connection point
by 33kV 1 circuit transmission line from the solar system (Chuping Valley). By this grid
connection point, the PSS application was submitted.
Table 4-7 Candidate Substations and Their Outlines

Distance to Load Connected
PMU kV Solar Farm (Demand) Solar Farm Remark
(km) (km) (MW)
1 Chuping 275/132 15 12 1.5 Approximately 10MW.
Will downgrade. Load will shift to

2 Bukit Keteri 132/33/11 10 5 Nil Bukit Keteri South. Feed in not
possible due to low load demand.
Bukit Keteri estimated
3 132/33 14 Nil Able to feed in 10MW.
South (New) 18
4 Kangar 132/33/11 23 18/25 Nil Highest load. Able to feed in 20MW.

Chapter 4
Figure 4-7 Key Map with Nearest TNB Substation Location
Figure 4-8 Kangar Substation

Chapter 4
Figure 4-9 Single Line Diagram for Grid Connection between PV Plant and Kangar Substation
2) Technical consideration
On the power loss and voltage drop, comparative result among 33kV 1 circuit, 33kV 2 circuit
and 11kV 2 circuit is shown under table.
33kV 1 circuit is feasible and economical, therefore the PSS application was submitted by this
transmission line configuration.
Table 4-8 Power Loss and Voltage Drop due to Transmission

Transmission Line Loss (%) Voltage drop (%) Remark
1 33kV 1circuit 7.2 10.5
PV AC Output:15MW
2 33kV 2circuit 3.6 5.2
Transmission Line length:23km
3 11kV 1circuit 32.6 46.4
Calculation formula
Power Loss (Loss) (P / (V × cos θ))2 × R [W]

Voltage drop (R × P + X × Q) / V [V]
P: Power (kW),
V: Voltage (kV),
cos θ: Power factor,
R: Resistance (Ω)
X: Reactance (Ω),
Q: Reactive power (kVar) (= P × tan θ)

Chapter 4
On the calculation of transmission line’s impedance which is the base parameter important for
the analysis of loss and voltage drop, the method is shown in down fig. Resistance is important
parameter for loss analysis, and resistance and reactance is important parameter for voltage
drop.
33kV Transmission Line Inductance & Reactance

(Conductor location）
＜Design condition＞ 33kV 3phase
Conductor : OC-W 150 mm 2
Radius (r) : 0.008 m D12 D23
Frequency (f) : 50 Hz
Conductor location: D12=0.5 m D31
D23=0.5 m
D31=1.0 m
＜Calculation＞
Equivalent Line Distance
D=3√D12 × D23 × D31 ＝ 3

√0.5 × 0.5 × 1.0 ＝ 0.63 m
Inductance
L = ( 1/2 + 2 log D/r ) × 10-7 H/m
-7
= 9.23 × 10 H/m
Reactance
X=2πfL
= 2900 × 10-7 Ω / m
= 2.90 × 10-1 Ω / km
Figure 4-10 Calculation Method of Inductance and Reactance of Transmission Line
Table 4-9 Inductance and Reactance of Transmission Cable

sq R X Radius Equivalent Line Inductance Reactance
(mm2) (Ω/km) (Ω/km) (m) Distance (m) (H/m) (Ω/km)
1 80 0.24 0.31 0.0058 0.63 9.9E-07 0.31
2 100 0.19 0.3 0.0065 0.63 9.6E-07 0.30
3 150 0.12 0.29 0.0080 0.63 9.2E-07 0.29
On the consideration of transmission line’s conductor size, when the size becomes larger, the
loss will be decreased and the merit on transmission will be increased, but the construction
cost will be increased and the demerit will cause. Here, the loss and the construction cost of
33kV 1 circuit transmission line are estimated in the case of the conductor size 80mm2,
100mm2, 150mm2. As the result, when 150mm2 size is adapted instead of 80mm2 size, the
larger construction cost can be recovered by 3.8 years. Therefore, the adaptation of 150 mm2
size conductor is desirable.

Chapter 4
Table 4-10 Selection of Cable for Transmission Line

T/L Increased
T/L T/L Generation
Construction Sales Energy T/L Increased Recovery
Conductor Construction Loss Energy
Cost Income Construction Income Year
Size Cost (%) Income
Per kW (USD/kW/year) Cost (USD/kW/year) (year)
(mm2) (k USD) (USD/kW/year)
(USD/kW) (USD/kW)
80 2,000 133.3 10.3 219.4 196.8 0 0 -
100 2,250 150.0 8 219.4 201.9 16.7 5.0 3.3
150 2,875 191.7 5.3 219.4 207.8 41.7 11.0 3.8
A B B×(1-A/100) C D C/D
8,760 hour x
Rough 25.5km
Remark Per 15MW 0.167 x 0.15
estimation (Max.)
USD/kWh
(3) Result of PSS
Application for PSS was prepared and submitted to TNB on April 16, 2015. The result of the study
was returned by TNB, on July 11, 2015 in the form of 25-page report. The report explains the
variability of load at the Kangar Substation and the allowable maximum power to be
interconnected, referring to the figure below, as follows;
“The trough load at PMU Kangar (Kangar Substation) is assumed to be 17.6 MW for this study.
As per TNB’s requirement, 85% of trough load is taken as the maximum amount of power that can
be injected into the grid. Hence, 85% of trough load at PMU Kangar is 15 MW.”
POWER SYSTEM STUDY Proposed Interconnection of Solar PV plant At Chuping Valley, Perlis State Government Land, TNB
Figure 4-11 Variability of Load at Kangar Substation

Chapter 4
Other technical proposals mentioned in the application were also commented and judged adequate.
The conclusion was that the proposed connection between the Solar PV plant and PMU Kangar is
sufficient to carry the 15 MWAC of active power.
There were also conditions set out as follows;

- Automatic Disconnection (anti islanding) shall be equipped;
- The point of synchronization to TNB’s system shall be located on the generator side and
accessible by TNB staff;
- RE plant shall be disconnected upon any divergence of operating limits or developer’s internal
failure;
- The metering point is at the point of connection;
- During contingency (breakdown or shutdown), the RE source is to be isolated until the normal
open point is restored.
- All equipment installed that are to be handed over to TNB must comply to latest TNB
specifications with written consent and drawings are duly endorsed;
- Tests and commissioning schedules shall be reported to TNB for his witness;
- Tests and commissioning schedules. TNB would have the option to witness the said tests,
- Electrical drawings are to be endorsed by Professional Engineer (Electrical),
- All photovoltaic system drawings are to be endorsed by ISPQ certified professional;
- Interconnection Operation Manual shall be jointly prepared to address operational boundaries,
maintenance boundaries, sequence of operations & protocols, contact persons, etc.
The results of the study were summarized as follows;

- The distribution system is capable of absorbing the 15 MWAC of power exported by the
proposed Solar PV plant.
- No voltage violations occur during trough load conditions due to the Solar PV plant
interconnection.
- All PV generators shall operate at unity power factor.
- Detail designs at the interface points have to satisfy all the technical requirements for operational
integrity, reliability and safety.
- A meter room shall be constructed next to PMU Kangar. The maintenance of the proposed cables
between the Solar PV plant and PMU Kangar is under the responsibility of the developer.
- The PMU Kangar building at 33kV shall be extended to accommodate additional control panel
and circuit breaker.
A copy of PSS report is attached as Appendix 5.
4.2.4 Transmission Line Equipment
Based on the discussion with TNB and considering the accepting power capability of substation,
F/S team decided to connect to Kangar Substation located 23km away from the project site with
33kv transmission line. The F/S team conducted the route survey supported by TNB officer.

Chapter 4
(1) Outline of 33kV Transmission Route
The transmission route passes on along the public roads between Chuping Valley site and Kangar
Substation. There are segments for which the transmission cables should be buried underground,
for undercrossing other transmission lines, railways, and roads.
Table 4-11 and Table 4-12 show the equipment for overhead and underground transmission,
respectively.
Table 4-11 33kV Overhead Line Equipment
Route Chuping ~ Kangar
Nominal Voltage 33kV
Circuits 1cct
From : Chuping
Location
To : Kangar Substation
Total Length 23.7km
Supporting structure Concrete Pole : 522
Conductor OC-W : 150mm2
Ground Wire AW : 22mm2

* OC-W : Out-door Cross-linked Polyethylene Insulated Wire Water Proof
* AW : Alumoweld Wire
Table 4-12 33kV Underground Line Equipment
Circuits 1cct
From : Chuping
Location
To : Kangar Substation
Total Length 1.2km (17 point)
Conductor CVT : 200mm2

* CVT: Out-door Cross-linked Polyethylene Insulated vinyl sheathed Triplex Cable

Chapter 4
Figure 4-12 Transmission Route

Chapter 4
Site
Underground
segment
UG UG
UG UG
UG
UG
UG
UG
Figure 4-13 33kV Transmission Underground (UG) Segment (Part 1)

Chapter 4
UG
UG
UG
UG
UG
UG
UG
UG
UG
Figure 4-14 33kV Transmission Underground (UG) Segment (Part 2)

Chapter 4
(2) Power Sending Capacity and Voltage Drop
The length of underground segments in total is Table 4-13 Voltage Drop

about 1 km. It is less than 5 % of total length of
value unit
transmission line, and assuming these segments as
overhead does not undermine the accuracy of Capacity 15 MW
estimation. Therefore, for simplicity of calculation, 3.4 kV
Voltage Drop
all length was assumed as overhead, and the voltage 10.4 %
drop and power loss were calculated. The results are 793.5 kW
shown in the table on the right hand side. Power Loss
5.3 %
(3) Support, Power Line, Ground Line, Insulation

Table 4-14 Concrete Poles
1) Support
length diameter design load
Support is designed with concrete poles to be m cm kgf
elected within the ROW of public roads. Where Pole 12 19 500
horizontal angle is large, additional slanted
support poles will be added. Slanted
12 19 350
support
2) Power Line, Cable, Ground Line
Wires and cables were selected for transmission current 420 A as shown below.
Table 4-15 33kV Overhead Line OC-W 150mm2

Cross- Outer Maximum Conductor Approximate Allowable
Structure
section diameter conductor resistance tensile load weight current
(wire/mm)
(mm2) (mm) (Ω/km) (kN) (kg/km) (A)
150 19/3.2 16.0 0.122 52.9 1,610 500
Table 4-16 33kV Underground Line CVT 200mm2

Cross- Outer Maximum Approximate Allowable
Final diameter
section Shape diameter conductor resistance weight current
(mm)
(mm2) (mm) (Ω/km) (kg/km) (A)
Round
200 17.0 0.093 95.0 10,200 500
compressed
Table 4-17 33kV Overhead Ground Line AW 25mm2

Cross- Outer Maximum Conductor Approximate Allowable
Structure
section diameter conductor resistance tensile load weight current
(wire/mm)
(mm2) (mm) (Ω/km) (kN) (kg/km) (A)
25 3/3.2 6.9 3.56 3,140 160.3 80

Chapter 4
3) Insulation
Insulation selected is ones for high voltage distribution system, and for suspension type a high
voltage pin insulator, and for tensile type a high voltage terminal insulator.
Table 4-18 33kV Overhead Line Insulator

Allowable voltage Bending load Approximate weight
type
(kV) (kN) (kg)
pin insulator 35 1.86 1.3
terminal insulator 35 4.70 4.1
(4) Construction Schedule of 33kV Transmission Line
Construction schedule was planned based on the past records, as shown in the table below.
Overhead line and underground line will be worked in parallel.
Table 4-19 33kV Transmission Line Construction Schedule
4.2.5 Construction Plan
The construction plan of this project will be decided by the scheduled SPC (Special Purpose
Company) as a power producer, with the permission of local authority. From the start of
construction until the commercial operation it will take 11 months. Suppose the project starts the
construction from October 2016, the commercial operation of system will be after July 2017.
(1) Project Schedule
PESMY will mainly promote the construction for this project for the entire schedule. It will take
2 months for system detail design after the results of TNB power study returned. Procurement

Chapter 4
process will start thereafter, followed by transportation of part of relevant equipment. This process
will take about 4 months. At the same time as the start of procurement and transportation process,
the main construction will be commenced as well. The construction will take about 8 months and
the works consist of 7 sub-scopes, such as a) C&S works, b) mounting structure installation, c)
low voltage side installation, d) middle voltage side installation, e) monitoring & control, f) cabling
infrastructure work, g) grid connection. After the main construction works, there will be the IO
(Initial Operation) as well as TNB's test and commissioning, and system performance test.
Currently, we forecast the commercial operation from September 2017.
A plan of local people to be employed during the construction is as follows;
♦ management 5 persons
♦ engineers, supervisors 20 persons
♦ skilled workers 40 persons
♦ common workers 200 persons
♦ others (administration etc.) 10 persons.
Table 4-20 Installation Work Schedule

1 2 3 4 5 6 7 8 9 10 11 12
Item
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52
1 Project Aw ard
2 Design
3 Procurement
4 Construction Works
a. C&S Works
b. Mounting Structure
c. LV Side Installation
d. MV Side Installation
e. Monitoring & Control
f. Cabling Infrastructure Work

(Site to PCC)
g. Grid Connection
h. Transmission line
5 Initial Operation Date (IOD)
Commercial Operation Date

6
of the Increment (COD)
(2) Procurement Plan and Transportation Plan
Procurement Plan
We selected the key equipment based on the factors such as long term reliabilities and the advanced
technology. The final decision will be done by the scheduled SPC (Special Purpose Company).

Chapter 4
However, PESMY will mainly promote the procurement as well as installation.
As for the key equipment, PV modules, we selected the Panasonic solar module from Panasonic
Energy Company Malaysia (PECMY) which is being produced in Malaysia. With regard to the
inverter, we selected the string type inverter of Huawei based on the project reference in Malaysia.
The SPC (Special Purpose Company) will assign the procurement scope to the EPC contractor of
this project.
(Huawei)
Huawei is a private company and established in Shenzhen on 1987. They are world famous
ICT solution provider and have 170,000 employees. 2014 Annual sales is Chinese Yuan 288
Bil (Yen 5,550Bil) which is 20.6% growth ratio with the business of network service for
telecommunications carrier, ICT solutions for enterprises and terminals for consumer. They
started PV inverter business from 2012 and have more than 500 engineers and acquired more
than 100 patents. Currently they have hardware design office in Germany, software
development branch in Sweden, product center in Shanghai, and manufacture in Shenzhen.
They have already had sales history in more than 140 countries.
Transportation Plan
The key equipment of this project aside from solar modules will be delivered from Panasonic
Energy Company Malaysia which is located in Kulim High-Tech Park in Kedah State.
From Kulim High-Tech Park to the project site of Chuping, the distance of in-land transportation
is only 176km, which means the delivery scope can be done in one day. The manufacturer of
inverters is Huawei, and the shipment will come from Shenzhen port of China to Penang port of
Malaysia. There is regular service and it takes 2 weeks between these ports. From Penang port to
project site, the well-known Japanese transportation companies like Sankyu and Nippon Express
have their presence in this area.

Chapter 4
2hrs 10mins
Figure 4-15 Location of PV Module Production Site and Power Plant Site

Chapter 5
Preparatory Survey Report Project Scheme and Financing of the Project
CHAPTER 5
PROJECT SCHEME AND FINANCING

OF THE PROJECT

Chapter 5
Preparatory Survey Report Project Scheme and Financing of the Project
Chapter 5 PROJECT SCHEME AND FINANCING OF THE PROJECT
5.1 Business Scheme
The target for renewable energy introduction in Malaysia as of 2010 will be as follows.
Year 2015 985MW

Year 2020 2,080MW
Year 2030 4,000MW
With respect to the above targets, the 2015 prospect falls significantly behind, introducing only
283MW in total. Among this output, forecast for the actual introduction of solar will be 192MW
in spite of the target of 65MW, which is exceeding other renewable energy introduction.
On the other hand, the target for the renewable energy introduction for each country was requested
to revise upward during the AMEM (ASEAN Ministers of Energy Meeting) held in 2014. In
response to this request, Malaysia’s target for all renewable energy introduction was decided to be
5,500MW which runs the short of 3,500MW at the current situation.
Upon investigation, the Malaysian government concluded that a rapid increase in other
technologies such as biomass, biogas and hydro was difficult, and solar technology proved to be
the most promising option. As a measure to expand solar adoption, the government decided to
introduce Net Energy Metering (NEM) and Utility Scale Solar (USS) in addition to the existing
FIT policy.
As a result, while the current FIT system was extended to 2017 as an auxiliary measure, large-scale
projects were supposed to migrate to the new USS system at an early stage.
Although this project was evaluated based on the premise of the current FIT, it is now necessary
to consider the new USS policy to be the premise as a result of consulting with KeTTHA.
USS is applied to the projects ranging from 1MW to 50MW, for which applicants are reviewed
individually. The current FIT applies to projects under 1MW or that are 12kW until 2017.
Although the draft of the USS system was approved but on hold to be published by the Prime
Minister's Office in September 2015, the details of its practical adoption were still being studied
and discussed, and were not released by the time of this report.
This USS fund is purely come from TNB revenue. Unlike FIT, no collection from the electricity
bill and government subsidy will not be provided. However, as it is possible to conclude from the
investigation that the selling price from KeTTHA is RM 0.41/w, plus the power purchase bonus
rate (RM 0.05/w) applicable to Malaysian-made solar panels, this report is based upon such
premise.
We will start the power generating business contracting the official PPA (Power Purchase
Agreement) after studying the increase of power purchase selling price between KeTTHA based
on the rate published by USS.

Chapter 6
Preparatory Survey Report Environmental and Social Consideration
CHAPTER 6
ENVIRONMENTAL AND SOCIAL CONSIDERATION

Chapter 6
Chapter 6 ENVIRONMENTAL AND SOCIAL CONSIDERATION
Overview of the Project Component that causes Environmental and Social Impacts
6.1.1 Project Site
The Project is Solar Power Development Project which is located in Chuping valley in Perlis State
at the north of Malaysia. Chuping Valley is included in NCIA, that area is 2,339.1acres. A plot
of 300 acres has been allocated for the renewable energy sector and the Proposed Project will take
up 50 acres from that (refer to Section 4.1.2). The Project Location is shown in Figure 6-1.
Source: http://www.mapofimages.com/malaysia-map/
http://tourismmalaysia.or.jp/map/index.html
Figure 6-1 Project Site Location
6.1.2 Project Outline
The Project is Photovoltaic Power Generation of 18MW with transmission Line.
Table 6-1 System Overview

Structure Design
System size 15 MW
Connection 33 kV, One circuit
Power Inverter 23 kW, 870 units
Mounting Structure Foundation Concrete Footing
Mounting Structure Framework made of Zinc-plated single tube
Meteorological Equipment Radiation meter, Thermometer
Data Collection Weather and power data

Chapter 6
Environmental and Social Consideration Preparatory Survey Report
(1) Solar Farm
The Solar Photovoltaic Farm will be constructed with within the Chuping Valley, that area is
50acres. The coordinates for the Proposed Site is 6o36’17”N and 100o17’07”E. One block of
the solar module has a capacity of 2MW. Ten blocks of solar modules will be connected to produce
a combined total of 15MW for the whole system. The diagram of the system is shown in Figure
6-2.
Figure 6-2 Conceptual Design of the System
(2) Transmission Line
Transmission line will be developed to connect the Solar Farm to the Kangar substation. During
the consultation with Tenaga Nasional Berhad (TNB), Malaysia’s main energy provider, the
development should be able to connect to the Kangar Substation at 33kV of voltage. The
transmission line route for the Project is a total of 25.9km, which is overhead line 23.7km and
underground line 1.2km.

Chapter 6
Table 6-2 33kV Overhead Line Equipment

Circuits 1cct
Total Length 23.7km
Supporting structure Concrete Pole : 522
Conductor OC-W : 150mm2
Ground Wire AW : 22mm2
Table 6-3 33kV Underground Line Equipment

Circuits 1cct
Total Length 1.2km (17 point)
Conductor CVT : 200mm2
The transmission line will pass through the existing roads along the secondary road (FT79, R16,
R9, R133, FT179, R175, EARTH BAN, FT186). This route involves villages such as Kampung
Kubang Tiga, Kampung Medang Gatal, Kampung Titi Tampang, etc. The planned transmission
line route is shown in Figure 6-3, Figure 6-4 and Figure 6-5.

Chapter 6
Figure 6-3 Components along the Transmission Line

Chapter 6
Figure 6-4 Detailed Transmission Line Route (1)

Chapter 6
Figure 6-5 Detailed Transmission Line Route (2)

Chapter 6
(3) Access Road
Access road is not newly constructed. The existing roads along the transmission line are planned
to be used as an access road.
6.1.3 Installation Work Plan
The construction and the operation of the commercial facility will take up to 9 months. The
Schedule is shown in Table 6-4.
Table 6-4 Installation Work Schedule

1 2 3 4 5 6 7 8 9 10 11 12
Item
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52
1 Project Aw ard
2 Design
3 Procurement
a. C&S Works

(Site to PCC)
g. Grid Connection

6

Chapter 6
Environmental and Social Baseline
6.2.1 Natural Environment
(1) Climate
The weather in the state of Perlis is normally warm and wet, is actually controlled by the yearly
fluctuations in position of the Inter Tropical Convergence Zone since it follows the obvious
movement of the sun north and south of the equator. This results in two distinct rainy periods, and
a prolonged drought period. It experiences a Monsoon Tropical climate and "Winter Winds" (East
Coast Wind from Teluk Siam) (Dano Umar et.al., 2012). Generally, Chuping is categorized as one
of the driest region in Malaysia. The highest temperature recorded in Malaysia was recorded at
Chuping on 9th April 1998 with 40.1˚C (www.met.gov.my).
The Chuping meteorological station is located approximately 13.5 km from the Project site. The
observed data from 2003 to 2013 this station is shown below.
Figure 6-6 Distance from Chuping Meteorological Station to the Project Site
(2) Rainfall
The mean annual rainfall is 2,002.8mm, and mean monthly rainfall is 166.9mm. From September
to November has most rainfall, which is from 213.99 to 253.11mm. The dry season is from
January to February, which has little rainfall with 48.8mm to 73.6mm. The mean rainfall days
are 160 in a year.

Chapter 6
Table 6-5 Summary of Meteorological Data (2003-2013)
Summary of Meteorological Data
Total (average) rainfalls per year (over 11-year period) 2002.8 mm
Average total rainfalls per month 166.9 mm
The least (average) rainfalls per month 48.8 mm (January)
The highest (average) rainfalls per month 253.1 mm (October)
Average total number of rain days per year ~166 days
Average number of rain days per month ~3 days
300.0
253.1
233.7
225.0 213.9
190.3 187.1 187.1 186.6
Milimeters, mm
146.1 152.
150.0 130.4
73.6
75.0
48.8
0.0
Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec
Monthly Rainfall
Figure 6-7 Average Monthly Rainfall over 11 Years Period (2003 to 2013)
(3) Temperature
The average 24 hour mean monthly temperature is generally high and ranges from about 26.5°C
to 28.1°C. The variation is very small. Low daytime temperature and high night-time
temperatures coincide with rainy season, whereas cool nights are often experienced during the dry
weather.

Chapter 6
28.5
28.1
28.
27.9 27.9
27.8 27.5
Celcius (˚̊C)
27.1 27.1
27.
27.0 26.8
26.7 26.7
26.5
26.3
25.5
Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec
Monthly Mean Temperature
Figure 6-8 Average 24-hour Mean Temperature from Year 2003 to 2013
(4) Wind
Based on the observed data from the year 2003 to 2013, the region experienced calm conditions
24.4% of the time with wind speed of less than 0.3m/s. The dominant wind direction is identified
to be from the north direction. The percentage of Annual Wind Rose Summary is presented in
Figure 6-9. The percentage frequencies of occurrence for concurrent wind direction (degrees) and
speed (m/s) within specified ranges (%) is presented in Table 6-6 and Table 6-7 respectively.
W
E
S
Figure 6-9 Wind Rose Summary of Chuping from Year 2003 to 2013

Chapter 6
Table 6-6 Percentage Frequencies of Occurrence for Concurrent Wind Direction (degrees)
and Speed (m/s) within Specified Ranges (%)
0.3- 1.6- 3.4- 5.5- 8.0- Mean
Direction >10.7 Total
1.5 3.3 5.4 7.9 10.7 Speed
Calm 24.4
Variable 0 0 0 0 0 0 0
N 8.9 10.1 0.7 0 0 0 19.7 1.7
NE 9.1 8.2 0.3 0 0 0 17.7 1.6
E 4.6 1.9 0.2 0 0 0 6.7 1.3
SE 4.2 0.5 0 0 0 0 4.7 0.9
S 3.4 1.2 0 0 0 0 4.6 1.2
SW 3.5 4.3 0.1 0 0 0 7.9 1.7
W 4.2 4.1 0.2 0 0 0 8.5 1.6
NW 4 1.4 0 0 0 0 5.5 1.2
Table 6-7 Record for Maximum Surface Wind Speed from the Year 2003 to 2013
Month
Year JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
2003 Dir. 090 360 190 010 290 310 230 Def. 250 360 010 Def.
Speed 14 17.8 14.6 15.9 13.9 10.1 13.1 11.4 10.9 11.5
2004 Dir. 060 010 110 150 310 270 310 300 340 050 050 060
Speed 14.4 12.6 13 12 13.2 13.5 13.6 13.7 10.6 12.5 11.9 14.4
2005 Dir. 050 080 060 090 170 240 250 210 240 300 070 240
Speed 13.2 13 12.2 10.8 9.2 11.4 11.1 8.8 13.5 10.3 9.9 13.5
2006 Dir. 120 040 140 040 330 340 260 290 260 340 120 290
Speed 11.7 12.2 11 12 10.8 10.4 8.8 14.1 9.4 9.3 10.1 14.1
2007 Dir. 360 030 120 040 Def. 280 220 Def. 310 290 010 Def.
Speed 11.9 10.7 10.2 10 10.7 12.4 11.7 15.1 8.3
2008 Dir. 360 020 020 150 290 310 220 300 280 280 360 280
Speed 9.2 10.4 10.4 10.2 10 10.7 9.8 8.2 11.4 10.6 9.1 11.4
2009 Dir. 050 080 080 170 290 290 270 270 280 350 040 280
Speed 11 14 14 11 10.6 10.4 10.4 11 16.6 9.8 10 16.6
2010 Dir. 350 090 090 030 040 200 300 300 080 Def. 170 Def.
Speed 10.2 13.6 13.6 14.3 10.2 8.7 11.3 9.6 17.6 9.8
2011 Dir. 090 110 110 340 280 300 Def. 300 310 Def. 360 Def.
Speed 12 10.5 10.5 11.3 7.8 14.9 11.2 10.9 11.4
2012 Dir. 320 020 020 280 280 280 290 310 280 Def. 210 Def.
Speed 11.4 9.4 9.4 11.8 11 11.5 13.3 10.4 11.7 10.2
2013 Dir. 020 100 100 270 010 230 300 220 320 280 010 100
Speed 10.4 12.3 12.3 10.7 11.5 9.9 9 10.9 9.4 10.6 11.8 123
(5) Topography
The topography of the Project Site is relatively flat and low lying. The site is located on
undulating land at between 70 – 90m above Mean Sea Level (MSL).
(6) Geology
From the geological formation, it can be seen that the areas in the surrounding region of site is of

Chapter 6
the Carboniferous and Permian sedimentary rock type. The main characteristic is it is of the phyllite,
slate, shale and sandstone. The dominant soil type in the area is of the Harimau-Tampoi soil type.
The geology map is shown in Figure 6-10, the soil type map in Figure 6-11.
Project Site
Location
Source: Jabatan Ukur dan Pemetaan Malaysia, 1985
Figure 6-10 Geological Map of Peninsular Malaysia

Chapter 6
Source: Department of Agricultural Malaysia
Figure 6-11 Soil Type Map of Perlis
(7) Hydrology
In terms of hydrology, there is no water body found within the site. However, at the south of the
Project site, there is one river that flows downwards at the southern boundary of the Project site.
The river is one of the tributaries of the Jerneh River. The location of the river is about less than
1km to the Project site area. The Project Site area is within the catchment area of the Jerneh River.
However, the transmission line passes through a few rivers besides the Jerneh River, which are the
Ngolang and Terusan Jejawi. Terusan Jejawi River is a tributary of the Jejawi River which runs to
the south of the transmission line, near to the Kangar power station. The water in the Jerneh River
is used for irrigation of paddy field (see Figure 6-4, Figure 6-5).
(8) Protected Area
In the geographic map, the Project site is included in Rimba Mas Mas Forest Reserve (see Figure
6-4, Figure 6-5).
However, the protected are is located in the developed area (see Figure 6-12). The nearest
protected area to the Project site is the Timah-Tasoh Dam. The Dam supplies water to the people
of Perlis as well as prevents any occurrence of flood. It is suitable for fish breeding and other
aquaculture projects. It is also a sanctuary for migratory birds.

Chapter 6
Source: http://www.fairwood.jp/forest/world/maps/Malay_pm.html
Figure 6-12 Protected Area Map

Chapter 6
Figure 6-13 Forest Type Map
Figure 6-14 Distance from Project Site to Timah-Tasoh Dam

Chapter 6
(9) Ecology
The Project site had been used as the sugar cane field before development of Chuping Green Valley.
At present, almost of the land has been abandoned, and the part of that has been used to be the
cultivated land such as a sugar cane field etc. The rubber plantation covers around the Project
site, and there are the rubber plantation and settlement along the transmission line. There is no
important ecology around the Project site.
Timah Tasoh Reservoir which is located approximately 6km from the Project site is the shallow
man-made lake with about 17km2. It supports a variety of aquatic birds from the Little Grebe and
Common Moorhen to Lesser Whistling – Duck (Dendrocygna javanica) and Cotton Pygmy Goose
(Nettapus coromandelianus). Cinnamon and Yellow Bitterns (Lxobrychus cinnamomeus, L.
sinensis) frequently appear at the water’s edge. A variety of Egrets and Garganey (Anas
querauedula) are found here during the winter months.
(Source: A field guide to Birds of Peninsular Malaysia and Singapore, 2012)
6.2.2 Social Environment
(1) Socio-Economic
The socio-economic study covers the Project site which located in the Sub-District of Chuping of
Perlis state.
Perlis is the smallest state in Malaysia with total area of 821km2. It is situated at the northern part
of the west coast Peninsular Malaysia. Perlis is bordered by Thailand at the northern border and
state of Kedah at the southern border. The economic activity of Perlis is predominantly
agricultural, which takes up to 63% of the total land use, while forestry and fishing are the other
important activities. Rice, rubber and sugar cane are extensively cultivated while fruit production,
especially mango and watermelon is also significant.

Chapter 6
Source: Jabatan Perangkaan Malaysia, 2010
Figure 6-15 Project Site Location within the Perlis State
(2) Population
The number of population size in Sub-district of Chuping and Perlis state were 12,779 and 225,630
respectively. The gender distribution in Perlis state is comprised of 111,199 male (49%) and
114,431 female (51%) and in Sub-district of Chuping had 6,580 male (51%) and 6,199 female
(49%).

Chapter 6
Table 6-8 Population of Perlis state, Sub-district of Chuping, 2010

Male Female Total
Num. % Num. % Num.
Perlis State 111,199 49 114,431 51 225,630
Chuping Sub-
6,580 51 6,199 49 12,779
District
(3) Ethnic Group
Malay is counted more than 80% in Perlis state and Chuping Sub-district.
Table 6-9 Ethnic Composition of Perlis state, Sub-district of Chuping, 2010

Malay Bumiputera Chinese Indian Others
Num. % Num. % Num. % Num. % Num. %
Perlis State 193,641 88.0% 943 0.4% 17,522 8.0% 2,675 1.2% 5,329 2.4%
Chuping
10,434 84.0% 99 0.8% 126 1.0% 46 0.4% 1,719 13.8%
Sub-District
(4) Ethnic Minority/ Indigenous People
In and around the Project site, there are not ethnic minority or indigenous people.
Ethnic minorities in Malaysia are called non-Bumiputera which mainly consist of Chinese and
Indian. Chinese ethnic makes up 24.6% of the population while the Indian community comprises
of 7.1% of the total population. Majority of Malaysian are Bumiputera with 50.4% population.
Indigeneous people are devided into three tribes which are called Negrito, Jahai and Proto-Malay
with each tribe devided into a few sub-tribes. Each tribe has their own language and custom.
Negrito tribes mostly reside in the northern region of Peninsular Malaysia while the Senoi people
inhabited the slopes of Titiwangsa namely in the rural parts of Perak, Kelantan and Pahang. The
Proto-Malay people lived mainly in the southern region of peninsular Malaysia. Most of them
reside in Johor.
(5) Land Use
The project site has been covered with shrub and grassland, a part of that is sugar cane field. The
rubber and banana plantation has been covered around the site. The nearest human settlements
are about 3km away from Project site which is Kampung Kubang Tiga.

Chapter 6
Rubber and Banana Plantation Area
Figure 6-16 Project Site and the 3km Radius Surrounding
Table 6-10 Land Use Surrounding the Proposed Site
Distance from Proposed Project Site Direction Description of Land Use

(approximate)
0-1 km - -
1-2 km South West Rubber And Banana Plantation Area
2-3 km - -
3-4 km South West Kampung Kubang Tiga
4-5 km South West Construction Site of Sanitary Landfill
5-6 km South West Rubber Plantation area
Kampung Ayer Timbul
6-7 km South West UPP Chuping
Timah-Tasoh Dam
Kampung Bukit Jerneh
7-8 km South West Sungai Jerneh Bridge
8-9 km South West Kampung Padang Malau
> 9km South West Dewan Sri Aneh
Bukit Keteri
*Kampung means Village, Sungai means River

Chapter 6
Figure 6-17 Current Site
(6) Land Acquisition and Resettlement
The land of Chuping Valley had been owned by Felda Global Nature Ltd., that had been sugar cane
field. Cash compensation had been conduted along with development of Chuping Valley, at
present the land belongs to Perlis state. Therefore there will be no used for resettlement or
compensation to privte entities.
Chuping Valley is at the stage that is attracting businesses, the cultivation for local residents is
admitted until the operator is determined. Therefore, currently the Project site has places that are
used to cane fields and the like.
(7) Cultural Heritage
There is not any historical or cultural heritage building in and around the Project site.

Chapter 6
System and Organization related to Environmental and Social Consideration

in Malaysia
6.3.1 Legal Framework related to Environmental and Social Consideration
The laws and regulations related to Environmental and Social Consideration in Malaysia are shown
in Table 6-11.
Table 6-11 Laws and Regulations

No. Law and Regulation Year
1 Environmental Quality Act 1974; amendment 1985
2 Environmental Quality (Licensing) Regulations 1977
3 Environmental Quality (Clean Air) Regulations 1978: amendment 2000
4 Environmental Quality (Compound of Offences) Rules 1978
5 Environmental Quality (Sewage Effluents) Regulations 2009
6 Environmental Quality (Industrial Effluents) Regulations 2009
7 Environmental Quality (Motor Vehicle Noise) Regulations 1987

Environmental Quality (Prescribed Activities) (Environmental Impact
8 1987; amendment 1995
Assessment) Order
9 Environmental Quality (Scheduled Waste) Regulations 2005
Environmental Quality (Control of Emission from Diesel Engines)
10 1995
Regulations
Environmental Quality (Control of Emission from Petrol Engines)
11 1995
Regulations
12 Environmental Quality (Compounding of Offences) (Open Burning) Rules 2000
13 Factories and Machinery (Noise Exposure) Regulations 1989
14 Factories and Machinery (Safety, Health and Welfare) Regulations 1970
15 Guidelines for Prevention and Control of Soil Erosion and Siltation Malaysia 1996
16 Urban Stormwater Management Manual 2000
6.3.2 Organization related to Environmental and Social Consideration
Environmental issues are handled in each level of federal, state, and local authorities. Ministry
of Natural Resources and Environment (MONRE) was established in 2004. The Department of
Environment (DOE) in MONRE is the main leading organization of environmental issues, EIA
and EMP, the Department of Irrigation and Drainage (DID) has the important role to give
permission on soil erosion and sedimentation control in construction works.

Chapter 6
Table 6-12 Organizations of the MONRE

No. Department and Institute
1 Forestry Department Peninsular Malaysia
2 Forest Research Institute Malaysia
3 Minerals and Geosciences Department Malaysia
4 Department of Environment (DOE)
5 Department of Wildlife & National Parks Peninsular Malaysia
6 Department of Irrigation and Drainage (DID)
7 National Hydraulic Research Institute of Malaysia
8 Department of Director General of Lands and Mines
9 Department of Survey & Mapping Malaysia
10 National Institute of Land and Survey
Source: Ministry of Natural Resources and Environment
6.3.3 EIA System in Malaysia
The Environmental Quality Act 1974 and amendment 1985 regulates to submit EIA to DOE. The
activities required EIA are prescribed in the Order (1987) of this act. For non-prescribed activities,
Preliminary Site Assessment (Penilaian Awal Tapak: PAT) is required to evaluate site suitability
(Environmental Requirements: A Guide for Investors, Department of Environment Malaysia,
2010). EIA has two procedures. Preliminary EIA is required to submit to DOE of State for
small impact activities, whereas detailed EIA is required to submit to federal DOE for significant
impact activities. There is the case that is required Detailed EIA after review Preliminary EIA.
Environmental Management Plan (EMP) is prepared after approval of EIA. PAT, EIA and EMP
are prepared by consultant registered to DOE. Under construction and during operation, EIA
Audit is carried out to confirm whether the activity is conducted in line with the Environmental
Quality Act 1974 and related regulations. Environmental Audit report is prepared by third party.
The EIA procedure is shown in Figure 6-18.
Photovoltaic power generation is not prescribed in the order. Therefore, the Project is not assumed
to be required EIA.
It takes 2 to 3 weeks to take the approval after submission PAT to DOE. DOE issued AS PAT 1-
12 Form to describe required matters as follows.
 Type of application
 Introduction
 Information on applicant / consultant
 Information on the proposed project site
Site location: territory / district / state
Site coordinate
Site location plan (attach): size, boundary of the site including transmission line
Project layout plan (attach)
 Information on proposed project
Upper level project, relevant guideline, and so on

Chapter 6
 Declaration by applicant
 Comments from relevant agencies
Federal Department of Town and Country Planning (If related to the State Structure Plan or
other plans)
Department of Town and Country Planning (If related to the State Structure Plan or other
plans)
 Application checklist
Figure 6-18 EIA Procedure in Malaysia

Chapter 6
Comparative Study on Alternatives
6.4.1 Comparison of Site Location
The Project sites are compared with Perlis, Perak and Kedah state where were proposed by
Malaysian government as a candidate site. The candidate site of Kedah is private land and
adjacent to the river, so land acquisition and landfill are required to use as a photovoltaic power
station. In addition, nearest existing substation does not have enough acceptable capacity. The
candidate site of Kedah is located in the undeveloped land, so it requires infrastructure buildings
such as a bridge. Therefore, Perlis site is selected as the Project site from the side of economy
and environment.
Table 6-13 Comparison with Site Location

Candidate Site Perlis Perak Kedah
Project Output 22MW 20MW
Outline Length of 24km
Transmission
Line
Environment Social Chuping Valley belongs to Land acquisition is Land acquisition is
Environment Perlis state, so land required due to private required due to private
acquisition is not required. land. land.
Natural The land was used as a The land is used as a palm
Environment sugar cane field, so impact plantation, so impact on
on natural environment is natural environment is not
not assumed. assumed.
Economy The length of transmission The land is adjacent to the The land is undeveloped,
line is long, but land river, so landfill is so it requires infrastructure
acquisition and landfill are required. The nearest buildings such as a bridge.
not required. existing substation does
not have enough
acceptable capacity, so
new substation is
necessary.
Evaluation Environment ○ △ ×
Economy △ × ×
Comprehensive Evaluation ○ × ×
6.4.2 Zero Option
There is no impact in the case that the Project is not conducted. However, the Project is
development of the photovoltaic power generation that impact is small. If zero option is selected,
the power supply by the renewable energy with small impact cannot be received and it does not
contribute to the local economy development.

Chapter 6
Scoping and TOR of Environmental and Social Consideration Study
6.5.1 Scoping
After a few field study and secondary data gathered, scoping list was done and the result is shown
in Table 6-14 below.
Table 6-14 Scoping

Evaluation
Environmental
Category No Before/ under Evaluation reason
Item Operation
construction
1 Air Pollution B- D Under construction: Impact on air quality is
expected by dust and emission due to operation of
Pollution construction vehicles. But the scale of the work is
Control small and affected area is limited.
Operation: Works which cause air pollution are
not expected.
2 Water Quality B- D Under construction: There is a possibility of water
pollution by waste water from construction works.
Operation: Works which cause degradation of
water quality are not expected.
3 Waste B- D Under construction: Occurrence of construction
waste and waste soil are expected.
Operation: Occurrence of waste is not expected.
4 Soil Pollution D D Works which cause soil pollution are not expected.
5 Noise and Vibration B- D Under construction: Noise from heavy equipment
and vehicles are expected.
Operation: Noise and vibration under operation of
solar power is not expected.
6 Land Subsidence D D Works which cause land subsidence are not
expected.
7 Odor D D Works which cause odor are not expected.
8 Bottom Sediment D D Works which cause bottom sediment are not
expected.
9 Protected Area D D There is no protected area in the Project area and its
surrounding.
10 Ecosystem D D The land for photovoltaic power station was used
for sugar cane field, therefore there is little
Natural possibility that affected on ecology.
environment
11 Hydrology D D Works which impact on hydrology are not
expected.
12 Topography and Geology D D Works which affect topography and geology are not
expected.
13 Land Acquisition/ D D Land acquisition and resettlement do not cause
Resettlement because the land is owned by Perlis State
Government.
14 Poverty D D The impact on poverty is not expected.
Social
environment 15 Ethnic minority and D D There is no ethnic minority and indigenous people
indigenous people in the Project area and its surrounding.
16 Local economy, D D The impact on local employment is expected.
employment and
livelihood

Chapter 6
Evaluation
Environmental
Category No Before/ under Evaluation reason
Item Operation
construction
17 Land use and Use of D D The impact on land use and use of natural resource
natural resource is not expected.
18 Water use D D The impact on water use is not expected.
19 Existing social D D The impact on the existing social infrastructure and
infrastructure and service service is not expected.
20 Social institutions and D D The impact on social institutions and social
social organization such organization such as decision-making body is not
as decision- making body expected.
21 Uneven distribution of D D The impact on uneven distribution of benefits and
benefits and damages damages is not expected.
22 Conflict of interest in D D Regional conflict of interest is not expected.
the region
Social
environment 23 Cultural heritage D D There is no cultural heritage in the Project area and
its surrounding.
24 Landscape D D There is no landscape resource in the Project area
and its surrounding.
25 Gender D D The impact on gender is not expected.
26 Children’s rights D D There is no element that infringes on children’s
rights.
27 Infection, HIV/AIDS D D The spreading of infection is not expected, because
the influx of construction workers is very small.
28 Working condition B- D Under construction: It is necessary to consider
(including working working condition of construction workers.
safety) Operation: Works which impact on working
condition are not expected.
29 Accidents B- D Under construction: It is necessary to consider the
possibility of occurring accidents such as a traffic
accident.
Operation: Works which cause an accident are not
Others expected.
30 Impact of cross-border, D D The impact across the border and climate change
and climate change are not expected, because the Project is the
photovoltaic power generation development and its
scale is small.
A+/-: Significant positive/negative impact is expected.
B+/-: Positive/negative impact is expected to some extent
C+/-: Extent of positive/negative impact is unknown. (A further examination is needed, and the impact could be clarified as the
study progresses)
D: No impact is expected
6.5.2 TOR
Based on the scoping results, the environmental and social consideration survey on affected items
was conducted in line with TOR.

Chapter 6
Table 6-15 TOR
Impact Item Survey Item Method

Environmental standards Study of exiting documents
Air Quality
Current air quality Air quality analysis
Environmental standards Study of exiting documents
Water Quality
Current water quality Water quality analysis
Waste Treatment method of construction waste Study of exiting documents
Environmental standard Study of exiting documents
Noise / Vibration
Current noise Noise analysis
Working Condition Measure for working safety Study of exiting documents
Measure for traffic accident under
Accident Study of exiting documents
construction
Stakeholder Collecting opinions from relevant Organization of the stakeholder
Consultation (SHM) authorities and affected communities consultation
6.5.3 Methods of Site Survey
The Site Survey for air and water quality, noise level was carried out. The measurement sites and
items are shown in Table 6-16.
Table 6-16 Measurement Items and Sites for Air and Water Quality, Noise Level
Impact Item Measurement Items Measurement Site
Air Quality ① TSP, PM10, SO2, NO2, CO, ② Photovoltaic Power Station (2 points: A1, A2)
Pb, Hydrocarbon ③ Transmission Line Route (8 points: A1~A8)
Water Quality ① pH, DO, Turbidity, BOD5, ② Photovoltaic Power Plant (Jerneh River) (5 points: W1~W5)
COD, TSS, E.Coli, NH3-N , ③ Transmission Line Rout (12 points: W1~W12)
Oil & Grease
Noise ① LAeq, LA10, LA90, LAmin, LAmax ② Photovoltaic Power Station (2 points: A1, A2)
③ Transmission Line Route (8 points: A1 ~ A8)

Chapter 6
Figure 6-19 Location of Measurement Sites for Air and Water Quality, Noise Level
Result of Environmental and Social Consideration Survey
The result of the environmental and social consideration survey based on TOR was shown in Table
6-17.
Table 6-17 Result of the Environmental and Social Consideration Survey

Survey Item Survey Result
Air Quality  The environmental standard of air quality in Malaysia is shown below;
Parameters Unit Recommended Limit

Total Suspended Particulate µg/m3 260
Particulate Matter (PM10) µg/m3 150
Nitrogen Dioxide, NOx µg/m3 320
Sulphur Dioxide (SOx) µg/m3 105
Carbon Monoxide (CO) ppm 9
Lead, Pb µg/m3 1.5
Hydrocarbon µg/m3 NA
Source: Environmental Quality Regulations, DOE, 2014
 All items of air quality are below the environmental standard around the photovoltaic power station and
along the transmission line route.

Chapter 6
Air Quality Analysis Result (Photovoltaic Power Station)

Item Measured Value (Mean)
Unit
A1 A2
TSP µg/m3 72 68
PM 10 µg/m3 50 46
Sulfur Dioxide µg/m3 ND(<5) ND(<5)
Nitrogen Dioxide µg/m3 ND(<2) ND(<2)
Carbon Monoxide ppm ND(2) ND(2)
Lead µg/m3 ND(<0.01) ND(<0.01)
Hydrocarbon µg/m3 ND(<5) ND(<5)
Air Quality Analysis Result (Transmission Line)

A1 A2 A3 A4 A5 A6 A7 A8
TSP 76 74 72 68 70 68 69 66
PM 10 55 50 49 47 48 46 47 42
Sulfur Dioxide ND(<5) ditto ditto ditto ditto ditto ditto ditto
Nitrogen Dioxide ND(<2) ditto ditto ditto ditto ditto ditto ditto
Carbon Monoxide ND(2) ditto ditto ditto ditto ditto ditto ditto
Lead ND(<0.01) ditto ditto ditto ditto ditto ditto ditto
Hydrocarbon ND(<5) ditto ditto ditto ditto ditto ditto ditto
Water Quality  The environmental standard of water quality in Malaysia is shown below;
Parameters Unit *Class IIA

pH - 6.0-9.0
Dissolved Oxygen (DO) mg/L 5.0-7.0
Turbidity NTU 50.0
BOD5 at 20o mg/L 3.0
COD mg/L 25.0
Total Suspended Solids mg/L 50.0
E.Coli CFU/100ml 100.0
Ammoniacal Nitrogen mg/L 0.3
Oil and Grease mg/L 0.04
Source: Interim National Water Quality Standards for Malaysia, DOE, 1993
 The BOD and COD were beyond the environmental standard in W4 of the Jerneh River flowing near the
photovoltaic power station. The turbidity and TSS of W4 relatively indicated a high value. The BOD
was beyond the environmental standard at all locations.
Water Quality Analysis Result (Photovoltaic Power Station)

W1 W2 W3 W4 W5
Temp (°C) 30.9 31.8 31.1 31.9 30.8
pH 6.20 6.50 6.60 6.40 6.20
DO 5.5 5.95 6.15 6.05 5.80
Turbidity 13 11 31 45 33
BOD5 6 4 4 9 4
COD 24 16 16 33 16
TSS 5 4 29 41 27
E.Coli 10 18 18 13 41
NH3-N ND(<0.01) ND(<0.01) 0.30 0.26 ND(<0.01)
Oil and Grease ND(<1) ND(<1) ND(<1) ND(<1) ND(<1)
The BOD was beyond the environmental standard at 10 sites from W3 to W12 along the transmission line.
Water Quality Analysis Result (Transmission Line)

Chapter 6

W1 W2 W3 W4 W5 W6
Temp 30.9 31.5 31.5 31.6 30.9 31.8
pH 6.50 6.60 6.50 6.10 6.40 6.30
DO 6.15 5.90 6.00 5.75 5.90 5.80
Turbidity 11 10 26 26 22 20
BOD5 2 2 6 6 4 4
COD 8 8 24 24 16 16
TSS 5 4 14 15 15 14
E.Coli 8 6 11 13 14 12
NH3-N ND(<0.01) ditto ditto ditto ditto ditto
Oil and Grease ND(<1) ditto ditto ditto ditto ditto
W7 W8 W9 W10 W11 W12
Temp 30.8 30.8 31.1 30.8 31.4 30.8
pH 6.45 6.40 6.55 6.60 6.50 6.40
DO 5.80 5.90 6.15 6.20 6.05 5.80
Turbidity 9 10 13 11 12 12
BOD5 4 6 4 6 4 6
COD 16 24 16 24 16 24
TSS 4 5 4 5 4 5
E.Coli 6 11 10 12 9 15
NH3-N ND(<0.01) ditto ditto ditto ditto ditto
Oil and Grease ND(<1) ditto ditto ditto ditto ditto
Waste  Environmental Quality Act (1974) and Local Government Act (1976) regulate the basic system of waste
and recycle. In the Environmental Quality (Scheduled Waste) Regulations (1989; Amendment 2005), it
prescribes type, disposal process and responsible party.
 The occurrence of municipal waste such as construction waste and soils is expected by construction works
of the Project. Others are grass and trees occurred by land clearing, which are unregulated wastes.
 Municipal Waste
 General construction spoil such as cement and rock should be recycled on site as much as possible.
 Unsalvageable construction spoil should be stockpiled at a designated site and reviewed to be sold to
salvage yard operators or other contractors. Alternatively, arrangement can be made with registered
private contractors or the local authority to carry out regular collection for off-site disposal.
 Unregulated Waste
 The grass and trees will first be lest to dry at the site, and later transported. Burning of vegetative
residues should not be carried out in the site premises.
 The removal and transportation of the biomass must be undertaken by a licensed waste contractor.
Noise  The environmental standard of noise level in Malaysia is shown below;
Receiving Land Use Recommended Limit
Suburban Residential (Medium Day time 55 dBA
Density) Areas, Public Spaces, Parks, (7.00am – 10.00 pm)
Recreational Parks Night time 45 dBA
(10.00pm – 7.00 am)
Source: Planning Guidelines for Environmental Noise Limits and Control, DOE, 2007
 The noise level was beyond the environmental standard at most of the sites around the photovoltaic power
station and along the transmission line.

Chapter 6

Noise Level Analysis Result (Photovoltaic Power Station)
Item Measured Value Mean)
N1 N2
Day time Night time Day time Night time
LAeq 58.9 47.4 57.2 46.6
LA10 62.4 50.1 60.3 49.3
LA90 56.3 45.7 54.9 44.2
LAmin 42.3 36.8 40.9 35.9
LAmax 95.2 86.8 92.1 84.1
Noise Level Analysis Result (Transmission Line)

N1 N2 N3 N4
Day Night Day Night Day Night Day Night
time time time time time time time time
LAeq 58.3 47.3 59.2 48.2 57.4 47.2 59.3 47.3
LA10 60.8 49.6 61.9 50.6 59.3 49.4 61.4 49.3
LA90 56.8 45.2 57.6 46.7 55.1 45.4 57.4 45.1
LAmin 42.6 36.2 43.2 36.1 43.5 33.7 43.9 37.6
LAmax 85.9 75.8 86.2 73.5 84.7 74.9 88.3 77.6
N5 N6 N7 N8
Day Night Day Night Day Night Day Night
time time time time time time time time
LAeq 57.3 42.1 53.1 46.9 54.8 43.2 59.2 48.5
LA10 63.2 48.4 57.0 48.2 55.8 46.2 65.1 49.8
LA90 54.0 44.7 53.2 43.4 52.5 44.1 56.9 45.3
LAmin 42.8 37.7 42.5 37.1 43.5 35.6 44.6 39.
LAmax 96.1 86.3 93.8 83.3 93.1 89.4 98.5 88.0
Working  As a law on the working safety and health, the Occupational Safety and Health Act was enacted in 1994.
Condition This act requires the aggressive involvement of the project proponent, workers, and working safety experts
in order to ensure safety and health at the workplace.
 Malaysian standard enacted in 2003 has a function as a reference standard to observe the Occupational
Safety and Health Act.
Accident  In Malaysia, installation of traffic sign under construction is not defined.
Environmental Impact Assessment
The impact on the environment was assessed based on the result of the environmental and social
consideration survey.

Chapter 6
Table 6-18 Environmental Impact Assessment

Scoping Evaluation
Environmental
Category No Before/under Before/under Evaluation reason
Item Operation Operation
construction construction
1 Air Pollution B- D B- N/A Under construction: Impact on air
quality is expected by dust and emission
Pollution
due to operation of construction
Control
vehicles. But the scale of the work is
small and affected area is limited.
2 Water Quality B- D B- N/A Under construction: There is a
possibility of water pollution by waste
water from construction works.
3 Waste B- D B- N/A Under construction: Occurrence of
construction waste and waste soil are
expected.
4 Soil Pollution D D N/A N/A
5 Noise and Vibration B- D B- N/A Under construction: Noise from heavy
equipment and vehicles are expected.
6 Land Subsidence D D N/A N/A
7 Odor D D N/A N/A
8 Bottom Sediment D D N/A N/A
9 Protected Area D D N/A N/A
Natural 10 Ecosystem D D N/A N/A
Env. 11 Hydrology D D N/A N/A
12 Topography and Geology D D N/A N/A
13 Land Acquisition/ D D N/A N/A
Resettlement
14 Poverty D D N/A N/A
15 Ethnic minority and D D N/A N/A
indigenous people
16 Local economy, employment D D N/A N/A
and livelihood
17 Land use and Use of natural D D N/A N/A
resource
18 Water use D D N/A N/A
19 Existing social infrastructure D D N/A N/A
and service
20 Social institutions D D N/A N/A
Social
and social organization such as
Env.
decision- making body
21 Uneven distribution of D D N/A N/A
benefits and damages
22 Conflict of interest in the D D N/A N/A
region
23 Cultural heritage D D N/A N/A
24 Landscape D D N/A N/A
25 Gender D D N/A N/A
26 Children’s rights D D N/A N/A
27 Infection, HIV/AIDS D D N/A N/A
28 Working condition (including B- D B- N/A Under construction: It is necessary to
working safety) consider working condition of
construction workers.
29 Accidents B- D B- N/A Under construction: It is necessary to
consider the possibility of occurring
Others accidents such as a traffic accident.
30 Impact of cross-border, and D D N/A N/A
climate change
A+/-: Significant positive/negative impact is expected.
B+/-: Positive/negative impact is expected to some extent
C+/-: Extent of positive/negative impact is unknown. (A further examination is needed, and the impact could be clarified as the
study progresses)
D: No impact is expected

Chapter 6
Mitigation Measures and Cost
6.8.1 Mitigation Measures
The mitigation measures were reviewed on the negative impact items.
Table 6-19 Mitigation Measure

Implementing Responsible
No. Impacts Mitigation Measures
Organization Organization
1 Air pollution  Preventing diffusion of dust by water spray DCC PESMY
 Strict compliance with speed restriction (30km/h) for all
vehicles operating within the construction site.
2 Water  Prevention measure of suspended solid and turbidity DCC PESMY
pollution such as a silt fence
 Rapid compaction of the construction surface
3 Waste  Appropriate treatment of waste DCC PESMY
5 Noise/  Use of low noise machines and vehicles DCC PESMY
vibration  Explanation of the work schedule to local people
 Restrictions of the construction time
28 Working  Preparation and compliance of Safety Management Plan DCC PESMY
condition (SMP)
 Wearing of basic safety equipment such as safety shoes,
gloves and helmet
29 Accident  Installation of warning signs DCC PESMY
6.8.2 Cost for Mitigation Measures
The cost for mitigation measures is included in the construction cost.
Monitoring Plan
6.9.1 Implementing Organization
The implementation organization is shown in Table 6-20. EMP is prepared based on Environmental
Policy, Legislative Requirement and EIA. Environmental Management Unit (EMU) is
responsible for EMP and aims the effective management program. PESMY is responsible for
entire of the Project. Design and Construction Contractor (DCC) will prepare and carry out
Environment and Safety Management Plan (ESMP).

Chapter 6
Table 6-20 Environmental Management Responsibilities

Organization Responsibilities
PESMY  PESMY is responsible for the implementation, management and supervision
of the Project, including EMP requirement.
 PESMY approves the monitoring result.
 PESMY receives all complains and grievances which arise under
construction and during operation.
Environmental  The consultant prepares EMP.
Consultant  The consultant confirms ESMP prepared by DCC.
 The consultant supervises monitoring implemented by DCC.
 The consultant reports the monitoring result to DOE.
DCC  DCC prepares the final design based on EMP.
 DCC prepares and carry out ESMP.
EMU  EMU supervise the environmental management program.
6.9.2 Monitoring Plan
Monitoring plan is prepared to confirm the effect of mitigation measures as follows;
Table 6-21 Monitoring Plan

Monitoring Implementation Responsible
Item Location Frequency
Parameter Organization Organization
Construction Phase
Air Quality TSP Photovoltaic power station: Quarterly DCC PESMY
PM10 2 sites
Sulfur Dioxide Transmission line route:
Nitrogen Dioxide 8 sites
Carbon Monoxide
Lead
Hydrocarbon
Water pH Photovoltaic power station: Monthly DCC PESMY
Pollution DO 5 sites
Turbidity Transmission line route:
BOD5 12 sites
COD
TSS
E. Coli
NH3-N
Oil and Grease
Waste Municipal Waste In the construction site and Weekly DCC PESMY
Unregulated Waste the field office Monthly
Noise LAeq Same as air quality Quarterly DCC PESMY
LA10
LA90
LAmin
LAmax
Working Patrol for worker’s In the construction site Twice under construction DCC PESMY
Condition condition
Accident Patrol for traffic Around the construction site Under transportation of DCC PESMY
condition materials of photovoltaic
power: Weekly
Others: Monthly

Chapter 6
Stakeholder Meeting
The stakeholder meeting was held on 6th August, 2015. Outline of the Project and assumed
impacts were explained to stakeholders, and then discussion was continued.
6.10.1 Attendance
The number of attendance was 15 including NCIA(Northern Corridor Implementation Authority),

UPEN (Unit Perancang Ekonomi Negeri – State Economy Planning Unit), MPK (Majlis
Perbandaran Kangar – Kangar Municipal Council), JPBD Perlis (Jabatan Perancang Bandar dan
Desa –Town and Country Planning Department), DOE (Department of Environment, DOE), JPS
(Jabatan Pengairan dan Saliran – Drainage and Irrigation Department), JKR (Jabatan Pengairan
dan Saliran – Drainage and Irrigation Department), PESMY and consultant.
6.10.2 Jabatan Kerja Raya – Public Works Department, Subject of Discussion
The main opinions from stakeholders are shown in Table 6-22.
Table 6-22 Main Opinions from Stakeholders

Organization Main Opinion
NCIA  The Project is important as a kick-off to Chuping Valley Development.
UPEN  Technical meeting is proposed to be done with PESMY.
 Land tenant issue will be clarified during the technical meeting.
JPS  There are no discharge to Timah Tasoh Dam from the Project site and it is included in the
different catchment.
 The Jerneh River is a main water supply for paddy field in Perlis state.
 The details of the transmission line should to be submitted in order to identify sensitive
structures along the route.
JPBD  No issue
MPK  PESMY should get all the plans ready and have a presentation with MPK for the
engagement policy meeting chaired by YDP.
DOE  Before the submission of PAT, the consultant must check with the municipal council and
NCIA regarding the latest sitting and zoning for the area.
 PESMY must consider waste generated from the Project site.
JKR  The transmission line must be submitted to the road department of JKR Kangar.
The minutes of the stakeholder meeting is attached at Appendix 6. The monitoring form and the
environmental checklist are attached at Appendix 7 and Appendix 8.

Chapter 6
Figure 6-20 Stakeholder Meeting on 6th August, 2015

Chapter 7
Preparatory Survey Report Project Execution Plan
CHAPTER 7
PROJECT EXECUTION PLAN

Chapter 7
Preparatory Survey Report Project Execution Plan
Chapter 7 PROJECT EXECUTION PLAN
Schedule
Due to the adjustment between Perlis government and KeTTHA, this investigation is prolonged
for another half year. It is expected to start from 2017 according to the schedule blow.
Calendar year 2014 2015 2016 2017 2042
(1) Feasibility study
(2) Contract preparation
(3) Construction
(4) Operation
Construction Schedule of Solar Power Plant
When each procedure is completed, construction of solar power plant and grid connection will be
implemented in 10 months on following schedule, and commercial operation is possible from 11th
month after test drive.
1 2 3 4 5 6 7 8 9 10 11 12
Item
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52
1 Project Aw ard
2 Design
3 Procurement
a. C&S Works

(Site to PCC)
g. Grid Connection

6

Preparatory Survey Report Appendices
APPENDICES
Appendix 1 : Memorandum of Understanding between the Northern

Corridor Implementation Authority and Panasonic Eco
Solutions (M) Sdn. Bhd.
Appendix 2 : Sample of License for Generation and Supply of Electricity
Appendix 3 : Topographic Map of the Site
Appendix 4 : Specifications of Photovoltaic Module
Appendix 5 : PSS Report
Appendix 6 : Minutes of the Stakeholder Meeting
Appendix 7 : Monitoring Form
Appendix 8 : Environmental Checklists

APPENDIX 1
MEMORANDUM OF UNDERSTANDING BETWEEN

THE NORTHERN CORRIDOR IMPLEMENTATION AUTHORITY
AND PANASONIC ECO SOLUTIONS (M) SDN. BHD.

APPENDIX 2
SAMPLE OF LICENSE FOR GENERATION

AND SUPPLY OF ELECTRICITY

ELECTRICITY SUPPLY ACT 1990
LICENCE FOR GENERATION AND SUPPLY OF ELECTRICITY
PART I - GRANT OF LICENCE
1. The Energy Commission with the approval of the Minister of Energy, Green
Technology and Water, in exercise of the powers conferred on him by section 9 of the
Electricity Supply Act, 1990 (hereinafter referred to as "the A~
~rcisable by him for that purpose, hereby grants to -

- · a comi:>an incorporated under the Com anies Act 1965, havin its
referred to as "the Licensee"), a licence for the period specified in paragraph 4,

subject to the terms in this Part and Conditions set out in Part Ill of this Licence
(hereinafter referred to as "the Conditions"), the Act and to any Regulations made or
which may be made under the Act and to revocation as provided for in Part IV, to use,
work or operate or permit to be used, worked or operated any generation installation
and its associated facilities, any transmission and/or interconnection facilities, to be
constructed b or for the Licensee at
(hereinafter referred to
as the "Power Station"), and to supply energy to (e.g. Tenaga Nasional Berhad), a
1965, havin
referred to as "TNB") and/or to any other person approved by the Energy Commission.
2. The Licence may extend to authorising the Licensee to do all or any of the acts
specified hereinafter, particularly, to lay, place, carry on or maintain transmission
lines, cables or wires related to power station, in accordance with the provisions of the
Act.
3. The granting of this Licence does not remove any obligation of the Licensee to comply
with any provision of any other written law or to obtain any other licence that is
required under any other written law for the time being in force.
39
4. This Licence shall come into force from the date of issuance of the Licence, and shall
expire after the completion date referred to in paragraph 2 of
Condition 5 but, without prejudice to Part IV of this Licence, shall be subject to
revocation.
( DATUK IR AHMAD FAUZI BIN HASAN)

Chief Executive Officer
Energy Commission
Dated :
40
PART II - INTERPRETATION AND CONSTRUCTION
1. Unless the contrary intention appears, words and expressions used in the Conditions
shall be construed as if they were an Act of Parliament and the Interpretation Acts
1948 and 1967 applied to them, and references to an enactment shall include any
statutory modification or re-enactment thereof after the date when this Licence comes
into force.
2. Nothing in this Licence shall in any way affect the powers of the Energy Commission
under the Act and any purported detraction or derogation of such powers shall have no
force or effect.
3. Any word or expression defined for the purpose of Part I of the Act shall, unless the
contrary intention appears, have the same meaning when used in the Conditions.
4. Where a time limit is stipulated, the Licensee shall comply with the obligation within the
time limit and that obligation shall be deemed to continue after that time limit if the
Licensee fails to comply with that obligation within that time limit. However, the Energy
Commission may, after an application by the Licensee, extend the time limit as he
deems fit.
5. Any reference to a numbered Condition is a reference to the Condition bearing that

number in this Licence and any reference to a numbered paragraph is a reference to
the paragraph bearing that number in the Condition in which the reference occurs.
6. In construing the Conditions, the heading or title of any Condition shall be disregarded.
7. Any reference to "person" in this Licence, shall be deemed to include natural and legal
person.
8. Words and expressions importing the masculine gender include females.
9. Words and expressions in the singular include the plural, and words and expressions
in the plural include the singular.
41
10. In this Licence, unless the context otherwise requires:
"Act" means the Electricity Supply Act, 1990 [Act 447], as it may
from time to time be amended, extended, modified or re-
enacted;
"affiliate" in relation to the Licensee means any holding company or

subsidiary of the Licensee or any subsidiary of a holding
company of the Licensee, related to the Licensee's core
business of generation and supply of electricity within the
meaning of the Companies Act 1965;
"Commission" means the Energy Commission established under the

Energy Commission Act 2001;
"Director General of Environmental " means the Director General of Environmental appointed
under section 3 of the Environmental Quality Act 1974, and
includes his Deputy or officer authorised by him;
"disposal" includes any sale, gift, lease, licence, loan, mortgage, charge
or the grant of any encumbrance or the permitting of any
encumbrance to subsist or any other disposition to a third
party, including the affiliate;
"Financial Year'' bears the meaning given in paragraph 1 of Condition 18;
"Grid System" means the transmission grid system in Peninsular

Malaysia operated by the Grid System Operator referred to
in the Malaysian Grid Code;
"Grid System Operator" means any person or a unit, department or division forming
part of TNB who is authorized by the Commission or as
provided for under the Act responsible for operational
planning, dispatch and control of the Grid System and any
other function as may be prescribed;
42
"Minister" means the Minister for the time being charged with the
responsibility for matters relating to the generation,
transmission, distribution and supply of electricity;
"Power Purchase Agreement" means an agreement made or to be made between the

Licensee and TNB for the purpose of supplying and selling
electricity to TNB, as the same may be amended, modified
or novated from time to time;
'Power Station" means combined cycle power generating station, including

its associated facilities;
"Subsidiary Legislation" means the Electricity Regulations 1994 and any

Regulations, rule, order, notification, by law or other
instrument made or which may be made under the Act, as
it may from time to time be amended, extended, modified
or re-enacted;
"related undertaking" means any undertaking in which the Licensee has

participating interest;
"relevant assets" means any asset for the time being forming part of the
Licensee's generation business, and any beneficial interest
in land upon which the foregoing is situated;
"Single Buyer'' means any person or a unit, department or division forming

part of TNB who is authorized by the Commission or as
provided for under the Act responsible for the management
of procurement of electricity and related services which
includes planning, scheduling, procuring and settlement, and
any function as may be prescribed;
"TNB" means Tenaga Nasional Berhad., a limited company

incorporated under the Companies Act, 1965, having its
registered office at Pejabat Setiausaha Syarikat, Tingkat 2,
lbu Pejabat Tenaga Nasional Berhad, No. 129, Jalan
Bangsar, 59200 Kuala Lumpur including its successors in-
title or permitted assigns;
43
PART Ill -CONDITIONS OF THE LICENCE
CONDITION 1 OBLIGATIONS OF THE LICENSEE
1. The Licensee is to finance, construct, complete, own, operate

and maintain the gas fired combined cycle Power Station with
a maximum licenced capacity of - MW at -
and any transmission and I or

interconnection facilities as shown in the Location/ Site Plan
attached as Annex A, in order to supply electricity to or for the
use of TNB, provided that the Commission may, with the
approval of the Minister in writing, permit the Licensee to
supply electricity to any other person.
2. The Licensee shall take all necessary measures to ensure the

safety, reliability, availability and efficiency of the Power
Station are maintained throughout the period of this Licence in
accordance with prudent utility practices and in conformity
with the Conditions of the Licence, the Act and the
Regulations made thereunder or such other standards or
requirements determined by the Commission.
CONDITION 2 NOTIFICATION OF THE ROUTE OF THE TRANSMISSION AND/

OR INTERCONNECTION FACILITIES
1. The Licensee shall notify the Commission the route of the

interconnection facilities if any subsequent modification or
extension is required to be constructed by the Licensee in
order to supply electricity.
2. The Licensee shall, within three (3) months after this Licence
enters into force, submit to the Commission a map and
schematic diagram showing the route and the main
components of the subsequent modification or extension to
transmission and/or interconnection facilities.
44
CONDITION 3 QUALIY ASSURANCE, INSPECTION AND PERFORMANCE
TESTS FOR INSTALLATION
With reasonable notice, the Commission may conduct or cause to

be conducted by any competent independent engineer authorized
by the Commission any quality assurance inspections and
performance tests on any installation if it deemed just, fit and
necessary. All costs, expenses and incidental incurred by the
Commission or any other person appointed or authorized by the
Commission for the said inspections and tests shall be borne by the
Licensee.
CONDITION 4 CONSTRUCTION REQUIREMENTS AND GENERAL

SUPERVISION FOR NEW INSTALLATIONS
1. All designs, plans, specifications and details for modification

of the installation shall be prepared, approved or certified by
suitably qualified engineer(s) registered as professional
engineer(s) with Board of Engineers, Malaysia (hereinafter
referred to as "the Plans and Specifications").
2. The Licensee, its contractors, subcontractors, servants,

agents or workmen shall at all times comply with such
written direction given by the Commission or any person
duly authorized by the Commission pertaining to any
matters concerning the construction, installation, testing,
commissioning, operation and maintenance, safety and
efficiency of the installations.
3. The Licensee shall set up its own quality control and quality
assurance team consisting of suitably qualified personnel to
ensure that any modification works which may include
installation, construction, testing and commissioning of the
installation, the material used and the equipment are in
accordance with prudent engineering practices and of
quality and standard as stipulated in the approved Plans
and Specifications and in compliance with the relevant laws.
45
CONDITION 5 INSTALLATION CAPACITY, BUILD UP PERIOD,
COMMISSIONING AND DATE OF COMPLETION
1. The Licensee shall ensure that the Power Station shall have
a nominal capacity of - MW, which shall be the
maximum licenced capacity of the installation.
2. The Power Station and the associated facilities shall be

completed, successfully commissioned and ready to supply
electricity not later than or within such
extended period as the Commission may allow in writing in
order to supply electricity.
3. A generating unit shall be regarded as completed and ready

to supply electricity upon the Licensee certifies that the
same has been duly constructed, installed, set, calibrated
and tested in accordance with the Plans and Specifications
referred to in Condition 4 above and with the provisions of
the other Conditions of this Licence, and in compliance with
all statutory requirements .
4. The Licensee shall ensure that the dependable capacity and

availability of energy under the Power Purchase Agreement
is met at all times and that the operations of the Power
Station are to continue uninterrupted notwithstanding
arbitration, contractual or industrial dispute which the
Licensee may be engaged in, unless it is prevented from
doing so by complying with regulatory requirements or the
malfunction or failure of any equipment or installation
beyond his control, or as result of fire, flood, drought,
landslide, earthquake, explosion, accident, industrial
disturbance on national level, emergency, riot, civil
disturbance, war, or any other similar event not within the
control of the Licensee.
5. If the Power Station is unable to fulfil its obligations under

paragraph 1 above permanently, the Licensee shall take all
necessary measures to restore performance of the Power
Station to the required level. Any modification,
refurbishment or renewal of the Power Station and the
associated facilities shall be notified to the Commission
within a reasonable time of not less than 3 months in
46
advance, who upon consultation with the Grid System
Operator, may allow in writing for such modification,
refurbishment or renewal works.
CONDITION 6 VOLTAGE, FREQUENCY AND QUALITY OF SUPPLY
The voltage, frequency and quality of electricity supplied shall be kept

within a range specified in the Regulations and Grid Code or as
determined by the Commission.
CONDITION 7 ASSET MANAGEMENT
1. For its licensed business activities, the Licensee shall

establish a five years implementation plan after the
Commercial Operation Date, or such timeline to be agreed
with the Commission, to develop an asset management
system which organizes around true lifecycle asset
management processes in order to ensure effective asset
performance management and continual improvement
throughout the asset life.
2. For the purpose of paragraph 1 above, reference may be

made to appropriate asset management standard, which
outline systematic and coordinated activities and practices
through which an organization optimally and sustainably
manages its assets and asset systems, their associated
performance, risks and expenditures over their life cycles
for the purpose of achieving its organizational strategic
plan.
3. The Licencee shall submit to the Commission:
i) its implementation plan within 6 months after

Commercial Operation Date; and
ii) subsequently, submit an annual asset management

performance report based on the implementation plan
outlining the activities in the previous year.
4. Once the asset management system is already in place and

in compliance to asset management standard or practices
as agreed with the Commission, the Licensee shall submit
to the Commission an annual asset performance report
throughout the asset life.
47
CONDITION 8 COMPLIANCE WITH SINGLE BUYER RULES, MALAYSIA GRID
CODE AND INSTRUCTIONS OF GRID SYSTEM OPERATOR
1. The Licensee shall comply with the provisions of the Single

Buyer Rules and Grid Code as it may be amended, extended
or modified by the Commission and in accordance with such
directive and ruling made from time to time by the
Commission.
2. The Licensee shall at all times comply with the instructions,

directives and guidelines of the Grid System Operator referred
to in the Grid Code to ensure the safety, stability and reliability
of the grid system.
CONDITION 9 COMPLIANCE WITH ENVIRONMENTAL PROTECTION

MEASURES
1. The Licensee shall throughout the period of this Licence,

observe and comply with the provisions of any written law for
the time being in force in relation to environmental protection
and to mitigating any adverse impact which the Power Station
may have on the environment.
2. The Licensee shall comply with and implement all measures,

conditions and requirements imposed by the Director General
of Environmental and/or other relevant authorities, in
accordance to the approved environmental impact
assessment report (EIA Report), for the construction and
operation of the Power Station, and for the protection of the
environment throughout the period of this Licence.
3. The Licensee shall submit to the Director General of

Environmental and/or other relevant authorities from time to
time or on such periodical intervals as may be directed by him
and/or other relevant authorities, a report on all the
environmental requirement protection measures and
requirements undertaken by the Licensee.
48
CONDITION 10 OBLIGATION ON GOVERNMENT POLICIES AND
CONTRIBUTION TO FUND
1. The Licensee shall, in the general conduct of its business and

the operation of the Power Station, comply with the policies of
the Government on electricity production or usage and
distribution thereto.
2. The Licensee shall at all times take cognisance of the

Government's policies in particular Bumiputera equity
participation, the transfer of technology and expertise to
Malaysian, the employment of local personnel, contractors
and services and the use of local materials and products.
3. The Licensee shall comply with the Government requirement

for any player in the electricity supply industry to contribute to
any fund established for the electricity supply industry.
4. The Licensee shall inform the Commission at regular intervals

on the status of paragraph 2 and 3 above.
CONDITION 11 STEP IN RIGHT
1. Notwithstanding any contractual obligations of the Licensee, in

the event this Licence is suspended upon breach of any of
the Conditions of this Licence and without prejudice to any
other right or remedy of Licensee, the Commission shall issue
a 90 days notice to step in, solely for the purpose of
exercising its duties and functions prescribed under the Act
and the Regulations made thereunder.
2. In exercising the step-in right under this Condition:
(a) the Commission, with the approval of the Minister,

may appoint any other person to carry out, discharge,
assume or perform any of the obligations, duties and
responsibilities imposed under this Licence on the
Licensee, and to receive such payments, benefits or
privileges which the Licensee is entitled under this
Licence to receive or to enjoy;
49
(b) the Licensee shall not be entitled to any payment or
compensation from the Government or the
Commission for any loss or damage that may have
occurred, incurred or suffered by the Licensee; and
(c) the Licensee, its agents, servants or workmen shall

render all necessary assistance and cooperation to
any such person appointed by the Commission.
CONDITION 12 RIGHT OF ENTRY
The Commission, or any other person duly authorised by the

Commission shall be entitled to enter any premises or land in or upon
which the Power Station is installed or in the course of being installed
and may examine, test, survey or take measurement of the Power
Station and inspect any record and document kept by the Licensee
pertaining thereto, to ensure compliance with the Conditions of this
Licence.
CONDITION 13 REGULATORY COMPLIANCE AUDIT
1. As and when directed by the Commission, the Licensee

shall carry out;
(a) at intervals of not more than four years or otherwise as

determined by the Commission, a management and
engineering audit to ensure that engineering and
management practices of the Licensee will enable
them to fulfill all of their Licence obligations; and
(b) a regulatory audit to ascertain the extent of

compliance with:
i. specific performance standard established by

the Commission;
ii. regulatory implementation guidelines; and
iii. safety and health management, pursuant to

Condition 22.
50
2. The Licensee shall submit to the Commission:
(a) the terms of reference of the audit and any

subsequent revision, for Commission concurrence;
and
(b) the list of names of the consultants who will carry out
the audit for Commission concurrence and shall
consider any representation made by the Commission
regarding the selection of the consultants.
3. Notwithstanding paragraph 1 above, the Commission may

appoint a consultant of its choice to conduct the audit,
whereby,
(a) the cost of such audit and consultant shall be borne by

the Licensee;
(b) the appointed consultant shall report to the

Commission during the audit; and
(c) the Licensee shall provide the necessary cooperation

and assistance required for such audit.
4. The Licensee shall ensure that the information provided is

accurate and credible with respect to the Licensee
compliance with their Licence conditions and the
information is of a quality which is suitable for regulatory
purposes including public reporting, comparative analysis
and reporting and setting of future performance standard.
CONDITION 14 PERFORMANCE MONITORING
1. The Licensee shall submit to the Commission on monthly

interval, information on the maximum daily load, electricity
sold per month, overall plant efficiency and performance,
quantity and type of fuel used per month, accidents,
breakdown of major plants or equipment, forced and
mandatory outages and schedule of maintenance and
overhaul programme.
51
2. Notwithstanding paragraph 1 above, the Licensee shall
furnish to the Commission in such manner and at such times
as the Commission may reasonable require, such
documents, accounts, estimates, returns, reports and other
information as the Commission may consider necessary in
the light of the Conditions or as the Commission may require
for the purpose of performing the duties and functions
assigned to the Commission under the Act or any
Regulations made thereunder.
3. Without prejudice to paragraph 1 and 2 above, the Licensee

shall submit to the Commission the following information:
(a) within three (3) months after this Licence enters into
force, a copy of the Power Purchase Agreement, Gas
Supply Agreement and Land Lease Agreement (if any)
and any subsequent amendment, modification,
rectification or novation of the said agreement; and
(b) within six (6) months after this Licence enters into force,
details of financial arrangements and construction
programmes of the Power Station and subsequently
submission of reports at regular intervals on the status
and progress of the said Power Station during its stages
of construction.
CONDITION 15 REQUIREMENT TO FURNISH INFORMATION
1. The Licensee shall procure and furnish to the Commission,

in such form and at such time as the Commission may
require, such information as the Commission may consider
relevant in the light of the Conditions or as it may require for
the purpose of performing the functions assigned to it under
the Act or the Regulations made thereunder.
2. The power of the Commission to call for information under

paragraph 1 is without prejudice to the power of the
Commission to call for the information under or pursuant to
any other Condition of this Licence or under or pursuant to
the Act or the Regulations.
52
3. In this Condition, "information" means oral or written and
shall include, without limitation, any books, documents,
records, accounts (statutory or otherwise), estimates,
returns or reports of any description (whether or not in
electronic or any other format, or prepared specifically at the
request of the Commission) requested by the Commission
and any explanations (oral or written) in relation to such
information as may be requested by the Commission.
4. The Commission may publish any information provided to

the Commission under this Licence. In exercising its
discretion under this Condition, the Commission shall have
regard to the need to protect confidential information.
CONDITION 16 BUSINESS UNDERTAKINGS
1. The Licensee shall ensure that all the times during the period
of this Licence, its sole business shall be the generation and
supply of electricity.
2. The Licensee shall not undertake any other business without

the prior written approval of the Minister, provided such
approval shall not be unreasonably refused.
3. The authorised and paid up capital of the Licensee shall be

determined by its shareholders and approved by the
Commission and no alteration thereto shall be made without
prior notification in writing to the Commission.
CONDITION 17 REFINANCING ACTIVITIES
1. The Licensee shall notify the Commission as soon as

practicable of its intention to raise any new debt or refinance
its existing debt, for the purpose of continuing the operation of
the power plant.
2. The Licensee shall not carry out such financing or refinancing

activities without the prior written approval of the Commission,
provided such approval shall not be unreasonably refused, if
the Commission is satisfied that:
53
(a) the financing or refinancing is provided for under the
Power Purchase Agreement or for the purpose of
reducing the cost of financing as agreed in the Power
Purchase Agreement;
(b) the financing or refinancing activities will not in any

way jeopardise the ability of the Licensee financially
to continue fulfilling its obligations under this Licence.
CONDITION 18 SEPARATE ACCOUNT FOR BUSINESS UNDER THE LICENCE
1. The Financial Year of the Licensee shall run from such date
as declare by the Licensee to be in line with its audited
annual account.
2. The Licensee shall keep or cause to be kept such accounting

records in respect of its business under the Licence required
under the Companies Act 1965, so that the revenues, costs,
assets, liabilities and reserves and provisions of, or
reasonably attributable to the business under the Licence are
separately identifiable in the books of the Licensee from those
of other business in which the Licensee may be engaged.
3. The Licensee shall prepare in respect of each Financial Year,

accounting statements comprising of a profit and loss
account, a balance sheet and a statement of source and
application of funds in respect of the business under the
Licence. Such account shall be audited by an approved
Auditor appointed by the Licensee, who shall prepare a report
stating their opinion on those account and accounting
statements.
4. The Licensee shall deliver to the Commission a copy of the

account referred to in paragraphs 3 above as soon as
reasonably practicable, and in any event not later than three
months after the end of each Financial Year.
5. Not withstanding its audited annual account as mentioned in

paragraph 3 above, the Licensee shall, whenever notified by
the Commission, in its internal accounting, keep or cause to
be kept details of its Business which when requested from
time to time by the Commission, shall be delivered to the
54
Commission in the form and within reasonable time specified
by the Commission. Such accounting details may be in
accordance with:
(a) regulatory accounting guideline as may be issued by

the Commission from time to time; and
(b) any directions as are reasonable and appropriate for

the purposes of this Condition as the Commission
may, from time to time, notify to the Licensee.
CONDITION 19 RESTRICTION OF CHANGES IN SHAREHOLDINGS
1. As at the date of issuance of this Licence, the shareholders

and the shareholding structure of the Licensee shall be in
accordance to declaration by the Licensee as per the
submission for the issuance of Licence.
2. The Licensee hereby undertakes to the Government that the

present shareholders and shareholding structure as set out
in paragraph 1 remain the same throughout the period of the
licence. Any changes to the shareholders and the
shareholding structure shall be subject to the prior written
approval of the Minister.
3. Notwithstanding paragraph 2 and subject to the prior written

approval of the Minister, and the approval of all relevant
authorit!es, the Licensee may apply for its shares to be
listed and quoted on the official list of the Kuala Lumpur
Stock Exchange (KLSE).
CONDITION 20 LICENCE IS NON TRANSFERABLE, NON-ASSIGNABLE, ETC
1. The Licensee shall not assign, transfer, sublet or otherwise

dispose of its rights, duties, liabilities, obligations and
privileges or part thereof under the terms and Conditions of
this Licence except with the prior written approval of the
Minister.
55
2. The Licence shall not be transferred, charged, pledged or
otherwise encumbered without prior written approval of the
Minister.
3. The creation of any charge, mortgages, pledged, lien or

other securities over the land used for the Power Station is
prohibited without express written consent of the Minister.
4. Any such approval or consent shall be subject to such terms

and conditions as the Minister in his absolute discretion may
impose.
CONDITION 21 ACQUISITION AND DISPOSAL OF RELEVANT ASSETS
1. The Licensee shall notify the Commission not less than

three (3) months prior written notice of its intention to
acquire any relevant asset, dispose of or relinquish control
over any relevant asset, with a value in excess of RM 50
million, together with such further information as the
Commission may request, relating to such asset or the
circumstances of such intended acquisition, disposal or
relinquishment of control, including the acquisition and
disposal procedures of the Licensee.
2. For purposes of paragraph 1 above, "relinquishment of

control" includes the transfer of any operational control of
the asset with or without a transfer of any legal or beneficial
interests in the relevant asset.
3. The Licensee shall prepare and maintain a register of all

relevant assets, and when requested shall provide to the
Commission with such register.
CONIDTION 22 SAFETY AND HEAL TH MANAGEMENT
1. In carrying out its business activities, the Licensee shall

establish a safety and health management system to
ensure effective safety and health management and
continual improvement of all reasonable measures to be
taken by the Licensee to protect person and property from
injury and damage that may be caused by the Licensee's
installations, and practices or operation of the Licensee.
56
2. The Licensee shall submit annually to the Commission, a
safety assessment and performance report focusing on, but
not limited to the following:
(a) safety incidents during the previous financial year;
(b) remedial step or measures taken to avoid similar

incidents;
(c) safety and health management plan in place;
(d) competency of personnel;
(e) safety of installations and mitigation or remedial plan;

and
(f) safety related issues that need to be addressed.
CONIDTION 23 NO RIGHT TO EXTENSION
Nothing in this Licence shall be deemed to entitle the Licensee, as

of right to an extension of the period of this Licence or to renewal
thereof, provided that the Commission in consultation with the
Minister may extend the period of this Licence upon such terms and
conditions as the Commission may deem fit to impose.
CONIDTION 24 INSURANCE
The Licensee shall, throughout the period of this Licence, reasonably

insure or keep insured the Power Station against any possible risks
and to pay the premiums necessary for that purpose and whenever
required by Commission, to produce on demand a true copy of the
policy of insurance and requisite evidence of payment of the
premiums and other fees and duties for the said policy.
CONIDTION 25 PAYMENT OF FEES
The Licensee shall, at the times stated hereunder, pay to the

Commission the amount of fees as provided for in the Regulations
currently in force:
(a) on the issuance of the Licence; and
(b) thereafter, an annual fee when due.
57
CONIDTION 26 CHANGE IN LAW AND REVIEW OF LICENCE
1. The Commission, with the approval of the Minister may add

to, vary or revoke any of terms and Conditions in this Licence
whenever it appears necessary or expedient for the purpose
of extending Part I of the Licence or meeting the technical,
safety and efficiency requirements applied generally to the
electricity supply industry in Malaysia.
2. If a new Act or amendment to the Act is enacted, to the

extent that necessitate redefining, reorganisation or changes
to the business activities of the Licensee specified in the
Licence, or changes to the structure of the electricity supply
industry, the Licence may be reviewed, amended, modified or
reissued to reflect such redefining, reorganisation or changes.
CONIDTION 27 SUSPENSION OF LICENCE
1. If the Licensee has failed to comply with any directive or

order or notice given in writing by the Commission pursuant
to Conditions of this Licence or the provision of the Act or if
the Licensee has failed to comply with or is in breach of any
Condition of this Licence, the Commission may, upon
service of written notice to the Licensee request the
Licensee to remedy the breach within 90 days.
2. If the breach has not been remedied within the stipulated

period, the Commission may, with the approval of the
Minister, suspend the Licence and exercise its duties and
functions pursuant to Condition 11.
3. In exercising the right under paragraph 2 above, the period

of any suspension imposed shall be determined by the
Commission , provided always that where the suspension is
as a result of the breach of any Conditions of this Licence,
the suspension shall cease as soon as the breach has been
remedied by the Licensee and the Commission shall certify
the same.
58
PART IV - REVOCATION
1. Notwithstanding paragraph 4 of Part I of this Licence, if the Licensee constitute any

of the following circumstances:
(a) upon breach of any of the Conditions imposed in this Licence;
(b) if the Licensee ceases to work or operate and maintain the installation;
(c) if the Power Purchase Agreement is revoked and terminated by TNB;
(d) if any amount payable under Condition 25 is unpaid after it has become due
whether notice in writing has been given to the Licensee or not;
(e) if a receiver or liquidator has been appointed for the Licensee; and
(f) if any action was taken for voluntary winding up or dissolution of the
Licensee's company or any order pursuant to the Companies Act 1965 is
made for the compulsory winding up the Licensee company.
the Commission may allow the Licensee to remedy the non-compliance within 90
days from the date the Licensee received the notice of non-compliance from the
Commission. If the non-compliance still persists or cannot be remedied within the
time stipulated above, the Commission shall have the full right to revoke the Licence
by giving 30 days notice of revocation in writing to the Licensee at its registered
office.
2. Where this Licence is revoked pursuant to paragraph 1 above, the Licensee shall
not be entitled to any payment of compensation whatsoever from the Government
or the Commission for any loss or damage that may have occurred incurred or
suffered by him.
3. The determination of this Licence under this Part shall not prejudice or affect the
right of the Government or the Commission to recover any sum due there under of
any breach, non-performance of any of the Conditions on the part of the Licensee
therein contained.
4. Any notice which is required to be given to the Licensee under paragraph 1 above,
shall be deemed to have been given if sent by hand or pre-paid post or by facsimile
to the Licensee's registered address as lodged in the Registry of Companies.
59
ANNEX A
LICENSEE'S AREA OF SUPPLY
The Licensee's area of supply shall comprise the area within the boundary of
60
APPENDIX 3
TOPOGRAPHIC MAP OF THE SITE

APPENDIX 4
SPECIFICATIONS OF PHOTOVOLTAIC MODULE

Data Released Oct. 25, 2013
SPECIFICATIONS
OF
PHOTOVOLTAIC MODULE
Model Number： VBHN240SJ25
SANYO Electric Co., Ltd.
VBHN240SJ25131025
Title SPECIFICATIONS OF PHOTOVOLTAIC MODULE Page 1
1. Scope
This Specification is applicable for photovoltaic module VBHN240SJ25.
2. Specifications
(1) Type of Solar Cells
HIT Solar Cell
(The HIT solar cell is a hybrid composed of a single-crystal silicon wafer

surrounded by layers of thin amorphous silicon.)
HIT=Heterojunction with Intrinsic Thin-Layer
(2) Module structure
Superstrate type.
The basic construction consists of laminated assembly of individual solar

cells and interconnecting ribbons encapsulated within an insulating material.
This encapsulated assembly is sandwiched between tempered, transparent
front surface (glass) and insulating back sheet.
(3) Operating conditions
1) Ambient temperature: -20°C to +40°C

2) Relative humidity: 45% to 95%
(4) Certification
VBHN240SJ25Module certified by JET (ID Number: PV05-53203-1041)
and it complies with the requirements of IEC61215, IEC61730-1,
IEC61730-2 and the CE mark.
Document
VBHN240SJ25131025 SANYO Electric Co., Ltd.
Number
(5) Electrical specifications
1) Characteristics
Maximum power (Pmax) 240 W +10%, -5%

Open circuit voltage (Voc) 52.4 V ±10%
Short circuit current (Isc) 5.85 A 90% or more
Maximum power voltage (Vpmax) 43.6 V (Reference)
Maximum power current (Ipmax) 5.51 A (Reference)
Max. system open circuit voltage 1000 V
Max. overcurrent protection rating 15 A
*Electrical specifications are measured under Standard Test Conditions.

Irradiance of 1000W/㎡, AM 1.5, 25℃ cell temperature
2) I-V characteristics (Reference)
Fig. 1 shows I-V characteristics of VBHN240SJ25 at various cell temperatures.

Fig. 2 shows I-V characteristics of VBHN240SJ25 at various irradiance levels.
(6) Mechanical specifications

The Module mounted at 4 points in a manner which is recommended in
the attached drawing offers load capacity as follows,
Load capacity (wind) 2400 Pa

Load capacity (snow) 2400 Pa
(7) Dimensions
Length 1580 mm 62.20 inch
Width 798 mm 31.42 inch
Depth 35 mm 1.38 inch
Weight 15 kg 33.0 lb
+ 960 mm 37.80 inch
Cable length
- 960 mm 37.80 inch
Connectors P51-5H/R51-5
Document
Number
3. Inspection
The following inspections are performed for all products.
(1) Exterior
(2) Dielectric voltage-withstand test
(3) Voltage, current and power measurement test
4. Marking
The label specifies the following information.
(1) Manufacturers name , model number, and nominal electrical specifications at

STC including:
1) Maximum power (Pmax)

2) Open circuit voltage (Voc)
3) Short circuit current (Isc)
4) Maximum power voltage (Vmp)
5) Maximum power current (Imp)
(2) Maximum system voltage

(3) Maximum over-current protection rating
(4) Minimum Pmax
(5) Date of manufacture (YM) (ex. 1304 means Apr. 2013)
(6) Serial number
(7) Application class of product
(8) Other
5. Other
Mounting angle of module：

Water stains might be caused when rain water remains on the glass surface
for a long time. To avoid water stains, Panasonic recommends to install panels
at slope steeper than the water gradient.
*As part of our policy of continuous improvement SANYO reserves the right
to change products specification at any time without prior notice.
Document
Number
Fig. 1
Dependence of I-V Characteristics on Temperature (Reference)
Model No.: VBHN240SJ25
ＡＭ-1.5，1000W/㎡
7.00
75℃
6.00
50℃
5.00 25℃
0℃
4.00
Current[Ａ]
t[Ａ]
3.00
2.00
1.00
0.00
0 10 20 30 40 50 60
Voltage[Ｖ]
0℃, 25℃, 50℃, 75℃：Cell temperature
Document
Number
Fig. 2
Dependence of I – V Characteristics on Irradiance (Reference)
Model No.: VBHN240SJ25
Cell temperature : 25℃

7.00
1000W/㎡
6.00
800W/㎡
5.00
4.00
Current[Ａ]
600Ｗ/㎡
Curre
3.00
400Ｗ/㎡
2.00
200Ｗ/㎡
1.00
0.00
0 10 20 30 40 50 60
Voltage[Ｖ]
Document
Number
APPENDIX 5
PSS REPORT

POWER SYSTEM STUDY
Proposed Interconnection of Solar PV plant

At Chuping Valley, Perlis State Government Land
Applicant: Panasonic Eco Solutions Malaysia Sdn. Bhd.
(APPROVED SOLAR PV GENERATING PLANT IS 15 MWAC)
APPLICATION NUMBER: RE/PSS/0645
REPORT PREPARED BY:

Universiti Tenaga Nasional
REPORT DATE: 11th July 2015

POWER SYSTEM STUDY

APPLICATION NUMBER: RE/PSS/0645
REPORT NUMBER: UNITEN/PSS/0645
Disediakan Oleh :
................................................
Prof. Ir. Dr. Vigna Kumaran,
Professor, Universiti Tenaga Nasional
CONTENTS
Executive Summary
1.0 Objectives ……………………………………………………………………………….……. 1
2.0 Background ……………………………………………………………………………………. 1
3.0 Scope of study & analysis …………………………………………………………………… 1
4.0 Methodology …………………………………………………………………………………… 1
5.0 Proposed RE plant …………………………………………………………………………… 2
6.0 TNB’s system in vicinity ……………………………………………………………………… 3
7.0 Interconnection options & analysis …………………………………………………………. 5
8.0 Summary results & findings …………………………………………………………………. 9
9.0 Operational requirements, protection and control …………………………………………. 9
10.0 Other technical requirements for compliance by RE developer…………………………... 11
11.0 Conclusion ……………………………………………………………………………………… 11
12.0 Recommendations ……………………………………………………………………………. 11
POWER SYSTEM STUDY

EXECUTIVE SUMMARY
TNB received application to carry out Power System Study (PSS) from Panasonic Eco Solutions Malaysia Sdn.
Bhd. The proposal is for interconnection of solar PV plant. The application is in pursuant to requirement for
application of Feed-in Tariff (FiT).
Power system study (PSS) has been conducted to determine the technical feasibility of the proposed
interconnection.
Results of the study indicate that 15MWAC, or equivalent in DC of solar PV is technically feasible from the
perspective of load flow and fault level. For this study, the Solar PV is assumed to be 15MWAC and this value will
be used throughout the report.
The findings are based on information provided by the applicant at the time of submission. Any change to the
major parameter would require another PSS to be carried out at developer’s cost.
.
POWER SYSTEM STUDY: Proposed Interconnection of 15 MWAC of Solar PV
REPORT NUMBER: RE/PSS/0645
Objective:
1.0 This report is prepared in accordance to Technical & Operation Rules of Renewable Energy Act 2011.
The report is to present the findings of proposed interconnection of the RE plant as below:
 15 MWAC Solar PV plant at Chuping Valley, Perlis State Government Land.
Background:
2.0 The proposed 15 MWAC of Solar PV plant is identified to be commissioned at Chuping Valley, Perlis State
Government Land.
 The closest PMU to the site is PMU Kangar at 33 kV. The closest connection point to the site is
PMU Kangar at 33 kV.
 The 15 MWAC Solar PV plant will be connected to the PMU Kangar via a 25 km single circuit
connection of ABC 240 mm2 at 33 kV.
(Note: developer shall change the cable size as per the advice of their electrical consultant)
Scope of study and analysis

3.0 The scope of study and assessment include the followings:
(i) Assessment of the technical impact of interconnection of RE plant in terms of:
- Voltage profile
- System Adequacy
- System Losses
- Fault level
- Existing operational constraints
(ii) Optimal point of common coupling or interconnection of the two systems.
(iii) Design of interface point or interconnection schemes and the necessary upgrading works as
well as associated costs.
Methodology:
4.0 Step 1: Data updating of RE plant
Step 2: Data updating on distribution system
Step 3: Network modeling and analysis
 Identify options for interconnection point
 System modeling of existing and future system for the medium term
 Assess network performance without and with RE
 Identify system reinforcement or upgrading for interconnection
Step 4: Finalize interconnection point and interconnection scheme
Step 5: Define system reinforcement needs & related costs
Page 1
Proposed RE Power Plant

5.0 The proposed Solar PV plant details as below:
Location Chuping Valley, Perlis State Government Land.

Developer Panasonic Eco Solutions Malaysia Sdn. Bhd.
Address: Level 2, Wisma Panasonic, Lot 10, Jalan
13/2, 46200 Petaling Jaya, Selangor
RE source Solar PV
Output capacity 15MWAC
Interconnection voltage 33 kV
Expected commissioning 2015
date
TNB area TNB Perlis
Contact:
1) Pn. Rabihah Binti Abu Bakar
[email protected]
Page 2
Figure 1: Map of the proposed PV site
TNB's System in Vicinity

6.0 The proposed solar PV plant is situated at Chuping Valley, Perlis State Government Land. The local
system is supplied from PMU Kangar 132/33 kV (2 x 45 MVA)
Load at PMU Kangar for June 2015 are as below.
Page 3
0
10
15
20
25
0
2
4
6
8
10
12
14
16
5
11:00 11:00
14:30 14:30
13:30 13:30
12:30 12:30
11:30 11:30
15:00 15:00
14:00 14:00
13:00 13:00
12:00 12:00
11:00 11:00
14:30 14:30
13:30 13:30
12:30 12:30
11:30 11:30
15:00 15:00
14:00 14:00
13:00 13:00
The bus section at PMU Kangar 33 kV side is closed.

12:00 12:00
11:00 11:00
14:30 14:30
Page 4
13:30 13:30
12:30 12:30
11:30 11:30
15:00 15:00
14:00 14:00
13:00 13:00
T2 Loading (MW) 11am - 3pm
T1 Loading (MW) 11am - 3pm
12:00 12:00
11:00 11:00
14:30 14:30
13:30 13:30
12:30 12:30
11:30 11:30
15:00 15:00
14:00 14:00
13:00 13:00
12:00 12:00
11:00 11:00
14:30 14:30
13:30 13:30
Total Loading (MW) 11am - 3pm

30
25
20
15
10
0
11:00
14:30
13:30
12:30
11:30
15:00
14:00
13:00
12:00
11:00
14:30
13:30
12:30
11:30
15:00
14:00
13:00
12:00
11:00
14:30
13:30
12:30
11:30
15:00
14:00
13:00
12:00
11:00
14:30
13:30
12:30
11:30
15:00
14:00
13:00
12:00
11:00
14:30
13:30
PMU Trough Load = 17.6 MW
PMU Peak Load = 26.88 MW
The trough load at PMU Kangar is assumed to be 17.6 MW for this study. As per TNB’s requirement, 85% of trough
load is taken as the maximum amount of power that can be injected into the grid. Hence, 85% of trough load at PMU
Kangar is 15 MW.
Interconnection options & analysis

7.0 Interconnection to TNB’s network has to satisfy TNB and project proponent mutually. For TNB, safety,
technical and operational requirements must be met to ensure system reliability and workmen safety.
For developer, cost and operational optimization are crucial to ensure viable commercial terms.
Connection options stipulated in RE Act are as below:
Figure 1: Connection voltage options based on proposed feed-in capacity
Page 5
7.1 Possible connection points to TNB system.

Solar PV plant capacity of 15 MWAC can be connected at 33 kV. Possible connection points are as
below:
Distance of
Interconnection
Options Site Location Interconnection point * TNB system to
Voltage
RE plant
1 Solar PV plant At 33 kV PMU Kangar 33 kV 25 km
2 - - - -
Option 1 is selected for the solar PV site based on the distance of TNB system to RE plant.
The single-line diagram for the proposed interconnection for the 15 MWAC Solar PV plant to TNB distribution network
is shown in Figure 2.
Figure 2: Interconnection scheme from RE plant to TNB
Page 6
7.2 Nearby approved/studied RE connection(s) to TNB system

There is currently no approved RE plants connected to PMU Kangar.
7.3 Analysis of each interconnection option

Load model used for the analysis is based on 24 hour trough load.
The analysis is carried out using DIgSILENT Power Factory 15.1 software.
a) Voltage
Load flow studies are performed on the system to assess the impact of on the voltage at the sub-
stations involved, with and without the proposed solar PV plant.
Table 1: Voltage readings at selected buses

3-Phase Voltage (kV)
Nominal 3-Phase Voltage (kV)
WITH THE PROPOSED 15 MWAC
Bus Bus WITHOUT RE PLANT
SOLAR PV PLANT
Name Voltage
(kV)
Trough Load Peak Load Trough Load Peak Load
PMU Kangar
132 132.00 132.000 132.000 132.000
132kV
PMU Kangar
33 33.88 33.88 33.87 33.87
33kV
Bus 33kV at
33 - - 35.59 35.58
site
Bus 11kV at
11 - - 11.88 11.88
site
Findings: The voltage at PMU Kangar did not exceed the ±5% limit. No significant steady-state voltage
variation is observed as a result of solar PV plant connection.
b) Summary of Losses
Losses level is compared based on overall simulated network with and without the solar PV connection.
Page 7
Table 2: Loss levels with and without the solar PV connection
TROUGH LOAD
Without Solar PV Plant
Losses With Solar PV Plant (15 MWAC)
interconnection
P (kW) Q (kVAr) P (kW) Q (kVAr)
Connection to PMU Kangar
at 33 kV, with 25 km 33kV - - 700 - 3940
ABC OH 240 mm2 cable
33/11 kV transformer loss
- - 86.6 866
for solar PV site
11/0.4 kV transformer loss
- - 67 670
for solar PV site
c) Short circuit
Short circuit analysis indicates that all nodes are within the equipment short time rating as specified by
TNB, hence complying TNB’s circuit breaker duty capability.
Simulation is based on fault current at source; PMU Kangar 132 kV at 15.22 kA
Fault level data at the 132 kV bus at PMU Kangar was obtained from TNB Transmission and shown in
Table 3. These values were used in DIgSILENT to calculate the source impedance as well as the
downstream distribution buses short circuit values.
Table 3: Fault level data at 132 kV buses
2018 fault level

Bus no PMU
kA
61137 KGAR132 15.22
The detailed results of short-circuit simulations are shown in Appendix 2. Table 4 summarizes the fault
currents at selected busses for both operating conditions with and without fault current contribution from
the proposed Solar PV plant.
Page 8
Table 4: Short Circuit Current at Selected Buses
3-Phase Fault Current 3-Phase Fault Current (kA)

Bus (kA) WITH THE PROPOSED 15
Bus
Voltage WITHOUT RE PLANTS MWAC SOLAR PV PLANT
Name
(kV)
Trough Load Trough Load
PMU Kangar 132kV 132 15.21 15.28
PMU Kangar 33kV 33 8.65 8.93
Bus 33kV at site 33 - 3.49
Bus 11kV at site 11 - 6.60
Findings: Fault currents at PMU Kangar 33 kV are within the 25 kA limit.

Connection of Solar PV source will increase the fault current. However, it is within limits.
d) Operational constraint
Findings: Currently, there is no operational constraint in the network.
Summary results & findings

8.0 In summary, compliance to requirements for options evaluated in item 6.0 is provided below:
Options
Analysis
1
Voltage profile Comply
System adequacy Comply
System losses Minimum, Lower losses
Short circuit Comply
In summary, the proposed Solar PV interconnection is technically feasible.
Operational requirements, protection and control

9.0 In addition to the main scope of works mentioned in item 7.1, there are other requirements that must be
provided.
Page 9
a. Automatic Disconnection (anti islanding)
RE Plant is to be automatically electrically disconnected from all TNB’s system following any fault on
TNB’s distribution system (loss of mains). This is to ensure operational safety due to risk of back-
energisation and out-of-phase switching by TNB.
As such, the RE power plant has to be equipped with appropriate protection schemes to detect loss of
supply.
Inverter units have to be able to isolate themselves within 2 seconds.
Scheme of protection and settings need to be submitted to TNB for review and approval.
b. Synchronization point and procedure
The point of synchronization to TNB’s system shall be located on the generator side. TNB shall not
have any facility for synchronizing with the RE plant operating in an islanded mode. Appropriate
interlocking scheme is to be put in place to ensure that operation of PCC could be done safely.
Following a system failure, re-synchronizing by RE to TNB’s system shall only proceed once the
system is restored to the normal state. Reconnection shall only be done after TNB supply is stabilized.
The inverter units are to be reconnected after 5 minutes of TNB network restored.
c. Protection at network interface
RE plant shall be disconnected upon any divergence of operating limits or developer’s internal failure.
Adequate protection relays are to be made available by the RE developer as required by TNB.
The proposed protection scheme and setting from the RE plant to TNB substations shall be submitted
for review and approval by TNB. This is to ensure proper coordination and integrity of the overall
protection system at the interface points.
d. Metering point and systems
The metering point is at the point of connection. Energy meters used are of RMR capable. Details and
full scope of the metering scheme is not part of this report.
e. Operation during contingency
The scope of this report is based on the proposed normal open point. Operation of RE source at other
open point requires separate study.
Therefore, during contingency (breakdown or shutdown), the RE source is to be isolated until the
normal open point is restored.
Other technical requirements for compliance by RE developer

10.0 Other general requirements to be in compliance by the RE developer and to be submitted to TNB for
review and approval shall include as follows
Page 10
i. Dedicated meter panel at the point of connection. Uninterrupted access for TNB operation
personnel,
ii. All equipment installed that are to be handed over to TNB must comply to latest TNB
specifications with written consent and drawings are duly endorsed,
iii. Disconnect switch accessible to TNB operation personnel,
iv. Tests and commissioning schedules. TNB would have the option to witness the said tests,
v. All electrical drawings are to be endorsed by Professional Engineer (Electrical),
vi. All photovoltaic system drawings are to be endorsed by ISPQ certified professional,
vii. Interconnection Operation Manual shall be jointly prepared to address operational boundaries,
maintenance boundaries, sequence of operations & protocols, contact persons etc
Conclusion
11.0 The study and analysis indicate that interconnecting the 15 MWAC of Solar PV plant to TNB's 33 kV
PMU Kangar, in Chuping Valley, Perlis State Government Land is technically feasible.
The findings are based on information provided by the applicant at the time of submission. Any change
to the major parameter would require another PSS to be carried out at developer’s cost.
 The proposed connection between the Solar PV plant and PMU Kangar is sufficient to carry the 15
MWAC of active power.
 The distribution system is capable of absorbing the 15 MWAC of power exported by the proposed
Solar PV plant.
 No voltage violations occur during trough load conditions due to the Solar PV plant interconnection.
 All PV generators shall operate at unity power factor.
 Detail designs at the interface points have to satisfy all the technical requirements for operational
integrity, reliability and safety.
 A meter room shall be constructed next to PMU Kangar. The maintenance of the proposed cables
between the Solar PV plant and PMU Kangar is under the responsibility of the developer.
 The PMU Kangar building at 33kV shall be extended to accommodate additional control panel and
circuit breaker.
Recommendation
12.0 It is hereby recommended that the 15 MWAC Solar PV plant proposed by Panasonic Eco Solutions
Malaysia Sdn. Bhd. be approved for interconnection to TNB’s 33 kV network as per the proposed
interconnection scheme mentioned in Figure 2.
11th July 2015
Page 11
Appendices:
Appendix 1 DIgSILENT System Models
Appendix 2 Results of System Studies
Appendix 3 Site Photos
Page 12
Appendix 1
DIgSILENT
External ..
SINGLE LINE DIAGRAM
KGAR132
T132T33M45 Dyn11
T132T33M45 Dyn11
Tx1
Tx2
Breaker/S..
KGAR33 R
KGAR33 L
OH33WOLF A33UG185X
OH33WOLF OH33WOLF
Line5
Line1
METER
Line18
Line17
25km ABC 240mm2
A33AB..
Line4
A33ABC240X
Line 33kV
OH33WOLF
OH33WOLF
Line8
Line3
Breaker/S.. Breaker/S.. Breaker/S..
PPU_SMPT_R33kV PPU_KODG_M33kV PPU_KODG_R33kV PPU_SHRB_R33kV PPU_SHRB_M33kV
PPU_SMPT_M33kV

General L.. General L.. General L.. General L.. General L.. General L..
Site 33kV
Page 13
T33T11M22
Site Tx.
Site 11kV
Line 11kV L Line 11kV R

A11UG500X A11UG500X

Site 11kV L Site 11kV R

T11T0.4M2.2
T11T0.4M2.2
T11T0.4M2.2
T11T0.4M2.2
T11T0.4M2.2
T11T0.4M2.2
T11T0.4M2.2
T11T0.4M2.2
T11T0.4M2.2
T11T0.4M2.2
Lv. Tx. 10
Lv. Tx. 1
Lv. Tx. 2
Lv. Tx. 3
Lv. Tx. 4
Lv. Tx. 5
Lv. Tx. 6
Lv. Tx. 7
Lv. Tx. 8
Lv. Tx. 9
Lv.1 Lv.2 Lv.3 Lv.4 Lv.5 Lv.6 Lv.7 Lv.8 Lv.9 Lv.10
Blk. 1 Blk. 2 Blk. 3 Blk. 4 Blk. 5 Blk. 6 Blk. 7 Blk. 8 Blk. 9 Blk. 10
Appendix 2.1
DIgSILENT
External ..
LOAD FLOW ANALYSIS (TROUGH LOAD)
17.47 MW WITHOUT ANY RE PLANTS
4.41 Mvar
0.00 MW
KGAR132
132.00 kV
8.74 MW 8.74 MW
2.21 Mvar 2.21 Mvar
20.0
20.0
Tx1
Tx2
Breaker/S..
0.0 KGAR33 R
KGAR33 L
33.88 kV 3.84 MW 1.81 MW 0.01 MW 33.88 kV
Line5
Line1
1.86 Mvar 0.83 Mvar -4.09 Mvar
22.1
METER
3.4
0.00 MW 0.00 MW 0.01 MW
-0.01 Mvar -0.00 Mvar -4.08 Mvar
22.05 % 3.41 % 19.03 %
Line18
Line17
25km ABC 240mm2
7.3
3.4
Line4
77.0
Line 33kV
19.0
Line8
Line3
7.3
3.4
PPU_SMPT_R33kV 0.0 PPU_KODG_M33kV 0.0 PPU_KODG_R33kV PPU_SHRB_R33kV 0.0 PPU_SHRB_M33kV
PPU_SMPT_M33kV

33.42 .. 33.42 .. 0.00 kV 33.54 .. 32.95 .. 32.95 ..
Site 33kV
34.00 kV 0.00 MW
Page 14
-0.01 Mvar
Site Tx.
0.0
Site 11kV
0.00 MW 0.00 MW
11.33 kV -0.00 Mvar
Line 11kV L -0.00 Mvar Line 11kV R
0.0 0.00 MW 0.0 0.00 MW
-0.00 Mvar

-0.00 Mvar
0.01 % 0.01 %
Site 11kV L 11.33 kV Site 11kV R

11.33 kV 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW
0.00 Mvar 0.00 Mvar 0.00 Mvar 0.00 Mvar 0.00 Mvar 0.00 Mvar 0.00 Mvar 0.00 Mvar
Lv. Tx. 10
Lv. Tx. 1
Lv. Tx. 2
Lv. Tx. 3
Lv. Tx. 4
Lv. Tx. 5
Lv. Tx. 6
Lv. Tx. 7
Lv. Tx. 8
Lv. Tx. 9
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.00 kV 0.00 kV 0.00 kV 0.00 kV 0.00 kV 0.00 kV 0.00 kV 0.00 kV
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW
48W
.7M
r12v.M
a
Appendix 2.2
DIgSILENT
External ..
LOAD FLOW ANALYSIS (TROUGH LOAD)
3.27 MW WITH THE PROPOSED SOLAR PV PLANT
5.63 Mvar
0.00 MW
KGAR132
132.00 kV
1.63 MW 1.63 MW
2.81 Mvar 2.81 Mvar
Tx1
Tx2
7.2
7.2
Breaker/S..
0.0 KGAR33 R
KGAR33 L
33.88 kV 3.84 MW 1.81 MW -14.14 MW 33.88 kV
Line5
Line1
22.1
METER
3.4
0.00 MW 0.00 MW 0.70 MW
-0.01 Mvar -0.00 Mvar -3.94 Mvar
22.05 % 3.41 % 66.77 %
Line18
Line17
25km ABC 240mm2
7.3
3.4
Line4
77.0
Line 33kV
66.8
Line8
Line3
7.3
3.4
PPU_SMPT_M33kV

33.42 .. 33.42 .. 0.00 kV 33.54 .. 32.95 .. 32.95 ..
Site 33kV
35.59 kV -14.84 MW
Page 15
1.54 Mvar
Site Tx.
62.9
Site 11kV
-9.95 MW -4.98 MW
11.88 kV 0.21 Mvar
Line 11kV L 0.47 Mvar Line 11kV R
48.4 0.01 MW 24.2 0.00 MW

0.00 Mvar -0.00 Mvar
48.40 % 24.21 %

11.89 kV -1.99 MW -1.99 MW -1.99 MW -1.99 MW -1.99 MW -1.99 MW -1.99 MW -1.00 MW
Lv. Tx. 10
Lv. Tx. 1
Lv. Tx. 2
Lv. Tx. 3
Lv. Tx. 4
Lv. Tx. 5
Lv. Tx. 6
Lv. Tx. 7
Lv. Tx. 8
Lv. Tx. 9
83.8
83.8
83.8
83.8
83.8
83.9
83.9
42.0
90.9 90.9 90.9 90.9 90.9 90.9 90.9 45.5
31W
.6M
r12v.8M
a
Appendix 2.3
DIgSILENT
External ..
SHORT CIRCUIT ANALYSIS (TROUGH LOAD)
WITHOUT ANY SOLAR PV PLANT
15.21 kA
KGAR132
15.21 kA
0.00 kA 0.00 kA
Tx1
Tx2
Breaker/S..
0.0 KGAR33 R
KGAR33 L
8.65 kA 0.00 kA 0.00 kA 0.00 kA 8.65 kA
Line5
Line1
METER
0.0
0.0
Line18
Line17
25km ABC 240mm2
0.0
0.0
Line4
0.0
Line 33kV
0.0
Line8
Line3
0.0
0.0
PPU_SMPT_M33kV

2.92 kA 2.92 kA 0.0 2.09 kA 5.01 kA 5.01 kA
0.00
General L.. General L.. 0.0
General L.. General L.. General L.. General L..
Site 33kV
3.22 kA 0.00 kA
Page 16
Site Tx.
Site 11kV
0.00 kA 0.00 kA
Line 11kV L
5.68 kA Line 11kV R
0.0 0.0

Site 11kV L 5.62 kA Site 11kV R

5.62 kA 0.00 kA 0.00 kA 0.00 kA 0.00 kA 0.00 kA 0.00 kA 0.00 kA 0.00 kA
Lv. Tx. 10
Lv. Tx. 1
Lv. Tx. 2
Lv. Tx. 3
Lv. Tx. 4
Lv. Tx. 5
Lv. Tx. 6
Lv. Tx. 7
Lv. Tx. 8
Lv. Tx. 9
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
0.00 kA 0.00 kA 0.00 kA 0.00 kA 0.00 kA 0.00 kA 0.00 kA 0.00 kA
0A
.k
Appendix 2.4
DIgSILENT
External ..
SHORT CIRCUIT ANALYSIS (TROUGH LOAD)
WITH THE PROPOSED SOLAR PV PLANT
15.21 kA
KGAR132
15.28 kA
0.04 kA 0.04 kA
Tx1
Tx2
Breaker/S..
0.0 KGAR33 R
KGAR33 L
8.93 kA 0.00 kA 0.00 kA 0.29 kA 8.93 kA
Line5
Line1
METER
0.0
0.0
Line18
Line17
25km ABC 240mm2
0.0
0.0
Line4
0.0
Line 33kV
0.0
Line8
Line3
0.0
0.0
PPU_SMPT_M33kV

2.95 kA 2.95 kA 0.0 2.10 kA 5.12 kA 5.12 kA
0.00
General L.. General L.. 0.0
General L.. General L.. General L.. General L..
Site 33kV
3.49 kA 0.29 kA
Page 17
Site Tx.
Site 11kV
0.62 kA 0.31 kA
Line 11kV L
6.60 kA Line 11kV R
0.0 0.0

Site 11kV L 6.53 kA Site 11kV R

6.54 kA 0.12 kA 0.12 kA 0.12 kA 0.12 kA 0.12 kA 0.12 kA 0.12 kA 0.06 kA
Lv. Tx. 10
Lv. Tx. 1
Lv. Tx. 2
Lv. Tx. 3
Lv. Tx. 4
Lv. Tx. 5
Lv. Tx. 6
Lv. Tx. 7
Lv. Tx. 8
Lv. Tx. 9
4A
0.k
Appendix 2.5
DIgSILENT
External ..
LOAD FLOW ANALYSIS (PEAK LOAD)
26.73 MW WITHOUT ANY RE PLANTS
9.65 Mvar
0.00 MW
KGAR132
132.00 kV
13.36 MW 13.36 MW
4.82 Mvar 4.82 Mvar
31.6
31.6
Tx1
Tx2
Breaker/S..
0.0 KGAR33 R
KGAR33 L
33.87 kV 5.82 MW 2.74 MW 0.01 MW 33.87 kV
Line5
Line1
33.5
METER
5.2
0.00 MW 0.00 MW 0.01 MW
-0.01 Mvar -0.00 Mvar -4.08 Mvar
33.55 % 5.19 % 19.03 %
Line18
Line17
11.1
25km ABC 240mm2
5.2
Line4
118.0
Line 33kV
19.0
Line8
Line3
11.1
5.2
PPU_SMPT_M33kV

33.18 .. 33.18 .. 0.00 kV 33.36 .. 32.45 .. 32.45 ..
Site 33kV
33.99 kV 0.00 MW
Page 18
-0.01 Mvar
Site Tx.
0.0
Site 11kV
0.00 MW 0.00 MW
11.33 kV -0.00 Mvar
Line 11kV L -0.00 Mvar Line 11kV R
0.0 0.00 MW 0.0 0.00 MW
-0.00 Mvar

-0.00 Mvar
0.01 % 0.01 %

11.33 kV 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW 0.00 MW
Lv. Tx. 10
Lv. Tx. 1
Lv. Tx. 2
Lv. Tx. 3
Lv. Tx. 4
Lv. Tx. 5
Lv. Tx. 6
Lv. Tx. 7
Lv. Tx. 8
Lv. Tx. 9
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
63.W
1M
r24v.8M
a
Appendix 2.6
DIgSILENT
External ..
LOAD FLOW ANALYSIS (PEAK LOAD)
12.47 MW WITH THE PROPOSED SOLAR PV PLANT
10.43 Mvar
0.00 MW
KGAR132
132.00 kV
6.24 MW 6.24 MW
5.21 Mvar 5.21 Mvar
18.1
18.1
Tx1
Tx2
Breaker/S..
0.0 KGAR33 R
KGAR33 L
33.87 kV 5.82 MW 2.74 MW -14.14 MW 33.87 kV
Line5
Line1
33.5
METER
5.2
0.00 MW 0.00 MW 0.70 MW
-0.01 Mvar -0.00 Mvar -3.94 Mvar
33.55 % 5.19 % 66.78 %
Line18
Line17
11.1
25km ABC 240mm2
5.2
Line4
118.0
Line 33kV
66.8
Line8
Line3
11.1
5.2
PPU_SMPT_M33kV
33.18 .. 33.18 .. 0.00 kV 33.36 .. 32.45 .. 32.45 ..

Site 33kV
35.58 kV -14.84 MW
1.54 Mvar
Page 19
Site Tx.
62.9
Site 11kV
-9.95 MW -4.98 MW
11.88 kV 0.21 Mvar
Line 11kV L 0.47 Mvar Line 11kV R
48.4 0.01 MW 24.2 0.00 MW
0.00 Mvar -0.00 Mvar

48.41 % 24.22 %
11.88 kV -1.99 MW -1.99 MW -1.99 MW -1.99 MW -1.99 MW -1.99 MW -1.99 MW -1.00 MW

Lv. Tx. 10
Lv. Tx. 1
Lv. Tx. 2
Lv. Tx. 3
Lv. Tx. 4
Lv. Tx. 5
Lv. Tx. 6
Lv. Tx. 7
Lv. Tx. 8
Lv. Tx. 9
83.8
83.8
83.8
83.8
83.8
83.9
83.9
42.0
90.9 90.9 90.9 90.9 90.9 90.9 90.9 45.5
46W
.2M
r15v.2M
a
Appendix 3
Figure 3: Part of PMU Kangar that shall be extended
Figure 4: 33kV Control Panel in PMU Kangar
Page 20
Figure 5: The wall needs to be extended for additional control panel
Figure 6: The proposed solar PV site
Page 21
APPENDIX 6
MINUTES OF THE STAKEHOLDER MEETING

Appendix 6 : Minutes of the Stakeholder Meeting
Venue Bendahara III, Putra Palace Hotel, Perlis, Malaysia

Date 06 August 2015
Time 10:00 am - 12:00 am
Attendance
No.1 Mohd. Mushar Tajuddin Jabatan Kerja Raya – Public Works Department, JKR
Jabatan Pengairan dan Saliran – Drainage and Irrigation

No.2 Abdul Razak B Hassan
Department, JPS
No.3 Noorasmawati Bt Ariffin Department of Environment, DOE
Jabatan Perancang Bandar dan Desa –Town and Country

No.4 Ku Nur Aina Bt Mohd Ali Khan
Planning Department, JPBD Perlis
Jabatan Perancang Bandar dan Desa –Town and Country
No.5 Eida Nur Eilham Razak
Planning Department, JPBD Perlis
Majlis Perbandaran Kangar – Kangar Municipal Council,
No.6 Norul Najwa Bt Ali
MPK
Unit Perancang Ekonomi Negeri – State Economy
No.7 Muhammad Faridzul Bin Lin
Planning Unit, UPEN
No.8 Muhamad Rizal B. Mohd Merican Northern Corridor Implementation Authority, NCIA
No.9 Syed Zareef Syed Hamzah Northern Corridor Implementation Authority, NCIA
No.10 Joel Lawrence Jayasunthar Asian Environmental Solutions Sdn. Bhd
No.11 Farhana Haris Asian Environmental Solutions Sdn. Bhd
No.12 Azian Nozmi Asian Environmental Solutions Sdn. Bhd
No.13 Yanagi Kaisei Panasonic Eco Solutions Malaysia
No.14 Kenny Ng Han Tiong Panasonic Eco Solutions Malaysia
No.15 Oishi Yoshiko NEWJEC Inc.

Authority Matter
NCIA  They stated that this is a good project as it will be a kick-start to Chuping Valley Development.
NCIA has no issue regarding this project as it will open more doors to investors to invest in
Perlis.
UPEN  Technical meeting is proposed to be done with PESMY on August 2015. Date to be confirmed.
 UPEN stated that the Feasibility Study Report will be presented in the technical committee and
if everything is clear, it will proceed to the State EXCO before continuing with the project.
 Land acquisition issue will be clarified during the technical meeting.
JPS  JPS stated that there will be no discharge to Timah Tasoh from the Project site as it is in different
catchment. However, if necessary the site need silt trap to cater to the silt and runoff but the
decision will be made by MPK either the site will need silt trap or not.
 JPS reminded that the transition line must not obstruct the rivers during the construction.
 JPS reminded that the transition line must not obstruct the rivers during the construction.
 JPS needed details of the transmission line to identify sensitive structures along the line and
informed that Sungai Jerneh is a main water supply to Perlis paddy plantation.
 JPS also informed that there is no proper roadside drain at Chuping Valley, thus the Proposed
Project will upgrade the drainage system at Chuping Valley.
JPBD  JPBD has no issue regarding the Proposed Project.
 JPBD informed that map for the location for the villages along the transmission line can be
obtained from Unit Pentadbiran Daerah (Local Administrative Unit).
MPK  MPK stated that the Project Proponent should get all the plans ready and have a presentation
with MPK for the engagement policy meeting chaired by YDP. All plans should be submitted
by the appointed engineering consultant.
DOE  DOE stressed that the location of proposed Project must be compatible with the siting and
zoning of the area before the submission of PAT. AESSB will check with the Municipal Council
and NCIA regarding the latest siting and zoning for the area.
 DOE was concerned about the waste that will be generated from the proposed project.
JKR  JKR informed that the proposed transmission line to be submitted to Road Department at JKR
Kangar.
 All over-ground and underground cable must be determined.
APPENDIX 7
MONITORING FORM

Monitoring Form for Air Quality
a) Type of Work:
b) Monitoring Frequency: □ 1st / □ 2nd / □ 3 rd / □ 4 th
c) Monitoring Period: From Date Month Year
To Date Month Year
Photovoltaic Power Station

Malaysian Base Date Date 1 Date 2 Date 3 Date 4
Location Item Unit
Standard 10-11/08/2015 / / / / / / / /
A1 TSP µg/m3 260 72
PM10 µg/m3 150 50
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
A2 TSP µg/m3 260 68
PM10 µg/m3 150 46
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
Transmission Line
Location Item Unit
Standard 10-11/08/2015 / / / / / / / /
A1 TSP µg/m3 260 74
PM10 µg/m3 150 50
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
A2 TSP µg/m3 260 72
PM10 µg/m3 150 49
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
A3 TSP µg/m3 260 72
PM10 µg/m3 150 49
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
A7 - 1

Location Item Unit
Standard 10-11/08/2015 / / / / / / / /
A3 Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
A4 TSP µg/m3 260 68
PM10 µg/m3 150 47
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
A5 TSP µg/m3 260 70
PM10 µg/m3 150 48
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
A6 TSP µg/m3 260 68
PM10 µg/m3 150 46
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
A7 TSP µg/m3 260 69
PM10 µg/m3 150 47
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
A8 TSP µg/m3 260 66
PM10 µg/m3 150 42
SO2 µg/m3 320 ND(<5)
NO2 µg/m3 105 ND(<2)
CO ppm 9 ND(2)
Lead µg/m3 1.5 ND(<0.01)
HC µg/m3 NA ND(<5)
A7 - 2
Monitoring Form for Water Quality
a) Type of Work:
b) Monitoring Frequency: □ 1st / □ 2nd / □ 3 rd / □ 4 th
To Date Month Year
Photovoltaic Power Station

Location Item Unit
Standard 12/08/2015 / / / / / / / /
Temp °C - 30.9
pH - 6.0-9.0 6.20
DO mg/L 5.0-7.0 5.5
Turbidity NTU 50.0 13
BOD5 mg/L 3.0 6
W1
COD mg/L 25.0 24
TSS mg/L 50.0 5
E.Coli CFU/100ml 100.0 10
NH3-N mg/L 0.3 ND(<0.01)
Oil and Grease mg/L 0.04 ND(<1)
Temp °C - 31.8
pH - 6.0-9.0 6.50
DO mg/L 5.0-7.0 5.95
BOD5 mg/L 3.0 4
W2
COD mg/L 25.0 16
TSS mg/L 50.0 4
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 31.1
pH - 6.0-9.0 6.60
DO mg/L 5.0-7.0 6.15
BOD5 mg/L 3.0 4
W3
COD mg/L 25.0 16
TSS mg/L 50.0 29
NH3-N mg/L 0.3 0.30
Temp °C - 31.9
pH - 6.0-9.0 6.40
DO mg/L 5.0-7.0 6.05
W4
BOD5 mg/L 3.0 9
COD mg/L 25.0 33
TSS mg/L 50.0 41
A7 - 3

Location Item Unit
Standard 12/08/2015 / / / / / / / /
NH3-N mg/L 0.3 0.26
W4
Temp °C - 30.8
pH - 6.0-9.0 6.20
DO mg/L 5.0-7.0 5.80
BOD5 mg/L 3.0 4
W5
COD mg/L 25.0 16
TSS mg/L 50.0 27
NH3-N mg/L 0.3 ND(<0.01)
Transmission Line
Location Item Unit
Standard 12/08/2015 / / / / / / / /
Temp °C - 30.9
pH - 6.0-9.0 6.50
DO mg/L 5.0-7.0 6.15
BOD5 mg/L 3.0 2
W1
COD mg/L 25.0 8
TSS mg/L 50.0 5
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 31.5
pH - 6.0-9.0 6.60
DO mg/L 5.0-7.0 5.90
BOD5 mg/L 3.0 2
W2
COD mg/L 25.0 8
TSS mg/L 50.0 4
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 31.5
pH - 6.0-9.0 6.50
DO mg/L 5.0-7.0 6.00
BOD5 mg/L 3.0 6
W3
COD mg/L 25.0 24
TSS mg/L 50.0 14
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 31.6
W4
pH - 6.0-9.0 6.10
A7 - 4

Location Item Unit
Standard 12/08/2015 / / / / / / / /
DO mg/L 5.0-7.0 5.75
BOD5 mg/L 3.0 6
COD mg/L 25.0 24
TSS mg/L 50.0 15
W4
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 30.9
pH - 6.0-9.0 6.40
DO mg/L 5.0-7.0 5.90
BOD5 mg/L 3.0 4
W5
COD mg/L 25.0 16
TSS mg/L 50.0 15
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 31.8
pH - 6.0-9.0 6.30
DO mg/L 5.0-7.0 5.80
BOD5 mg/L 3.0 4
W6
COD mg/L 25.0 16
TSS mg/L 50.0 14
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 30.8
pH - 6.0-9.0 6.45
DO mg/L 5.0-7.0 5.80
W7
BOD5 mg/L 3.0 4
COD mg/L 25.0 16
TSS mg/L 50.0 4
NH3-N mg/L 0.3 ND(<0.01)
W7
Temp °C - 30.8
pH - 6.0-9.0 6.40
DO mg/L 5.0-7.0 5.90
BOD5 mg/L 3.0 6
W8
COD mg/L 25.0 24
TSS mg/L 50.0 5
NH3-N mg/L 0.3 ND(<0.01)
W9 Temp °C - 31.1
A7 - 5

Location Item Unit
Standard 12/08/2015 / / / / / / / /
pH - 6.0-9.0 6.55
DO mg/L 5.0-7.0 6.15
BOD5 mg/L 3.0 4
COD mg/L 25.0 16
W9 TSS mg/L 50.0 4
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 30.8
pH - 6.0-9.0 6.60
DO mg/L 5.0-7.0 6.20
BOD5 mg/L 3.0 6
W10
COD mg/L 25.0 24
TSS mg/L 50.0 5
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 31.4
pH - 6.0-9.0 6.50
DO mg/L 5.0-7.0 6.05
BOD5 mg/L 3.0 4
W11
COD mg/L 25.0 16
TSS mg/L 50.0 4
NH3-N mg/L 0.3 ND(<0.01)
Temp °C - 30.8
W12 pH - 6.0-9.0 6.40
DO mg/L 5.0-7.0 5.80
BOD5 mg/L 3.0 6
COD mg/L 25.0 24
W12 TSS mg/L 50.0 5
NH3-N mg/L 0.3 ND(<0.01)
A7 - 6
Monitoring Form for Waste Management
a) Detailed Location:
b) Type of Work:
To Date Month Year
Treatment
No. Type of waste Volume (Unit) Detail Remark
Measure
1 Construction soil (ton)
2 Concrete (ton)
A7 - 7
APPENDIX 8
ENVIRONMENTAL CHECKLISTS

Appendix 8： Environmental Checklists
Photovoltaic Power Plant

Confirmation of Environmental
Environmental Yes: Y
Category Main Check Items Considerations
Item No: N
(Reasons, Mitigation Measures)
(a) Have EIA reports been already prepared in (a)N (a) EIA and IEE are not required in
official process? Malaysian System.
(b) Have EIA reports been approved by (b)N/A (b) N/A
authorities of the host country's
government?
(1) EIA and (c) Have EIA reports been unconditionally (c)N/A (c) N/A
Environmental approved? If conditions are imposed on the
Permits approval of EIA reports, are the conditions
satisfied?
(d) In addition to the above approvals, have (d)N/A (d) N/A
other required environmental permits been
obtained from the appropriate regulatory
1 authorities of the host country's
Permits and government?
Explanation
(a) Have contents of the project and the (a)Y (a) The stakeholder meeting was
potential impacts been adequately explained held on 6th August 2015.
to the Local stakeholders based on
(2) appropriate procedures, including
Explanation to information disclosure? Is understanding
the Local obtained from the Local stakeholders?
Stakeholders
(b) Have the comment from the stakeholders (b)Y (b) The opinions from stakeholders
(such as local residents) been reflected to were included in the monitoring
the project design? plan.
(3) (a) Have alternative plans of the project been (a)Y (a) The comparative study was
Examination of examined with social and environmental conducted on the project sites
Alternatives considerations? and zero-option.
(a) Do air pollutants, (such as sulfur oxides (a)Y (a) The air pollutants are not
(SOx), nitrogen oxides (NOx), and soot and expected to arise from the
dust) emitted from the proposed photovoltaic power plant.
infrastructure facilities and ancillary facilities
comply with the country's emission standards
(1) Air Quality and ambient air quality standards? Are any
mitigating measures taken?
(b) Are electric and heat source at (b)N (b) The electric and heat source are
accommodation used fuel which emission supplied from the photovoltaic
factor is low? power plant.
(a) Do effluents or leachates from various (a)Y (a) The discharged water from the
facilities, such as infrastructure facilities photovoltaic power plant is very
(2) Water
2 and the ancillary facilities comply with the less.
Quality
Pollution country's effluent standards and ambient
Control water quality standards?
(a) Are wastes from the infrastructure facilities (a)Y (a) The wastes from the
and ancillary facilities properly treated and photovoltaic power plant are
(3) Wastes
disposed of in accordance with the country's general and very less.
regulations?
(a) Are adequate measures taken to prevent (a)Y (a) The discharged water from the
contamination of soil and groundwater by photovoltaic power plant is very
(4) Soil
the effluents or leachates from the less.
Contamination
infrastructure facilities and the ancillary
facilities?
(a) Do noise and vibrations comply with the (a)Y (a) The photovoltaic power plant is
(5) Noise and
country's standards? not expected to arise the noise
Vibration
and vibrations.
(a) In the case of extraction of a large volume (a)N (a) The extraction of groundwater
of groundwater, is there a possibility that is not planned.
2 (6) Subsidence
the extraction of groundwater will cause
Pollution subsidence?
Control
(a) Are there any odor sources? Are adequate (a)N (a) There is not any odor source.
(7) Odor
odor control measures taken?
A8 - 1
Item No: N
(a) Is the project site or discharge area located (a)N (a) The project site is not included
in protected areas designated by the in the protected areas.
(1) Protected
country's laws or international treaties and
Areas
conventions? Is there a possibility that the
project will affect the protected areas?
(a) Does the project site encompass primeval (a)N (a) The project site is not included
forests, tropical rain forests, ecologically primeval forests, tropical rain
valuable habitats (e.g., coral reefs, forests ecologically valuable
mangroves, or tidal flats)? habitats.
(b) Does the project site encompass the (b)N (b) The project site is not included
protected habitats of endangered species the habitats of endangered
designated by the country's laws or species.
international treaties and conventions?
(c) Is there a possibility that changes in (c)N (c) The project is not expected to
localized micro-meteorological conditions, affect the ecosystem.
(2) Ecosystem such as solar radiation, temperature, and
3 humidity due to a large-scale timber
Natural harvesting will affect the surrounding
Environment vegetation?
(d) Is there a possibility that the amount of (d)N (d) The project is not expected to
water (e.g., surface water, groundwater) affect aquatic environments,
used by the project will adversely affect because the water use is very
aquatic environments, such as rivers? Are less at the photovoltaic power
adequate measures taken to reduce the plant.
impacts on aquatic environments, such as
aquatic organisms?
(a) Is there a possibility that hydrologic changes (a)N (a) The project is not expected to be
(3) Hydrology due to the project will adversely affect occurred the hydrologic
surface water and groundwater flows? changes/
(a) Is there a possibility the project will cause (a)N (a) The project is not expected to
(4) large-scale alteration of the topographic alter the topographic features
Topography features and geologic structures in the and geologic structures, because
and Geology project site and surrounding areas? the land of the project site is
mostly flat.
(a) Is involuntary resettlement caused by project (a)N (a) The involuntary resettlement is
implementation? If involuntary resettlement not expected to be caused by
is caused, are efforts made to minimize the the project.
impacts caused by the resettlement?
(b) Is adequate explanation on compensation (b)N/A (b) N/A
and resettlement assistance given to
affected people prior to resettlement?
(c) Is the resettlement plan, including (c)N/A (c) N/A
compensation with full replacement costs,
restoration of livelihoods and living
standards developed based on
socioeconomic studies on resettlement?
4 (d) Is the compensations going to be paid prior (d)N/A (d) N/A
(1) to the resettlement?
Social
Resettlement
Environment (e) Is the compensation policies prepared in (e)N/A (e) N/A
document?
(f) Does the resettlement plan pay particular (f)N/A (f) N/A
attention to vulnerable groups or people,
including women, children, the elderly,
people below the poverty line, ethnic
minorities, and indigenous peoples?
(g) Are agreements with the affected people (g)N/A (g) N/A
obtained prior to resettlement?
(h) Is the organizational framework established (h)N/A (h) N/A
to properly implement resettlement? Are the
capacity and budget secured to implement
the plan?
A8 - 2
Item No: N
(i) Are any plans developed to monitor the (i)N/A (i) N/A
4 impacts of resettlement?
(1)
Social
Resettlement (j) Is the grievance redress mechanism (j)N/A (j) N/A
Environment
established?
(a) Is there a possibility that the project will (a)N (a) The project is not expected to
adversely affect the living conditions of be affect the living conditions
(2) Living and
inhabitants? Are adequate measures of inhabitants.
Livelihood
considered to reduce the impacts, if
necessary?
(a) Is there a possibility that the project will (a)N (a) There are not any important
damage the local archeological, historical, heritages in and around the
(3) Heritage cultural, and religious heritage? Are adequate project site.
measures considered to protect these sites in
accordance with the country's laws?
(a) Is there a possibility that the project will (a)N (a) There are not any landscape
adversely affect the local landscape? Are resources in and around the
necessary measures taken? project site.
(4) Landscape
(b) Is there a possibility that landscape is (b)N (b) The project is not planned to
spoiled by construction of high-rise construct buildings which spoile
buildings such as huge hotels? landscape.
(a) Are considerations given to reduce impacts (a)N (a) There are not any ethnic
(5) Ethnic on the culture and lifestyle of ethnic minorities and indigenous people
Minorities and minorities and indigenous peoples? in and around the project site.
Indigenous (b) Are all of the rights of ethnic minorities and (b)N/A (b) N/A
4 Social Peoples indigenous peoples in relation to land and
Environment resources respected?
(a) Is the project proponent not violating any (a)Y (a) The PESMY observes the
laws and ordinances associated with the Malaysian laws related to the
working conditions of the country which the working condition such as the
project proponent should observe in the employment act (1955).
project?
(b) Are tangible safety considerations in place (b)Y (b) The PESMY ensures the wear
for individuals involved in the project, such of the basic safety gear to the
as the installation of safety equipment contractor.
which prevents industrial accidents, and
(6) Working management of hazardous materials?
Conditions (c) Are intangible measures being planned and (c)Y (c) The PESMY ensures the
implemented for individuals involved in the establishment and practice of
project, such as the establishment of a the safety and health program.
safety and health program, and safety
training (including traffic safety and public
health) for workers etc.?
(d) Are appropriate measures taken to ensure (d)Y (d) Ditto
that security guards involved in the project
not to violate safety of other individuals
involved, or local residents?
(a) Are adequate measures considered to (a)Y (a) The mitigation measures are
reduce impacts during construction (e.g., proposed for dust, turbid water,
noise, vibrations, turbid water, dust, exhaust wastes and noise (such as water
gases, and wastes)? spray, silt fence, adequate waste
treatment and use noise-
reducing machineries)
(1) Impacts (b) If construction activities adversely affect (b)N (b) The construction works of the
5 Others during the natural environment (ecosystem), are project are not expected to
Construction adequate measures considered to reduce affect the natural environment.
impacts?
(c) If construction activities adversely affect (c)Y (c) The construction works of the
the social environment, are adequate project are not expected affect
measures considered to reduce impacts? the social environment, however,
the caution signs will be set to
prevent traffic accidents.
A8 - 3
Item No: N
(a) Does the proponent develop and implement (a)Y (a) The monitoring is planned on
monitoring program for the environmental air quality, water quality, waste
items that are considered to have potential management, noise, working
impacts? conditions and accidents.
(b) What are the items, methods and (b)Y (b) The air quality and noise will be
frequencies of the monitoring program? monitored quarterly, the water
quality will be monitored
monthly. The waste manage-
ment, working conditions and
accidents will be monitored by
the patrol.
5 Others (2) Monitoring (c) Does the proponent establish an adequate (c)Y (c) The PESMY shall assign the
monitoring framework (organization, environmental consultant
personnel, equipment, and adequate budget registered by MOE to prepare
to sustain the monitoring framework)? the environmental management
plan. Then the environmental
consultant will combine the
results from the third party and
submit the report to DOE.
(d) Are any regulatory requirements pertaining (d)N (d) At present, the format and the
to the monitoring report system identified, frequency of the report are not
such as the format and frequency of reports provided from regulatory
from the proponent to the regulatory authorities.
authorities?
(a) Where necessary, pertinent items described (a)N (a) The access road is not planned
in the Roads, Railways and Bridges to construct, because the exiting
checklist should also be checked (e.g., road will be used for transport-
projects including access roads to the ing materials.
Reference to infrastructure facilities).
Checklist of (b) For projects, such as installation of (b)Y (b) The checklist was also prepared
Other Sectors telecommunication cables, power line for the transmission line.
towers, and submarine cables, where
6 Note necessary, pertinent items described in the
Power Transmission and Distribution Lines
checklists should also be checked.
(a) If necessary, the impacts to transboundary (a)N (a) The project is not expected to
or global issues should be confirmed (e.g., affect transboundary or global
Note on Using
the project includes factors that may cause issues, because the scale of the
Environmental
problems, such as transboundary waste project is small.
Checklist
treatment, acid rain, destruction of the
ozone layer, or global warming).
A8 - 4
Transmission Line
Item No: N
(a) Have EIA reports been already prepared in (a)N (a) EIA and IEE are not required in
official process? Malaysian System.
(b) Have EIA reports been approved by (b)N/A (b) N/A
authorities of the host country's government?
(1) EIA and (c) Have EIA reports been unconditionally
Environmental approved? If conditions are imposed on the (c)N/A (c) N/A
Permits approval of EIA reports, are the conditions
satisfied?
(d) In addition to the above approvals, have
other required environmental permits been (d)N/A (d) N/A
obtained from the appropriate regulatory
1 Permits authorities of the host country's government?
and
Explanation (a) Have contents of the project and the (a)Y (a) The stakeholder meeting was
potential impacts been adequately explained held on 6th August 2015.
to the Local stakeholders based on
(2) appropriate procedures, including
Explanation to information disclosure? Is understanding
the Local obtained from the Local stakeholders?
Stakeholders
(b) Have the comment from the stakeholders (b)Y (b) The opinions from stakeholders
(such as local residents) been reflected to were included in the monitoring
the project design? plan.
(3) (a) Have alternative plans of the project been (a)Y (a) The comparative study was
Examination examined with social and environmental conducted on the project sites
of Alternatives considerations? and zero-option.
(a) Is there any possibility that soil runoff from (a)N (a) The cutting and filling are not
the bare lands resulting from earthmoving planned on the Project, because
activities, such as cutting and filling will the transmission line will be
2 Pollution (1) Water
cause water quality degradation in constructed by concrete poles.
Control Quality
downstream water areas? If the water
quality degradation is anticipated, are
adequate measures considered?
(a) Is the project site located in protected areas (a)N (a) The project site is not included
designated by the country’s laws or in the protected areas.
(1) Protected
international treaties and conventions? Is
Areas
there a possibility that the project will affect
the protected areas?
(a) Does the project site encompass primeval (a)N (a) The project site is not included
forests, tropical rain forests, ecologically primeval forests, tropical rain
valuable habitats (e.g., coral reefs, forests ecologically valuable
mangroves, or tidal flats)? habitats.
(b) Does the project site encompass the (b)N (b) The project site is not included
protected habitats of endangered species the habitats of endangered
designated by the country ’ s laws or species.
international treaties and conventions?
3 Natural (c) If significant ecological impacts are (c)N (c) The project is not expected to
Environment anticipated, are adequate protection affect the ecosystem.
measures taken to reduce the impacts on the
ecosystem?
(2) Ecosystem
(d) Are adequate measures taken to prevent (d)N (d) The project is not expected to
disruption of migration routes and habitat prevent disruption of migration
fragmentation of wildlife and livestock? routes and habitat fragmentation
of wildlife and livestock.
(e) Is there any possibility that the project will (e)N (e)(f) The project is not expected to
cause the negative impacts, such as disturb the forest, because the
destruction of forest, poaching, transmission line will be
desertification, reduction in wetland areas, constructed along the existing
and disturbance of ecosystem due to road.
introduction of exotic (non-native invasive)
species and pests? Are adequate measures
for preventing such impacts considered?
A8 - 5
Item No: N
(f) In cases where the project site is located in (f)N
undeveloped areas, is there any possibility
(2) Ecosystem
that the new development will result in
extensive loss of natural environments?
(a) Is there any soft ground on the route of (a)N (a) There is not any soft ground on
power transmission and distribution lines that the transmission line route.
may cause slope failures or landslides? Are
adequate measures considered to prevent
slope failures or landslides, where needed?
3 Natural
Environment (b) Is there any possibility that civil works,
(3) such as cutting and filling will cause slope (b)N (b)(c) The cutting and filling are not
Topography failures or landslides? Are adequate planned on the Project, because
and Geology measures considered to prevent slope the transmission line will be
failures or landslides? constructed by concrete poles.
(c) Is there a possibility that soil runoff will
result from cut and fill areas, waste soil (c)N
disposal sites, and borrow sites? Are
adequate measures taken to prevent soil
runoff?
(a) Is involuntary resettlement caused by (a)N (a) The involuntary resettlement is
project implementation? If involuntary not expected to be caused by the
resettlement is caused, are efforts made to project.
minimize the impacts caused by the
resettlement?
(b) Is adequate explanation on compensation (b)N/A (b) N/A
and resettlement assistance given to
affected people prior to resettlement?
(c) Is the resettlement plan, including (c)N/A (c) N/A
compensation with full replacement costs,
restoration of livelihoods and living
standards developed based on
socioeconomic studies on resettlement?
(d) Are the compensations going to be paid (d)N/A (d) N/A
prior to the resettlement?
(1) (e) Are the compensation policies prepared in (e)N/A (e) N/A
Resettlement document?
(f) Does the resettlement plan pay particular (f)N/A (f) N/A
attention to vulnerable groups or people,
including women, children, the elderly,
people below the poverty line, ethnic
4 Social minorities, and indigenous peoples?
Environment
(g) Are agreements with the affected people (g)N/A (g) N/A
obtained prior to resettlement?
(h) Is the organizational framework established (h)N/A (h) N/A
to properly implement resettlement? Are the
capacity and budget secured to implement
the plan?
(i) Are any plans developed to monitor the (i)N/A (i) N/A
impacts of resettlement?
(j) Is the grievance redress mechanism (j)N/A (j) N/A
established?
(a) Is there a possibility that the project will (a)N (a) The project is not expected to be
adversely affect the living conditions of affect the living conditions of
inhabitants? Are adequate measures inhabitants.
considered to reduce the impacts, if
necessary?
(2) Living and
Livelihood (b) Is there a possibility that diseases, including (b)N (b) The project is not expected to be
infectious diseases, such as HIV will be brought infectious diseases,
brought due to immigration of workers because there is little
associated with the project? Are adequate immigration of workers.
considerations given to public health, if
necessary?
A8 - 6
Item No: N
(c) Is there any possibility that installation of (c)N (c) The project is not expected to
structures, such as power line towers will cause the radio interference,
cause a radio interference? If any because the transmission line
significant radio interference is anticipated, will be constructed by the
are adequate measures considered? concrete poles.
(2) Living and
Livelihood (d) Are the compensations for transmission (d)N (d) The project is not required
wires given in accordance with the compensations for transmission
domestic law? wires, because the transmission
line will be constructed along
the existing transmission line in
the right of way of the roads.
(a) Is there a possibility that the project will (a)N (a) There are not any important
damage the local archeological, historical, heritages in and around the
cultural, and religious heritage? Are project site.
(3) Heritage
adequate measures considered to protect
these sites in accordance with the country’s
laws?
(a) Is there a possibility that the project will (a)N (a) There are not any landscape
(4) Landscape adversely affect the local landscape? Are resources in and around the
necessary measures taken? project site.
(a) Are considerations given to reduce impacts (a)N (a) There are not any ethnic
on the culture and lifestyle of ethnic minorities and indigenous
(5) Ethnic minorities and indigenous peoples? people in and around the project
4 Social Minorities and
Environment Indigenous site.
Peoples (b) Are all of the rights of ethnic minorities and (b)N/A (b) N/A
indigenous peoples in relation to land and
resources respected?
(a) Is the project proponent not violating any (a)Y (a) The PESMY observes the
laws and ordinances associated with the Malaysian laws related to the
working conditions of the country which working condition such as the
the project proponent should observe in the employment act (1955).
project?
(b) Are tangible safety considerations in place (b)Y (b) The PESMY ensures the wear of
for individuals involved in the project, such the basic safety gear to the
as the installation of safety equipment contractor.
which prevents industrial accidents, and
(6) Working management of hazardous materials?
Conditions (c) Are intangible measures being planned and (c)Y (c)(d) The PESMY ensures the
implemented for individuals involved in the establishment and practice of the
project, such as the establishment of a safety and health program.
safety and health program, and safety
training (including traffic safety and public
health) for workers etc.?
(d) Are appropriate measures taken to ensure (d)Y
that security guards involved in the project
not to violate safety of other individuals
involved, or local residents?
(a) Are adequate measures considered to (a)Y (a) The mitigation measures are
reduce impacts during construction (e.g., proposed for dust, turbid water,
noise, vibrations, turbid water, dust, exhaust wastes and noise (such as water
gases, and wastes)? spray, silt fence, adequate waste
treatment and use noise-reducing
machineries)
(1) Impacts (b) If construction activities adversely affect (b)N (b) The construction works of the
5 Others during the natural environment (ecosystem), are project are not expected to affect
Construction adequate measures considered to reduce the natural environment.
impacts?
(c) If construction activities adversely affect (c)Y (c) The construction works of the
the social environment, are adequate project are not expected affect the
measures considered to reduce impacts? social environment, however, the
caution signs will be set to
prevent traffic accidents.
A8 - 7
Item No: N
(a) Does the proponent develop and implement (a)Y (a) The monitoring is planned on air
monitoring program for the environmental quality, water quality, waste
items that are considered to have potential management, noise, working
impacts? conditions and accidents.
(b) What are the items, methods and (b)Y (b) The air quality and noise will be
frequencies of the monitoring program? monitored quarterly, the water
quality will be monitored
monthly. The waste manage-
ment, working conditions and
accidents will be monitored by
the patrol.
(2) Monitoring (c) Does the proponent establish an adequate (c)Y (c) The PESMY shall assign the
monitoring framework (organization, environmental consultant
personnel, equipment, and adequate budget registered by MOE to prepare
to sustain the monitoring framework)? the environmental management
plan. Then the environmental
consultant will combine the
results from the third party and
submit the report to DOE.
(d) Are any regulatory requirements pertaining (d)N (d) At present, the format and the
to the monitoring report system identified, frequency of the report are not
such as the format and frequency of reports provided from regulatory
from the proponent to the regulatory authorities.
authorities?
(a) Where necessary, pertinent items described (a)N (a) The access road is not planned to
Reference to in the Road checklist should also be construct, because the exiting
Checklist of checked (e.g., projects including installation road will be used for
Other Sectors of electric transmission lines and/or electric transporting materials.
distribution facilities).
6 Note (a) If necessary, the impacts to transboundary (a)N (a) The project is not expected to
or global issues should be confirmed, (e.g., affect transboundary or global
Note on Using
the project includes factors that may cause issues, because the scale of the
Environmental
problems, such as transboundary waste project is small.
Checklist
treatment, acid rain, destruction of the
ozone layer, or global warming).
A8 - 8

Preparatory Survey Report P P G - E - P M (PPP I P) (Public Version)

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Malaysia

PREPARATORY SURVEY REPORT

Japan International Cooperation Agency

Chapter 1 Socio-economic Conditions in Malaysia and Northern States

Chapter 2 Power Sector and Use of Renewable Energy in Malaysia

Chapter 3 Project Formation

-i- Preparatory Survey on Econation Solar Project

Chapter 4 Outline Design and Project Cost

Chapter 5 Project Scheme and Financing of the Project

Chapter 6 Environmental and Social Consideration

Preparatory Survey on Econation Solar Project - ii -

Chapter 7 Project Execution Plan

- iii - Preparatory Survey on Econation Solar Project

Figure 1-1 Population of Malaysia ............................................................................................. 1 - 1

Figure 2-1 Vertical Structure of Energy Supply Industry ........................................................... 2 - 5

Figure 3-1 Locations of Proposed Candidate Sites ..................................................................... 3 - 3

Figure 4-1 Location of Perlis Site ............................................................................................... 4 - 2

Preparatory Survey on Econation Solar Project - iv -

Figure 4-13 33kV Transmission Underground (UG) Segment (Part 1) ........................................ 4 - 21

Figure 6-1 Project Site Location ................................................................................................. 6 - 1

-v- Preparatory Survey on Econation Solar Project

Table 1-1 Proportions of Population of Northern Four States................................................... 1 - 11

Table 2-1 Type of Licenses in Power Sector Businesses .......................................................... 2 - 6

Table 3-1 Proposal on Candidate Sites by Four States .............................................................. 3 - 2

Preparatory Survey on Econation Solar Project - vi -

Table 4-17 33kV Overhead Ground Line AW 25mm2 ................................................................ 4 - 23

Table 6-1 System Overview ...................................................................................................... 6 - 1

- vii - Preparatory Survey on Econation Solar Project

Preparatory Survey on Econation Solar Project - viii -

SOCIO-ECONOMIC CONDITIONS IN MALAYSIA

- Preparatory Survey on Econation Solar Project

Chapter 1 SOCIO-ECONOMIC CONDITIONS IN MALAYSIA AND NORTHERN STATES

Socio-economic Status of Malaysia

Figure 1-1 Population of Malaysia

1-1 Preparatory Survey on Econation Solar Project

GDP per Capita [RM]

Figure 1-2 Malaysia's GDP Growth and Per Capita GDP

700 Finance, Real Estate,

500 Wholesale, Retail,

300 Electricity, Gas, Water

Figure 1-3 Malaysia's GDP Growth by Sectors

Preparatory Survey on Econation Solar Project 1-2

Figure 1-4 Malaysia's Export/Import Values (nominal)

700 Miscellaneous Transactions and Commodities

500 Manufactured Goods

Source: Department of Statistics, Malaysia

Figure 1-5 Components of Malaysia's Export (nominal)

1-3 Preparatory Survey on Econation Solar Project

Natural Gas [million MMSCF]

Figure 1-6 Productions of Crude Oil and Natural Gas in Malaysia

1.1.3 National Development Policy

Source: The Second National Physical Plan

Figure 1-7 Malaysia's National Development Planning Framework

Preparatory Survey on Econation Solar Project 1-4

(1) VISION 2020

1) Nationals integrated with an emotion that they share a destiny,

(2) National Plan - The Eleventh Malaysia Plan

11MP summarizes the national development plans since 1970s as below;

New Economic Policy 1971-1990