Fredian (second left) presenting a memento to Yussof after the signing of heads of agreement, while the Board Members look on.
KOTA KINABALU: The state-owned POIC Lahad Datu industrial park is stepping up on water supply assurance as it braces for an influx of investments.
It signed an agreement on Dec 13 that sets in motion a move towards the production of industrial water by desalination, the first in Sabah.
The agreement, signed here today, was between POIC Sabah Sdn Bhd, the developer of the POIC Lahad Datu industrial park, and Jetama Sdn Bhd, a state-owned company long associated with water supply infrastructure.
In the 12-month effective period of the agreement, Jetama will undertake a study of the water supply situation within POIC Lahad Datu and assess the viability of an additional water supply system.
Water supply to POIC Lahad Datu has its share of challenges since the park began. But the factories there have been able to operate without major interruptions.
POIC Lahad Datu has 42 operating factories, which have a combined daily consumption of about 3 million litres per day. The state water authority has several ongoing initiatives aimed at improving distribution and supply reliability.
The Jetama modular desalination plant can process seawater as well as brackish water. Its initial daily capacity is 500,000 litres per day, scalable to a maximum capacity of 4 million litres per day.
With indication of heightened investor interest, a decisive response is critical in sustaining interest.
Just this week, POIC Sabah concludes the sale of land for the erection of factory for the production of aviation fuel, biodiesel and carbon-based products from oil palm biomass.
This investment of RM400 million is expected to open up a multi-billion economic sector in Sabah.
POIC Sabah Group CEO Datuk Fredian Gan, who signed the agreement, said POIC’s collaboration with Jetama is a strategic move aimed at addressing concerns over water supply reliability for industrial use.
Apart from that, the initiative will significantly support the Government’s efforts to ensure a stable water supply for domestic use in Lahad Datu.
“The project will also alleviate the burden on the Sabah Water Department by reducing the supply of about 3 million litres per day of treated water to the industrial park, allowing for the production of more treated water for domestic use in Lahad Datu” he said.
Jetama Sdn Bhd Chairman Datuk Yussof Abd Manan @ Yuma represented Jetama at the signing.
POIC Sabah Chairman Datuk Seri Yong Teck Lee witnessed the signing together with the POIC Sabah Board of Directors and senior managers.
