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Tenom: The RM4 billion Ulu Padas Hydroelectric Project will be capable of generating as much as 187.5 megawatt (MW) of electricity, contributing significantly to Sabah’s energy supply grid with an increase of 15 per cent.

Chief Minister Datuk Seri Hajiji Noor said the project is not only to overcome the problem of electricity supply shortage in Sabah, but one of the sustainable long-term solutions for the state.

He said as a major contributor to the renewable energy mix, the dam is expected to meet the increase in demand for electricity.

“This will also be critical for Sabah Oil and Gas Development and Kota Kinabalu Industrial Park thereby driving economic growth in our state.

“A study is also being conducted so that this dam has the potential to supply clean and stable water up to 6,000 million litres per day (JLH),” he said in conjunction with the dam’s groundbreaking by Prime Minister Datuk Seri Anwar Ibrahim in Kampung Kungkular, near here, Thursday.

Hajiji said the Ulu Padas dam project is an important development of infrastructure to guarantee electric security for Sabahans.

“This is also a step towards improving the quality of people’s lives and our readiness to drive Sabah into a new era of progress. This project will have a positive spillover effect on the local economy in terms of job opportunities, increasing people’s income and entrepreneurship,” he said.

The Ulu Padas Hydroelectric project is expected to drive change and become a catalyst for a broad transformation in Sabah.

“The energy sector is an important driver and one of the biggest contributors to Sabah’s economy over the past few decades,” he said.

He said the state government is always committed to continuing to strengthen the management of energy resources in Sabah by launching the Sabah Energy Roadmap and Master Plan 2040 (SE-RAMP 2040) last September.

The project developer, Upper Padas Power Sdn Bhd, is a partnership with the state government through Sabah Energy Corporation Sdn Bhd and the private sector namely Gamuda Berhad and Kerjaya Kagum Hitech JV Sdn Bhd.

“The presence of the Prime Minister who performed the ground breaking clearly symbolises the Federal Government’s support for the state of Sabah, in an effort to develop basic infrastructure for the benefit of the people in this state,” he said.