The Bakun Dam’s spillway gate releasing excess water. (File photo)
KUCHING: The new funding model that Chief Minister Datuk Amar Abang Johari Tun Openg will announce next month is believed to revolve around financing the acquisition of Bakun hydro electric power (HEP) dam.
A reliable source told The Borneo Post that through the new funding model, the state government will probably use the bond they have secured for the cancelled 1,000MW Baram HEP dam to fund the acquisition of Bakun HEP dam from the federal government for RM2.5 billion that was announced by Abang Johari last Thursday.
“I believe the new funding model is for the funding (for the acquisition) of Bakun HEP dam. The state government will probably use the bond they have secured earlier to build Baram HEP to fund the acquisition of Bakun HEP dam,” the source said.
Abang Johari, who is also Finance and Economic Planning Minister, last Saturday said he would announce ‘a new funding model’ next month to enable Sarawak to source for more funds following the green light given by Prime Minister Datuk Seri Najib Tun Razak.
Abang Johari said Sarawak was in need of this ‘new funding model’ as the state could no longer rely on the federal government to allocate funds.
On Nov 18, 2015, the late Chief Minister Datuk Patinggi Tan Sri Adenan Satem said the state would not proceed with the building of the RM4 billion Baram HEP dam until further notice, amid constant protests and blockades by anti-dam protesters.
Adenan said the government would focus on building the Baleh dam instead.
When asked whether the new funding model would include allocations to build the coastal highway, the source stated that the mechanism of build and construct for the said highway had not been finalised yet. Therefore, it would be unlikely that the new funding model indicated by the Chief Minister would include this, the source added.
On March 10 last year, Second Finance Minister Dato Sri Wong Soon Koh, when met by journalists after hosting a luncheon in conjunction with China’s ambassador to Malaysia Dr Huang Huikang’s working visit to the state, said: “He (Huang) talked about helping to build a coastal highway because our coastal highway has many missing links.
“There are seven bridges that need to be constructed and certain sections of roads need to be upgraded. He said he would come in to help in terms of funding. They can fund up to 80 to 85 per cent of the cost. Because of the One-belt One-Road policy, China is going all out to help developing countries to cultivate better relationship between China and developing countries.
“And Sarawak is one of the priority areas they would like to help,” Wong was quoted as saying.
The construction of coastal highway along the state’s coastal areas had been voiced by the state elected representatives from the coastal areas led by Semop assemblyman and state Barisan Nasional Backbenchers Club (BNBBC) chairman Abdullah Saidol.
The state elected representatives from the coastal areas made their case by saying that people in coastal areas, too, needed a road project similar to the RM16.5 billion Pan Borneo Highway project, which would benefit folks in the interior.
Their calls were reciprocated with an assurance by Prime Minister Datuk Seri Najib Tun Razak at the opening ceremony of the Batang Sadong Bridge on Dec 18, last year, that the government had approved the building of Batang Lupar Bridge at a cost of RM1 billion, with construction scheduled to begin early 2018.
Two other projects, the RM300 million Batang Igan Bridge and RM130 million Batang Rambungan Bridge, are at the planning stage.
Najib said it is the government’s vision within the next few years to complete two main road networks in Sarawak, which is the Pan Borneo Highway and coastal highway, adding that when both are completed, it will change Sarawak’s economic landscape.
He also said that the government was looking into building bridges at Batang Saribas, Muara Lassa and Batang Paloh in the future to complete the coastal road network.
Najib said the cost of the projects would be shared between the state and federal government.