Malaysia requires 40 million tons of coal by 2020

By Tri Subhki R

Malaysia is currently increasing its power capacity and building new coal-fired power plants. Malaysian state-owned utility, Tenaga Nasional Berhad (TNB), needs 40 million tons of coal to fuel its new utilities by 2020.

"Indonesia is still the largest coal supplier for Malaysia," Vice President of New Business and Major Projects TNB and TNB Fuel Board Member Mohd Nazri bin Shahruddin said at the 3rd Annual Business Meeting of Coal Producers and Buyers in Legian, Bali.

Malaysia coal-fired power plants currently consume sub-bituminous coals with CV range of 4,800 kcal/kg to 5,800 kcal/kg (GAR) and bituminous coal with CV of 5,800 kcal/kg and above.

For coal procurement in the future, TNB will give more focus on the coal specifications instead of coal brands. This would increase the pool of suppliers and reliability of supply.

TNB is currently building 3x1,000 MW brownfield coal-fired power plants in Manjung and Tanjung Bin, which are expected to start commissioning in the next few years. There are 2x1,000 MW coal-fired power plants which are projected to come on stream by 2018 or 2019.

Editing by Reiner Simanjuntak