February 17, 2011 / 1:11 AM / 7 years ago

Malaysia scraps Sabah coal power plant project

KUALA LUMPUR, Feb 17 (Reuters) - Malaysia’s federal and Sabah state governments have scrapped a plan to build a coal-fired power plant meant to meet the state’s energy needs, the Star newspaper reported on Thursday.

Sabah Chief Minister Musa Aman said national power producer Tenaga Nasional and national oil corporation Petroliam Nasional Bhd (Petronas) have been asked to come up with an alternative solution to replace the proposed 300-megawatt coal-fired plant in Lahad Datu.

“Sabah needs to increase its power supply to meet the increasing development but the state cannot afford to put its natural environment at risk,” he said.

Environmental groups campaigned against the building of the power plant after it was proposed in 2007. (Reporting by Julie Goh)

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