ASIA N.U.R POWER SDN BHD
Providing power for Malaysia’s Kulim Hi-Tech Industrial Park
N . U . R
P O W E R
S D N
B H D
Hi-Tech Energy for Hi-Tech Business
2
WWW.ASIAOUTLOOKMAG.COM
E N E R G Y
I
&
n 1996 Malaysia opened the doors of its first ever hi-tech park development. Sat just 27 kilometres from the Port of Butterworth, Penang, and 45 kilometres from the city’s international airport, the 4,400-acre, governmentbacked Kulim Hi-Tech Industrial Park (KHTP) has attracted thousands of
U T I L I T I E S
industrial, commercial, domestic and institutional clients, and shows no sign of slowing its momentum. “In addition, the number of workers in the KHTP exceeds 28,500 people,” comments Ikwan Hafiz Bin Jamaludin, Executive Director of N.U.R Power Sdn Bhd (NUR Power), the firm exclusively responsible for generation, distribution
NUR Power has been providing electricity for Malaysia’s Kulim Hi-Tech Industrial Park for more than 20 years, investing in vital capacity as the site continues to expand Writer: Tom Wadlow | Project Manager: Matthew Cole-Wilkin
ASIA and retail of electricity across the park. “Also, there are over 8,300 students who attend the primary and secondary schools, polytechnic and university on site.” As of 2017, more than $10 billion of investment has gone into KHTP, much of this coming from 37 multinational corporations located there, and this figure set to rise rapidly with KHTP’s plan to expand to 12,000 in the near future. For NUR Power, Malaysia’s first and only privately-owned independent power utility, it is a great turn-around story. It was taken over by a white knight in 2012 from receivership and has since turned corners with prudent operational and financial management. It has become an acute value proposition for KHTP and is growing in tandem with the park. The firm currently owns, operates and maintains a 220 MW combined cycle gas turbine (CCGT) plant in a 115-acre zone of KHTP, and has been selling electricity to the park’s customers since May 1998 through its self-built and managed distribution grid.
Energised expansion
Of the 115 acres occupied by NUR Power, just 40 are actually used by the
Ikwan Hafiz Bin Jamaludin, Executive Director
WWW.ASIAOUTLOOKMAG.COM
3
N . U . R
P O W E R
S D N
B H D
Abd Rahim Bin Md Noh
existing plant, meaning there is ample room to expand alongside the wider growth of the hi-tech industrial site. For Board member and former Group CEO Abd Rahim Bin Md Noh, kickstarting the development of a new CCGT plant is a top priority for the coming year. “It will be adjacent to the existing plant and be in the region of 100 MW to 150 MW, in line with the strong growth we are expecting in KHTP,” he says. “We have appointed a Technical Adviser to conduct the technoeconomic study and thereafter prepare the technical specifications of the plant. An investment bank has already been engaged to look at the project financing potential of the site. “Commercial operation date of the first unit is targeted by 2020/21, but this is just the beginning. We have ample land, sufficient gas supply and are in close proximity to the national grid which are building blocks for bigger prospects to come.” This project will be the latest in a string of recent investments made by NUR Power to better serve clients at KHTP. “Last year we implemented a new
4
“Last year we implemented a new billing system to enable us to have a flexible, customisable and scalable platform and ensure better billing to customers and efficient receivables management” billing system to enable us to have a flexible, customisable and scalable platform and ensure better billing to customers and efficient receivables management,” Abd Rahim says. This follows the opening of a new west substation in 2016 and installation of a dry air injection system to NUR
WWW.ASIAOUTLOOKMAG.COM
Ir. Fam Yew Hin M: +6012-2048681 E: yh.fam@wibawa.org.my
Executive Director
Services that we offer: - GT upgrades, repair and reconditioning - Boiler upgrades, repair and refurbishment - Field services and contract works - Spare parts supply for industrial and utility GTs - Conversion and relocation of power plant - DLN upgrading - Feasibility studies - 3D Plant modelling and stress analysis
Wibawa Services Sdn Bhd No. 3-2, Plaza Danau Desa 2 Jalan 4/109F Taman Danau Desa 58100 Kuala Lumpur Malaysia T: +603 797 22672 C: +601 2 2048681, +601 2 268 3056 E: admin@wibawa.org.my
N . U . R
P O W E R
S D N
Power’s gas turbines the following year, a system which has increased gross output by around eight MW. In early 2018 the company began upgrading its SCADA (Supervisory Control and Data Acquisition) system enhancing its distribution network, facilitating crucial visibility of network performance thanks to advanced data collection capabilities.
Secrets to success
For Abd Rahim, investment in stateof-the-art technology has been central to NUR Power’s ongoing success and
B H D
development. However, this has also been dependent on a number of other factors, as the director explains: “We engage our stakeholders very early and regularly – we want to know what matters most to them and what their pain points are. “We also don’t accept defeat. If a job cannot be done, we ask what it takes to get it done. More time? More resources? Better tools and equipment? Better expertise and knowledge? Specialised training? We will do what it takes to provide a reliable and quality service, on time and at a reasonable cost without compromising on safety.” Such an approach has been validated by customer feedback. NUR Power conducted its inaugural customer survey satisfaction in 2017 and achieved an overall customer satisfaction score of 82 percent, comparable to a national utility. This measured six key metrics – electricity supply services, billings and payments, customer service, metering services, centre call experience and communication.
Powered by people
Another crucial factor in NUR Power’s
6
WWW.ASIAOUTLOOKMAG.COM
progress has been its investment in human capital, its entire staff being Malaysian. “We value capable people,” says Ikwan Hafiz. “We are lean so everybody has to carry their weight. We equip staff with training in both technical and non-technical skills at home and abroad. We believe in empowering our staff by representing the company in seminars, conferences, study visits to manufacturers, repair shops and other utilities. Regular knowledge sharing sessions are also conducted internally.” If employees wish to take professional qualifications, NUR Power provides study leaves and examination fees. “The company provides a platform for our people to enhance their career development,” continues Ikwan Hafiz, “and we are encouraging them to advance with greater responsibilities and enable opportunities for promotion and job rotation.” Guided by core values of performance excellence, innovation, teamwork, integrity and ownership, team members who embrace these principles are recognised with awards.
E N E R G Y
&
U T I L I T I E S
ASIA
“We also don’t accept defeat. If a job cannot be done, we ask what it takes to get it done”
The company is looking to expand its existing power capacity
Ikwan Hafiz Bin Jamaludin
“We believe in empowering our staff by representing the company in seminars, conferences, study visits to manufacturers, repair shops and other utilities”
We maintain close relationships with both original equipment manufacturers (OEMs) and nonOEMs alike...” NUR Power involves itself in industry events
Further, the company holds regular team building exercises, and organises sports and social events. NUR Power also depends on external expertise in order to concentrate on and excel in its core business. “We maintain close relationships with both original equipment manufacturers (OEMs) and non-OEMs alike, both locally and internationally, and leverage against these
WWW.ASIAOUTLOOKMAG.COM
7
N . U . R
P O W E R
S D N
B H D
relationships to gain the best value in terms of provision of services for the company,” says Abd Rahim. “Working closely with our suppliers, our procurement department has initiated effective pricing negotiations and value-added services, resulting in efficiency and savings. “Having said that, we are looking into consolidating some expertise inhouse to further improve operational excellence.”
Community cohesion
While NUR Power may be geographically confined to KHTP, it actively promotes and empowers the local community there through a number of initiatives. The company is heavily involved with the Kulim Industrial Tenants Association and its various subcommittees, striving to make KHTP a preferred area for work, play and stay, investing in improved facilities for those living in and around the site.
8
WWW.ASIAOUTLOOKMAG.COM
STANDING OUT Asked what stands NUR Power apart from other power companies in Malaysia, Abd Rahim and Ikwan Hafiz identify six key points: > Power quality - electric supply meets stringent customer requirements. > Underground distribution system - reduces risk from weather related disruption and faster restoration time. > Rapid response to customers - zero downtime mindset. > Low technical losses - in-situ generation, no transmission losses. > Low non-technical losses - detailed consumption monitoring and on-time collection. > Strong partnerships - capable, experience and reliable vendors.
E N E R G Y
&
ASIA
U T I L I T I E S
Intercontinental
FREIGHT EXPRESS OUR SERVICES SEA FREIGHT
NUR Power supports Le Tour De Langkawi
IMPORT & EXPORT - Break bulk - Project cargo - Free house delivery - Pick up - Packing - Documentation/customs brokerage - Consolidation services (LCL & FCL) - Conventional - Oversized cargo
AIR FREIGHT
IMPORT & EXPORT - Break bulk - Deliveries - Unpacking - Pick up - Packing - Documentation/customs brokerage - Consolidation services - C.O.D. services - Free house deliveries
T: 603-7803 5211 F: 603-7803 5258 E: kana@ife.com.my
“We consider ourselves as part of the local community,” says Ikwan Hafiz. “Contributing and giving back to the community forms a very important element of our existence.” This is evidenced by the implementation and support of various programmes, from education initiatives such as internships to high performing students, awareness in electrical safety, energy efficiency and first aid, to donation of computers and printers to schools and charitable organisations. NUR Power also makes regular contributions to disadvantaged students and religious festivities such as Iftar during the month of Ramadan. Meanwhile, in the sporting arena, the company supports numerous local community football clubs and sponsors UCI (Union Cycliste Internationale) cycling event Le Tour De Langkawi 2018. On the environmental side, NUR Power has sponsored a tree planting programme organised by Yayasan
Hijau Malaysia, an agency under the Ministry of Energy, Science, Technology, Environment and Climate Change (MESTECC), in collaboration with a local municipal council. The firm also pledges support to natural disaster relief efforts. By safeguarding its surrounding community and environment, NUR Power has built a legacy based on trust that will ensure it can continue to thrive in years to come. This will depend on monitoring and responding to key industry trends, and Ikwan Hafiz concludes by outlining those which have the potential to radically impact the company’s development path in the future. “I want to continuously engage with business partners and stakeholders to understand industry development and implementation of cutting-edge technologies such as the IoT (internet of things) and AI (artificial intelligence). For example, by enhancing our SCADA
network capability, big data will allow us to further improve service delivery and operational efficiency. “NUR Power is also evaluating seriously renewable energy opportunities that will bring tangible benefits to the community and be economically viable to the business. “To conclude, in three to five years’ time, we hope that NUR Power will grow into a force to be reckoned with in a sector which is embracing liberalisation. We want to achieve this whilst creating value for all stakeholders by playing our role in spurring FDI and economic development in the park and beyond.”
N.U.R Power Sdn Bhd Tel (Head Office): +60 3 8082 3131 / 3111 cs@nur.com.my www.nur.com.my
WWW.ASIAOUTLOOKMAG.COM
9
Head Office: D23-0 Jalan BK 5A/2B Bandar Kinrara 47180 Puchong Selangor Malaysia Tel: +603 8082 3131 / 3111 cs@nur.com.my www.nur.com.my
www.outlookpublishing.com
Operations: Lot 30, Jalan Hi-Tech 4 Kulim Hi-Tech Park 09000 Kulim Kedah Malaysia Tel: +604 401 0100