Community Equity-Sharing Model Should Be Expanded In Energy Projects
BELAGA: A development approach based on genuine participation of local communities should be enhanced through an equity-sharing model in energy projects to ensure that long term benefits can be enjoyed by the locals.
Murum Assemblyman Kennedy Chukpai Ugon stressed that the state government’s initiative under the leadership of Sarawak Premier Datuk Patinggi Tan Sri (Dr) Abang Abdul Rahman Zohari Tun Datuk Abang Openg to strengthen the energy sector as a driver of regional economy is highly welcomed, but its implementation must involve the people more comprehensively.
He stated that community involvement should not be confined solely to engagement sessions but should instead encompass genuine participation including equity ownership in projects being implemented.
“As emphasised by the Premier, the involvement of the people is of great importance.
“We are not merely speaking of engagement but genuine participation including opportunities to own shares in development projects,” he said.
He said this when interviewed during the Pela Daleh ceremony at the Murum Junction Substation, on Wednesday.
Further elaborating, he shared his experience of studying a development model in Canada that involves Indigenous communities in cascade dam projects, which he believes could potentially be adapted in Sarawak.
The Murum Assemblyman explained that through the model, local communities are given the opportunity to possess equity holdings together with investors, with financing support provided by the government.
“The government can establish a financing model through existing financial institutions to enable local communities to participate in project investments.
“Once the loan is fully repaid, the equity stake will become fully owned by the community,” he explained.
He added that this approach is more sustainable compared to relying solely on short-term corporate social responsibility (CSR) initiatives.
At the same time, he further proposed that the model be adopted in various new energy projects including floating solar developments and cascading dam projects, in line with Sarawak’s aspiration to emerge as an energy hub in the Asian region.
“If this model had been implemented earlier, communities in project areas such as Bakun and Murum might already be enjoying greater returns today,” he said.
He expressed hope that the state government would seriously consider implementing the proposed equity-sharing model as part of the state’s inclusive development policy.
Also present were Deputy Minister for Utility and Telecommunication Datuk Liwan Lagang, Sarawak Energy Berhad (SEB) Power Chief Executive Officer Ir Bunyak Lunyong, Belaga District Officer Bidah Lujah, representatives from government agencies and local community leaders. -UKASnews
