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Sunday, August 21, 2011

Sarawak positions itself to become powerhouse in the region

In the past, the State’s economy used to be based largely on traditional agriculture. These have changed since the mid-80s with the opening of large tracts of land for the development of plantations and estates.
Generally, Sarawak is a hilly region with only about 24% of the landmass that has reasonably good soil for agriculture.  The State government is working on about a third of the arable land or 8% of it. Even then it will take some time to utilise fully the arable land.  Obviously, Sarawak can market its image as a natural environment for good organic food products if efforts can be made to properly organise the rural communities for organic farming, which commands a premium in the world market.
Thus far, the change can be attributed to the state government’s farsightedness and holistic approach in the development of the economy starting with timber, oil and gas sectors in the late 70s.  Today, Sarawak is positioning itself as a powerhouse in the region by capitalizing on the huge energy resources through the implementation of SCORE.



Batang Ai Hydro Dam
The development of the huge hydropower potential will make Sarawak to become an attractive investment destination especially by investors of energy intensive industries. These investors normally look for a long-term commitment.  Therefore, they look for a competitive and stable supply of energy.  The reward for attracting these industries will create new sources of wealth through the development of upstream and downstream industries. Thus, they further broaden the State’s economic structure.
The Bakun hydro dam has started operation with one turbine last month.  It has the building capacity for eight turbines to generate more than 3,000 megawatts of electricity in the next three years. After Bakun will be Murum, which is quite near to it. The construction of Murum hydro dam, now on track, will be ready in four or five years from now. 

Besides, feasibility studies are being carried out to construct two more dams, one each in Baram and Pelagus. They will be smaller dams with the total generating capacity of 2,000 megawatt. In brief, Sarawak will generate 6,000 to 7,000 megawatt of electricity by the year 2020.  That will represent a third of the total energy potentials of the State mainly in SCORE development area.

The plan for the development of SCORE is for 20 years up to the year 2030. By then, there will be a number of smaller hydro dams to be built to achieve the target of generating 20,000 megawatt of electricity. The long-term development program should give plenty of time for big companies be they Tokuyama or Rio Tinto to plan for their expansion in future.   

Samalaju is being developed for heavy industries while Samajaya in Kuching for hi-tech industries, which must be sited in close proximity with universities, colleges and medical institutes.  The development of hi-tech industry in Samajaya, started with the state’s venture to manufacture wafer fab.  The industrial estate, with its plan for expansion, will require more electricity and water towards the year 2020 and beyond.
Samalaju Industrial Park, with an area of about 7,000 hectare, is being developed as the centre for heavy and energy-intensive industries. It is being equipped with all the necessary infrastructures, utilities and facilities such roads, sewerage treatment plant, electricity and water supplies and telecommunication to meet the requirements of investors. The power sub-station and transmission lines from Bakun HEP and Murum HEP are being constructed to ensure stable power supply to the park.



Batang Ai Hydro Dam and its lake
Currently, half of Samalaju Industrial Park has been designated to investors to construct their manufacturing plants. A special area within it has been earmarked for the new township to accommodate the needs of workers for residential and commercial houses, office spaces and other functions. It is envisaged that Samalaju Industrial park will eventually become a new industrial metropolitan in the State in the near future  
An area of almost 77,000 hectares of land in Tanjung Manis is being earmarked for development as Halal Hub to start the development of sustainable green industries such as organic and Halal foods. Works are in progress to develop the necessary infrastructure in terms of building new common infrastructure, expanding the treated water and electricity supplies, communication, public amenities, a new township, expanded airports, deep sea port and industrial zones.
The development of Halal hub in Tanjung Manis has started with aquaculture, which is more controllable than other activities like deep sea fishing or life stalk rearing.    An area with a good mixture of land and water body with a total acreage of 7,000 hectares is being developed for the purpose. It is a delta area, which is riddled with lot of rivers that has been found to be an ideal place for aquaculture.

Chief Minister, Pehin Sri Haji Abdul Taib Mahmud in an interview with an international magazine says he is very happy with a very good response, which is beyond his expectation, from international investors towards SCORE. The success is more than what the State has been expecting. Obviously the State government has to accelerate the pace of road construction to dam and industrial sites.  For example, the government could improve on the timber roads that had been constructed by timber operators for the purpose.

He believes, with his experience of constructing more than 18,000 km of roads covering rural, swampy and peat soil areas the pace of road construction can be accelerated towards the year 2020 and beyond. Generally, he can build more roads as he get more fund from the Federal government as local contractors are well equipped to undertake them.

He says engineering wise it is not as difficult as it used to be 30 years ago.  Money wise the Federal government is helping us to construct more and more roads.  At one time, the State government, due to the urgent needs to open up areas for land development, had to spend more money than the Federal government for road construction.  But now the Federal government is giving us the right proportion of allocation for infrastructure development.



Fish cage farming at Batang Ai Hydro Dam
He says development of infrastructure connectivity like road construction remains a priority as it will not only bring power from the hydro dams in the hinterland to industrial parks in coastal areas but will also open up economic opportunities to rural settlements, which have been previously isolated and inaccessible. For example, economic activities such as the development of oil palm and forest plantations, food crop and lakeside eco-tourism will create income-generating and employment opportunities to the people residing in those settlements
Pehin Sri Abdul Taib says the State Government is making conscientious efforts to bring socio-economic development to rural hinterlands in order to improve the quality of living for the people, who have been living a hard and difficult life in the past.  For example, the target is to provide more than 90% of rural households with water and electricity by 2012. Schools are still being built so that no Sarawakian is deprived of basic education.
Besides, the State and Federal governments are giving a lot of incentives to entrepreneurs to develop industries, cottage industries in particular in rural areas in order to involve more rural people in industrial development. The rural people must have choices either to staying or migrate to urban areas. The process of modernisation, after all, is about improving the standard of living of the people; it does not preclude people from maintaining their culture.
The current split between Sarawak’s urban and rural population is roughly 50:50. In the past few decades, the intra-migration trend into urban areas has been on the rise. Such migration was inevitable with employment opportunities being created in the manufacturing and services sectors in towns and cities.



benuasains




 *Photos Source:
 google.com.my
http://www.peladang.sarawak.gov.my/bm_version/sfo_activities_foodpd.htm
http://www.nadai.name/2009/03/flying-dr-sri-aman.html
http://aquatek2u.blogspot.com/2009/09/gambar-ternakan-talapia-merah-di.html
http://www.lubokantudo.sarawak.gov.my/ekonomi.html
http://www.emoss.com.my/info/rakansarawak/062004/subdistrict/index1.shtml
http://www.emoss.com.my/info/rakansarawak/122002/coverpage/cp03.shtml




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