KUALA LUMPUR, Nov 19 — The Urban Wellbeing, Housing and Local Government Ministry insisted today that the technology used in the four small-scale incinerators across the country has “existed for decades” and is not untested as alleged.
Minister Datuk Abdul Rahman Dahlan asserted that the issues highlighted in the Auditor-General’s Report 2012 were strictly related to operational glitches and structural problems, despite recommendations by Parliament’s Public Accounts Committee against the ministry’s gatekeepers who authorised the use of the “unproven technology” to operate the incinerators.
“As much as we welcome the PAC’s suggestions, I would like to state here that there are no problems with the technology as it has existed for decades,” said Abdul Rahman during Question Time in the Dewan Rakyat.
He was responding to a supplementary question by Ong Kian Ming (DAP-Serdang), who had asked the ministry to host a site visit for all those interested to determine if the incinerators are being managed according to stipulated standards.
Ong also asked the ministry to explain its reason for reappointing XCN Technology (XCNT) Sdn Bhd — the company rapped by the PAC for mismanaging two out of four incinerator projects — to manage the incinerator in Pangkor.
The company was awarded the RM88.74 million contract to manage the incinerator for three years beginning January this year.
XCNT — allegedly linked to former Navy chief Tan Sri Abdul Wahab Nawi through Dawn Holdings Sdn Bhd — made headlines late last year after the 2012 national audit found that completion of the four incinerator projects in the islands of Langkawi, Tioman and Pangkor and in Cameron Highlands faced delays of between nine and 33 months.
The Auditor-General also discovered that Putrajaya approved the use of unproven incinerator technology based on “autogenous burning” in all four projects without conducting any due diligence on the claims made by the contractor, XCNT — which was pushed for by the company’s minority shareholders Clean Earth Technology Sdn Bhd.
Abdul Rahman, however, said that the ministry needs some time to ensure that the incinerators are performing seamlessly before organising a site visit.
“I don’t want to stand here and be in denial, and say that the mini-incinerator projects are not riddled with problems,” he told the Dewan Rakyat.
“There are some operational issues and some technical problems... no project is a 100 per cent perfect.
“Even in the West, they are forced to take a certain period of time to tweak and adjust before everything goes well,” added Abdul Rahman, who is also the MP for Kota Belud.
He also gave his assurance that stringent measures are being taken to ensure that Malaysia’s first mega-incinerator in Taman Beringin, Kepong meets international regulatory standards.
“To conduct the detailed environmental impact assessment (DEIA), the ministry had appointed a consultant in September and it is expected to be completed by June 2015 and for your information, the DEIA will determine the conditions stipulated to the concessionaire so that there is no adverse effect on the environment and to the public,” he said.
Abdul Rahman added that to prove their commitment to ensuring safety standards are prioritised, the ministry will organise for a “realtime” display of the gas emitted from the plant’s chimney.
The ambitious RM800 million waste-to-energy plant project is expected to be approved by the Cabinet by April next year and construction work to begin early 2016.
Abdul Rahman remained mum on the four companies shortlisted to build the plant, which will be able to turn 1,000 tonne of waste to energy per day.
However, quoting industry sources The Edge Financial Daily reported in September that UEM Environment Sdn Bhd, DRB-Hicom Bhd, Malaysian Resources Corp Bhd (MRCB) and Puncak Niaga Holding Berhad defeated 29 other competitors to make the list.