I wish to be proud to be Malaysian, like you too. But I'm struggling to understand:
a. how the plant actually works (too much technical jargon for a layman to understand what this is all about) b. why all that technical hassle and hardware just to produce 8MW of electricity per day (and what does that translate to in lay man's term ... e.g. supply electricity daily to X0,000 households?) b. how the plant makes profits and generate cashflow to sustain it's operations. In Ringgit Malaysia terms, how much can the company make out of the daily 8MW of electricity that the plant produces?
It's good to strive for better power and resource management but I still don't see any business case for this plant to be commercially viable. On the contrary, this seems to be like an expensive hobby for a group of people with keen interest in renewable energy.
Not trying to splash cold water but I have come across quite a few of these in my professional life. Just trying to look at this from a typical businessman perspective.
Everyday I am proud to be a Malaysian. Not only today. Ever proud to be a Malay. All things considered we are blessed Malaysians. The only thing bad is our toilets.
A reader sent this as a followup to comment by Anon641am. I produce it here:
Hi Bernard,
Hahaha… A hobby that cost RM 180 million? I don’t think so.
Anyway, 8 MW of electricity is equivalent to supplying about 38,000 units of average household with electricity per day. The average household uses about 5kWh of electricity per day. We supply about 5.5MW to the grid and the rest we use it internally. So the maths would be:
8 MW/h= 8,000 kW/h = 8,000 kW/h divided by 5kW = 1,600 households per hour = 38,400 households in 24 hours = RM 40,000 per day @ RM 0.21 /kWh
This rate will increase to RM 0.42 /kWh by July 2011 and it will see our income from power jump to about RM 80,000 per day and that is about RM 26 million per annum. We also receive processing fee from the Majlis (about RM 9 million per annum) and income from sale of recyclable materials. Still think that renewable energy is just a wet dream? On top of that people forget that ultimately we are solving the waste problem in the long run. That is more important. Maybe if the commenter can get out of the model of stealing public funds, he/she would be able to see the business sense of this venture. My 2 cents worth. Thanks
Dear Bernard, For leading a professional life before and worst being a businessman now, and unable to understand simple arithmetic, I sincerely am sympathetic with the person. Nevertheless, just a suggestion, may be stack up the numbers above may make a lay man understand it better. Regards.
6 comments:
I wish to be proud to be Malaysian, like you too. But I'm struggling to understand:
a. how the plant actually works (too much technical jargon for a layman to understand what this is all about)
b. why all that technical hassle and hardware just to produce 8MW of electricity per day (and what does that translate to in lay man's term ... e.g. supply electricity daily to X0,000 households?)
b. how the plant makes profits and generate cashflow to sustain it's operations. In Ringgit Malaysia terms, how much can the company make out of the daily 8MW of electricity that the plant produces?
It's good to strive for better power and resource management but I still don't see any business case for this plant to be commercially viable. On the contrary, this seems to be like an expensive hobby for a group of people with keen interest in renewable energy.
Not trying to splash cold water but I have come across quite a few of these in my professional life. Just trying to look at this from a typical businessman perspective.
Cheers?
Everyday I am proud to be a Malaysian.
Not only today.
Ever proud to be a Malay.
All things considered we are blessed Malaysians.
The only thing bad is our toilets.
very beautiful & rich country Msia it is ... too bad it has too many stinking toilets & politicians.
A reader sent this as a followup to comment by Anon641am. I produce it here:
Hi Bernard,
Hahaha… A hobby that cost RM 180 million? I don’t think so.
Anyway, 8 MW of electricity is equivalent to supplying about 38,000 units of average household with electricity per day. The average household uses about 5kWh of electricity per day. We supply about 5.5MW to the grid and the rest we use it internally. So the maths would be:
8 MW/h= 8,000 kW/h
= 8,000 kW/h divided by 5kW
= 1,600 households per hour
= 38,400 households in 24 hours
= RM 40,000 per day @ RM 0.21 /kWh
This rate will increase to RM 0.42 /kWh by July 2011 and it will see our income from power jump to about RM 80,000 per day and that is about RM 26 million per annum. We also receive processing fee from the Majlis (about RM 9 million per annum) and income from sale of recyclable materials. Still think that renewable energy is just a wet dream? On top of that people forget that ultimately we are solving the waste problem in the long run. That is more important. Maybe if the commenter can get out of the model of stealing public funds, he/she would be able to see the business sense of this venture. My 2 cents worth. Thanks
Another reader mailed this to me:
Dear Bernard,
For leading a professional life before and worst being a businessman now, and unable to understand simple arithmetic, I sincerely am sympathetic with the person. Nevertheless, just a suggestion, may be stack up the numbers above may make a lay man understand it better.
Regards.
How to be a proud Malaysian when you are constantly been reminded as a pendatang by those umno flers?
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