Kota Kinabalu: Sabah is closely monitoring the global energy and economic crisis triggered by the ongoing conflict in Iran, with Chief Minister Datuk Seri Hajiji Noor assuring that the State remains relatively insulated due to its gas-based power supply.
Hajiji said the matter was raised at a special audience convened by the Prime Minister last Thursday, where Mentri Besars and Chief Ministers were briefed on the potential ripple effects of the Middle East war on Malaysia and the broader global economy.
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“We are facing an energy crisis, especially in several countries, and an economic crisis that may also occur in some nations due to rising oil prices and the cost of goods,” he said after a Hari Raya reception with members of the media.
He noted that Sabah’s electricity generation capacity stands at 1,400 megawatts, of which 1,100 megawatts is supplied by gas sourced directly from Petronas — shielding the state from the worst of the global energy crunch.
However, Hajiji flagged that the remaining approximately 300 megawatts is diesel-dependent, making that portion of the State’s energy supply vulnerable to price fluctuations.
“If diesel prices rise, it will affect our situation in Sabah. But we are still receiving diesel subsidies, and that eases our burden,” he said.
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On the federal front, Hajiji noted that the Prime Minister has directed civil servants to work from home starting April 15, as a measure to conserve energy and reduce government expenditure amid the global uncertainty.
He said that both the government and the public must understand the gravity of the situation, despite the conflict being geographically distant.
“Even though it is happening in the Middle East, its impact on the economy and energy is felt by all countries,” he said.
Hajiji said he would raise the matter at the coming state cabinet meeting, where further measures may be tabled if the situation warrants action.
“We will see how things develop. If there is a need, we will act,” he said.
