SIGNING OF RENEWABLE ENERGY POWER PURCHASE AGREEMENT (REPPA) BETWEEN TNB AND GARISAN ETIKA (M) SDN. BHD.

TENAGA NASIONAL BERHAD has signed an agreement for the purchase of electricity generated by a small Renewable Energy (RE) power project developed by Garisan Etika (M) Sdn. Bhd. under the Small Renewable Energy Power (SREP) Program. The SREP Program was launched by the Government in May 2001 to promote the utilisation of renewable energy in power generation and to reduce emission of greenhouse gases. The signing of this agreement demonstrates the continous support given by TNB for the success of the Government's SREP Program. TNB has agreed to purchase the electricity from Garisan Etika (M) Sdn. Bhd. for a period of 21 years. The estimated value of this REPPA is about RM18.4 million per year . The RE power plant developed by Garisan Etika (M) Sdn. Bhd., which utilizes Empty Fruit Bunches (EFB) as bio-mass fuel, will be located in Bandar Tenggara, Kota Tinggi, Johor Darul Takzim and will have an export capacity of 10 MW to TNB. As at todate the total capacity under REPPA is 98.15 MW. None of the Directors or Major Shareholder of TNB or persons connected to the Directors or Major Shareholder of TNB has interest, direct or indirect, on the said matter. This announcement is dated 7 September 2010.