Monday, May 23, 2011

Science is key to sustained innovation

Research! Where we are now? No collective direction at all... Direction always changing.. One time stresses on research and development... the other time talk innovation only... and usually request for product with import brand policy... Where we are now??? Start early than Thailand but now left behind far-far away... do you think so???

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NST: 2011/05/20
By Ahmad Tajuddin Ali

INNOVATION has attracted a lot of attention lately. Ever since the prime minister launched the country's transformation plans, innovation has assumed centre stage in public discussion. Many are more aware of the strategic role of innovation in nation-building. More people now know innovation can be a potent tool for wealth creation. To tap into the new business opportunities that will emerge in the coming years, innovation will prove to be indispensable.The prime minister has frequently touched in his speeches that it would be difficult to achieve the nation's triple objectives of high income with inclusiveness and sustainability, as articulated in the New Economic Model (NEM), without the necessary investment in innovation. The scientific community is encouraged by the government's launch of innovation lift-off projects as part of the economic transformation package.

A major issue confronting science in the country is the declining interest in a science career. Unless addressed soon, we may not have the critical mass of scientists to drive innovation. Now, only 20 per cent of secondary school students opt for a Science course. Some educationists blame it on the uninteresting ways Science is taught. They are urging the government to revive inquiry-based Science education (IBSE) earlier piloted in some select schools. In countries such as France and China, IBSE has been a major success in reviving interest in Science.

The medium of instruction is also a factor to consider. Though the national language has made significant headway, many scientific terms are still best described in English. Furthermore, much of the scientific references are available only in English. A recent announcement to review the policy is welcome. It may be time to leave it to the discretion of the schools. However, this is not to completely abandon the ongoing programme to translate scientific references and books into Bahasa Malaysia.
If innovation is a recipe for the high income that the country aspires to achieve by 2020, then Science is the precursor of innovation. Innovations that involve technology development thrive on a diet of strong scientific foundation. Put it in another way, Science is food for new technologies. There is no technology without Science. Science precedes all new breakthrough in technology. This can be in engineering, information and communications technology (ICT) and biotechnology, just to name a few.

This is not to suggest that innovation is only about Science. Arguably, innovation can also feature in many non-science sectors, including finance, social studies and even economic planning. But, not many would dispute the fact that a good command of Science is a key ingredient of sustained technology innovation.

There is ample evidence to suggest that innovation leadership is in the domain of countries which excel in the scientific discipline. These are also countries which invest heavily in research and development (R&D). Most important of all, such countries are in constant touch with the latest developments in science and research. They have an effective intelligence mechanism in tracking the development of science.

Admittedly, science is not cheap. Investment in scientific R&D talks about expenditures running into billions. Risks in such investments are also high. Furthermore, the results can be uncertain. In fact, there is no guarantee that the outputs of R&D can come to anything at all.

More often than not, only a small percentage would eventually make it to the commercial world of business. On the other hand, any R&D breakthrough which eventually ends up as a successful business, would more than make up for the losses incurred in the R&D that do not make to the marketplace.

Since science is a high-cost venture and can be uncertain, it is important, therefore, to have good guidance. This calls for dependable advice from experts in the field. The advice would not only be concerning the strategic areas to pursue, but also what would be the priorities. Only then can there be more focus in the R&D that the nation needs to invest in.

The recent resurrection of the National Science and Research Council with a re-constituted membership, under the chairmanship of the science adviser to the government, is indeed long overdue. The council can provide advice to the government on strategies and priorities of scientific R&D, and identify and help resolve bottlenecks in implementation, such as weaknesses in the infrastructure for R&D, both hard and soft.

This is also where the Academy of Sciences has a big role to play. Tapping into the knowledge and expertise of its fellows, the academy has churned out many strategic recommendations on science as advice to the government.

Through the academy's vast international network and partnership, it has also been able to tap into the knowledge of world experts from partner academies around the globe. In addition, the academy also pursues programmes to nurture and train young scientists on the art of scientific intelligence.

This will also make sure the country continues to build on the resources of scientific talent. Only then can the country enjoy a sustained flow of innovation. This is because science is key to sustained innovation. There is no other way.

Tan Sri Dr Ahmad Tajuddin Ali is president of the Academy of Sciences Malaysia


Read more: Science is key to sustained innovation http://www.nst.com.my/nst/articles/17science0511/Article/#ixzz1NBTsMpKe

Sunday, May 22, 2011

Analysts: Single-digit power tariff hike likely next week

Thestar: Saturday May 21, 2011

By LEONG HUNG YEE

PETALING JAYA: Tenaga Nasional Bhd (TNB) may be allowed to impose a “single-digit” electricity tariff hike when the Government announces a new tariff next week, sources told StarBizWeek.
“It will not be a double-digit hike but close to that,” the source said, adding that some 56% of the population would not be affected by the hike.
He said the lower income group would still be protected, given that the Government had cut some subsidies recently.
OSK Research head Chris Eng said he expected 5% to 10% tariff hike for TNB. In a report yesterday, Eng said: “We believe a tariff hike is long overdue, given the rising cost of coal and other raw materials, while the tariff has stayed stagnant since March 2009.
“Our analysis continues to show that TNB could see a 9% hike in core net profits for every 1% hike in effective electricity tariff.
“There is a potential for a 5% to 10%, or an effective 7%, hike for TNB which would see a significant jump in profits, failing which the financial year ending Aug 31, 2011 (FY11) would be TNB's worst year since FY06,” he said.
Several research houses, including Kenanga Research and AmResearch, also expect a tariff hike.
When contacted, Energy, Green Technology and Water Minister Datuk Seri Peter Chin Fah Kui, who is currently overseas, said he could not comment on the issue.
The tariff hike has long been subject to speculation among industry players. Nanyang Siang Pau has quoted sources as saying that the Government would not increase the price of RON95 petrol for the time being. However, a price hike for electricity was expected next week, the daily said.
According to sources, the Government is expected to announce the tariff hike after a cabinet meeting next week but the increment would not take place until a few days later or at least until next month.
Sources also said TNB was expected to make an announcement on Thursday on the matter.
According to Performance Management and Delivery Unit's (Pemandu) subsidy rationalisation plan, electricity tariffs will be increased by 2.4 sen/kWh initially, followed by 1.6 sen/kWh increase in every six months over the next five years until July 2014. Currently, the average electricity tariff stands at 31.3 sen/kWh.
TNB has had its base tariff hike (2% to 3% adjustment for every three years to account for inflation) frozen since 2009. Its current tariff (effectively at 31.2 sen per kWh) only covers the coal cost up to US$85 per tonne versus the current coal price estimates of US$117 per tonne.
Meanwhile, Kenanga Research said TNB had clarified that the utility giant had no timeline indications from the Government for the tariff review, other than the fact that the Government wanted to push through the subsidy rationalisation plans as proposed by Pemandu.
“TNB also mentioned that decisions are unlikely in the next couple of weeks since the Prime Minister is still overseas.
“We do not discount the possibility of a hike as TNB really needs it to cover its rising coal costs, particularly when coal usage is at an all-time high, given the severe gas supply curtailments.
“Any tariff hike will fully compensate for subsidised gas price hikes, hence, a neutral impact on TNB,” the brokerage said.
AmResearch has expected the increase in tariffs and has incorporated a 2% hike in its forecast for TNB's FY12 and FY13 earnings.
It said the current tariff assumed coal cost at a much lower price of US$85 per tonne, hence TNB's request for a tariff review.

Bullish on solar plants---> Do Malaysian FiT really a mechanism to boost RE activities?

 It shows that RE-FiT only grab interest from IPP, not yet drive smaller player from enterprise or house owner to occupy unused of ample space on roof or other non-commerciallize land. Do small player still can benefit from FiT to promote RE in their organisation or just dream left dreams.... RE is only for business man  not to promote home/enterprise owner to take opportunity to grow business in RE ... do you think so???

Thestar: Monday May 16, 2011

By LEONG HUNG YEE 

Better-than-expected response to FiT scheme
PETALING JAYA: Entrepreneurs are rushing to submit their plans to build solar plants following the disclosure of the Feed-in Tariff (FiT) scheme and the imminent gazetting of the Renewable Energy Act.
At a recent briefing held by the special division in the Energy, Green Technology and Water Ministry, as many as 300 people turned up more than twice the expected number to hear presentations by officials on details of the mechanics of the FiT.
One of the reasons for the rush is simply because the FiT will be dished out on a first come, first served basis, once applications are open.
A main speaker at the event, RE/Malaysia Building Integrated Photovoltaic Technology Application (MBIPV) national project team leader and chief technical adviser Ahmad Hadri Haris told StarBiz there would be a “quota” for producing renewable energy given the limited funding for the time being.
Tentatively, the combined quota for renewable energy for 2011 is 111MW for all renewable energy technology. The FiT is scheduled to start in the second half of the year.
Ahmad Hadri said the quota was designed to ensure the Sustainable Energy Development Authority (Seda), the body created to oversee the implementation of the FiT, could be certain that the FiT payment would be honoured for the entire period of contract with the power utility.
“How many MW can be offered annually depends on how much money can be collected for the RE fund, what are the commitments to pay for the FiT and the expected future cost of FiT, and the drive to promote renewable energy.”
Under the initial plan, electricity tariffs will be hiked by 1% to cover cost associated with the FiT scheme. The tariff hike, however, has yet to happen but the Government is committed to kickstart the FiT.
Hence to meet the initial demands of funding the FiT, the Government will allocate RM189mil to finance the higher rates that Tenaga Nasional Bhd (TNB) will be paying for renewable energy although the longer-term plan remains for electricity tariffs to be raised by 1%.
According to government officials, such a tariff hike will bring in RM300mil a year to be administered under the FiT scheme.
“Under the RE Bill, the management and utilisation of the RE fund must be openly reported and tabled in parliament annually. Thus, the public can scrutinise the information. We are also putting the information on the Seda website,” Ahmad Hadri said.
So far, no approval has been given to any party to operate renewable energy as the FiT application is not open yet. The application will be on a first come, first served basis; “therefore there is no opportunity to book any quota,” said Ahmad Hadri.
“To be fair, Seda will first launch the web portal (information) and communicate to the public about the FiT opportunity. We anticipate this to start in late June. After three or four months only will Seda open the FiT application, and the public can apply for up to three years in advance.”
Last month, both the RE Seda Bills were passed by parliament. The FiT is expected to be implemented by the third quarter while Seda will be legally established. Comparing the FiT scheme with other neighbouring countries, Ahmad Hadri said Malaysia's FiT would be better. “Better because we have learned from their experiences and other countries' experiences too. We have adapted all the good parts and avoided the mistakes and also customised for the Malaysian context.”
One interested entrepreneur, Gerard Teoh, said “the Malaysian FiT scheme of RM1.14 for installed capacity above 72kWp and up to and including 1MWp makes building solar farms viable.” Teoh is the executive director of Asia Solar Generation Ventures Sdn Bhd, an investment holding company incorporated to develop and operate solar farms in Malaysia. Its shareholders currently have equity interest in an operating solar farm north of Bangkok.
Teoh opined that the effective period of 21 years was good as it would enable players to recoup their return on investments.
But it is his hope that the application process for producing renewable energy would be done in a fair and transparent manner. He said the licence should be given to only those who are serious and have the capability and financial strength.
Meanwhile, OSK Research head Chris Eng believes biomass was more viable than other RE technology.
He said land costs remained one of the biggest elements for solar producer as cheap land could be located far from the grid. “They will then have to build a long transmission line to connect to the grid.”
Eng expects it would take five years before anything significant can take place in the solar energy sector. He said a lot of promotional campaigns would be needed to inform the public on renewable energy.
“The industry players may jump at the chance to produce solar power but I doubt the residential sector will.”
He expects more biomass plant to be sprouting up but doubts companies which are using it internally would sell it to the grid

Tapping renewable energy ---> Biomass in the making???

Figure need to be verified: Watt/ton FFB??? Do you know?

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Thestar:Saturday May 21, 2011

By HANIM ADNAN
nem@thestar.com.my

PALM biomass waste previously is often perceived as a bane to many oil palm mill operators. Every year, millers had to incur huge costs to transport and dispose empty fruit bunches (EFB), palm shells and mesocarp fibre after the process of crushing and extraction of palm oil and palm kernel oil from the fresh fruit bunches (FFB).
This situation, however, will no longer persist as many oil palm plantation owners with mills in Malaysia are now actively looking at palm biomass waste as feedstock for them to set up “green” renewable energy projects; thus creating an additional lucrative income for the operators.
One such company in the forefront of utilising palm biomass waste to generate renewable energy and power projects is Felda Global Group, which is also the world's largest plantation group.
Of the Group's 15.3 million tonnes FFB which goes into its mills annually, 3.36 million tonnes of EFB, 1.83 million tonne of mesocarp and 760,000 tonnes of palm shells are accumulated. Some 6.1 million tonnes of old palm trunks are also derived from harvesting and 3,000 tonnes from replanting activities.
In addition, its mills have palm oil mill effluent ponds which could also be used to capture methane gases to generate biogas.
It is said that Felda could easily generate an additional income of RM500,000 per mill by just selling the biomass waste like palm shells and mesocarp fibre alone.
Given Felda's abundant biomass resources and capability to convert them into renewable energy and power initiatives, it is inevitable for the group to venture into such good prospect and sustainable energy ventures, says Felda Holdings Bhd head of biomass Ahmad Nor Azman Jamin.
A Felda waste collection site for renewable power near Jengka 8, Pahang.
To date, the group has 56 biogas plants, two power plants, six compost plants, two mini gasifier plants and one fuel pellet plant all utilising biomass waste as the feedstocks.
Sahabat biomass power plant in Lahad Datu, Sabah, set up in 2001, is Felda's first EFB-based clean development mechanism (CDM) project in Malaysia and also the first in the world.
(CDM is a United Nations sponsored agreement under the Kyoto Protocol whereby industrialised countries finance the reduction of global greenhouse gas (GHG) emissions in developing nations and can also purchase certified emission reduction (CER) or carbon credit.)
“Many rural sites in Sabah have no connections to the national electricity grid. Our rationale is replace the diesel usage with EFP-resources to generate 7.2 MW electricity and also 16 tonnes of steam for Felda mills there,” says Nor Azman.
Nor Azman ... ‘Many rural sites in Sabah have no connections to the national electricity grid.’
Biomass power plant
In fact, Sahabat biomass power plant, which produces 25,000 tonnes of CER per year, has started selling them to a European buyer since 2006.
Meanwhile, under the Government's Entry Point Project 5 (for biogas), Felda is also planning for 49 of its 71 mills to have biogas capturing plants.
Of the 49 biogas plants, 35 have been designated to supply electricity and are hooked to the national grid, adds Nor Azman.
He says; “Currently, we are segregating 12 existing biogas plants with one in Serting Hilir already hooked to the grid.”
Another exciting development is Felda Global Group and Tenaga Nasional Bhd's joint-venture company, FTJ Bio Power Sdn Bhd, which will set up a RM120mil bio oil plant in Jengka, Pahang to generate 12.5 million watts of electricity using purely EFB.
The EFB feedstock is accumulated from seven out of the eight palm oil mills owned by Felda Global Group in Jengka. The plant is scheduled to be operational by December 2012.
Another important venture is the Sahabat Bio Oil project in Sabah via a joint-venture with Premium Renewable Energy Group. This will see four Felda palm oil mills having biogas facility with 2 MW electricity generation each via the utilisation of EFB.
“These mills will then supply the treated EFB and excess electricity about 6 MW to the bio oil plant.” The potential take-off of the bio oil product include fuel for stationary engine in power plant, speciality chemicals extraction and export market as green fuel,” says Nor Azman.
Currently, the Felda Global Group is pursuing several projects to fully utilise EFB produced by its mills. About 70 other projects are in progress or in the pipeline, including composting, pellet production and combined heat and power projects. By 2013, EFB produced by all 71 mills in the Felda Global Group will be fully consumed.
Going forward, Nor Azman says Felda will likely be seeking partnerships in the area of renewable energy.
“It has the capability to lead government-to-government collaboration on drawing up the regional renewable energy road map and implementation, for example, with Indonesia, which is also a major producer of palm oil.”
Challenges in the sector include the biomass conversion technology which is still not mature, high transportation cost for bulky materials with high moisture content, lack of human capital competency and the pricing of renewable-energy based electricity due to feed-in tariff.

Felda Global, TNB in JV for biomass plant

Key Figure:

1) Investment : RM 120 million

2) Using purely oil palm empty fruit bunches (EFB) : 350,000 ton/year

3) Land usage : 4.2 ha (0.042 square kilometer = 42 000 square meter)

4) Electricity generated : 12.5 MW

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Thestar: Tuesday March 1, 2011

It will invest RM120mil to set up second ‘green’ power facility
PETALING JAYA: Felda Global Group and Tenaga Nasional Bhd have formed a 60:40 joint-venture company, FTJ Bio Power Sdn Bhd, and invest RM120mil to set up a plant that will generate electricity using purely oil palm empty fruit bunches (EFB).
The construction of the plant is scheduled to commence soon on a 4.2ha site in Jengka 9, Pahang and be fully completed in December 2012. The plant will be able to generate 12.5 million watts of electricity.
“The plant will utilise EFB accumulated in the process of producing crude palm oil from seven of the eight mills owned by the Felda Global Group in the Jengka area. These total 350,000 tonnes a year,” said Felda in a statement yesterday.
In the same statement, Felda Global Group president Datuk Sabri Ahmad said that the Malaysian palm oil industry generated some 140 million tonnes of biomass every year from palm oil production, of which EFB comprised 20 million tonnes.
“Felda, as the country's largest oil palm operator, produces three million tonnes of EFB. There is a tremendous opportunity to derive value from these oil palm waste products and harness them into energy,” he said.
The Jengka 9 biomass plant is Felda's second plant that uses only EFB to generate electricity. The first, a 7.5 million watt plant, was built in 2004 and was also Malaysia's first “green” electricity power plant.
“The Felda Global Group is pursuing several projects to fully utilise EFB produced by its mills. Some 70 other projects are in progress and in the pipeline, including composting, pellet production and combined heat and power projects.
“By 2013, EFB produced by all 71 mills in the Felda Global Group will be fully consumed,” it said.

Monday, May 16, 2011

Bullish on solar plants

The waiting FiT scheme is released and to be officially implemented in June. Do really this FiT scheme favoring the RE industry and for everybody to take advantage generating greener energy? Or just for the sake for few numbers of people? Hope it will favor everybody especially homeowner or SMI generators. Who's who can generate and sell electricity?


Thestar: Monday May 16, 2011



By LEONG HUNG YEE


hungyee@thestar.com.my


Better-than-expected response to FiT scheme

PETALING JAYA: Entrepreneurs are rushing to submit their plans to build solar plants following the disclosure of the Feed-in Tariff (FiT) scheme and the imminent gazetting of the Renewable Energy Act.



At a recent briefing held by the special division in the Energy, Green Technology and Water Ministry, as many as 300 people turned up more than twice the expected number to hear presentations by officials on details of the mechanics of the FiT.



One of the reasons for the rush is simply because the FiT will be dished out on a first come, first served basis, once applications are open.



A main speaker at the event, RE/Malaysia Building Integrated Photovoltaic Technology Application (MBIPV) national project team leader and chief technical adviser Ahmad Hadri Haris told StarBiz there would be a “quota” for producing renewable energy given the limited funding for the time being.



Tentatively, the combined quota for renewable energy for 2011 is 111MW for all renewable energy technology. The FiT is scheduled to start in the second half of the year.



Ahmad Hadri said the quota was designed to ensure the Sustainable Energy Development Authority (Seda), the body created to oversee the implementation of the FiT, could be certain that the FiT payment would be honoured for the entire period of contract with the power utility.



“How many MW can be offered annually depends on how much money can be collected for the RE fund, what are the commitments to pay for the FiT and the expected future cost of FiT, and the drive to promote renewable energy.”



Under the initial plan, electricity tariffs will be hiked by 1% to cover cost associated with the FiT scheme. The tariff hike, however, has yet to happen but the Government is committed to kickstart the FiT.



Hence to meet the initial demands of funding the FiT, the Government will allocate RM189mil to finance the higher rates that Tenaga Nasional Bhd (TNB) will be paying for renewable energy although the longer-term plan remains for electricity tariffs to be raised by 1%.



According to government officials, such a tariff hike will bring in RM300mil a year to be administered under the FiT scheme.



“Under the RE Bill, the management and utilisation of the RE fund must be openly reported and tabled in parliament annually. Thus, the public can scrutinise the information. We are also putting the information on the Seda website,” Ahmad Hadri said.



So far, no approval has been given to any party to operate renewable energy as the FiT application is not open yet. The application will be on a first come, first served basis; “therefore there is no opportunity to book any quota,” said Ahmad Hadri.



“To be fair, Seda will first launch the web portal (information) and communicate to the public about the FiT opportunity. We anticipate this to start in late June. After three or four months only will Seda open the FiT application, and the public can apply for up to three years in advance.”



Last month, both the RE Seda Bills were passed by parliament. The FiT is expected to be implemented by the third quarter while Seda will be legally established. Comparing the FiT scheme with other neighbouring countries, Ahmad Hadri said Malaysia's FiT would be better. “Better because we have learned from their experiences and other countries' experiences too. We have adapted all the good parts and avoided the mistakes and also customised for the Malaysian context.”



One interested entrepreneur, Gerard Teoh, said “the Malaysian FiT scheme of RM1.14 for installed capacity above 72kWp and up to and including 1MWp makes building solar farms viable.” Teoh is the executive director of Asia Solar Generation Ventures Sdn Bhd, an investment holding company incorporated to develop and operate solar farms in Malaysia. Its shareholders currently have equity interest in an operating solar farm north of Bangkok.



Teoh opined that the effective period of 21 years was good as it would enable players to recoup their return on investments.



But it is his hope that the application process for producing renewable energy would be done in a fair and transparent manner. He said the licence should be given to only those who are serious and have the capability and financial strength.



Meanwhile, OSK Research head Chris Eng believes biomass was more viable than other RE technology.



He said land costs remained one of the biggest elements for solar producer as cheap land could be located far from the grid. “They will then have to build a long transmission line to connect to the grid.”



Eng expects it would take five years before anything significant can take place in the solar energy sector. He said a lot of promotional campaigns would be needed to inform the public on renewable energy.



“The industry players may jump at the chance to produce solar power but I doubt the residential sector will.”



He expects more biomass plant to be sprouting up but doubts companies which are using it internally would sell it to the grid.