Sarawak Energy recognised with five honours at the Asian Power Awards 2024

Malaysia’s largest renewable energy developer received recognition for its digital transformation in power generation and advancements in sustainable hydropower development.

Sarawak Energy, through its subsidiaries SEB Power Sdn Bhd and Syarikat SESCO Bhd (SESCO), received five accolades at the prestigious Asian Power Awards 2024: Power Utility of the Year - Malaysia, Smart Grid Project of the Year - Malaysia, Innovative Power Technology of the Year - Malaysia, Power Plant Upgrade of the Year - Malaysia, and Hydro Power Project of the Year - Bronze.

Digital transformation journey

Sarawak Energy aspires to become a sustainable digital utility by 2025. Recognising the important role digital transformation plays in driving operational excellence, promoting sustainable growth and delivering value to all stakeholders, the company is accelerating its growth by adopting new technologies, methodologies, and innovations, positioning itself as a top-quartile digital utility.

Central to this goal is Sarawak Energy’s Digital Foundation, which supports its digitalisation aspirations through modernised enterprise ICT infrastructure, smart grid, and digital power plant advancements, along with innovations by its research and development arm. The Company also play a crucial part in supporting Sarawak’s Digital Economy Blueprint 2030 projects.

Smart grid initiative

Sarawak Energy is committed to modernising its network system and operations through digitalisation to cultivate a smart power grid that is safe, secure, and reliable. To improve transmission and distribution operations, the Company leverages digitalisation as part of its commitment to modernising its infrastructure and advancing a smart power grid.

Sarawak Energy’s smart grid initiative integrates key technologies to: 

• ensure a safe, secure, and reliable grid and supply system,
• enhance operational safety and efficiency,
• protect assets and achieve optimum asset performance, and
• empower customers.

As Sarawak works to increase its renewable energy uptake and reach its 10GW generation capacity goal by 2030, modernising the electricity grid with smart technologies will enable efficient integration and management of renewable resources, ensuring the grid is adaptable, reliable, and sustainable for the future. Smart grid technologies will also enable demand-side management strategies, which include the deployment of advanced metering infrastructure (AMI), grid automation systems, and energy management software.

Aligned with the Sarawak Government’s Digital Economy Strategy under its Smart City initiative, Sarawak Energy’s smart grid deployment – managed by its operational and retail arm, SESCO – features smart meters, online asset monitoring, and remote monitoring systems, enhancing operational efficiency.  

In 2022, Sarawak Energy partnered with Itron, a global technology provider in energy, water, smart city, industrial Internet of Things (IIoT) and intelligent infrastructure services to install 180,000 AMI endpoints as part of a Network-as-a-Service (NaaS) initiative. This enables Sarawak Energy to manage its communications network over the next decade whilst enhancing operational efficiency with Itron's analytics solutions. 

In 2024, the collaboration was expanded to include an additional 200,000 AMI endpoints in the towns of Sibu, Miri, and Bintulu, with installations expected to be completed by the end of 2027. The IIoT network implemented by Sarawak Energy includes both AMI and analytics services, which further enhance service and operational efficiency through its various applications including revenue assurance, outage detection, and real-time monitoring capabilities, further enhancing service and operational efficiency.
Taking revenue assurance as an example, the system has successfully received and processed countless alarms and events, achieving a hit rate of over 20%. This has significantly enhanced customer supply by enabling faster detection and response to outages or abnormal voltage levels. Additionally, numerous instances of incorrect wiring and faulty devices, which could pose safety risks to customers and personnel, have been identified and rectified. Efforts are ongoing to encourage active customer participation as responsible prosumers, contributing to sustainable energy efficiency.

Digital power plant 

In pursuit of Generation Operation Excellence, Sarawak Energy is improving workforce and asset productivity whilst mitigating risks through innovative digital technologies, such as automation and integration of power systems. This initiative aims to enhance energy production efficiency and reduce operational costs.

A major milestone in this journey was achieved with the digitisation of Balingian Power Generation (BPG), established as Sarawak Energy’s first Digital Power Plant (DPP) in 2023. Managed by SEB Power, BPG was evaluated through a DPP framework aligned with the Company’s business values.

The Remote Monitoring and Diagnostics (RMAD) Centre is a key component of Sarawak Energy’s transformation, designed as a centralised hub for continuous monitoring. It utilises diagnostic, predictive, and prescriptive analytics to enhance plant efficiency and reliability. The RMAD centre plays a crucial role in the early detection of issues, supporting root cause analysis to prevent forced outages and improve plant heat rates through comprehensive, real-time insights stored in a unified Plant Information system server.

The RMAD Centre enables performance monitoring, critical parameter tracking, data visualisation, and online and offline condition-based monitoring. The offline condition-based monitoring programme is gradually being integrated with online systems for continuous issue identification.

BPG employs a performance monitoring system that optimises coal usage and maintains the plant's heat rate, whilst machine learning-based early warning systems detect abnormalities, helping to prevent forced outages.

Operating under the “Find Small Fix Small” mindset which aims to identify minor issues before they escalate into major problems, the RMAD Centre has been able to save millions of Malaysian Ringgit through prevented trips, heat rate improvements, and timely minor fixes since April 2022. The RMAD Centre also transitioned from reliance on Subject Matter Experts (SMEs) to utilising advanced tools for detecting and diagnosing abnormalities, enabling SMEs to focus on making quicker, accurate assessments and formulating action plans based on insights derived from the detection and diagnostic tools. 

Looking forward, the RMAD Centre plans to broaden its scope by incorporating prescriptive diagnostics and extending its capabilities to other major power stations in Sarawak. Sarawak Energy is committed to driving this transformation, using advanced monitoring tools and data analytics to enhance plant performance and reliability, paving the way for a more efficient and resilient energy future.

Murum HEP renewable energy certificates 

Sarawak Energy is committed to sustainable hydropower development. All hydropower facilities operated by Sarawak Energy comply with the guidelines of the International Commission on Large Dams and the Hydropower Sustainability Standard. This dedication will continue as Sarawak Energy pursues its aspiration to become a regional renewable energy powerhouse and “battery” for ASEAN.

Ensuring plant efficiency enables Sarawak Energy to continue supplying renewable hydropower to the communities it serves and supports corporate sustainability initiatives, including sharing these clean resources with other corporations.

Sarawak Energy introduced its first Renewable Energy Certificate (REC) in Sarawak during the Sustainability and Renewable Energy Forum in 2019. Primarily generated from the Batang Ai Hydroelectric Plant (HEP) issued through the Tradable Instrument for Global Renewables (TIGR) registry, these RECs allow corporations to meet their sustainability targets by procuring renewable energy. 

In 2022, Sarawak Energy expanded its REC offerings by including the Murum HEP in the I-REC(E) registry. Located on the Murum River in the Belaga District, this 944MW facility is Sarawak’s second-largest hydroelectric plant and plays a vital role in the state government’s Sarawak Corridor of Renewable Energy Initiative (SCORE) and the Post-COVID-19 Development Strategy 2030 (PCDS 2030), both aimed at sustainable economic growth.

Murum HEP, which was commissioned in 2014, features one of the tallest stepped chute spillways in the world and provides reliable electricity to resettlement areas whilst protecting the downstream ecosystem. 

In December 2023, Sarawak Energy signed a Memorandum of Collaboration with Bursa Malaysia Berhad, the Hydropower Sustainability Alliance, and the I-REC Standard Foundation at the 28th United Nations Climate Change Conference of Parties (COP28) in Dubai, enabling REC trading on Malaysia’s voluntary carbon exchange, Bursa Carbon Exchange (BCX). The first REC auction, held on 25 June 2024, saw 268,800 HRECv24 contracts from the Murum HEP purchased by 15 industry buyers. Regular trading is expected to begin by Q4 2024, furthering Sarawak Energy’s commitment to responsible energy development.

The Murum HEP was chosen for the BCX REC trading due to its adherence to state and national regulations. During its development, comprehensive environmental and social impact assessments and a resettlement action plan were conducted to manage environmental and social impacts proactively. 

As of Q1 2024, Sarawak Energy has signed over 9 million RECs which are valued at more than RM30m (US$7.14m), reflecting a growing recognition of hydropower as a renewable energy source. This positive response from corporations supports progress toward sustainable development goals and a cleaner energy future.

The Asian Power Awards is presented by Asian Power Magazine. To view the full list of winners, click here. If you want to join the 2024 awards programme and be acclaimed for your company's revolutionary innovations and initiatives in the power industry in Asia, please contact Danica Avila at [email protected].