The Malaysian energy scenario

No comprehensive and centrally enforced energy policy exists as yet. Its formulation must await the completion of a detailed survey of energy needs and prospects, which is now. in progress. At present different facets of energy management are handled by various government departments. An almost total dependence on oil is the predominant feature of the energy scenario which is not likely to change in the near future. Energy demand is expected to grow in step with the GNP. At present Malaysia is a net exporter of oil, which is of excellent quality and has a low sulphur content. However, it is anticipated that within 10 yr the country will become a net oil importer because of the rapid depletion of the national oil reserves and of the rapid growth of demand. Refineries working for the internal market rely for two-thirds of their output on imported Middle East crude of lower quality. Offshore natural gas deposits are relatively plentiful and gas is exported in liquified form. It is planned to use domestic gas as fuel to generate electricity. Hydro potential is abundant, but unevenly distributed. Several large hydroelectric generating plants are under construction in Peninsular Malaysia, where the demand is greatest. By far the largest hydro potential is located in Sarawak. It is contemplated to build a very large power station there and to transmit electricity to Peninsular Malaysia by a high-voltage underground cable. There are also numerous very small hydro electric stations which meet local rural needs in a very satisfactory manner.