Walk the talk, sell IPP and tolls stakes, KJ tells Selangor

Rembau MP Khairy Jamaluddin Abu Bakar today called on the opposition coalition to live up to their abhorrence of what they call "lopsided" agreements with independent power producers (IPPs) and toll concessionaires by relinquishing the stakes held by Pakatan Rakyat-controlled states in such businesses.

An example, he said, was the fact that World Wide Holdings Berhad, a wholly-owned subsidiary of Selangor State Development Corporation (PKNS) had a 25 percent stake in Genting Sanyan, one of the first IPP in the country and has been a target of the opposition.

"They (Selangor) have been getting dividends for their investment for many years, even on their (World Wide Holdings) website they said they are in the lucrative power generation business and is not apologetic at all," he told a press conference at the Parliament lobby this afternoon.

Another example, said Khairy (above), was the fact that Pakatan's Buku Jingga was for the abolition of tolls but PKNS owns a 20 percent stake in the Kesas highway, which toll cost RM2.20.

"This is a matter of policy consistency, why have they not relinquished their stakes?" he said.

KJ: IPPs not as equitable

Drawing an example from Kedah, Khairy said Kedah Menteri Besar Azizan Abdul Razak had ordered the Kedah State Development Corporation (PKNK) to sell off its stake in Felda Global Ventures Holdings so as to be consistent with Pakatan's stance against Felda's listing on Bursa Malaysia.

Khairy also pre-empted Pakatan's response, stating that if the coalition were to justify that these businesses were entered during BN's rule in Selangor, the fact remains that Pakatan had four years to relinquish those shares.

"And if they are going to say that at least it remains with the Selangor government and not some other private companies, this is still a matter of principle.

"You can make promises in your manifestos but do you walk the talk?" he said.

Despite the criticism, Khairy said he agreed that the old IPP agreements were "not as equitable as they could have been".

However, Kota Belud MP Abdul Rahman Dahlan  (left) then assured that future IPPs would be more equitable.

"In fact the third generation IPPs don't get as much meat, their margin of profit is quite small and the renegotiation of IPPs will be based on this third generation model," he said.

Also present at the press conference was Simpang Renggam MP Liang Teck Meng.

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