'Edra sale to China GLC won't undermine national interests'

The government is confident it can maintain control over the energy sector and national interests after 1MDB subsidiary Edra Energy is sold to a China government-link company.

The sale of Edra, which controls 14 percent of the national energy sector, to China General Nuclear (CGN) was finalised yesterday for almost RM10 billion.

"In our opinion, 80 percent is still under us, and 14 percent is now owned by CGN.

"We can still control things through laws, the Environmental Protection Agency (EPA) or licences given to Edra companies," Energy, Green Technology and Water Minister Maximus Ongkili told the Dewan Rakyat today.

He added that 80 percent of Singapore's energy sector is under foreign control, and the republic faced no problems.

Sim Tze Tzin (PKR-Bayan Baru), Mahfuz Omar (PAS-Pokok Sena) and Hanipa Maidin (Amanah-Sepang) raised concerns about the sale, saying it sets a negative precedent

Sim said it might even give China a foothold in Malaysia, from which it can take over even more power assets.

"With the backing of the Chinese government, they can bid at higher cost. Our energy sector is done for.

"Tenaga Nasional (Bhd) cannot compete with what the Chinese government can bid," the PKR lawmaker said.

Maximus, however, brushed off their concerns.

"We take note of your concern but for the ministry, it’s not going to be a precedent.

"We control and ensure that national interests are controlled," he said.

He added that the sale was a case of "willing seller and willing buyer".

Edra was sold as part of efforts to rationalise 1MDB's burgeoning debts.

-Mkini