Tuesday, May 24, 2016
Gas supply (Amend) Bill 2016 passed in Parliament
The amendment also involved the provision of Clause 4 of the bill which applies to Sarawak after obtaining the approval from the Sarawak Yang di-Pertua Negeri.
Minister in the Prime Minister’s Department Datuk Seri Abdul Wahid Omar in winding up debate on the bill, said the amendment would create competition with the participation of third parties in the gas industry.
He said the gas supply industry was currently being monopolised by industry players such as Petronas and Gas Malaysia Berhad.
“At the moment the only company supplying gas through pipeline transmission is Petronas, the national gas producer which subsequently sells to other parties including Gas Malaysia Berhad.
“Petronas Gas Berhad is the owner and operator of transmission pipelines and regasification terminals in Peninsular Malaysia which is a subsidiary of Petronas, and this monopoly situation needs to be liberalised by creating third party access system,” he said.
Abdul Wahid said with the third party system, other parties other than Petronas could be involved in the gas industry in Malaysia by becoming licensees, making use of the gas infrastructure such as regasification terminal, pipeline transmission and distribution pipelines to sell gas to consumers.
This situation would break the existing monopoly thus creating healthy competition in the market which would benefit consumers through competitive pricing and efficient services, he said.
The bill also provides for regulations prohibiting anti-competitive agreements and abuse of dominant position to protect consumer rights.
Posted by wikisabah at 3:50:00 PM