PETALING JAYA: Tenaga Nasional Bhd (TNB) has withdrawn its almost year-old judicial review against a directive by the Energy Commission (ST) and the Minister of Energy, Green Technology and Water on its new Power Purchase Agreement (PPA) with YTL Power Generation Sdn Bhd, a week after signing a new PPA with YTL Power.
To recap, TNB filed for a judicial review in July 2016 after the minister and the ST directed it to, among others, remove the incorporation of certain conditions required by TNB in the proposed new PPA, that is the subject of negotiations between TNB and YTL. The PPA was for the short-term extension of its supply of power to TNB.
TNB told Bursa Malaysia in a filing yesterday the application to withdraw the judicial review request was made following the settlement of the dispute between the parties, and the agreement by YTL to incorporate the conditions as required by TNB in the new PPA.
“The withdrawal of the judicial review proceedings was on the express basis that the revocation and/or withdrawal of the direction and the minister’s direction, will subsequently take place on an urgent basis,” TNB said in a stock exchange filing.
The High Court recorded the withdrawal of the judicial review proceedings as confirmed by the respondents with no order as to costs.
“Aside from the legal and management costs, the withdrawal of the judicial review proceedings will not have any material financial and operational impact on TNB,” TNB said.
Earlier this month, TNB and YTL inked a new PPA and land lease agreement for the short-term extension of YTL’s Paka Power Station.
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