New chairman and CEO for Energy Commission soon

Wednesday December 2, 2009

By LEONG HUNG YEE

PETALING JAYA: The Energy Commission (EC), the regulator for the electricity and gas supply industry, will soon not only have a chairman but also a chief executive officer, both of whom will be appointed by the Energy, Green Technology and Water Minister.

The addition of a CEO’s post for the EC, which has since its inception seven years ago only had a chairman who assumed both duties, will come about once the bill is passed and the amendments to the Energy Commission Act 2001 are enforced.

The EC, which is also charged with overseeing the new regulatory framework for energy industries, has yet to appoint a new chairman following the demise of Datuk Pian Sukro a month ago.

Industry observers welcomed the move to separate the duties of chairman and CEO, which they feel is very much in line with the growing trend to ensure better governance.

Naturally, Pian’s successor as well as the new CEO, will have vast experience in the country’s energy sector, and more specifically, persons who have served with national utility Tenaga Nasional Bhd (TNB).

According to sources, few names have been bandied about but none has yet been confirmed.

“The late Datuk Pian served his role well in that despite being ex-TNB, he sought to improve the industry f or the benefit of consumers even if it meant suggesting measures that were not completely to TNB’s benefit,” said OSK Investment research head Chris Eng.

He said there were a number of senior personnel at TNB who qualified for the appointments at the EC.

Asked if there was a possibility of appointing current TNB president and chief executive officer Datuk Seri Che Khalib Mohamad Noh as the commissioner, Eng believes that there would be other plans for Khalib.

Another analyst said the amendments did not change anything significantly. “The commission is still the regulator.”

She pointed out that the CEO’s position may be filled by current officers at the commission as the amended act had given the “permission” for the minister to make such an appointment.

The amended act states that the minister may appoint temporarily any officer of the commission as CEO when the position is vacant, absent from duty or from Malaysia, or for any reason, unable to perform the duties.

An analyst at a local bank-backed brokerage concurred that the bill sought to separate the functions of the chairman of the commission and the CEO.