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Malayan Federation showcase models to finance infrastructure in Asia! [Copy link] 中文

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Post time 2010-11-25 11:13:49 |Display all floors
It does seem the Malayan model (copied from models created by the Thatcher administration in the UK) can show the under developed states in Asia, the way to finance effective infrastructure. A system first developed during the Mahathir Administration is rather interesting and cost effective!

The IPP's or independent power producers in the Malayan Federation electricity industry!
In 1986, during the "assembly industrial relocation" boom caused by the Japanese Yen Endeka!
In those recessionary times, the Malayan Federal Government was hard pressed to raise money needed to expand the electricity capacity, which spiked!

The reorganization of the electricity production and distribution sector, open up the sector to private enterprise and cash!

Tenaga Berhad was soon reorganized, and split into a Production, and Distribution company!
With the new organization, new revenue merchants could enter the industry. This paved way for the political influential companies to invest in ELECTRIC POWER PLANTS. Initially it was YTL power Berhad which rebuilt the Paka Power Station in Terengganu. Later Powertek Berhad rebuilt and expanded the Tanjung Kling Power Station before Genting Berhad, and MMC Berhad came into the picture.

The national utility also has it's own Electricity generation company, Jana Tenaga Berhad - which operated in a competitive fashion versus the private sector. Bigger range of fuels were introduced as a result, including coal, LNG and in the future, probably nuclear as well!

The latest projects, to developed hydropower, was continued by Sime Darby Berhad - alas, the plantation mega company lacked the experienced in conducting Cost Control - was caught in the spiraling energy, steel cost - and had to exit the industry back to the Sarawak Electric Board Berhad!

The same model now seems to be seeping into the Telco industry!

Cheerios!

Green DRagon
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Post time 2010-11-25 11:33:49 |Display all floors

The Telco-Video-Data convergence, Fixed line or Wireless!

With the massive technological developments, high speed changes in the industry. A similar trend is developing in the Malayan Federation Telecom industry. It's showing an elegant way now to finance, develop leading edge infrastructure, giving the industry an edge and flexibility to adjust to the trends, technological breakthroughs!

In the old day, Telekom Malaysia Berhad was developed to provide a comprehensive communication company based on the simple Telegram, and later Fixed Line Telephony! It was a simple "Voice" transmission enterprise!

Then came beeper, Fascimile, Computers, Wireless Mobile phone, broadband, Wimax and now Convergence Voice, Video, DataTechnologies!

As happen in the Electricity Generation industry, The Telco industry is slowly evolving into a massive flexible, technological adaptable organization! The Telecom industry now has 4 major Distribution-Retail enterprises. In Malaya, it's the Fixed line monopoly of the original Telekom Berhad. In it's wake, it has created 3 big retail enterprises in form of Axiata Berhad, Digi Berhad and Maxis Berhad!

The 4 marketing company now has national coverage and can provide cost plus services to the Malayan consumers!

(Take Note,Even Singapore has copied the Malayan model - as it soon became obvious, that it's a much more COST EFFECTIVE system - Malayan telco subcribers probably pays one of the lowest rates in the world for Telco services! And it does seem some of China's infrastructure developments also has roots in the same Thatcher and Mahathir Administration innovation!)

Comes in more Private Enterprise contractors in Malayan Federation!
Time Telekom Berhad does the contract fiber optic data transmission systems, while Red Tone Berhad, Green Packet Berhad does the same in the Wimax sector! Each enterprise now has revenue of around Rmb 180 to Rmb260 million a year, but the infrastructure investment was in the region of Rmb 7 billion.

Now comes the cost of the 4G mobile convergence telco system.
There is 12 million mobile phone subscribers in the Federation. To invest in infrastructure to service 300,000 units required an investment by YTL Telecoms Berhad a total of  Rmb 5 billion. Imagine the cost of providing infrastructure to all the 12 million subscribers would be Rmb 200 billion! - a massive amount for a small "China province size" nation of 28 million people!

We watch how the industry adjust in the most cost effective manner, using the rich revenue merchants!

cheerios!

Green DRagon
Game Master

[ Last edited by greendragon at 2010-11-25 12:23 PM ]

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Post time 2010-11-26 10:50:28 |Display all floors

China 3G system only support 36 million odd subscriber!

Reforming the system and encourage revenue merchants to invest in new systems, would create financial efficiency and helping bringing the "good life" to more Chinese citizens at the lowest possible cost! I think in Malaya, the penetration is more than 6 million in 3G, while the rest in the old 2G as in prepaid phones!

Just looking at the Malayan Federation model, one would be impressed that only FINANCIALLY STRONG groups can tolerate only 10% revenue flow from it's investments! (but tsk tsk, it's better than the 2% to 3% interest rates on bonds!)

Efficient use of capital, benefits the citizens of the state!

cheerios!

Green DRagon
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Post time 2010-11-26 10:57:53 |Display all floors

The Malayan model, while started off as reforms in the Thatcher administration

..............in the UK has spread beyond our shore, to even the world capitalist capital - the American Empire!  

The Malayan Electric production system now is probably the most efficient system in the world. With the National Distribution/Retail in the hands of Tenaga Berhad, small Independent power operators gains much needed efficiencies is able to se-ll their excess production!

This has allow the creation of many Co Generation Electricity units using biomass, especially in Malaya's massive oleo plantations, It has also allowed for Household PV to se-ll or bu-y energy on their expensive investments in Solar Electric generation!

It's the new developing industry of DISTRICT UTILITIES that will be made possible by all these innovation - heck, getting hot, chill water, plus electricity from the latest most efficient systems is a DREAM GAME for the Malayan industry! At very competitive rates.

cheerios!

Green DRagon
Game Master

[ Last edited by greendragon at 2010-11-26 10:59 AM ]

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Post time 2010-11-29 11:31:35 |Display all floors

There is even an opportunity to create a giant

..........material moving system on China coming exclusive double tracked. electrified rail system.

This could be use of TRAFFIC CONTROL ROOM, cheap 4G-massive data flow system, and building cheaper than US$10,000 a container moving platform via the use of cheap components from the automobile, computer industry in China!

ha ha ha

cool isn't it!
Everything coming into apparent place!
Wonder whether it will work well and cheaply!

cheerios!

Green DRagon
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Post time 2010-12-2 12:07:04 |Display all floors

We estimate Revenue Merchants in Malaya

........has a cash haul of almost Rmb500 billion!

What better way to develop the state than to encourage the investment of such monies in the infrastructure of the state! The Malayan model helps to distribute the cost of the developing the federation!

cheerios!

Green DRagon
Game Master

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Post time 2010-12-6 12:14:44 |Display all floors

Imagine the difficulties of creating efficiencies!

Revenue merchants would consider VIABILITY, capability of existing technology before investing!

Politicians in charge of State Properties, makes decisions based on pressure from the citizen groupings! This often results in inefficient government spending, poor use of resources, bloated work forces, and expensive services! If Revenue Merchants runs a tyranical government, without protest by the workers, landed farmer class - profit margins will be MAXIMIZED and hampers buying power, the underclass, quality of life of workers, landed farmer class!
(I am sure you have heard of states in the world with expensive telco, utilities, transport charges all over the world? or bloated, without capital to re invest)

Revenue Merchants or created MUTUALS of the middle class or the middle income workers, or Provident funds of workers - could finance various infrastructure projects too!

cheerios!

Green DRagon
Game Master

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