Cahya Mata Sarawak which sought the Court of Appeal hearing to preserve the order issued earlier that allows SESCO to cut the power supply to its Phosphates plant due to payment issues has failed to obtain a stop order.
With the order, Cahya Mata Phosphates Industries Sdn Bhd will see the power to its facility terminated effectively, however, Cahya said the termination will not affect the plant.
This comes from the dispute under the power purchase agreement dated 15 January 2019 to the Asian International Arbitration Centre under the dispute resolution mechanism of the PPA. Phosphates had previously filed an appeal in the Court of Appeal against the High Court’s dismissal of Phosphates’ application for an interim injunction and the Case Management for the appeal has been fixed on 8 August 2023. In the interim, on 30 June 2023, Phosphates filed a Notice of Motion in the Court of Appeal to seek a preservation order to maintain the status quo being the supply of electricity supply, which was fixed on an urgent hearing on 10 July 2023.
In the latest report, Cahya said the Court of Appeal did not grant the preservation order which then led to SESCO terminating the electricity supply to Phosphates’ plant at 12:30 p.m. this afternoon.
