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KUALA LUMPUR: Southern Cable Group Berhad has secured a RM18.5mil contract from Tenaga Nasional Berhad (TNB) for the supply of underground cables and conductors.

The new contract is for a period of 6 months from October 2021, the company said in a statement today.

“This latest contract award from TNB, to whom we have supplied power cables and wires for more than 16 years, highlights the continued growth for new cables and wires to support the nation’s increasing energy requirements," managing director Tung Eng Hai said.

"Not only that, we expect new infrastructure and development projects under the upcoming Budget 2022 to be a catalyst to propel the need for cables and wires," he added.

In the 12th Malaysia Plan, the Government announced various measures to improve the electricity subsector, including increasing the installed capacity of renewable energy generation from 22.4% in 2020 to 31% by 2025.

“In the near term, we are expecting higher orders from the solar power industry, as more projects such as the Large Scale Solar 4 scheme commence," Tung said.