Tenaga to pay $990M more for power generation after gas shortage

Malaysia's Tenaga Nasional expects to pay 3 billion ringgit or $990.6 million in extra costs for power generation this year if the current gas shortage is not resolved, reports Reuters.

Last month, local media reported that Malaysia's power plants were facing a prolonged gas shortage, denting profits for Tenaga Nasional which has to buy more expensive fuel distillates to keep generating electricity.

Tenaga bought 130,000 tonnes of fuel oil in August -- the third time it has bough large volumes this year at higher price levels, traders have said.