Sabah opens to credible investment and constructive partnerships
KOTA KINABALU: The State Government remained open to credible investment and constructive partnerships that support Sabah’s development priorities, said Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor.
“Openness, however, must always go together with due diligence and responsible decisionmaking,” he said at the Memoranda of Understanding (MoUs) signing ceremony for the proposed establishment of Sabah’s first Artificial Intelligence Data Centre (AIDC) at the Sheraton Hotel here on Thursday night.
Deputy Chief Minister II/Finance Minister Datuk Seri Panglima Masidi Manjun delivered his speech.
Congratulating North AIDC Sdn Bhd for sealing the MoUs with several global partners, the Chief Minister said bringing together partners from different fields and countries is an encouraging first step.
“The real measure of progress, however, will be what follows the signing: careful planning, proper assessment and meaningful results for Sabah,” he said.
He made it clear that any investment proposal of this nature remained subject to strict appraisal by the relevant government agencies.
“Its technical and financial viability must be established, all applicable requirements must be met, and it must be consistent with the State Government’s policies, development priorities and the wider public interest.
“An MoU is a statement of intention; it is not, by itself, a government approval. No proposal, however promising, can be exempted from proper scrutiny,” he said.
Hajiji said that for a proposed data centre, such scrutiny must include credible assessments of electricity demand and supply, water availability, cooling technology, environmental safeguards, land use and connectivity
.“The project proponents will need to work closely with the responsible authorities and utility providers. We welcome new opportunities, but not at the expense of reliable essential services for Sabahans.
“We should also consider what the project can mean for our people. Construction may create opportunities for Sabahan firms in engineering, civil works, telecommunications, logistics and support services.
“Once operational, modern data centres generally employ comparatively small, highly skilled teams. That makes local procurement, specialist training, technology transfer and opportunities for Sabah-based companies all the more important,” he said.
Hajiji also encouraged proponents to build local participation into their plans from the outset, including opportunities for Sabahan contractors, partnerships with universities and technical institutions, apprenticeships for young people, and pathways for local firms to develop new capabilities.
“We should judge the value of any proposal by the benefits it can demonstrate and sustain, not by the scale of an announcement,” he said.
Hajiji said artificial intelligence and cloud computing are changing how businesses operate, services are delivered, and people work.
“Sabah has every reason to explore opportunities in this growing field. We want our young people, local businesses and institutions to have a place in the digital economy, rather than merely observe its progress elsewhere.
“At the same time, our aspirations must remain grounded in the realities faced by our people. In parts of Sabah, households and businesses are still looking forward to more reliable electricity, clean water and better connectivity.
“These are important priorities in their own right. They are also the foundations upon which a competitive digital economy must be built,” he said.
To this end, he said a data centre makes the connection between basic infrastructures and digital economy especially clear.
Hajiji said such facilities depend on stable electricity, dependable connectivity and well-managed cooling and water systems, therefore, these requirements must be considered alongside those of our homes, public services and existing industries.
“A modern digital economy should strengthen Sabah’s infrastructure, not place unnecessary pressure upon it,” he said.
Hajiji said Sabah can learn from the experience of other states, including Johor, where growing interest in data centres has brought opportunities as well as questions about utilities, environmental management and nearby communities.
“Sabah has the advantage of being able to anticipate these considerations early and plan in a way that suits our own circumstances,” he said.
“I wish North AIDC Managing Director Datuk Chua Soon Ping, the North AIDC team and all participating partners well as they work through the necessary assessments and take the next steps.
“May tonight’s signing lead to practical cooperation and lasting benefits for Sabah and its people,” he said.
