AirAsia funds Sabah village hydro-power projects
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AirAsia will provide funding for the development of small-scale hydro-power plants for communities in the Malaysian state of Sabah.
The low-cost carrier’s charitable arm, AirAsia Foundation, has awarded a social enterprise grant to Tobpinai Ningkokoton Koburuon Kampong (Tonibung), or ‘Friends for Village Development’ – a Sabah-based organisation which aims to empower indigenous communities.
The MYR58,000 (US$18,700) grant will be used to establish a hire-purchase scheme enabling rural an indigenous community to start their own small-scale village hydro-power project. The initial funding pool will go to the 22 households of Kampung Tiku village, which is not connected to the national power grid. A 10kW turbine will be installed in the village to generate clean, renewable hydro energy for the villagers’ everyday needs.
“AirAsia was founded on the basis of entrepreneurship and as a group, we are strong proponent of using innovative ideas to address business ,” said AirAsia’s group CEO, Tony Fernandes. “We are, therefore, very pleased to fund Tonibung’s micro hydro scheme as it applies these same principles to find ways to sustainably support underprivileged communities. By leveraging on community structures, we also hope to empower communities to make their own decisions in managing available natural resources.”
With this new energy source, the villagers are expected to cut their dependence on kerosene and diesel fuel, reducing their monthly expenses by up to 60% in the first three years, and up to 95% thereafter. The villagers will repay the turbine cost over a period of 36 months.