BMI View: We have maintained our 2013 forecast for the Malaysian power sector this quarter. Our fundamental macroeconomic and industry assumptions remain relevant, and we see the possibility for electricity pricing reforms in early-2014. We expect modest economic growth to drive electricity consumption and generation long term, with sector growth to be driven by coal- and gas-fired power, due to resource endowments and limitations. We forecast electricity generation to grow by a modest 6.1% in 2013, with growth originating from thermal and hydropower generation.
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