17/09/2026

BIZ & FINANCE THURSDAY | SEPT 17, 2026

15

It pays to view flooring as long-term investment

UUE eyes large-scale power grid projects via joint venture with EGP Singapore JOHOR BAHRU: UUE Holdings Bhd, a provider of underground utilities engineering solutions, is expanding into the high-barrier extra-high-voltage (EHV) and high-voltage (HV) substation engineering segment through a joint venture (JV) with Singapore based electrical infrastructure solutions provider EGP Infrastructure Investments Pte Ltd (EGPII). In a statement, UUE said its wholly owned subsidiary, Kum Fatt Engineering Sdn Bhd (KFE), had entered into an agreement with EGPII to form a JV company in Malaysia. KFE will hold a 40% equity stake in the JV company, while the remaining 60% will be held by EGPII. “The JV company will provide turnkey power grid infrastructure solutions, combining EGPII’s project design, technical, supply and installation, testing and commissioning capabilities for electrical equipment ranging from 132 kilovolts (kV) to 400kV in Singapore – equivalent to the 500kV transmission voltage level in Malaysia – with UUE’s local underground utilities engineering expertise, civil execution capabilities and regulatory coordination experience,” it said. The electrical equipment and materials will cover power transformers, switchgears, cables and associated accessories. UUE managing director Datuk Dr Ting Kok Hwa said the partnership marked a transformative milestone for the group as it moved up the value chain into EHV and HV transmission infrastructure of up to 500kV, complementing its established capabilities in underground power distribution networks. With EGP Energy Group’s established EHV systems integration expertise, UUE will be well positioned to pursue larger-scale power grid infrastructure projects, he said. “Malaysia’s power grid was undergoing an intensive modernisation cycle, supported by growing electricity demand from data centres, industrial expansion and Tenaga Nasional Bhd’s investments under Regulatory Period 4. “Through the partnership, we aim to offer national utilities and hyperscale data centre developers an integrated, locally supported and technically advanced turnkey substation solution provider,” he said. EGP Energy executive chairman and CEO Frankie Fan said the JV marked an important first step in the group’s overseas expansion, in line with its geographical expansion strategy outlined at the time of its listing on the Singapore Exchange. He noted that Malaysia’s grid investment cycle is entering a period of sustained growth. By partnering with Kum Fatt, EGP Energy gained an established local partner with relevant market knowledge and project experience in Malaysia, while it brought the EHV and HV systems-integration expertise and track record it had built up in Singapore over more than three decades, Fan said. – Bernama reached mutual agreement on initiatives relating to the promotion of the use of local currencies in eligible cross-border transactions. This cooperation will be enhanced through information sharing and periodical discussions between the Japanese and the Malaysian authorities,” it said. The central bank said this collaboration marked a key milestone in strengthening bilateral financial cooperation between Japan and Malaysia. “The authorities believe that it will positively contribute to closer trade and investment ties between the two countries,” it added. – Bernama

PETALING JAYA: Flooring failures may be costing Malaysian businesses far more than maintenance expenditure alone, with nearly two-thirds (62.8%) of businesses surveyed reporting operational disruption as a result of flooring issues, according to Nippon Paint. The Industrial Flooring Performance and Business Impact Survey, involving 129 respondents across manufacturing, logistics, food and beverage processing, healthcare and pharmaceutical, retail and other operational environments, points to three significant business concerns – 62.8% experienced operational disruption due to flooring issues, 51.2% saw flooring problems recur after repair or rectification, while 48.9% are definitely or likely planning an upgrade, replacement or major repair within the next 24 months. The findings suggest that what is often treated as a facilities or maintenance issue can have much wider implications for business continuity, affecting productivity, operating costs, worker safety and regulatory compliance. “Industrial flooring is quite literally the foundation on which many businesses operate, yet its performance is rarely considered from a business continuity perspective until something goes wrong,” said Nippon Paint Malaysia general manager Tay Sze Tuck. “When a floor fails in a production line, warehouse, clean room or food-processing environment, the consequence is not simply the cost of repairing the surface. Businesses may have to stop operations, redirect workflows and manage safety, hygiene or compliance risks. Industrial flooring should therefore be viewed as operational infrastructure, rather than simply a finishing specification.” Nearly half (46.5%) of respondents reported direct flooring-related repair or rectification expenditure exceeding RM50,000. More significantly, nearly one in five (18.6%) reported spending more than RM500,000, including 8.5% who reported costs exceeding RM1 million. Yet direct repair expenditure represents only one component of the potential cost to a business. Production efficiency and workflow were the most commonly reported business impact, cited by 45% of respondents, followed by cleaning and hygiene management (41.9%), worker safety (40.3%) and audit and compliance performance (38.8%). Taken together, the findings point towards a broader way of assessing flooring performance. disruptions due to flooring issues: Nippon Paint survey o Nearly two-thirds of Malaysian businesses have reported operational

When a floor fails in a production line, warehouse, clean room or food-processing environment, the consequence is not simply the cost of repairing the surface.

to chemical exposure, hygiene requirements and electrostatic discharge controls in specialised environments. Against this backdrop, 48.9% of respondents said they are definitely or likely planning a flooring upgrade, replacement or major repair within the next 24 months. Importantly, businesses appear to be assessing these investments against operational outcomes rather than aesthetics alone. When asked what would most strongly justify upgrading to a better flooring system, the leading consideration was less downtime during operations (48.8%), followed by better durability and lifespan (46.5%) and stronger audit and compliance confidence (46.5%). The findings point to a need for businesses to rethink industrial flooring as a long-term operational investment rather than a reactive maintenance expense. The survey shows that when flooring fails, the consequences can extend from recurring repair costs to downtime, productivity, safety and compliance. Unfortunately, in many cases, these issues could have been reduced or prevented with a more suitable flooring system from the outset. For Nippon Paint Malaysia, this means looking beyond the immediate cost of installation or repair and considering how the flooring system will perform over its lifecycle and under the actual demands of the facility. Through the Nippon Paint Floorshield industrial flooring solutions, Nippon Paint caters to the differing performance requirements of industrial and commercial environments, with solutions suited to facilities ranging from production, logistics and chemical plants to automotive and aviation facilities, data centres, electronics plants, food processing facilities and cold storage.

Rather than looking solely at the upfront cost of installation or individual repair bills, businesses may need to consider the total cost of flooring failure, encompassing rectification expenditure, operational downtime, productivity losses, and the possibility of repeated intervention. This is particularly significant given that 31% of respondents experienced significant down time due to flooring issues, while another 31.8% reported minor disruption. Repairing a flooring problem does not necessarily bring the issue to an end. More than half (51.2%) of respondents said flooring issues had recurred at least once following repair or rectification, while 34.1% said their flooring problems required multiple repair attempts. “This creates a repair-repeat cycle where organisations can end up spending repeatedly on the same asset while continuing to absorb operational disruption,” Tay said. “For business leaders, the question should therefore not only be, ‘How much will this repair cost?’ but ‘What is the total cost to the business if the problem happens again?’ A lower upfront cost does not necessarily translate into a lower lifecycle cost if businesses face repeated repairs and disruption.” The survey also indicates that businesses are increasingly recognising the importance of matching flooring systems to their actual operating environments. More than half (57.3%) of respondents believed their flooring issues could definitely or possibly have been reduced or prevented with a more suitable flooring system from the outset. Different operating environments can place vastly different demands on a flooring system – from heavy vehicle movements and mechanical loading in logistics and manufacturing facilities,

Japan, Malaysia sign third bilateral swap arrangement KUALA LUMPUR: Japan and Malaysia have signed the third bilateral swap arrangement (BSA) with a maximum swap amount of US$6 billion (RM24.5 billion) effective Sept 18.

The agreement was signed between the Bank of Japan (BOJ), acting as agent for the Minister of Finance of Japan, and Bank Negara Malaysia (BNM), the central bank said in a statement. “Japan and Malaysia agree that the BSA will further deepen financial cooperation between the two countries and enhance regional financial stability,” it added. The BSA is a bilateral agreement that allows both parties to exchange their respective

currencies for US dollar and the arrangement also allows BNM to exchange Malaysia’s ringgit for Japan’s yen. In a separate statement, BNM said it has signed a memorandum of cooperation (MoC)

with Japan’s Finance Ministry to initiate a framework of cooperation to promote the settlement of trade and investment in local currencies. “Under the MoC, both authorities have