CEO Insights Magazine

In capital-intensive and highly regulated sectors, the role of a Chief Executive Officer extends far beyond operations, requiring strategic vision, technical understanding, stakeholder alignment, and an unwavering commitment to public service. Effective leadership in this space is essential to balancing reliability, affordability, innovation, and sustainability while meeting the evolving expectations of customers and governments alike. At the helm of Sabah Electricity Sdn. Bhd. is Mohd Yaakob Jaafar, a seasoned power sector professional with more than 22 years of experience within the organisation. Yaakob's leadership journey reflects steady progression and deep domain expertise, having risen from a young engineer to Chief Engineer, General Manager, Senior General Manager, and ultimately being appointed Chief Executive Officer in 2022. 

Established in 1998, Sabah Electricity Sdn. Bhd. is a vertically integrated utility company responsible for providing reliable electricity generation, transmission, and distribution services across Sabah and the Federal Territory of Labuan. Under Yaakob’s leadership, the company continues to strengthen its operational capabilities while pursuing modernisation and customer-focused transformation. A proud alumnus of Universiti Teknologi MARA (UiTM), Mohd Yaakob Jaafar represents the university’s legacy of producing industry-ready leaders who contribute meaningfully to national development.

Yaakob’s leadership philosophy is grounded in the value of hands-on experience. His deep operational exposure enables him to make informed, practical decisions that balance technical realities with strategic foresight. Beyond his corporate responsibilities, he has been actively involved as the Branch Chairman for the Institution of Engineers, Malaysia (IEM) Sabah Branch for two consecutive terms, further enriching his understanding of the engineering community and strengthening his commitment to professional excellence.

What motivates Yaakob above all is his responsibility to the people of Sabah. He is driven by the mission to deliver stable, reliable electricity and to uphold the trust placed in Sabah Electricity as a public-serving utility. His career reflects dedication, resilience, and a profound belief in contributing to the betterment of society through engineering leadership.

As a leader in the power utilities sector, what are some of the toughest challenges you have faced? How did you address these roadblocks effectively?

The biggest challenges are tariff affordability and rising generation costs. Our tariff is currently below our actual cost, making us dependent on government subsidies. Additionally, Sabah relies heavily on gas and, on the east coast, expensive diesel generation four to five times higher in cost. Another challenge is our long single transmission line connecting west to east; any failure causes major outages, as seen recently during the landslide. Our teams responded on the ground and carried out the necessary work to restore power. We are also working closely with the government to close the revenue gap.

How has your hands-on understanding of power generation and distribution influenced your decision-making as CEO?

I’ve spent 17 of my 22 years in core operations, across generation, transmission, distribution, and system  operations, so I’ve seen firsthand the challenges on the ground. That hands-on experience shapes how I make decisions every day and plan for the long term. Later, working in regulatory functions and project development gave me a clearer view of how to balance operational realities with compliance and future growth. Combining that technical exposure with managerial insight helps me lead with a broad, practical perspective in this sector.

How are you fostering an innovation mindset within a traditionally conservative utility sector, especially among younger engineering and technical teams?

With a largely young engineering workforce, cultivating innovation has become more seamless. The company actively adopts advanced technologies, including Southeast Asia’s largest 100MW/400MWh Battery Energy Storage System (BESS), completed within nine months. To note, much of the workforce involved in this groundbreaking project are young, driven, and eager to explore and implement new technologies. Apart from this, we also continue to foster close collaboration with universities and engineering institutions, further supports exploration of renewable energy and automation solutions. The younger engineers’ adaptability and enthusiasm for new technology plays a key role in driving this innovative culture forward.

How do you see customer expectations evolving, and what changes must utilities make to remain relevant and trusted?

Customer expectations are shifting toward greater transparency, faster service, and clear communication, particularly during outages. To remain relevant, utilities must leverage AI and digital tools to provide seamless, user-friendly experiences. To meet these expectations, Sabah Electricity is introducing an upgraded mobile application that integrates essential services including billing, payments, outage notifications, and consumption insights into one seamless platform. This initiative enhances transparency, streamlines service delivery, and enables more effective and consistent communication with customers.

What is the next chapter you look forward to in your professional journey?

The next chapter involves transforming Sabah Electricity into a modern, efficient, and customerfocused utility. Recent initiatives include a companywide rebranding, the successful completion of highimpact projects like the 100MW/400MWh Battery Energy Storage System (BESS), and the upcoming launch of an enhanced digital customer platform. Over the next five years, the focus will be on partnering closely with the government to provide comprehensive solutions for electricity challenges. Our goal is not only to strengthen our external brand but also to cultivate a renewed internal culture, with customer centricity at the core and greater efficiency in managing all our operations. 

Mohd Yaakob Jaafar, CEO, Sabah Electricity

Mohd Yaakob Jaafar is a seasoned engineering leader with over 22 years at Sabah Electricity, rising from a young engineer to CEO. He combines deep operational expertise with active community involvement, driving the utility’s focus on reliability, innovation, and customer-centric solutions while transforming Sabah’s power sector for the future.