KUALA LUMPUR (June 24): Utility giant Tenaga Nasional Bhd (TNB) today inked three large-scale solar (LSS) Photovoltaic Power Purchase Agreements (PPAs) with three special purpose companies (SPCs) to build transmission connected LSS projects, which have a total capacity of 290.88 megawatts of alternating current (MWAC).
The new agreements are in relation to the LSS Phase 3 (LSS3) competitive bidding exercise organised by Suruhanjaya Tenaga in the first quarter of 2019 to develop, among others, the transmission connected LSS projects.
The three SPCs are Cypark Suria Merchang Sdn Bhd, Solarpack Suria Sungai Petani Sdn Bhd, and LSS3 Pekan Sdn Bhd, according to a filing with Bursa Malaysia today.
The first project with a capacity of 100 MWAC, which was awarded to Cypark Suria Merchang — an SPC set up by Cypark Resources Bhd and Impian Bumiria Sdn Bhd — and is located in Marang, Terengganu.
Meanwhile, the second project which has a capacity of 90.88 MWAC, was bagged by Solarpack Suria Sungai Petani that was set up by JKH Renewables Sdn Bhd and Solarpack Asia Sdn Bhd, and is located in Kuala Muda, Kedah.
The final project, which has a capacity of 100 MWAC, which was awarded to LSS3 Pekan Sdn Bhd — set up by Konsortium Beseri Jaya Sdn Bhd and Hanwha Energy Corp Singapore Pte Ltd — is located in Pekan, Pahang.
All three projects’ commercial operation is scheduled to be from Dec 31, 2021.
“Each of the SPCs will design, construct, own, operate and maintain a solar photovoltaic energy generating facility with the approved capacity at its proposed location,” said TNB.
“The PPAs govern the obligations of the parties to sell and purchase the energy generated by the facility for a period of 21 years from the commercial operation date in accordance with the agreed terms and conditions as stipulated in the PPAs,” TNB added.
Shares of TNB closed 14 sen or 1.18% lower at RM11.74, valuing the company at RM66.97 billion.