Three parties – UEM Group Berhad through UEM Lestra Berhad, along with HEXA Renewables Malaysia Sdn Bhd and ITRAMAS Corporation Sdn Bhd – together announced they have made progress to develop a one-gigawatt (1GW) hybrid solar power plant. The announcement of the 1GW plant was made back in July 2023 and will be located at a renewable energy industrial park.
The first step of the full realisation of the plant is the announcement of a 500-megawatt(MW) hybrid solar power plant, which will be located in Segamat, Johor. Part of the National Energy Transition Roadmap (NETR), the 1GW plant is a key flagship venture of the roadmap.
Present and signing on behalf of UEM Lestra was its Chairman and Managing Director of UEM Group, Dato’ Mohd Izani Ghani while HEXA Renewables was represented by its CEO, Vince Choi and ITRAMAS by its Group Managing Director, Lee Choo Boo.
Dato’ Mohd Izani said, “We’re off to a good start in realising this strategic and high-value national flagship energy transition project. In addition to formalising our partnerships with HEXA Renewables and ITRAMAS, we have also secured a suitable land in Segamat, Johor that will house the 500MW hybrid solar power plant. In addition, we will be working with the Government on the details of the Third Party Access (TPA) framework that will enable this project to go live.”
The project has attracted several foreign investors, including Blueleaf Energy, China Machinery Engineering Wuxi Co. Ltd, and Hexa Renewables. The investors are in discussion on the participation through multiple potential roles including collaborating on project development, financing (including equity investments) and commercialisation (including offtake of green electricity).
In regard to the roles of the three companies, EM Lestra and HEXA Renewables will form a joint venture company (JV) known as, Lestra Hexa JV Sdn Bhd, an entity that is 51%-owned by UEM Lestra and the remaining 49% by HEXA Renewables to manage the development. Meanwhile, ITRAMAS, Malaysia’s largest vertically integrated solar plant developer, will provide technical services in developing a complete EPCC (Engineering, Procurement, Construction, and Commissioning) package for Lestra Hexa JV.
When asked about the remaining 500MW, Dato’ Mohd Izani added that discussions between UEM Lestra and its other partners are ongoing, and an update will be provided soon.
