PETALING JAYA: Tenaga Nasional Bhd (TNB) has secured RM339mil financing for its first large-scale solar project in Malaysia, located on 97ha in Kuala Langat, Selangor.
The national utility firm said in a statement that its unit, TNB Sepang Solar Sdn Bhd (TSS), had together with Affin Islamic Bank Bhd achieved financial close for financing the project.
Affin Islamic will be providing funding and working capital requirements for the said project up to RM339mil.
TSS was one of the seven successful bidders chosen by the Energy Commission last year to develop the transmission-connected, large-scale solar project.
The 21-year solar power purchase agreement for the project was inked in early March between TNB and TSS, whereby TSS would supply electricity to TNB.
Once completed and fully operational by November 2018, TSS’ project in Mukim Tanjung 12 will become the country’s largest solar farm, generating and transmitting 50MW of electricity to the national grid.
TNB vice president (energy ventures) Datuk Nor Azman Mufti described the project as a booster to TNB’s aspiration in championing renewable energy (RE) in Malaysia.
“As many utility companies around the world are shifting towards RE, TNB also aspires to be the Asean leader in RE by 2025,” he added.
Affin Bank managing director and chief executive officer Kamarul Ariffin Mohd Jamil said the Affin Bank group was proud to be partnering with TNB and TSS in embracing the government’s initiatives to pursue the greater energy sustainability project.