KUALA LUMPUR: Kinergy Advancement Bhd's (KAB) wholly-owned subsidiary KAB Energy Holdings Bhd has completed the transfer of all the shares in PT Inpola Mitra Elektrindo, which owns a mini-hydropower plant, from the vendors to KAB Energy.
PT IME, which has become a wholly-owned subsidiary of KAB, owns and operates an installed capacity of 11 MW mini-hydropower plant in North Sumatera, Indonesia, under a 20-year Power Purchase Agreement (“PPA”) with PT Perusahaan Listrik Negara (“PLN”), the state-owned electricity company.
The said hydropower plant is operated under a Build-Own-Operate (“BOO”) model, which also allows for potential renewal after the concession ends.
"We are delighted with PT IME being part of the Group for which the incorporation of the mini-hydropower plant will represent a significant new asset class addition to our thriving and diverse SES portfolio that also comprises of Clean Energy Generation and Energy Efficient Solutions.
"Additionally, achieving this milestone also establishes our maiden foothold in Indonesia and marks another pivotal achievement in our Southeast Asia expansion complementing our existing solar presence in Thailand.
"The future consolidation of PT IME’s contributions is expected to further bolster the Group’s earning profile and visibility with a significant and sustained profit contribution over the next 18 years," said KAB exeutive deputy chairman and group managing director Datuk Lai Keng Onn in a statement.
