PETALING JAYA: Citaglobal Bhd has proposed to build a two-gigawatt (GW) solar farm worth RM9.75bil in the state of Pahang.
The company via its units Citaglobal Energy Sdn Bhd, Citaglobal Genetec BESS Sdn Bhd and Citaglobal Powergen Sdn Bhd signed a memorandum of understanding (MoU) with Abu Dhabi Future Energy Company PJSC (Masdar) to undertake renewable energy (RE) projects.
Masdar is the investment vehicle of the government of Abu Dhabi and has been mandated to generate sustainable economic benefits for Abu Dhabi through the development of RE.
Both parties have signed a joint development agreement (JDA) with Tiza Global Sdn Bhd for the project (Project2GW) which will see the construction of ground-mounted solar arrays, floating solar farms and battery energy storage systems (BESS) across multiple sites in suitable land, dams, lakes and offshore perimeters across Pahang.
At this stage, Citaglobal and TIZA will hold a 40% participating equity interest in Project 2GW, with the remaining 60% held by Masdar, where each entity responsible for funding its respective share of the project development cost in proportion to its stake.
In a filing with Bursa Malaysia, Citaglobal noted the development cost of the project will be determined at a later date. Citaglobal’s president Tan Sri Mohamad Norza Zakaria said together with Masdar, the group was confident in making progress towards its climate targets, while meeting Malaysia’s long term energy requirements in a responsible and cost-efficient manner.
Norza added that for the state of Pahang, the benefits of this project will outweigh the cost.
“Besides the obvious economic multiplier effect, the livelihoods of the people of Pahang will be greatly enhanced via social innovations and environmental protection,” he said.
Masdar’s chief executive officer Mohamed Jameel Al Ramahi said with its 17 years of experience, the group wants to help build Malaysia’s RE capacity with this agreement in support of its net-zero targets.