UEM, Blueleaf ink deal for 500-MW solar hybrid project in Malaysia

Malaysia’s UEM Group Bhd has clinched a deal for the construction of a 500-MW hybrid solar park in its home country in partnership with renewables platform Blueleaf Energy and engineering firm ITRAMAS Corp Sdn Bhd.

The project is the second one to be realised under an existing arrangement made last summer for the deployment of 1 GW hybrid solar power capacity within a renewable energy industrial park in Malaysia. The scheme will be implemented through a joint venture, UEM Group said on Wednesday.

According to the shareholder agreement, UEM’s green energy arm UEM Lestra and Macquarie Asset Management’s portfolio company Blueleaf will hold 51% and 49% in the new entity called Lestra Blueleaf JV Sdn Bhd. The duo has additionally signed a technical partner agreement with ITRAMAS to deliver technical services and handle the engineering, procurement, construction and commissioning works.

The partners intend to approach the government regarding the details of the third-party access (TPA) framework needed for the project to move to the execution phase.

UEM Group and ITRAMAS joined hands for the 1-GW solar hybrid project last summer. “In less than a year of us signing the MoU, we have agreed on all of the terms and signed all of the necessary agreements,” said Dato’ Mohd Izani, chairman of UEM Lestra.

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