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Wednesday, July 1, 2026
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Kinergy-led consortium secures turbine supply deal for Perlis CCGT project

KUALA LUMPUR: A consortium led by Kinergy Advancement Bhd signed an equipment supply agreement covering one gas turbine and one generator, marking a significant milestone in the execution of the proposed combined-cycle gas turbine (CCGT) power plant at the former Teknologi Tenaga Perlis Consortium (TTPC) site.

The agreement covers the supply of one 9HA.02 Gas Turbine and one H78 Generator, representing a critical step towards the execution of Phase 1 of the project, which is planned as part of a larger, multi-phase power site transformation with total estimated capacity of up to 1.5 gigawatts (GW).

The completed facility is expected to be among Malaysia’s new gas-fired power plants developed across Peninsular Malaysia to achieve commercial operation before 2030, contributing to the nation’s energy plan to add 6 to 8 gigawatts of gas-fired capacity.

The consortium consists of Kinergy as the lead member, alongside Sirage Holdings Sdn Bhd and B.Grimm Power, a leading and highly diversified power and energy company in Asean.

The formalisation of the supply agreement signals the consortium’s readiness to progress from development planning into execution preparation for a next-generation national-scale CCGT facility.

This strategic alliance unites robust capabilities and demonstrates how both groups translate their technical expertise into a landmark independent power producer (IPP) asset, positioning Kinergy’s entry into the IPP landscape and B.Grimm’s first IPP venture in Malaysia.

The project is being developed on a brownfield site that previously hosted a 650MW CCGT power plant, which was decommissioned in 2024 following the expiry of its power purchase arrangement.

Secured in 2025, the TTPC site provides Kinergy with existing transmission interconnection, gas supply infrastructure, and water facilities, offering a development-ready platform that significantly shortens execution timelines compared to greenfield developments.

Kinergy’s role as lead consortium member reflects its evolution from an engineering contractor into a project developer with end-to-end oversight across power plant development, execution, and long-term operations.

The group brings to the consortium a proven thermal power track record, anchored by its role as Petronas Gas Bhd’s local technical partner and main EPCC contractor for the 72MW Sipitang Oil & Gas Industrial Park gas engine power plant and the 120MW Labuan gas engine power plant led by Rancha Power Sdn Bhd.

With the supply agreement in place, the consortium has reached an important execution milestone that underpins Phase 1 planning and procurement activities.

Kinergy expects this development to support value creation during the construction phase while establishing a strong foundation for future large-scale power projects.

Once completed, the new Perlis CCGT facility is expected to rank among Malaysia’s major modern gas-fired power plants and to serve as a platform for Kinergy’s longer-term participation in national and regional power infrastructure developments.

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