PETALING JAYA: Malakoff Corporation Bhd’s 80%-owned subsidiary, Malakoff Silver Solar Sdn Bhd, has signed a 21-year solar power purchase agreement (SPPA) with Tenaga Nasional Bhd (TNB) in the development of a 470MW large-scale solar (LSS) facility in Larut and Matang in Perak.
The SPPA formalises Malakoff Silver Solar’s commitment to design, construct, own, operate and maintain the solar photovoltaic facility at Windsor Estate, supplying clean energy to TNB throughout the contract period.
This will be Malaysia’s largest LSS project under the LSS Petra 5+ Programme, aligned with the National Energy Transition Roadmap.
Malakoff Silver Solar is a special-purpose vehicle jointly owned by Malakoff (80%) and Solarvest Holdings Bhd (20%).
The agreement outlines the obligations for energy generation and delivery over the 21-year term, with commercial operations targeted for the first quarter of 2028.
Although the SPPA will not have a material financial impact for the year ending Dec 31, 2025, Malakoff expects long-term earnings contributions once the facility achieves commercial operations.
Malakoff CEO and director of Malakoff Silver Solar Syahrunizam Samsudin said it signals continued progress in Malaysia’s clean energy transition, with Malakoff playing an active role in advancing the nation’s renewable energy (RE) ambitions.
“This agreement represents a major milestone for us. It gives the project the long-term foundation it needs and reflects the confidence placed in Malakoff to deliver Malaysia’s largest LSS development under the LSS Petra 5+ Programme.
“Beyond adding substantial capacity to our RE portfolio, the project supports the country’s wider transition efforts by increasing the availability of green power for the national grid. LSS projects form part of Malakoff’s decarbonisation plan.
“These developments contribute to carbon avoidance and are expected to support a gradual reduction in Malakoff’s overall emissions intensity.
“We see this as an opportunity to demonstrate what responsible and future-focused energy development looks like.
With this SPPA in place, we are well-positioned to move the project into its next phase and ensure that long-term benefits – from lower emissions to the advancement of sustainable energy – can be realised for Malaysians. It also reinforces the importance of having a capable, committed team behind these developments. Their work allows us to take on projects of this scale with clarity and confidence, and that remains central to how we create value for the country.”
The SPPA marks another step in Malakoff’s commitment to supporting Malaysia’s clean energy direction, he said.
