ENGIE Renewable SEA Pte Ltd, in partnership with Conextone Energy Sdn Bhd through their joint venture BKH Solar Sdn Bhd, has signed a 21-year power purchase agreement (PPA) with STMicroelectronics. This agreement will supply solar power to STMicroelectronics from a new solar farm in Bukit Kayu Hitam, Kedah, Malaysia.
The agreement involves the delivery of 50 gigawatt-hours (GWh) of renewable energy annually from a 30-megawatt (MW) solar photovoltaic (PV) plant. ENGIE’s Southeast Asia managing director, Amit Jain, explained that this project contributes to STMicroelectronics’ transition toward fully renewable energy sourcing.
ENGIE and STMicroelectronics have recently been involved in other renewable energy projects. STMicroelectronics has invested in solar installations for its facilities in Morocco, with projects that total around 700 kW of solar PV capacity. In addition, STMicroelectronics has partnered on wind and solar projects in Europe to increase its renewable energy capacity.
ENGIE has also expanded its renewable energy portfolio globally. Recent projects include the 160 MW Western Downs Green Power Hub solar farm in Australia and the 200 MW Tamarugal solar project in Chile. These projects are part of ENGIE’s goal to develop renewable energy infrastructure across different regions.
The long-term supply agreement in Malaysia was established under the Corporate Green Power Program, introduced by the Malaysian Single Buyer in 2023. This program aims to encourage companies to adopt renewable energy through long-term power purchase agreements. This agreement shows Malaysia’s growing focus on renewable energy and provides STMicroelectronics with a sustainable energy source over the 21-year contract period.
