Kejuruteraan Asastera Berhad (KAB), a Malaysian electrical and mechanical engineering company has entered into 20-year solar power purchase agreements (PPA) with Nextgreen Pulp and Paper Sdn. Bhd. (Nextgreen), a subsidiary of Nextgreen Global Berhad, to strengthen its Sustainable Energy Solutions (SES) division. Nextgreen is a Malaysia-based investment holding company
KAB signed two PPAs with Nextgreen through its wholly owned company KAB Core Connect O&M Services Sdn Bhd to design, build, install, own, operate, and maintain solar PV systems with a combined capacity of 3,387 kWp on the roofs of various production facilities and buildings at the latter’s Green Technology Park in Pekan, Pahang. Additionally, Nextgreen will buy the electricity produced by solar PV.
The two phases of installation for the solar PV systems will have installed capacities of 2,507 kWp and 880 kWp, respectively. If the PPAs are completed within nine months of the installation’s start date, they should help KAB’s financial performance in 2023.
The launch of the solar PV project catalyzes for Nextgreen’s initiative to create a sustainable industrial zone with zero waste and integrate renewable energy into its daily operations. Over the next 20 years, the solar PV installations will save 88,789-megawatt hours (MWh) of energy and 51,942 metric tonnes of carbon dioxide equivalents (tCO2e).
According to Dato’ Lai Keng Onn, Managing Director of Kejuruteraan Asastera Berhad, “The solar PV contracts with Nextgreen are created to support its aim of developing a green economy and improve the energy efficiency and sustainability of its industrial processes. Furthermore, as Nextgreen develops its sustainable Green Technology Park, we look forward to furthering partnerships to offer a larger spectrum of SES expertise. This will allow us to participate as an integrated solutions provider to Nextgreen’s ground-breaking strategy to integrate renewable energy and zero-waste technology for sustainable companies in Malaysia.”
With a total installed capacity of 12,931 kWp and 11 active solar PV contracts in Malaysia and Thailand, KAB’s SES division also has cogeneration and waste-heat recovery facilities.
