Monday, April 2, 2012

Cypark and TNB signed Renewable Energy Power Purchase Agreement

Cypark Resources Berhad is one of the earlier takers of the RE quota made available by the federal government under the Renewable Energy Act 2011. 

Through this Act, the government formed Sustainable Energy Development Authority of Malaysia (SEDA Malaysia), a statutory body that administers and manages the implementation of the feed-in tariff (FiT) mechanism. Four renewable energy sources covered by this Act are Biogas, Biomass, Small Hydro and Solar PV.

I understand that another winning bidder of the non-individual category is Sabah Energy Corporation (SEC) in a joint-venture exercise with Sabah Electricity Sdn Bhd (SESB), a subsidiary of Tenaga National Berhad. The JV secured but all the available quota for the state of Sabah. Not very healthy for a noble intention to get more Corporations involve in reaping the benefit of the FiT.

Cypark's initiative can be seen moving aggressively; refer to the following images. We are yet to hear where and when is the JV of SEC-SESB going to start.

Dec 2011 file pix of Cypark's solar plant under construction, next to the Pajam landfil.
Image by The Star Online

Cypark's solar farm - Image by The Edge Malaysia


The rest of the news:

As reported by Business Times on 30-3-2012, environmental engineering and renewable energy specialist Cypark Resources Berhad, via two wholly-owned subsidiaries, has signed the renewable energy power purchase agreement (REPPA) with Tenaga Nasional Bhd (TNB) for a FiT concession period of 21 years.

The deal sealed by Cypark Suria (Pajam) Sdn Bhd and Cypark Suria (Negeri Sembilan) Sdn Bhd is for electricity generated from the parent company's 8MW solar park in Pajam, Negri Sembilan.With the deal signed under the Renewable Energy (RE) Act 2011, Cypark can sell its solar energy to TNB grid starting from March 28 this year.

"Cypark will start receiving payment from TNB within 21 days after monthly billing is issued. The total green energy sales from the 8MW solar plant is about RM11 million annually," Cypark group chief executive Daud Ahmad said in a statement.

He said Cypark is now focusing its effort in building other new solar projects in four states, with targeted additional solar power installed capacity of 25MW by year-end.

Starting from year 2013, Cypark expects to generate annual combined revenue of up to RM45 million from the implementation of 33MW solar farms alone and the revenue will be recurring until year 2033. Cypark's Pajam solar park, identified under Economic Transformation Programme, is part of the 15MW integrated renewable energy park project undertaken by the Main-Board listed company.

3 comments:

tehr said...

Moga2 terus lancar semua kerja solar macam ni
Dan harap bekalan juga lebih murah nanti
Hehehe

thomas said...

wow!This is the way to go,Go Green!

de engineur said...

Negeri Sembilan provides the right infrastructure (or at the least they support the initiative) and investors would respond in the best possible manner.

Way to go N9!