UEM Lestra, Blueleaf Energy and Itramas Ink Agreement to Develop 500MW Hybrid Solar Power Plant

Malaysia’s UEM Group Berhad (UEM Group) through its wholly-owned subsidiary and green industry arm, UEM Lestra Berhad (UEM Lestra), has signed an agreement to develop a 500-megawatt (500 MW) hybrid solar power plant with Blueleaf Energy, a leading green renewable energy platform, and ITRAMAS Corporation Sdn Bhd (ITRAMAS).  

This will be the second such project to be developed by UEM Lestra and its partners as part of the one-gigawatt (1 GW) hybrid solar power plant flagship venture under the National Energy Transition Roadmap (NETR) announced by the Malaysian Government in July 2023.

UEM Lestra, through their partnership with Blueleaf Energy, a Macquarie Asset Management portfolio company, and ITRAMAS, has made significant strides in the development of the one-gigawatt (1GW) hybrid solar power plant including site identification, strategic offtake and commercialization partnership discussions, and technical project specifications.

The parties will work together with the government on the details of the third-party access (TPA) framework that will be required for the project to move to the execution phase.

Following the signing of the MoU in July of 2023, the following agreements were signed today which will see the companies working together to develop the 500 MW hybrid solar power plant. The first, a shareholders’ agreement signed by UEM Lestra and Blueleaf Energy, establishes a joint venture company named Lestra Blueleaf JV Sdn Bhd (Lestra Blueleaf JV), with 51% ownership by UEM Lestra and the remaining 49% by Blueleaf Energy.

The second is a technical partner agreement signed between the Lestra Blueleaf JV and ITRAMAS which will see the latter provide technical services in developing a complete EPCC (Engineering, Procurement, Construction and Commissioning) package.

Raghuram Natarajan, CEO of Blueleaf Energy, commented: “Together with other NETR initiatives, this project is poised to enhance green economic activity, create local supply chain ecosystems, and propel Malaysia to become a leader in ASEAN’s decarbonization efforts and energy transition. We look forward to positively contributing towards Malaysia achieving its renewable energy targets and accelerating its net-zero journey.”