Citaglobal: The Chereh Dam floating solar project in Pahang could help Malaysia develop renewable energy expertise that can be exported to other markets, Citaglobal Berhad executive chairman and president Tan Sri Mohamad Norza Zakaria said. He noted that the project, developed in collaboration with Abu Dhabi Future Energy Company (Masdar), a UAE state-owned renewable energy firm, will allow Citaglobal to leverage Masdar's experience in technology, project financing, and large-scale project management.
According to BERNAMA News Agency, Mohamad Norza emphasized the strategic importance of the project as Malaysia seeks to establish itself as a renewable energy hub for ASEAN. The project supports the government's National Energy Transition Roadmap. He highlighted Masdar's successful floating solar projects in Indonesia, which provide continuity and confidence for the Malaysian initiative. Floating solar, being a niche technology, offers Citaglobal valuable exposure and learning opportunities.
Mohamad Norza also mentioned the significant financial commitment involved due to the project's scale. The long-term power purchase agreement with Tenaga Nasional Bhd provides revenue certainty and strengthens the project's economic fundamentals. The 200-megawatt floating solar photovoltaic project at Chereh Dam is Masdar's first renewable energy project in Malaysia and is poised to become Southeast Asia's largest floating solar facility once operational. The project is being developed by a consortium led by Masdar, Citaglobal, and Tiza Global Sdn Bhd under a power purchase agreement with Tenaga Nasional.
Meanwhile, Masdar head of business development (Asia-Pacific) Fatima Al Suwaidi remarked that Malaysia is a strategic growth market as the company expands its renewable energy portfolio in Southeast Asia. She noted the company's target of reaching 100 gigawatts of renewable capacity by 2030, identifying strong growth markets such as Malaysia, Indonesia, and the Philippines. Malaysia's openness to foreign investment and new regulations supporting renewable deployment and grid stability were key considerations for long-term investments.
Fatima highlighted that floating solar is particularly attractive for land-scarce countries, including Malaysia, Indonesia, the Philippines, Thailand, and Vietnam. Land availability is often limited and prioritized for agriculture, making the use of existing water bodies like dams more environmentally responsible. Floating solar can improve generation efficiency due to the cooling effect of water, enhancing panel performance.
She pointed out that while Malaysia has hybrid floating and land-based solar projects, the Chereh Dam facility will be the first fully floating solar project of its kind in the country. This project will showcase Malaysia's capability to deliver large-scale renewable energy projects using innovative technologies such as floating solar. Fatima added that the Chereh Dam project marks the beginning of Masdar's long-term presence in Malaysia, with plans to deepen partnerships and expand its renewable energy footprint. Masdar also plans to establish an office in Kuala Lumpur in the second half of the year.