Google to Purchase Electricity from Solar Power Development in Kedah
KUALA LUMPUR, Dec 15 – Google has signed an agreement to purchase electricity from a new utility-scale solar project in Gurun, Kedah. The initiative forms part of the Google Power Purchase Agreement, led by a consortium headed by Japan-based renewable energy developer Shizen Energy Group.
The agreement highlights Malaysia’s growing role in the regional renewable energy market. It also reflects increasing cooperation between international developers and local partners to expand sustainable energy infrastructure. The project aligns with Malaysia’s clean energy objectives while maintaining minimal impact on surrounding infrastructure and traffic conditions.
Google Power Purchase Agreement Development Progress and Stakeholders Involved in the Solar Project
The solar facility will have a generation capacity of 29.99 megawatts. The project recently reached financial close with financing support from United Overseas Bank (UOB) Malaysia. Shizen Energy Group confirmed that commercial operations are scheduled to begin in 2027.
SM01 Sdn Bhd, a special purpose vehicle, owns and manages the development. Shizen Malaysia holds a 49% stake, while Solarvest Holdings Bhd owns 33% and HSS Engineers Bhd holds the remaining 18%. UOB Malaysia serves as the mandated lead arranger and sole lender for the project financing.
Official Statements and Roles of Local and Regional Partners
Shizen Energy stated that close cooperation with Malaysian partners has played a key role in advancing the project. Reza Ikram, CEO of Shizen Malaysia, said the progress reflects strong collaboration with Solarvest and HSS Engineers, supported by Malaysian government and state agencies.
Meanwhile, Kawado Kenji, CEO of Shizen International, described Malaysia as a strategic market within the company’s Southeast Asian expansion plan. He added that Shizen Energy aims to strengthen its regional presence through similar partnerships.
Public and Industry Response to the Green Energy Initiative
Industry observers view the project as part of a broader trend among multinational companies investing in Malaysia’s renewable energy sector. Shizen Energy already supplies clean electricity to corporate clients such as Top Glove Corporation Bhd and Hokto Malaysia Sdn Bhd, highlighting rising demand for sustainable power solutions.
Discussions within industry circles focus on the technical and economic benefits of such collaborations. Analysts note that partnerships between local firms and international developers could accelerate renewable energy adoption nationwide.
Forecast of Immediate and Long-Term Effects on Google Power Purchase Agreement
During the construction phase, project leaders expect minimal disruption to nearby communities and road networks in Kedah. Financial closure has also provided a clear timeline for engineering and development activities.
Over the long term, the solar project will strengthen Malaysia’s renewable energy mix. It is expected to support grid diversification, encourage engineering innovation, and align with national environmental policies. Authorities will continue to monitor progress as the project advances toward completion.
Location: Kuala Lumpur
Date: 2025-12-15