Thursday 22 Feb 2024
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KUALA LUMPUR (June 9): Electrical and mechanical engineering services provider Kejuruteraan Asastera Bhd (KAB) has bagged four solar projects in Thailand via its indirect subsidiary Energy Optimization (Thailand) Co Ltd.

In a statement today, KAB said the new projects would have a combined installed capacity of 3,912-kilowatt peak solar photovoltaic (PV) systems under the build-own-operate-transfer (BOOT) model, with a combined capital expenditure of about RM11.4 million.

The details of the projects are as follows:

  • A 20-year power purchase agreement (PPA) signed on April 1 with Tanaosree Thai Chicken Co Ltd for a 996-kilowatt peak capacity solar PV system;
  • Two 15-year PPAs signed on May 11 with AAPICO Hitech PCL for a 999-kilowatt peak solar PV system and a 450-kilowatt peak solar PV system, resulting in a total installed capacity of 1,449-kilowatt peak; and
  • A 10-year PPA signed on May 14 with Roongthavorn Plastic Co Ltd for a 1,497-kilowatt peak solar PV system.

KAB added that the development of the PV systems for all these projects is expected to be completed within a year of the respective agreements being signed.

Its managing director Datuk Lai Keng Onn said that the company is actively expanding its business into green energy solutions and that its successful penetration into the Thailand market is a testament to its strategic execution to aggressively grow this business segment.

“We are currently in the midst of finalising a few more projects in Malaysia and Thailand, with a combined capacity of 10,206-kilowatt peak. 

“Barring any unforeseen circumstances, we are confident in securing them within the next month or so, and this will ultimately bolster our profitability with stability of recurring income through the execution of the PPAs.

“Moving forward, we are tendering for a total installed capacity of approximately 62,703-kilowatt peak of solar PV systems in Malaysia, Thailand and Vietnam, which will augment our position in the Asian region,” he added.

The managing director noted that the company expects exponential growth in demand, in light of the agenda of sustainability and renewable energy that has been the main topic of discussions among companies as part of their corporate social responsibility (CSR).

At 2.48pm, KAB was trading at 76 sen, up 5.5 sen or 7.86%, giving it a market capitalisation of RM1.28 billion.

Edited ByLam Jian Wyn
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