KUALA LUMPUR (Dec 15): Bina Puri Holdings Bhd has signed a power purchase agreement (PPA) with Sabah Electricity Sdn Bhd (SESB) to develop a five megawatt alternating current (MWac) large scale solar photovoltaic (PV) plant in Kunak.

In a bourse filing Wednesday, Bina Puri said the deal was inked with SESB by its unit BP Energy Sdn Bhd.

It said the commercial operation date is scheduled on June 30, 2023.

In a separate statement, Bina Puri executive director Datuk Matthew Tee Kai Woon said out of ten companies that were awarded under LSS2 in Sabah, Bina Puri is the first company to sign the PPA with SESB.

“This marks an important milestone for the group as this is Bina Puri’s first power project in Malaysia, following the successful listing of our power subsidiary in June 2017 at the Indonesia Stock Exchange.

“We look forward to contributing to our own nation using renewable energy solutions which is in line with the government's efforts to create a more sustainable and green future,” he said.

Tee said with the latest deal, the firm hopes to secure more power projects in Malaysia especially in Sabah as it also has a presence in other sectors such as construction and property development.

On June 5, 2017, Bina Puri’s power unit PT Megapower Makmur (MPOW), an independent power producer, was listed on Indonesia Stock Exchange, IDX.

MPOW operates four diesel power plants with a capacity of 14 megawatts at four locations throughout Indonesia and a 4.2-megawatt mini-hydro plant at Sulawesi Selatan, Indonesia.

Bina Puri was last traded at 4.5 sen, valuing it at RM71.69 million.