Masdar Breaks Ground on Major Floating Solar Project in Malaysia, Boosting Southeast Asia's Renewable Energy Capacity

Abu Dhabi's clean energy leader, Masdar, has commenced construction on its inaugural project in Malaysia, a significant floating solar development poised to become one of Southeast Asia's largest. The 200MW Chereh Dam solar photovoltaic project, located in Pahang state, is being executed by a consortium including Malaysia's own Citaglobal construction company and investment firm Tiza Global, Masdar announced on Thursday. The project secured its financing on Tuesday, with approximately 580 million ringgit ($142.9 million) being raised from three international lenders, according to Masdar. Initially revealed last December, the project's value was then estimated at around $208 million. The Chereh project is expected to generate enough clean electricity to power the equivalent of 100,000 homes, create approximately 1,500 jobs, and stimulate economic opportunities within Pahang, Masdar stated. This development synergizes Masdar's extensive experience in floating solar projects, exemplified by its work on the 145MW Cirata project in Indonesia, with Citaglobal's robust capabilities in infrastructure and energy development, and Tiza's expertise in project development and engaging local stakeholders. Masdar's Chief Executive Officer, Mohamed Al Ramahi, highlighted the project's significance in underscoring the strategic importance of Malaysia and the wider Southeast Asian region, driven by escalating electricity demand, growing renewable energy potential, and sustained investment flows. "Chereh marks an important milestone in our long-term commitment to Malaysia and our expansion across Southeast Asia," Al Ramahi commented. "By combining Masdar’s global floating solar expertise with strong local partnerships, we will support Malaysia’s energy ambitions while creating jobs and new economic opportunities in Pahang." Masdar, a joint venture involving Taqa, Adnoc, and Mubadala, has a global portfolio of projects exceeding 65GW in combined capacity. Its expansion into Malaysia follows earlier strategic moves in Asia, including agreements to develop power plants in Indonesia, which at the time included Southeast Asia's largest floating solar plant, and renewable energy projects totaling 1GW in the Philippines. In other recent developments, Masdar launched its second battery energy storage system project in the UK in August, further expanding its presence there due to increased demand for clean energy. In July, Masdar and ScottishPower advanced a major construction phase for a $5.42 billion offshore wind farm project off the English coast, slated to be one of the world's largest. The Sultan of Pahang, Abdullah Ri'ayatuddin Al Mustafa Billah Shah, remarked that the Chereh project "reflects how our natural resources can be used responsibly to contribute to Malaysia’s renewable energy ambitions, while bringing opportunities for local communities and industry."