UAE-based renewable energy company Masdar has announced its first project in Malaysia, with the signing of a power purchase agreement to develop a 200 MW floating solar photovoltaic (PV) plant at the Chereh Dam in Pahang state.
This project will be developed by a consortium led by Masdar, together with Malaysian partners Citaglobal and Tiza Global. The agreement was signed with Tenaga Nasional Berhad, Malaysia’s national utility company.
Once operational, the 200 MW Chereh Dam plant is set to become the largest floating solar project in Southeast Asia, said Masdar. Occupying approximately 950 acres, the facility will have a generation capacity of more than 300 MWp (200 MWac), enough to power the equivalent of over 100,000 homes.
Malaysia has targeted increasing the share of renewables in its national energy mix to 35% by 2030, and floating solar is expected to play a key role in achieving these goals. The Chereh Dam project is estimated to cost more than US$208 million.
“This milestone project, our largest floating solar development globally and our inaugural project in Malaysia, reaffirms Masdar’s expertise in floating solar and our position as a trusted partner across the region,” said Mohamed Jameel Al Ramahi, CEO of Masdar. “By leveraging our experience in delivering utility-scale solutions worldwide, we can provide affordable, secure clean energy to the Malaysian people. We look forward to working closely with Citaglobal, Tiza Global and the Government of Malaysia to help deliver the country’s ambitious renewable energy roadmap.”
The Chereh floating solar plant will be the inaugural project of the 10 GW renewable energy roadmap agreed between Masdar and the Malaysian Investment Development Authority (MIDA) in 2023. Masdar is also progressing a feasibility study for a major floating solar installation at the Murum reservoir in Sarawak, in collaboration with Sarawak Energy and Gentari. This project would further boost Malaysia’s renewable capacity and support key national strategies including the National Energy Transition Roadmap and the New Industrial Master Plan 2030.
A core pillar of the project is Masdar’s commitment to working closely with Malaysian authorities and local stakeholders throughout development, construction and operations. These partnerships, such as the site agreement signed with Pahang Water & Energy Resources, are designed to ensure seamless execution, strong local integration and long-term continuity beyond commercial operation date, reinforcing the project’s role as a durable national asset.
According to Masdar, the project will deploy state-of-the-art floating solar technology specifically designed to address the unique shape and characteristics of the Chereh Dam, optimising performance, resilience and long-term operational efficiency. The development will be financed through a non-recourse project finance structure, with participation from international lenders, reflecting strong market confidence in the project’s fundamentals.
