KUALA LUMPUR: Reservoir Link Energy Bhd's subsidiary, Reservoir Link Renewable Sdn Bhd will be collaborating with Sunseap Energy (Malaysia) Sdn Bhd (Sunseap) to ink a term sheet for joint venture (JV), with an initial paid-up share capital of RM1 million.
The energy related services provider said the JV will co-develop, build, own and operate rooftop and ground mounted solar PV projects (solar PPAs) in Malaysia.
"Both parties will also use their best efforts to deliver approximately 20MWp worth of Solar PPAs to the JV by the end of 2023.
"Reservoir Link will hold a majority share capital of 51 per cent while Sunseap will hold the remaining 49 per cent," it said.
Reservoir Link executive director Thien Chiet Chai said the pact was in line with the company's goals of decarbonisation and accelerating its plans in generating more clean energy.
"Our solar renewable energy segment has experienced continuous success since our maiden venture.
"We view this segment favourably and expect that it will continue to prosper given the eventual commencement of construction of the large scale solar 4 project and future large scale solar projects.
Sunseap Business chief executive officer and co-founder Frank Phuan said the company noticed the immense potential of the Malaysian market following the government's initiatives to encourage the adoption of solar energy.
"Our strategic alliance will forge a strong synergy to build and operate these rooftop and ground mounted solar PV projects," he added.