G Capital Berhad has signed an RE agreement with TNB to purchase power from its Northern Star Hydropower Sdn Bhd, a wholly-owned subsidiary of the Company.
Earlier, on 6 December 2022, NS Hydropower was granted as Feed-in Approval Holder by the Sustainable Energy Development Authority Malaysia in respect of 26.0 MW high-head small hydropower plants in Pahang Darul Makmur. Of which, 12.5MW is situated in Hulu Dong, and the remaining 13.5 MW is located in Batu Talam of Pahang.
The group said the REPPA will be for a period of Twenty-One years from the commercial operation date, which is scheduled to start from 6 December 2027. Pursuant to the REPPA, TNB will purchase electricity generated from the Plants at Feed-in Tariff rate of RM0.2298 per kilowatt-hour.
The Group is targeting to complete and commission the Plants on or before 6 December 2027, envisaging a potential revenue of RM688 million over a span of 21 years based on the FiT rate of RM0.2298 per kilowatt-hour and estimated annual production of 142.72 gigawatt hours of electricity to be generated from the plants.
