Malaysia’s largest combined cycle gas turbine (CCGT) power plant in Alor Gajah, Melaka, is expected to begin operations in 2021.
Edra Power Holdings Sdn Bhd COO Datuk Mohamad Nor Ali said the 2,242MW CCGT power plant project is on track.
The 2,242MW means you can light up 10% of the country’s electricity requirements, he said.
Mohamad said the company commenced the preliminary work back in March this year and today, the site is ready for construction so it is well on track — and that’s basically one month ahead of schedule.
As for financing of the project, he confirmed that Edra Power has hired three domestic banks to raise RM5.28 billion through a sukuk programme for the project.
“CIMB Investment Bank Bhd is the sole principal advisor and financial advisor, while Maybank Investment Bank Bhd and RHB Investment Bank Bhd are joint lead managers for the debt programme,” he told Bernama yesterday.
He said the project would be funded via the 80% debt financing raising exercise and 20% via Edra Power shareholders’ funds.
“In total, the project cost would be approximately RM6.5 billion,” Mohamad said.
The site is about 90% ready for construction. Edra Power, Malaysia’s second-largest independent power producer, is a leading clean energy group in South-East Asia focusing on gas power generation.
It is wholly owned by China Solar Energy Investment Ltd, a subsidiary of China General Nuclear Power Corp Ltd. Mohamad said 30% of the project will comprise local contents, where a significant amount will actually benefit contractors in Melaka.