by TMR / pic by TMR FILE

G CAPITAL Bhd signed a 21-year Renewable Energy Power Purchase Agreement (REPPA) with Tenaga Nasional Bhd (TNB).

In a filing to Bursa Malaysia today the company said the group’s 96%-owned subsidiary Gunung Hydropower Sdn Bhd has on 12 August 2021 signed a REPPA with TNB for a Feed-in-Tariff (FiT) concession period of 21 years for electricity to be generated from its 10.0MW low-head mini-hydropower plant situated on Sungai Perak, Salu.

“We’re proud with yet another great achievement of the Group to ink the REPPA with TNB four months ahead of the due date 15 December 2021. This signifies a vote of confidence from TNB into the quality and completeness of preparation of Gunung Hydropower and GCAP Group to advance to the next level of completing and commissioning the Plant by 15 December 2025,” said G Capital Bhd Executive Director, Tan Sri Dr. Ali Hamsa.

The REPPA is expected to bring a potential revenue of more than RM400 million to the Group over a span of 21 years from the date of the completion and commissioning of the Plant.

This is based on the FiT rate of RM0.2898 per kilowatt-hour and estimated annual production of 68-gigawatt hours of electricity to be generated from the Plant.