reNIKOLA Holdings Sdn Bhd has expanded its clean energy operations into East Malaysia after signing a 30-year Power Purchase Agreement (PPA) with Sarawak Energy Berhad. The agreement marks the company’s entry into Sarawak’s renewable energy sector and supports the state’s efforts to expand its clean energy infrastructure.

Under the agreement, reNIKOLA will develop, construct, and operate a large-scale solar power facility in Gedong, Sarawak. The project involves an estimated investment of RM1 billion and is expected to contribute to the growth of Sarawak’s solar power capacity.

The long-term PPA will provide Sarawak Energy Berhad with solar-generated electricity over a period of 30 years. The project is expected to support Sarawak’s broader plans to develop a cleaner, more diversified, and resilient electricity system while increasing the contribution of renewable energy to the state’s power mix.

The RM1-billion investment is also expected to generate economic opportunities for the local community. Construction of the solar facility will create employment opportunities, while the operational phase is expected to support additional jobs and related economic activities. reNIKOLA also plans to encourage local procurement and develop local capabilities as part of the project’s implementation.

These activities are expected to provide benefits to businesses and communities in and around Gedong. Local participation in construction, services, procurement, and other project-related activities could help create longer-term economic value throughout the facility’s operating period.

reNIKOLA Managing Director Boumhidi Adel welcomed the partnership with Sarawak Energy and said the company remains committed to supporting Sarawak’s sustainable energy ambitions. He highlighted the company’s focus on delivering environmental and economic benefits through the project.

Project leadership also emphasized the importance of working closely with local stakeholders during the development and operation of the facility. The approach is intended to support responsible project implementation while strengthening community participation and local capability.

The signing of the 30-year PPA represents an important expansion of reNIKOLA’s renewable energy activities beyond its existing markets. The Gedong solar project will add to the company’s clean energy portfolio and establish its presence in East Malaysia.

With a significant investment, long-term power supply agreement, and focus on local economic participation, the project is expected to contribute to Sarawak’s renewable energy development. It also reflects the growing role of large-scale solar projects in supporting Malaysia’s transition toward a more diversified and lower-carbon electricity system.