Shizen Energy inks PPA with Google for 30-MW solar farm in Malaysia

Japanese renewables firm Shizen Energy Inc said on Monday it has signed a power purchase agreement (PPA) with Google for a 29.99-MW solar project in Malaysia, marking its first utility-scale project in the country and an expansion of the companies’ clean energy partnership beyond Japan.

The project company, SM01 Sdn Bhd, has reached financial close for the new development under Malaysia’s Corporate Green Power Programme (CGPP), Shizen Energy said. The project will be financed through a project finance facility arranged by UOB Malaysia, which is acting as mandated lead arranger and sole lender.

Located in Gurun, Kedah, the solar farm is scheduled to begin commercial operations in 2027. It will be developed, built and owned by the SM01 consortium comprising Shizen Malaysia with a 49% stake, Solarvest Asset Management with 33%, and HSS Engineering with 18%.

Under the PPA, the plan will supply Google with energy attributes to support its goal of running operations on carbon-free electricity on an hour-by-hour basis. Shizen Energy said the agreement is among Google’s first PPAs signed under the CGPP framework and follows a previous collaboration between the two companies in Japan in 2024.

Malaysia has set a target to raise the share of renewables in its power mix to 70% by 2050 under its National Energy Transition Roadmap, while corporate PPAs are expected to play a growing role in meeting demand from data centres and other large electricity users.

Shizen Energy has around 60 MWp of capacity in Malaysia, derived from rooftop commercial and industrial projects.

“We see Malaysia as a key market and aim to continue strengthening our leadership and expanding our presence in the region.” said Kenji Kawado, CEO of Shizen International Inc.