Sand Town Solar Sdn Bhd (STS), a subsidiary of Kumpulan Gading Kencana Sdn Bhd, has secured an RM91.5 million financing agreement with Bank Islam Malaysia Bhd for the development of a 29.99 MW solar farm in Perak, Malaysia. The financing will cover capital expenses, including the refinancing of land and development costs.
The electricity generated will be supplied to Tenaga Nasional Bhd (TNB) under the New Enhanced Dispatch Arrangement (NEDA) mechanism. This initiative by the Energy Commission allows merchant generators to participate in and sell energy on the single buyer market, enhancing competition and reducing electricity prices.