The World Bank Group has signed a collaboration agreement with Malaysia to jointly develop the Southern Johor Renewable Energy Corridor (SJREC) in the country, with a project value of 6 billion U.S. dollars.
The agreement was signed on Monday by the World Bank's private sector arm -- the International Finance Corporation, Permodalan Darul Ta'zim -- the strategic investment arm of the Johor state government, and Ditrolic Energy, an integrated energy company.
The trio said in a statement on Monday that the 2,000-square-km hybrid solar and battery energy storage system zone in Johor aims to power the industrial development of Johor with clean electricity and support the ASEAN Power Grid initiative by facilitating cross-border electricity trade.
The collaboration letter, signed in conjunction with the launch of the Johor Renewable Energy Policy 2030, outlines joint efforts across project development, technical support, and potential financing for the project.
Developed as a key component of the Johor-Singapore Special Economic Zone master plan, the initial phase of SJREC is expected to include up to four gigawatts peak of solar capacity and 5.12 gigawatt hours of energy storage capacity on a 10,000-acre site.
Judith Green, World Bank Group country manager for Malaysia, said this project will support the broader sustainable development ambitions of Johor, create jobs, potentially attract foreign direct investment, and facilitate cross-border clean energy trade between Malaysia and Singapore.
Editor:Leo
