Google to purchase solar power generated in Gurun, Kedah from Japanese consortium
Kuala Lumpur, December 15 – Google has entered into a Google Power Purchase Agreement to buy electricity from a 29.99-megawatt utility-scale solar project in Gurun, Kedah. The development is led by Japan-based renewable energy company Shizen Energy Group. As a result, the move marks a strategic expansion of the firm’s presence in Malaysia and the broader Southeast Asian market.
Additionally, the initiative aligns with regional efforts to increase renewable energy capacity and reduce dependence on fossil fuels.
Google Power Purchase Agreement reaches financial close with local and regional collaboration
The solar plant is scheduled to begin commercial operations in 2027. This follows the recent financial close secured through financing from United Overseas Bank (UOB) Malaysia. Notably, UOB acts as the mandated lead arranger and sole lender for the project.
Meanwhile, SM01 Sdn Bhd is developing, constructing, and owning the project. Shizen Malaysia holds a 49% stake as lead developer. In comparison, Solarvest Holdings Bhd owns 33%, while HSS Engineers Bhd holds the remaining 18%.
According to Shizen International Inc CEO Kawado Kenji, Malaysia is considered a key market. Therefore, the group aims to strengthen its leadership role in the region’s renewable energy sector.
Project development includes support from local agencies and industry partners
Shizen Malaysia CEO Reza Ikram stated that the project benefits from close collaboration with local partners Solarvest and HSS. Furthermore, government and state agencies have facilitated the development throughout the process.
As a result, the project team comprises both local and regional experts, reinforcing Malaysia’s role in regional renewable energy advancement.
Meanwhile, Shizen Energy’s cumulative installed solar capacity in Malaysia stands at approximately 60 megawatt-peak. Previous projects include rooftop solar installations for clients such as Top Glove Corporation Bhd and Hokto Malaysia Sdn Bhd.
Importantly, official statements emphasise adherence to safety and engineering standards. To date, no incidents have been reported in connection with the project.
Industry observers note increasing momentum in Malaysia’s renewable energy sector
Within public discourse and on social media, the development is viewed as part of Malaysia’s broader push toward sustainable energy solutions. Moreover, analysts note that the involvement of international firms like Shizen Energy reflects growing confidence in the local renewable energy market.
At the same time, the project aligns with federal and state policies promoting solar and low-carbon energy sources. Although no traffic or safety incidents have been reported during construction, ongoing monitoring will continue to ensure compliance with engineering and safety standards.
Google Power Purchase Agreement is expected to influence energy supply and infrastructure development in the region
In the short term, construction activities may affect local traffic flow. Therefore, coordination with state agencies will help minimise disruption. Additionally, collaboration between international lenders and local entities signals growing sophistication in renewable energy project financing.
Over the longer term, the solar plant will support national renewable energy targets. Moreover, it may encourage further investment in engineering and infrastructure development. Throughout the project lifecycle, safety remains a core focus, supported by regulatory oversight and established industry practices.
Location: Kuala Lumpur
Date: 2025-12-15
