Malaysia’s Renewable Energy expansion through CGPP and the New LSS6 Program  
Government Programs

Founder Energy signs MYR 6.05 million subcontract in Kuala Muda

Kaleeswari

Executive Summary

Expanding CGPP and LSS6 programs in Malaysia, Founder Energy has earned a subcontract for a 29.99 MW solar farm in Kuala Muda, Kedah. The procurement, electrical and mechanical systems installation, and commissioning are included in the scope of the project. Beyond the project execution, Founder Group also provides long-term solar asset lifecycle management through proprietary AI-driven O&M technologies, including predictive maintenance and drone-assisted inspections.

SNAPSHOT

Company - Founder Energy, Founder Group Limited 

Programme - Corporate Green Power Programme 

Project - 29.99 MW solar farm 

Location - Kuala Muda, Kedah, Malaysia 

Contract Value - MYR 6.05 million  

Partner - Tenaga Nasional Berhad 

Scope - Purchase, electrical and mechanical installation, and commissioning

Founder Energy, the subsidiarysubsidiary of Founder Group Limited, has signed a subcontract under Malaysia’s Corporate Green Power Programme (CGPP) for procurement, setting up the electrical and mechanical systems, and starting up a 29.99 MW solar farm in the Kaula Muda district of Kedah. The sub-contract value is estimated at around RM 6.05 million (~ $1.5 million). 

Founder Energy will handle the purchase, electrical and mechanical installation systems, and commissioning of the solar facility, guided by LOA. The company will secure and maintain the necessary approvals, licenses, clearances, and permits for the project's construction and operation, while the main equipment purchase is handled by the main contractor.

The project scope will also include delivering, installing, testing, and commissioning the system up to the interconnection point in line with Prudent Utility Practices and Tenaga Nasional Berhad requirements.

Through its proprietary AI-powered operations & maintenance solutions, Founder Group offers long-term asset lifestyle management. These technologies combine AI-based diagnostics, predictive maintenance, and drone-assisted visual and thermal inspections. They help identify system anomalies and module defects with minimal manual intervention, supporting higher uptime and consistent performance across solar assets.

CGPP is a national mechanism that enables corporates to directly purchase renewable energy from large-scale solar power producers through the electricity grid. The mechanism helps companies with their carbon emission reduction commitments and also helps increase grid-scale renewable energy capacity in Malaysia.

 Malaysia is currently experience a predictable structural growth in the renewable energy sector. The nation targets 70% RE capacity by 2050, under the National Energy Transition Roadmap, as per the national policy initiatives. It includes a corporate renewable energy supply scheme and the launch of solar ATAP (Accelerated Transition Action Programme) as the driving factors.  

By July 2026, large-scale solar frameworks have been initiated by the Ministry of Energy Transition and Water Transformation. It offers 2.5 GW solar capacity that is expected to attract investment ranging from MYR 13 billion to MYR 15 billion (~ $3.2 billion to $3.7 billion). 

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