Solar and battery energy storage developer ib vogt has reported the financial close of a 29.99MW solar project in Sungei Petani, Kedah, Malaysia, which is tied to a long-term Power Purchase Agreement (PPA) with data center developer Air Trunk.
Following the project's financial close, ib vogt has now commenced construction. The company has not disclosed when the project is expected to reach commercial operations.
Ib vogt APAC is developing the project under Malaysia’s Corporate Green Power Program (CGPP). The solar project is the first under the program to break ground and commence construction.
The CGPP, an initiative from the Suruhanjaya Tenaga (Malaysia’s Energy Commission) enables businesses to sign virtual PPAs and participate in renewable energy projects in Malaysia.
“The megatrend of decarbonization of the digital revolution and global supply chains is at the core of our mission and values. We are honored to work with AirTrunk, a leader of the digital revolution, who shares our commitment to the global energy transition,” said David Ludwig, CEO of ib vogt APAC.
The PPA with AirTrunk was signed in February. Under the terms of the agreement, the data center developer will offtake the entire capacity of the solar project.
“Sourcing renewable energy is critical to achieve AirTrunk’s net zero commitment. Together with our customers, some of the largest technology companies in the world, we have committed to matching 100 percent of electricity consumption at our data centers with renewable energy by 2030,” Joscha Schmitz, VP, of energy and climate, AirTrunk said.
AirTrunk announced its entrance into the Malaysian market in January 2023, with the development of its JHB1 data center in the Johor Bahru area, in the south of the country, close to Singapore.
When completed, JHB1 will offer 21,900 sqm (235,750 sq ft) of space across 20 data halls and more than 150MW of capacity, along with 370 sqm (4,000 sqm) of office and storage area. The facility's first phase commenced operations in July 2024, offering 50MW of capacity for its large technology customers.
Earlier this year, the company announced plans for a second data center in Malaysia. According to the company, the JHB2 facility will be scalable to more than 270MW and will bring the company’s total investment in Malaysia to RM 9.7 billion ($2.2bn).
Founded in 2002 and majority owned by DIF Capital Partners, ib vogt has signed several PPAs with tech firms. Last April, ib vogt signed a long-term PPA with Apple to supply 105MW of power from the Castaño Solar project in the province of Segovia, northwest of Madrid.
