IOI Corporation Berhad announced on 3 November 2026 that its wholly owned subsidiary, Luminous Aspect Sdn Bhd, has entered into a joint venture and shareholders' agreement with TNB Renewables Sdn Bhd and CSP 500 MW Sdn Bhd to jointly develop a 500 MW solar photovoltaic project integrated with a 250 MW/1,000 MWh battery energy storage system.

IOI Launches First Large-Scale Renewable Project Under CRESS

TNB Renewables is a wholly owned subsidiary of Tenaga Nasional Berhad, while CSP 500 MW Sdn Bhd is described as a Consortium of SMEs.

The project marks IOI's first large-scale renewable energy undertaking under the Corporate Renewable Energy Supply Scheme, known as CRESS. The announcement was made through the group's corporate communications division and dated 3 November 2026.

Ownership Structure of the Development Vehicle

Under the agreement, TNB Renewables will hold a 70% stake in Bahau Energy Ventures Sdn Bhd, the renewable energy development company established for the project. Luminous Aspect will hold 25%, while the Consortium of SMEs will hold the remaining 5%.

Together with the signing of the joint venture and shareholders' agreement, Bahau Energy Ventures has also entered into a long-term land lease agreement with IOI covering approximately 1,300 acres of land in Bahau, Negeri Sembilan.

IOI will therefore serve both as a shareholder in the renewable energy development company and as the lessor of the project site.

Offtake Backed by DayOne Data Centres

The project will be supported by TNB's long-term renewable energy offtake agreement with DayOne Data Centres Limited, a global digital infrastructure platform headquartered in Singapore.

Under that agreement, DayOne is expected to procure up to 500 MWac of renewable energy over a 21-year period to support its data centre operations in Malaysia. This offtake arrangement was announced by the parties on 11 June 2025.

Group Leadership Commentary

Dato' Lee Yeow Chor, IOI Group Managing Director and Chief Executive, said IOI is pleased to participate in the development of one of the country's largest solar and energy storage projects under the CRESS framework, together with an experienced renewable energy company as its partner.

He noted that, supported by an off-take agreement with a reputable data centre company, IOI is optimistic that the project will yield stable long-term recurring income for the group, both as a shareholder in the renewable energy development company and as the lessor of the project site.

Strategic Fit with IOI's Roadmap

According to the announcement, the strategic partnership represents an opportunity for IOI to participate in the development of large-scale renewable energy infrastructure in Malaysia and to contribute to the country's transition towards a low-carbon energy future.

IOI stated that the venture aligns with its Five-Year Strategic Roadmap (2025-2029) to expand its renewables business portfolio, which currently comprises palm wood manufacturing and the processing of paper pulp from empty fruit bunch fibres.

Transforming the Power Sector: Harnessing Malaysia's Project Potential

Malaysia is advancing its power infrastructure with transmission enhancements, renewable energy integrations, and water management initiatives at an extraordinary rate. However, only those equipped with real-time insights can seize opportunities ahead of their competitors. Being informed is now essential; it can mean the difference between securing contracts and losing them to others.

The Global Project Tracking (GPT) platform by Blackridge Research empowers you to transform the power sector with comprehensive insights into utility developments across Malaysia. From initial proposals to final commissioning, every project milestone is meticulously tracked, validated, and presented directly on your dashboard.

Transforming the power sector requires a platform that empowers your business development team with actionable intelligence, eliminating scattered spreadsheets and missed leads while effectively targeting grid expansion tenders and tracking EPC opportunities.

• Upcoming Projects

• Tender Notices

• Contract Awards

• Projects Under Construction

• Completed Projects

Transform your approach to the power sector by booking a Free Demo today and discover how the Global Project Tracking (GPT) platform by Blackridge Research can enhance your competitive advantage in the Malaysian power market.