PETALING JAYA: VSolar Group Bhd expects its 10MW biomass/biogas energy generation plant to start contributing to its profits in late 2019.
Executive director Edward Leung said it has submitted its application to the Sustainable Energy Development Authority Malaysia (Seda) and is waiting for their approval.
"We target to deploy 2MW in stages, which will take up to 18 months (from Seda's approval) to complete," he told reporters at its EGM today.
The group expects to sign a renewable energy power purchase agreement with Tenaga Nasional Bhd within a month after obtaining Seda's approval.
The biomass/biogas plant is a joint venture project with KRU Energy Asia Pte Ltd, Rangkaian Iltizam Sdn Bhd and Kenneth Lee Wai Tong. The parties had signed an investment and shareholders' agreement in August last year.
At the noon break, VSolar's share price was unchanged at 13.5 sen on some 891,200 shares traded.