KUALA LUMPUR (Aug 25): Tex Cycle Technology (M) Bhd said its subsidiary has signed the renewable energy power purchase agreement with Tenaga Nasional Bhd for a feed-in-tariff (FiT) concession period of 21 years.
This is in relation to electricity generated from 4MW biomass at its renewable energy power plant in Gurun, Kedah, the group said in a filing today.
Today’s announcement follows an earlier announcement on July 9 that the 60%-owned subsidiary, Pakar B2E Sdn Bhd, has secured the FiT approval from the government, via the Sustainable Energy Development Authority (SEDA).
The FiT that was approved by SEDA was at 37.84 sen per kilowatt hour, and is scheduled to commence on May 6, 2023.
Next, Pakar B2E has to finalise its financing agreement by Oct 30, 2021, according to Tex Cycle’s previous filing.
“The company will make further announcements if there is any material development in the matter,” it said today.
Tex Cycle, whose core business is recycling and recovery, saw its shares last traded up 2.5 sen or 5.68% to 46.5 sen, valuing the group at RM119.13 million. The counter has gained 36.76% since the start of the year.