KUALA LUMPUR: Metronic Global Bhd has formed a joint venture (JV) with Earthtech Energy Sdn Bhd to seek opportunities in the solar power sector.
Metronic said Earthtech is a member of the multinational group Dehui Group, a comprehensive green energy group which operates globally including China, Vietnam, Germany, the United States (US) and Malaysia.
Metronic said through the JV, both companies would jointly operate the solar power procurement plans, including the installation of solar power equipment.
It said Earthtech would be responsible to identify, secure and commence feasible projects on commercial buildings, which both JV parties agreed on.
"The proposed joint venture will allocate 30 per cent of share equity to Earthtech, and the remaining 70 per cent of the equity shall be held by Metronic.
"Metronic will secure the funding needed for the said project and also to assist with management of the project, while Earthtech would provide the technology know-how," the company said in a statement today.
Metronic chief executive officer Hoo Wai Keong said the maiden project would have a power generation capacity of between 19 megawatts (MW) and 20MW in a commercial building.
"Thereafter, we plan to install up to a total capacity of 100MW over the next three years. Total project cost would be around RM300 million.
"Revenue is expected to hit RM45 million per annum based on a 25-year power purchase agreements with owners of commercial buildings. This will translate to a total revenue of RM1.125 billion over the next 25 years," Hoo added.