Founder Energy Sdn Bhd, a subsidiary of Founder Group Limited (NASDAQ: FGL) has secured a RM6.05 million (approximately US$1.5 million) subcontract to support the development of a 29.99MWac large-scale solar photovoltaic facility in Malaysia’s Kedah state, adding to the company’s project pipeline as the country accelerates renewable energy deployment.
Founder Energy Sdn Bhd, a subsidiary of Founder Group, has been appointed as a subcontractor under Malaysia’s Corporate Green Power Programme (CGPP). Its scope covers procurement, electrical and mechanical installation, and commissioning of the solar facility in Daerah Kuala Muda, Kedah.
The award places Founder Group within a growing ecosystem of developers and contractors supporting Malaysia’s transition toward greater renewable energy capacity. The CGPP was established to allow corporate consumers to procure renewable electricity directly from large-scale solar projects through the national grid. The mechanism is designed to support corporate decarbonization efforts while increasing utility-scale renewable generation.
Malaysia Expands Solar Capacity
Malaysia’s renewable energy market is entering a period of accelerated development as the government pursues targets outlined under the National Energy Transition Roadmap (NETR). The roadmap aims to raise renewable energy capacity to 70% of the country’s power mix by 2050.
Several market mechanisms are being introduced or expanded as part of that transition, including the Corporate Renewable Energy Supply Scheme (CRESS) and Solar Accelerated Transition Action Programme (Solar ATAP). These initiatives are intended to broaden access to renewable electricity while encouraging private-sector participation in clean energy investment.
In July 2026, Malaysia’s Ministry of Energy Transition and Water Transformation launched the framework for the sixth Large-Scale Solar (LSS6) programme. The initiative is expected to offer 2,500MW of solar capacity and attract between RM13 billion and RM15 billion (approximately US$3.2 billion to US$3.7 billion) in investment.
For engineering, procurement, construction and commissioning (EPCC) providers, the expanding pipeline could create opportunities across both utility-scale solar and commercial and industrial (C&I) projects. Founder Group said rising demand from energy-intensive businesses, alongside concerns over electricity tariff volatility under Regulatory Period 4 and fluctuations in Automatic Fuel Adjustment mechanisms, could further support demand for renewable energy solutions.
Broader EPCC and O&M Strategy
Under the subcontract, Founder Energy will be responsible for delivering the electrical and mechanical installation work and commissioning the facility through to its interconnection point. Major equipment purchased directly by the main contractor is excluded from its procurement responsibilities.
The company will also manage the approvals, licenses, clearances and permits required for construction and operation, while ensuring installation, testing and commissioning comply with applicable utility practices and requirements from Tenaga Nasional Berhad.
Founder Group is also seeking to build a longer-term role in solar asset management through operations and maintenance services. Its O&M offering incorporates AI-based diagnostics and predictive maintenance, alongside drone-assisted visual and thermal inspections. The technologies are intended to identify equipment anomalies and module defects while reducing the need for manual inspections.
Lee Seng Chi, chief executive officer of Founder Group Limited, said the near-30MW project reflects confidence from industry participants in the company’s execution capabilities.
“Programmes like CGPP, and now the newly launched LSS6, are central to Malaysia’s renewable energy roadmap,” Lee said.
The company expects the combination of corporate renewable energy demand and Malaysia’s expanding utility-scale solar pipeline to create additional opportunities for its EPCC and O&M businesses.
Founder Group operates as an end-to-end EPCC provider for solar photovoltaic facilities in Malaysia, with its business focused primarily on large-scale solar and C&I projects. The latest award adds another project to its pipeline as Malaysia works toward its longer-term renewable energy capacity target.
