Masdar breaks ground on 200 MW Malaysian floating solar project

Key Points

1. Construction began in Pahang on the 200 MW Chereh Dam floating solar plant, due online in 2028.
2. Masdar says it is the company's first project in Malaysia, developed with Citaglobal and TIZA Global.
3. The plant is expected to power around 100,000 homes and create roughly 1,500 jobs.

The latest:

Construction has started on the 200-megawatt Chereh Dam Floating Solar PV Project in Pahang, described by its developers as one of Southeast Asia’s largest floating solar developments. Abu Dhabi’s Masdar, Citaglobal Berhad and TIZA Global marked the groundbreaking at a ceremony attended by the Sultan of Pahang and the state’s chief minister. Operations are expected to begin in 2028.

Details:

• The project: Chereh Solar Sdn Bhd, the partners’ joint project company, is developing the plant on the Chereh Dam reservoir. The developers expect it to generate enough clean electricity for the equivalent of 100,000 homes and to create approximately 1,500 jobs across development and construction.
• The financing: Financial close was reached on 27 October, with roughly 580 million Malaysian ringgit raised from three international lenders. According to the partners, the structure aligns funding with future project revenues while drawing international capital into Malaysia’s renewable energy sector. The lenders were not named.
• The offtake: Chereh Solar signed a power purchase agreement with Tenaga Nasional Berhad, Malaysia’s national utility, in December 2025, covering electricity sales for 21 years from the start of commercial operation. Citaglobal Executive Chairman Mohamad Norza Zakaria said the priority now is delivering the project into operation.
• How it was won: The project was secured through a competitive tender under Malaysia’s Large Scale Solar Cycle 5+ program, with the consortium’s bid offering the lowest tariff in the floating solar category. A site agreement has also been signed with Pahang Water & Energy Resources to support development.
• Masdar’s entry: Chereh is Masdar’s first project in Malaysia and the inaugural development under the 10-gigawatt renewable energy roadmap agreed with the Malaysian Investment Development Authority in 2023. Chief Executive Mohamed Jameel Al Ramahi said Malaysia is a strategically important market, citing rising electricity demand and digital infrastructure investment.
• The track record: The consortium combines Masdar’s floating solar experience, including the 145 MW Cirata plant in Indonesia, with Citaglobal’s infrastructure and energy work and TIZA Global’s local stakeholder engagement. Masdar is also advancing a feasibility study for a large floating solar installation at the Murum reservoir in Sarawak.
• The state’s position: Sultan Abdullah Ri’ayatuddin Al-Mustafa Billah Shah of Pahang said the project shows how natural resources can be used responsibly to serve Malaysia’s renewable energy ambitions while creating opportunities for local communities and industry. Chief Minister Wan Rosdy Wan Ismail also attended the ceremony.
• The national target: Malaysia has targeted raising renewables to 35% of installed electricity-generation capacity by 2030, with floating solar expected to contribute significantly. Building on an existing reservoir reduces the need for land-based solar sites, according to the partners.
• Citaglobal’s portfolio: The Malaysian group says Chereh expands its renewable power generation alongside its infrastructure activities, forming a key component of its New Energy platform spanning solar, hydropower and Bio-CNG initiatives.

Background:

Floating solar mounts panels on reservoirs rather than land. Masdar’s largest reference project to date is the 145 MW Cirata plant in Indonesia, built on a hydropower reservoir, which the company is now using as the template for its Southeast Asian expansion.

Between the lines:

Three signals point to a pipeline rather than a one-off: Chereh is framed as the first project under a 10-gigawatt roadmap agreed with MIDA in 2023, a second Malaysian site at Murum is under feasibility study, and the consortium won on the lowest tariff in its category. Securing 580 million ringgit from three international lenders suggests the 21-year utility contract was enough to price the risk.

What’s next

Watch for the project reaching commercial operation in 2028, the outcome of Masdar’s Murum reservoir feasibility study in Sarawak, and any further awards under Malaysia’s Large Scale Solar program.