ACWA Power, the world’s largest privately owned water desalination company and a global leader in energy transition and green hydrogen, has signed a series of Memoranda of Understanding (MoUs) and Strategic Partnership Agreements (SPAs) with key Malaysian organizations. The agreements were formalized during the ASEAN-GCC Summit held in Kuala Lumpur, Malaysia.
These collaborations aim to bridge Malaysia’s innovation-driven economy with Saudi Arabia’s expertise in clean energy, supporting decarbonization initiatives and laying the groundwork for sustainable development throughout Southeast Asia. The joint efforts will focus on renewable energy, green hydrogen, and advanced water solutions—initiatives closely aligned with Malaysia’s National Energy Transition Roadmap (NETR) and Saudi Arabia’s Vision 2030 climate goals.
“This is a major step in ACWA Power’s expansion into Southeast Asia,” said Marco Arcelli, Chief Executive Officer of ACWA Power. “By bringing together our global experience in renewables, desalination, and green hydrogen with the local strengths of our Malaysian partners, we’re accelerating the region’s energy transition while promoting job creation, technology transfer, and long-term economic and social benefits for the local communities.”
One of the key agreements is an MoU with the Malaysian Investment Development Authority (MIDA) to explore the development of up to 12.5 GW of power generation capacity by 2040. The initial phase of the project could see investment of up to USD 10 billion. The initiative is expected to significantly contribute to Malaysia’s target of reaching 70% renewable energy in its power mix by 2050.
ACWA Power also signed SPAs and Heads of Terms (HoTs) for Joint Development Agreements with several major Malaysian players, including Tenaga Nasional Berhad (TNB), Terengganu Inc., and UEM Lestra. These agreements will enable feasibility studies and potential joint development of projects in key areas such as floating solar photovoltaics (FPV), combined cycle gas turbines (CCGT), and large-scale desalination. The goal is to fast-track Malaysia’s clean energy and water infrastructure expansion.
With ongoing operations in 14 countries and an investment portfolio valued at USD 107.5 billion, ACWA Power has established a strong reputation for delivering impactful, commercially sustainable projects. These latest agreements further cement the company’s role in advancing global energy transformation through strategic partnerships and innovative solutions.
