Client
Issues
The client faced uncertainty surrounding Malaysia’s regulatory framework, competitive LSS bidding environment, grid connection availability, and fluctuating power purchase agreement tariffs. There were also concerns regarding project bankability and partnership requirements to strengthen local credibility.
Solution
Eurogroup Consulting delivered a comprehensive feasibility assessment covering regulatory analysis, financial modeling, competitive mapping, and partnership strategy development.
Approach
Our team conducted an in-depth review of Malaysia’s renewable energy policies, LSS bidding mechanisms, and net energy metering regulations to clarify compliance requirements. We analyzed historical LSS winners to understand competitive pricing benchmarks and project structuring strategies. Grid capacity assessments were performed in high solar irradiation zones to evaluate connection feasibility. Financial models were developed to simulate CAPEX, OPEX, tariff sensitivity, and IRR under multiple scenarios. We also assessed potential joint venture structures with local engineering and procurement contractors to enhance bid competitiveness and regulatory alignment.
Recommendations
We recommended entering the market through a local joint venture to strengthen regulatory relationships and improve bid positioning. Targeting states with stronger grid capacity availability was advised to reduce development risks. A phased portfolio strategy was proposed to balance risk exposure and capital allocation.
Engagement ROI
The client successfully shortlisted two solar projects under the LSS bidding process. Financial optimization improved projected IRR by 17%, while local partnerships reduced permitting timelines by 25%. The engagement positioned the client for sustainable expansion within Malaysia’s renewable energy sector.