TNB, PETRONAS & Terengganu Inc Drive Malaysia’s Energy Transition with Hybrid Solar-Hydro & Green Hydrogen Hub

TNB, PETRONAS & Terengganu Inc Drive Malaysia’s Energy Transition with Hybrid Solar-Hydro & Green Hydrogen Hub

William Faulkner 22-Aug-2025

Malaysia launches Hybrid Hydro Floating Solar and Green Hydrogen Hub in Terengganu, advancing NETR, HETR, and positioning as regional green energy leader.

Malaysia marked a significant step in its clean energy journey with the official launch of the Hybrid Hydro Floating Solar (HHFS) and the Green Hydrogen Hub in Terengganu on 12 July 2025. These two flagship initiatives are designed to accelerate the country’s National Energy Transition Roadmap (NETR) and Hydrogen Economy and Technology Roadmap (HETR), while reinforcing Malaysia’s ambitions to emerge as a regional leader in renewable energy and green hydrogen production.

The Green Hydrogen Hub represents a joint effort between Petroliam Nasional Berhad (PETRONAS) and Tenaga Nasional Berhad (TNB). PETRONAS will drive hydrogen production and its derivatives, while TNB is tasked with upgrading grid infrastructure to support both Malaysia’s domestic energy transition and wider regional energy goals. Meanwhile, the HHFS project is a collaboration between TNB Genco Sdn Bhd, the generation arm of TNB, and Terengganu Inc, the state’s investment arm, underscoring Terengganu’s commitment to boosting socio-economic development through clean energy projects.

The launch event, held at the Sultan Mahmud Hydro Electric Power Station in Kenyir, was officiated by Prime Minister Dato’ Seri Anwar Ibrahim. It was attended by several key leaders, including Terengganu Menteri Besar Dato’ Seri Ir Dr Ahmad Samsuri Mokhtar, Deputy Minister of Energy Transition and Water Transformation Akmal Nasrullah Mohd Nasir, TNB Chairman Tan Sri Abdul Razak Abdul Majid, PETRONAS Chairman Tan Sri Mohd Bakke Salleh, TNB President/CEO Datuk Ir. Megat Jalaluddin Megat Hassan, PETRONAS President and Group CEO Tan Sri Tengku Muhammad Taufik, and Terengganu Inc President/Group CEO Dato' Burhanuddin Hilmi Mohamed @ Harun.

Dato' Burhanuddin Hilmi emphasised that these projects demonstrate Terengganu’s potential to spearhead the green economy and attract global investment. He highlighted the dual benefits of creating new economic opportunities while fostering talent development and technological transfer, positioning Terengganu as a key player in the global renewable energy arena.

Datuk Megat Jalaluddin underlined TNB’s focus on proven technologies to accelerate its decarbonisation journey. He described the Green Hydrogen Hub as a cornerstone of TNB’s clean energy innovation and reaffirmed that the Kenyir HHFS project, part of TNB’s broader 2.5 GW solar-hydro hybrid initiative, will maximise renewable generation while stabilising the grid through flexible hydro storage.

Tan Sri Tengku Taufik of PETRONAS added that this alliance combines TNB’s expertise in power and utilities with PETRONAS’ five decades of oil, gas, and energy experience. He noted that the initiative would enhance Malaysia’s energy security by balancing conventional energy sources with renewable power and green hydrogen, supporting both national growth and regional energy trade.

The Green Hydrogen Hub in Terengganu will feature a full value chain including renewable energy generation from HHFS, hydrogen production, and downstream products such as green methanol and ammonia. Positioned within the Kenyir-Kertih Corridor, it will leverage TNB’s renewable infrastructure and PETRONAS’ existing facilities, including a planned electrolyser, derivatives plants, and CCUS facilities.

As Malaysia advances these projects in collaboration with ASEAN and global partners, the country is firmly positioning itself as a regional hub for clean energy, cross-border power integration, and green hydrogen leadership.

We use cookies to deliver the best possible experience on our website. To learn more, visit our Privacy Policy. By continuing to use this site or by closing this box, you consent to our use of cookies. More info.