GUH Holdings Berhad’s foray into power generation dates way back to 1994 with the securement of a Build-Operate-Transfer (BOT) concession for a 35MW diesel engine heavy-fuel oil fired power generating plant in Cambodia.
GUH owns 20% of the Independent Power Producer (IPP) via associate company Cambodia Utilities Pte Ltd. The IPP is the first to deliver a net capacity of 35MW to the Phnom Penh transmission grid.
The power plant, currently the largest in Cambodia, provides base load demand for Phnom Penh City. The concession is for 18 years beginning 1997 on a “take or pay” and fuel pass through agreement offering positive cash flow and earnings. The concession has expired in May 2015.
Having made its presence felt in Cambodia for almost two decades, it is only obvious and logical for the Group to invest further in more power generation projects and to diversify itself in other power industries.