KUALA LUMPUR: DBS Bank, Malayan Banking Bhd (Maybank) and project sponsor Ditrolic Energy Holdings Sdn Bhd have signed a memorandum to develop a financing framework for the Southern Johor Renewable Energy Corridor (SJREC).
Signed at the 19th Singapore International Energy Week 2026, the memorandum aims to improve the project's bankability and financing readiness, while strengthening Malaysia-Singapore cooperation in renewable energy.
SJREC is a US$6 billion solar and battery storage development in Johor, co-developed by Ditrolic Energy and Permodalan Darul Ta'zim, the state government's strategic investment arm.
The memorandum brings together multilateral and commercial financing institutions to develop a dedicated financing and bankability framework for a Malaysia-Singapore cross-border renewable electricity project.
Under this framework, the parties will form a working group to identify the key requirements for SJREC's bankability, covering regulatory pathways,
interconnection, offtake and risk allocation, environmental and social standards, and financing structure.
DBS group head of energy, renewables and infrastructure Lim Wee Seng said energy security is fundamental to the region's economic growth and a landmark project such as the SJREC will not only fulfil the energy demand but also support the region's transition towards a low carbon economy.
"DBS' sustainable financing solutions and platform provide a foundation for which stakeholders can engage, collaborate and create viable pathways for long-term project development and financing readiness.
"As Asia Pacific's leading project
finance advisor and arranger of financing for landmark energy and infrastructure projects, DBS is uniquely positioned to support SJREC's development through our suite of financing solutions, global connectivity and execution expertise," he said in a statement.
The exchange was witnessed by Energy Transition and Water Transformation Minister Datuk Fadillah Yusof, Singapore's Energy, Trade and Industry Minister Dr Tan See Leng and Permodalan Darul Ta'zim president and chief executive (group) Datuk Ramlee A Rahman.
Maybank global banking group chief executive officer Datuk John Chong said reliable access to renewable energy is becoming increasingly important in attracting investments, particularly in energy-intensive industries.
"SJREC has the potential to connect Johor's renewable energy resources with businesses in Malaysia and Singapore, supporting decarbonisation and strengthening the Johor-Singapore Special Economic Zone's appeal as
an investment destination.
"With our presence in both markets, Maybank is well positioned to support this cross-border initiative through our regional financing capabilities.
"This also aligns with our ROAR30 strategy commitments, including our refreshed target to mobilise RM300 billion in sustainable finance and RM100 billion for new economy initiatives by 2030," he said.
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