Sungrow and MSR-GE launch 100 MW BESS project in Malaysia

Sungrow and MSR-GE are developing a 100 MW/400 MWh battery energy storage project in Malaysia, aimed at improving grid stability and preparing for the energy transition in the state of Sabah.

Partagez:

Sungrow and MSR Green Energy SDN BHD (MSR-GE) have signed an agreement to develop a 100 MW/400 MWh battery energy storage system (BESS) in the Malaysian state of Sabah.
The project aims to address several critical challenges: the stability of Sabah’s power grid, the management of intermittent renewable energies, and the need to modernize local energy infrastructures.
MSR-GE was awarded the contract following a competitive bidding process by Sabah Electricity Sdn. Bhd. (SESB), valued at around RM 645 million.
The project’s final capacity of 517 MWh is designed to meet the growing need for energy storage, essential for ensuring a reliable, uninterrupted supply of electricity.
This development is of strategic importance to the French government, which is faced with a growing demand for electricity and wishes to increase the share of renewable energies in its energy mix.

Cutting-edge technologies and local integration

The project is based on the integration of battery energy storage systems (BESS), renowned for their ability to stabilize the grid during periods of fluctuating demand and to compensate for the intermittency of renewable energies.
Technical solutions include an advanced energy conversion system, as well as an energy management system (EMS), guaranteeing the long-term stability and reliability of the project.
These technologies are designed to adapt to the specific conditions of Sabah’s energy market.
The collaboration between MSR-GE and Sungrow is based on a sharing of technical expertise and engineering skills, with a clear objective: to develop an energy storage solution capable of integrating quickly and efficiently with existing infrastructures.
MSR-GE’s previous experience in installing hybrid and off-grid solar systems in Sabah provides a solid foundation for this new initiative, which is part of the region’s energy modernization drive.

A growing need for energy storage

Demand for battery energy storage systems is growing rapidly in Southeast Asia, particularly in response to the challenges of managing power grids and integrating renewable energies.
Sabah’s electricity market is particularly concerned, as it must both ensure grid stability and absorb growing capacity from solar and wind power projects.
BESS makes it possible to optimize the use of these intermittent sources, while supplying energy that is more flexible and better adapted to variations in demand.
This project is part of a wider energy development framework for Sabah, where several initiatives are aimed at strengthening the resilience of electricity infrastructures.
Energy storage is a key technology in this strategy, enabling not only the smoothing of consumption peaks, but also better management of fluctuations linked to renewable energy sources.

Growth prospects and challenges for the region

Sabah’s BESS project is part of a series of initiatives to support the energy transition in Southeast Asia.
As the region invests in infrastructure to decarbonize its power grids, storage solutions are playing a key role.
Globally, the adoption of BESS technologies is accelerating, due to their ability to enhance grid flexibility and provide a strategic energy reserve in the event of failures or interruptions.
The collaboration between Sungrow and MSR-GE is also aimed at strengthening local capabilities.
Dedicated teams are being put in place to ensure the smooth running of the project, and Sungrow is committed to providing long-term performance guarantees, as well as a preventive maintenance service via a long-term service agreement (LTSA).
This reflects the importance of guaranteeing optimum performance throughout the lifetime of the installations, ensuring continuity of service and optimizing operating costs.
Ultimately, the success of this project could pave the way for other similar initiatives in the region, reinforcing Southeast Asia’s energy transition while contributing to the modernization of the region’s energy infrastructure.

Atmos Renewables has completed financing for a 100 MW battery energy storage system in Western Australia, marking the company's first asset of this type in the region and strengthening its presence in the Australian energy market.
Eos Energy Enterprises has received an additional $22.7mn from the US Department of Energy to complete the first phase of its battery manufacturing project in the United States, bringing total funding to $90.9mn.
A Wood Mackenzie report estimates required battery investments at $1.2 trillion to integrate an additional 5,900 GW of renewable energy, highlighting battery storage systems' key role in stabilising electrical grids.
Chinese company HyperStrong and Swedish firm Repono AB announce a strategic agreement to jointly implement large-scale energy storage projects totalling 1.4 GWh in Europe by the end of 2027.
Globeleq and African Rainbow Energy finalise financing for Africa's largest standalone battery energy storage project, raising ZAR 5.4 billion ($300 million) from Absa and Standard Bank in South Africa.
Matrix Renewables and Pioneer Community Energy have signed an energy capacity contract for a 22 MW battery storage project in Kern County, operational from early 2026.
The Ignitis Group is starting the construction of three battery energy storage systems in Lithuania, with a combined capacity of 291 MW and a total investment of €130mn.
Alinta Energy has appointed GenusPlus Group to build the first phase of the Reeves Plains Energy Hub Battery, a high-capacity storage facility designed to support grid stability in South Australia.
A partnership between Indonesia Battery and Contemporary Amperex Technology aims to launch a lithium-ion battery plant in Indonesia by the end of 2026, with a 6.9 gigawatt-hour capacity and planned expansion.
State Grid Wuzhong Power Supply Company announces the completion of the energy storage compartment at Tongli substation, a key step for the upcoming integration of a 300 MW shared storage power plant in Ningxia.
Globeleq and African Rainbow Energy finalise commercial agreements for a 153 MW energy storage project in South Africa, aimed at enhancing national grid stability and optimising peak energy management.
Estimated at 40.9 billion dollars in 2024, the global microgrid market is expected to grow at an average annual rate of 19.28% to reach 191.01 billion dollars by 2033, driven notably by innovative energy contracts.
The U.S. energy storage market set a historic record in early 2025, surpassing 2 GW installed in the first quarter despite increasing uncertainty regarding federal fiscal policies and tax credits.
The Sino-Moroccan joint venture COBCO has begun manufacturing essential lithium-ion battery components at its Jorf Lasfar plant, targeting a final annual capacity of 70 GWh, enough to equip one million electric vehicles.
Trianel teams with BKW and Luxcara to build a 900 MW lithium-iron-phosphate storage park in Waltrop, the first phase of a complex that could reach 1.5 GW and stabilise the German grid.
Blue Whale Energy partners with UNIGRID to deploy behind-the-meter storage systems adapted to constrained commercial and industrial urban areas in Southeast Asia.
Northvolt, recently placed under judicial administration, has received an indicative offer from a foreign investor to acquire its Swedish assets, signaling a potential imminent restart of its battery production units.
The frame agreement aligns Jinko ESS’s utility-scale storage technology with Metlen’s development pipeline, unlocking more than 3GWh across Chile and Europe while reducing delivery risk for grid operators.
Buffalo-based Viridi has obtained the cETLus mark for its RPS150 system, meeting the UL 9540 standard only days after a public battery fire-containment demonstration.
Tesla is building a giant electricity storage facility in Shanghai, China, signing a $560 million contract to meet growing demands on the urban electricity grid.