TotalEnergies ENEOS recently completed the installation of two rooftop photovoltaic systems for Lee Huat Yap Kee Pte Ltd (LHYK), a Singaporean company specialised in marine logistics. These solar installations, totalling a capacity of 1.2 megawatt-peak (MWp), will supply a significant part of the electricity required for LHYK’s logistics facilities. The project, involving more than 2,100 photovoltaic modules, is expected to generate approximately 1,600 megawatt-hours (MWh) of renewable electricity annually. According to TotalEnergies ENEOS, this is equivalent to the annual consumption of more than 350 HDB (Housing Development Board) public housing units in Singapore, while preventing the annual emission of around 600 tonnes of CO₂.
A financing model without upfront investment
Both companies signed long-term Power Purchase Agreements (PPAs). These PPAs require no upfront investment from LHYK, with TotalEnergies ENEOS covering the entire financing. Under these agreements, TotalEnergies ENEOS is fully responsible for installing, operating, and maintaining the solar equipment. In exchange, LHYK commits to purchasing the electricity produced for the duration of the contracts.
According to Alexandru Buzatu, Director of TotalEnergies ENEOS Renewables Distributed Generation Asia Pacific, this partnership reflects a “shared vision” aimed at integrating renewable energy into industrial activities. Mr Buzatu specified that the initiative improves operational efficiency while setting benchmarks in sustainability within the marine logistics sector. The regional director added that this model contributes to Singapore’s renewable energy objectives.
Deployment on a major logistics site
For his part, Okano San, Managing Director of LHYK, highlighted the strategic importance of this project for the company. He notably emphasised the significant scale of the installation, deployed on the roof of a warehouse rising 70 metres high. The Managing Director further indicated that the project represents a decisive step towards enhancing the environmental performance of the group’s logistics operations. He also praised the enduring partnership with TotalEnergies ENEOS, now extended into renewable energy solutions.
According to technical estimates published by both companies, these new photovoltaic installations will substantially reduce operational energy costs for LHYK. The project illustrates the growing trend among industrial companies favouring such energy contracts without upfront investment in order to reduce expenditures while complying with regulatory environmental obligations.
