Malaysian renewable energy developer VCI Energy has partnered with DPS Energy to develop a up to 250MW solar project to power AI data centers in Malaysia.

The two companies signed an memorandum of understanding (MoU) to support the construction of a site on approximately 600 acres of land at Lipat Kajang, Bukit Apit II, Mukim Sungai Siput, Malacca, Malaysia.

According to the partners, the project is structured as an infrastructure-grade renewable energy platform capable of supporting up to 250MW of installed solar capacity, with estimated annual generation of approximately 350 to 450GWh.

The platform is intended to support long-term power purchase agreements with utilities, industrial users, and data center operators. VCI Global has confirmed that data center offtake arrangements and adjacent AI infrastructure development are under active evaluation.

“This is not just a solar project; it is an infrastructure platform. As AI, cloud computing, and hyperscale data centres expand across Malaysia, access to large, reliable, and renewable power is becoming mission-critical. This initiative marks a decisive step in positioning VCI Global upstream in the energy layer that powers the digital economy,” said Dato’ Victor Hoo, group executive chairman and CEO of VCI Global.

VCI Energy is a subsidiary of VCI Global that operates five core businesses in fintech, consultancy, real estate, AI and robotics, and cybersecurity. Its AI arm delivers GPU servers, cloud computing services, and large language model solutions across the Asia-Pacific region, the US, Europe, and the Middle East.

Last November, the company received $30 million in investment for its first AI data center in Kuala Lumpur, Malaysia.

DPS Energy is a wholly owned subsidiary of DPS Resources Berhad, a Malaysian-listed engineering and energy company.

Several Malaysian developers are seeking to build out renewable energy capacity to meet surging data center demand in the country. For example, in August, Gamuda Energy partnered with Gentari Renewables to construct up to 1.5GW of solar + battery energy storage projects to power hyperscale data centers in Malaysia.