DBS Bank Ltd. (DBS), the International Finance Corporation (IFC) and Malayan Banking Berhad (Maybank) are working with Ditrolic Energy Holdings, a renewable clean energy developer and infrastructure platform, to establish a financing framework for the US$ 6 billion Southern Johor Renewable Energy Corridor (SJREC), which aims to supply renewable electricity from Johor to Singapore.
The parties exchanged a memorandum of understand (MoU) at the 19th Singapore International Energy Week 2026, setting out plans to assess the project’s financing requirements, regulatory approvals, power transmission arrangements and risk allocation.
According to a press release, the project is developed by Ditrolic Energy and Permodalan Darul Ta’zim, SJREC combines solar generation and battery storage. The project gained a key regulatory milestone in August 2026, when Singapore’s Energy Market Authority granted Conditional Approval for Ditrolic Energy subsidiary Southern Solar Alliance Pte. Ltd. to import up to 600 MWac of renewable electricity from Johor.
“Energy security is fundamental to the region’s economic growth and a landmark project such as the Southern Johor Renewable Energy Corridor will not only fulfil the energy demand but also support the region’s transition towards a low carbon economy,” said, Lim Wee Seng, Group Head of Energy, Renewables & Infrastructure, DBS Bank. “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.”
Vikram Kumar, Director, Infrastructure and Natural Resources in Asia Pacific, IFC, said, “Sustainable infrastructure is key to supporting economic growth and creating jobs, while advancing the energy transition. The Southern Johor Renewable Energy Corridor is a project that allows us to meet these priorities of growth, jobs, and productivity while contributing to the broader ASEAN power grid vision.”
Dato John Chong, Group CEO, Global Banking, Maybank, 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.”
Tham Chee Aun, Group CEO, Ditrolic Energy Holdings, said, “With close to 90% of our green energy already seeing capacity booking interest, our focus now is a smooth path to financial close. By bringing DBS, IFC and Maybank to the table well ahead of FID, and working closely with governments, regulators and offtakers, we hope to set a reference framework for financing future ASEAN Power Grid projects.”
The project is securing contracts, licences and permits before a Final Investment Decision (FID). Ditrolic Energy has also signed a separate collaboration agreement with IFC. The financing framework is expected to help bring the project closer to financial close while providing a reference for future cross-border electricity developments under the ASEAN Power Grid.