Telecom operator Robi has signed a tripartite memorandum of understanding (MoU) with FloSolar Solutions Ltd and GreenPower Asia to form a special purpose vehicle (SPV) for the development and operation of a 100-megawatt solar power plant.

Under the agreement, Robi will procure power according to its requirements through a corporate power purchase agreement (CPPA).

Robi said the initiative has been made possible by the government's recent draft policy allowing merchant power plants, enabling private entities to develop and sell power without long-term government off-take agreements.

The project will be executed under a build-own-operate (BOO) model, Robi said in a statement after signing the MoU at its headquarters in Dhaka today.

"Together with FloSolar and GreenPower Asia, we are setting a bold example in renewable energy, driving real impact toward climate resilience," said Robi Acting CEO and CFO M Riyaaz Rasheed.

Robi said the solar park will be built on a site that will be finalised based on several factors, including substation capacity for evacuation.

The SPV will develop, finance, and operate the solar park, with Robi as the sole off-taker under a long-term CPPA, it added.

A joint assessment will explore solar power deployment across 16,000 of Robi's base transceiver stations, potentially transitioning a major portion of its network to renewables.

The company said the solar park will significantly reduce its carbon footprint, aligning with its net-zero emissions target by 2050.

The project is expected to reduce 68,200 tonnes of carbon per year, added Robi, the majority of which is owned by Malaysia-based Axiata Group Berhad.

The proposed solar park exemplifies how public-private synergies through innovative government policies can accelerate renewable energy adoption and ultimately lead to a lower cost of energy, said Mustafa Azim Kasem Khan, founder and managing director of FloSolar Solutions Ltd.

Pierrick Morier, president of GreenPower Asia, said the project will contribute to both energy security and environmental sustainability.