Plus Xnergy Pivots Business Through Rebranding Exercise
• Introduces first-in-market Solar Rent to Own program
• Confident of RM500 million revenue growth despite pandemic
• Collaborates with Yinson Renewables with the intention to develop 250MW solar C&I projects
Plus Xnergy Holding Sdn Bhd (“Plus Xnergy”) a Malaysian-founded leading clean energy solutionist today undergoes a rebranding exercise as part of its pivot to restructure and optimise its business to reinvent energy.
The efforts resulted in the creation of Plus Xnergy as the main holding company, with Plus Xnergy Services Sdn Bhd (“PXS”) formerly known as “Plus Solar Systems Sdn Bhd” as its Engineering, procurement, construction and commissioning (EPCC) subsidiary and Plus Xnergy Edge Technologies Sdn Bhd (“PXET”) as its technology-focused subsidiary. This is to create more agility and focus in-house to push boundaries of respective areas, towards the redefinition of energy generation and efficiency.
“It is a rarity for businesses to rebrand during such difficult times, but we see an even more pressing need to transform and re-strategize our solutions. There is much-untapped potential in Malaysia and the region, with the Asia Pacific (APAC) renewable energy potential worth RM15.3 trillion,” said Ko Chuan Zhen, Group CEO of Plus Xnergy.
Plus Xnergy-installed home solar setup in Shah Alam, Selangor
“With the rebrand, we bring new, innovative offerings. We have always been a strong contender in the B2B market, but it is an apt time to enter the B2C market as we see strong demand from this segment. There is much room for adoption potential as there are over 3.2 million residential properties in Malaysia.”
In its first year, Plus Xnergy projects to outfit 2,000 houses with solar power, and up to 5,000 by its second year. This is aligned with the NEM 3.0 Rakyat program, which the government introduced early this year, to encourage the growth and adoption of solar solutions for consumers and households. The B2C efforts will also create more than five hundred microentrepreneurs in the process.
“Our goal is to hasten the adoption of solar solutions with a first in the market; a solar rent-to-own program. It would grant long-term savings to the Malaysian household without incurring unrealistic monthly costs, while accelerating the country’s progress towards its renewable energy goals,” added Ko.
Plus Xnergy’s rent-to-own program is touted to save up to 90% of a household’s monthly electricity bills. Instead of monthly grid electricity payments, users can now divert this expense to offset the solar setup’s cost, resulting in minimal to zero increases in monthly expenses. After rental payments of approximately 5 years, the solar setup will be owned by the residents, granting marked higher savings. Within the period of repayment, operations and maintenance costs are borne by Plus Xnergy, removing any hidden costs. It has a warrantied performance period of up to 25 years, allowing continued gains.
Despite pandemic circumstances, Plus Xnergy is optimistic about the market growth and confident in projecting revenue growth of RM500 million in three years. Backed by interest and demand from other regions, the firm also foresees expansions to two new countries. In addition, there are plans to secure up to 100MW in large scale solar (LSS4) projects as well as to diversify into Energy Storage Systems (ESS), electric vehicle (EV) chargers and floating solar.
Left to right: Plus Xnergy Edge Technologies CEO Ryan Oh, Plus Xnergy Group CEO Ko Chuan Zhen, and Plus Xnergy Services CEO Thang Chee Keong
On the B2B front, Plus Xnergy is also focused on offering its solar solutions for Malaysia’s commercial and industrial (C&I) buildings, many of which are struggling with cash flow, exacerbated by repeat lockdown measures.
“One of the greatest challenges for businesses is high overheads and operating expenses such as rent and electricity. At Plus Xnergy, we offer businesses a solution that lowers operating expenses but at zero upfront cost – this would be through a power purchase agreement (PPA) which is made between Plus Xnergy and business owners,” said Thang Chee Keong, CEO of Plus Xnergy Services.
“Through a PPA, businesses can optimise cash flows via recurrent savings from lowered electricity tariff at zero upfront capital expenditure (CAPEX) over a 15–20-year lease-to-own tenure. Once the tenure matures, adopting businesses gain full ownership of the solar setup,” Thang adds.
During Plus Xnergy’s virtual launch event, ‘Reinventing Energy, Redefine Future’, a collaboration between Plus Xnergy Services and Yinson Renewables Pte Ltd, a wholly-owned subsidiary of Yinson Holdings Berhad, was announced. Both entities have expressed interest to enter into a business alliance to jointly invest and develop an asset portfolio of up to 250MW of solar commercial and industrial projects within and beyond Malaysia within the next three years.
Plus Xnergy has also recently attained a signatory membership of the United Nations Global Compact (UNGC), which align business strategies and operations with the Ten Principles of human rights, labor, environment and anti-corruption, and to take actions that advance broader societal goals, such as the Sustainable Development Goals (SDGs).
AIoT Technology for Optimised Energy Usage & Complimentary Energy Analysis
As part of its digitalisation offerings, Plus Xnergy Edge Technologies offers businesses a complimentary energy profile analysis. It is an analysis to help business owners understand their energy usage and leakages whilst gaining insights into ways of optimising energy consumption and reducing electricity overheads.
“We have developed a proprietary technology, SOURCE, which utilises Artificial Intelligence of Things (AIoT) technology to deliver data-driven insights on one singular platform. We know from use cases that this actually helps businesses save as much as an additional 20% on electricity bills,” said Ryan Oh, CEO of Plus Xnergy Edge Technologies.