RAM Sustainability assigns Gold Sustainable Finance Rating to Heliosel’s Sukuk Kelestarian Framework

Published on 26 Jun 2025.

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RAM Sustainability has completed the external review of Heliosel Sdn Bhd’s (Heliosel or the Issuer) Sukuk Kelestarian Framework (the Framework) and assigned it a Gold Sustainable Finance Rating.

We conclude that the Framework has an Aligned disclosure level when assessed against Securities Commission Malaysia’s Sustainable and Responsible Investment Sukuk Framework, the ASEAN Capital Market Forum’s ASEAN Green Bond Standards and the International Capital Market Association’s Green Bond Principles.

Heliosel is a green energy asset developer-owner-operator and solutions provider set up to drive the net zero aspirations of Air Selangor Holdings Berhad (Air Selangor Holdings) and/or its subsidiaries (the Group).

Heliosel plans to issue Islamic medium-term notes and/or Islamic commercial papers under respective sukuk programmes with a combined limit of up to RM2.0 billion (collectively, Sukuk Murabahah). The Sukuk Murabahah that will be issued in accordance with the Framework are referred to as Sukuk Kelestarian Heliosel. The first tranche of the sukuk proceeds, totalling RM150 million, will primarily refinance Heliosel’s current borrowings and shareholder loans. The balance will then fund the project costs, designated account and operational expenses.

Proceeds from the Sukuk Kelestarian Heliosel may be utilised to finance or refinance renewable energy, energy efficiency (EE) and green building projects – for which we have accorded Environmental Benefit (EB) tier rankings. The Issuer has identified 44 project sites for solar power projects, some of which include energy storage systems projects, costing RM178 million. These projects are expected to have approximately 62 MWp of solar energy with 15 MWh of battery capacity. Heliosel has tentatively estimated EE projects that are expected to cost RM163 million to be funded by the subsequent tranches of the sukuk proceeds.

At this juncture, RAM Sustainability’s review is limited to the green bond and sukuk perspectives as the current Framework has yet to include social projects. Heliosel may consider funding social projects/activities in the future.

Heliosel was incorporated on 15 December 2021 as a subsidiary wholly owned by Air Selangor Holdings, which in turn was established on 3 December 1985 as an investment holding company wholly owned by the Selangor state government through Menteri Besar Selangor (Incorporated). The Group, through Pengurusan Air Selangor Sdn Bhd (Air Selangor), is the largest water services provider in Malaysia, responsible for the abstraction, treatment and distribution of treated water to consumers in Selangor, Kuala Lumpur and Putrajaya, serving over 2.6 million domestic, non-domestic and other accounts. Air Selangor operates a variety of water treatment facilities and assets to provide customers with clean and safe treated water, supplying an average of 5,227 million litres per day.

 

Analytical contacts
Raz Amira Razlan
(603) 2708 8295
raz@ram.com.my

Amirah Jamil
(603) 2708 8294
amirah@ram.com.my

Media contact
Sakinah Arifin
(603) 2708 8212
sakinah@ram.com.my

 

This external review or second opinion is not a recommendation to purchase, sell or hold a security, inasmuch as it does not comment on the security’s market price or its suitability for an investor, nor does it involve any audit by RAM Sustainability. It is also not a credit assessment on the proposed Green, Social or Sustainability Bonds/Sukuk.

About RAM Sustainability

RAM Sustainability Sdn Bhd (RAM Sustainability) is a provider of sustainability services and ESG analytics. Incorporated on 31 May 2000, RAM Sustainability is a wholly owned subsidiary of RAM Holdings Berhad (RAM Group). RAM Sustainability is the first ASEAN-based provider of ESG ratings and second opinions and has the distinction of being the first Registered Observer of ICMA’s Green Bond Principles, Social Bond Principles, Sustainability Bond Guidelines and Sustainability-Linked Bond Principles in ASEAN. It was a member of ICMA’s Advisory Council to the Green Bond Principle and Social Bond Principle Executive Committee for three consecutive terms. On 12 August 2020, RAM Sustainability became an Approved Verifier for the certification of climate bonds under the Climate Bonds Standard & Certification Scheme after having been awarded the status by the Climate Bonds Standards Board. For further details, please refer to https://www.ram.com.my/sustainability.

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