fair value less costs to sell and its VIU. Subsequent costs involved in renewing or maintaining the rights to build are charged to the statement of profit and loss as and when incurred. NOTES TO THE FINANCIAL STATEMENTS 31 December 2023 FINANCIAL STATEMENTS Sec 5 237 10 INTANGIBLE ASSETS (CONTINUED) Accounting Policy (continued) Project development portfolio The project development portfolio consists of contractual rights acquired relating to early stage solar, wind and Battery Energy Storage System (‘BESS’) projects in Australia. The project development portfolio is stated at cost less any accumulated amortisation and impairment losses. They are considered to have a finite life and are amortised on a straight-line basis over the period of expected future economic benefits of the asset. The asset is reviewed annually for adjustments tothe useful economic life and any indications of impairment. Impairment losses are recognised when the carrying value of the intangible asset exceeds its recoverable amount, which is the higher of its fair value less costs to sell and its VIU. Subsequent costs involved in renewing or maintaining the development portfolio are charged to the statement of profit and loss as and when incurred. Goodwill RM’million Rights to build RM’million Project development portfolio RM’million Total RM’million 2023 Group As at the beginning of the financial year 421.4 172.2 0 593.6 Acquisition of subsidiaries* 491.1 0 429.3 920.4 Impairment (123.6) 0 0 (123.6) Effect of changes in foreign currencies 35.2 17.5 17.1 69.8 Transfer to PPE# 0 (189.7) 0 (189.7) As at the end of the financial year 824.1 0 446.4 1,270.5 * Goodwill arising from the acquisition of Spark Renewables, Dullarbtons and Elipsgeen (Note 48). Project development portfolio arising from the acquisition of Spark Renewables (Note 48). # Transfer to PPE upon commencement of the project. Goodwill RM’million Rights to build RM’million Total RM’million 2022 Group As at the beginning of the financial year 438.4 0 438.4 Acquisition of a