Page 6 - AsiaElec Week 12 2023

AsiaElec POWER AsiaElec

Malaysia powered by 25%

renewable energy

MALAYSIA

WHAT:
Malaysian renewables
sector supplies 25% of
national power demand.
At present,
WHY:
Large-scale investment further
and strict subsidies
prove initially beneficial. expansion of
WHAT NEXT: Malaysia’s
Subsidies and export of renewables
green power must be
reconsidered to keep installations is
Kuala Lumpur influential
in the region. being hindered
by strict subsidy
restrictions.

MALAYSIA’S Natural Resources, Envi- considered for change.
ronment and Climate Change Minister has “The ban is still in force,” Nazmi said, con-
declared his nation is on track to meet its tinuing: “there were requests to review this,
2025 renewables targets, with the national including from Sarawak (on Borneo, border-
grid already sourcing 25% of all electricity ing Indonesia) to export renewable energy.
supplies from green energy. “If we ever change the renewable energy
If projections carry through until 2025, export policy, it must be done on our terms,
it is believed that Malaysia will be sourcing Malaysia’s terms. When we export – like
almost a third of its energy from renewables any other trades – it will allow us to scale up
by the middle of the decade. renewable energy,” the minister said when
Minister Nik Nazmi Nik Ahmad said: “we asked.
will step up efforts to encourage solar power At present, further expansion of Malaysia’s
usage. All this while, we’re mostly looking at renewables installations is being hindered by
large-scale solar”, adding: “however, some strict subsidy restrictions in the country.
countries including Australia now see roof- Such restrictions put in place by politicians
top solar as superseding large-scale solar. in Kuala Lumpur are blatantly out of sync
This is one the initiatives that we’re looking with neighbouring renewables producers,
at in our own efforts to expedite the country’s who are more likely to follow global market
energy transition.” trends, Nazmi said.
If this initiative is adopted, it is likely to This issue, when considered along-
bring forward the current goal of 40% renew- side what are still deemed excessive costs
ables by the mid-2030s, given Kuala Lum- associated with large-scale battery storage
pur’s current rate of installation. investment and production, makes further
At present, though, Malaysia does not moves to build on the 25% of renewable
permit power generated from renewables power generation already in place tricky
to be exported. With power-hungry Thai- at best.
land to the north, however, and one of the At worst, as good as things look now,
world’s most important ports in Singapore Malaysia risks being ignored by foreign
on its southern border, and Indonesia as investors as the region moves further away
the most populous nation in Southeast Asia from coal, and deeper into renewables
to the south-east, this may be a point being territory.™

P6 www. NEWSBASE .com Week 12 22 •March•2023