Malaysia’s Renewable Energy Target – 40% by 2035

April 2022

Malaysia’s Energy and Natural Resources Ministry has doubled the country’s green energy or Renewable Energy (RE) generation target to 18,000 megawatts (MW) by 2035, up from the current 8,700 MW. The energy transition plan, which will last until 2040, aims for a 31% RE in installed capacity by 2025 and 40% by 2035 through various green energy generation projects, including Large Scale Solar (LSS) projects.

The government is also aiming to boost the LSS program as the ‘flagship’ project for increasing renewable energy capacity in the national electricity generation mix. In March 2022, the Ministry announced new LSS projects in Sabah state. The LSS program has been implemented in Sabah by Energy Commission since 2017, with eight companies successfully bidding this year and signing the Energy Purchase Agreement with Sabah Electricity (a subsidiary of Tenaga Nasional Berhad, which is the largest electricity utility in Malaysia).

Under a development cost of MYR 268 million (USD 63 million), the LSS program will have 67 MW of total power generation capacity. The plants will be built in Sandakan, Tawau, Kunak, Beaufort, Papar, and Labuan districts and will include the design, supply, construction, operation, and maintenance of an LSS Photovoltaic Plant for energy supply in the areas. The project is expected to be fully operational in June 2023 and can reduce carbon emissions by up to 50,000 tons a year.

(Sources: New Straits Times; Enlit Asia)

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