Malaysia’s residential, commercial and industrial consumers who wish to reduce their carbon footprint can opt for energy generated from renewable power sources by paying Green Electricity Tariff (GET).
The Energy and Natural Resources Ministry (KeTSA) has said that the program will be open from December 1, 2021. The consumers will begin receiving green electricity under the program from January 1, 2022.
With the implementation of the GET program, consumers will have an option to purchase low-carbon electricity without owning rooftop solar or other renewable energy projects.
Electricity supply from renewable sources can be increased based on demand. GET customers will incur an additional MYR 0.37 (~$0.087)/kWh through this program. Those who subscribe to GET will receive a certificate confirming that the power supply is from a renewable source through the Malaysia Renewable Energy Certificates (mRECs) registered with an international certification body.
The energy will be sold in 100 kWh blocks for residential customers and 1,000 kWh blocks for industrial consumers.
KeTSA minister Takiyuddin Hassan said GET will offer 4.5 TWh of electricity from renewable sources annually. This is equivalent to the capacity that could cater to 600,000 housing units for one month.
The renewable energy for GET Program will be generated by solar projects under the Large-Scale Solar program and Tenaga Nasional Berhad’s or its subsidiary’s hydropower plants and any other renewable energy projects which the government may approve from time to time.
KeTSA said it will commit to supplying 31% of electricity from renewable sources.
Nine leading companies that have stated their commitment to subscribe to GET to obtain 100% electricity supply from renewable sources have received mRECs.The companies include CIMB Bank Berhad, Dutch Lady Milk Industries Berhad, Nestle (Malaysia) Berhad, Tenaga Nasional Berhad (TNB), Gamuda Berhad and HSBC Amanah Malaysia Berhad.
In January, KeTSA had announced its New Energy Metering Program 3.0 (NEM 3.0), which aims to incentivize the export of excess solar energy into the grid by consumers with solar photovoltaic systems.
In June 2020, KeTSA announced a 1 GW solar tender. The tender was floated under the fourth round of the nation’s Large-Scale Solar program initiated by the Malaysian government to attract investments in the renewable sector. This was the largest capacity ever tendered by the Malaysian government.