Malaysia’s Solar Potential In 2035: 95% Untapped Opportunities With NETR Implementation – Report

A new report by Ember, a global energy think tank, has highlighted the critical role of solar power and grid flexibility in ensuring Malaysia’s future electricity affordability and security.

The report, titled “Solar and Grid Flexibility Critical for Malaysia’s Future Electricity Affordability and security,” outlines how Malaysia can leverage its abundant solar resources to achieve a more sustainable and resilient energy system.

According to Ember, solar generation in Peninsular Malaysia was 53% cheaper than fossil fuels in 2023. This cost advantage, coupled with the country’s ample solar potential, makes solar a compelling option for meeting Malaysia’s growing electricity demand.

However, the report also emphasizes the importance of grid flexibility to ensure the seamless integration of solar power into the electricity grid. This includes measures such as battery storage, demand-side response, and advanced grid management technologies.

“Malaysia’s National Energy Transition Roadmap (NETR) sets an ambitious target of reaching 70% renewable energy capacity by 2050,” said Dr. Dinita Setyawati, Senior Electricity Policy Analyst at Ember. “Solar power is poised to play a central role in achieving this goal, but it’s essential to invest in grid flexibility to ensure a stable and reliable energy supply.”

The report also highlights the potential benefits of solar power for Malaysia’s economy. By reducing reliance on imported fossil fuels, solar can help to lower electricity costs for consumers and businesses. Additionally, the development of the solar industry can create new jobs and stimulate economic growth.

To realize these benefits, Malaysia will need to implement a comprehensive policy framework that supports the growth of solar power and grid flexibility. This includes measures such as:

• Accelerating solar deployment: Introducing competitive auctions and feed-in tariffs to encourage solar investments.
• Promoting grid flexibility: Implementing market mechanisms to incentivize battery storage and demand-side response.
• Investing in grid infrastructure: Upgrading the electricity grid to accommodate increasing levels of renewable energy.

By taking these steps, Malaysia can secure a more affordable, reliable, and sustainable energy future for its citizens.