Malaysia has announced the implementation of the Solar Accelerated Transition Action Programme (Solar ATAP), a new rooftop solar initiative aimed at expanding renewable energy generation through the use of building rooftops, effective from 1 January 2026.
The programme was announced by the Ministry of Energy Transition and Water Transformation (PETRA) as part of the government’s efforts to increase the share of renewable energy in the national electricity supply and reduce carbon emissions. Solar ATAP builds on earlier policy announcements issued by PETRA in September 2025 and is aligned with Malaysia’s long-term energy transition roadmap.
Under the programme, the Energy Commission (Suruhanjaya Tenaga) has issued detailed guidelines governing the implementation of Solar ATAP. These guidelines will be published on the Commission’s official website starting 31 December 2025, with applications opening on 1 January 2026 through the Sustainable Energy Development Authority (SEDA) Malaysia’s online portal.
Key enhancements introduced under Solar ATAP include the removal of a fixed quota for rooftop solar installations, although the government retains the authority to impose limits if uncontrolled solar penetration poses risks to national grid stability. The programme also maintains the Net Energy Metering (NEM) principle, allowing surplus electricity generated from rooftop solar systems to be exported to the grid as an energy offset.
The offset rate for exported electricity will be based on market-based electricity prices, applying the system marginal price (SMP) for non-domestic users and prevailing energy tariff rates for domestic consumers. In addition, the maximum allowable solar system capacity has been set at 100% of a consumer’s maximum electricity demand, enabling users to optimise rooftop installations for self-consumption.
For residential users, single-phase households will be permitted to install rooftop solar systems of up to 5 kW, while the allowable capacity for three-phase residential connections has been increased from 12.5 kW to 15 kW.
According to PETRA, the Solar ATAP programme is expected to provide consumers with greater flexibility to monetise rooftop space for renewable energy generation, while supporting the expansion of clean energy and contributing to national decarbonisation goals. The ministry said the initiative will strengthen Malaysia’s energy landscape over the long term and support the country’s aspiration to achieve 70% renewable energy capacity in the electricity mix by 2050.
PETRA added that the programme reflects Malaysia’s commitment to sustainable development and intergenerational responsibility, in line with the principles of Malaysia MADANI.
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