Fadillah: Govt aiming to spur residential solar PV installation via Solaris

• “Considering its significant potential, the installation of solar PV systems in residential premises should be expanded to support the government's efforts to increase RE capacity in the electricity supply system to 70% by 2050 and to reduce carbon emissions from the electricity supply sector.”

KUALA LUMPUR (March 27): The Ministry of Energy Transition and Water Transformation (Petra) has introduced a solar incentive scheme (Solar for Rakyat incentive scheme or Solaris) to encourage installation of solar photovoltaic (PV) systems by domestic users.

In a statement on Wednesday, Datuk Seri Fadillah Yusof, who is also deputy prime minister, said that solar PV installation in residential premises by domestic users represents a “quick win” in Putrajaya’s bid to boost its renewable energy (RE) efforts.

“Considering its significant potential, the installation of solar PV systems in residential premises should be expanded to support the government's efforts to increase RE capacity in the electricity supply system to 70% by 2050 and to reduce carbon emissions from the electricity supply sector,” Fadillah said.

Solaris will offer a rebate of up to RM4,000 per kilowatt alternating current (kWac) to new net energy metering (NEM) users who submit NEM applications to the Sustainable Energy Development Authority (Seda) Malaysia on or after April 1, 2024.

The scheme, which will be administered by the Tenaga Nasional Bhd (TNB), is open to all Malaysian citizens with a one-time limit per individual, who is a TNB account holder, as well as first-time applicants for the NEM Rakyat programme.

It is worth noting that the rebate is based on a “first come, first served” basis for NEM quotas applied from April 1 to Dec 31, 2024. Meanwhile, NEM Rakyat applications obtained must be operational no later than March 31, 2025, or until all Solaris rebate quotas are exhausted.

“The rebate payment will only be made after the installation and operation of the solar PV system under the NEM Rakyat programme, in the name of the bill holder and will be deposited into the user's local bank account, subject to the terms and conditions of the claim,” he said.

To further expand public involvement in RE, Fadillah said that the government has also agreed to approve an additional quota of 100 megawatts (MW) under the NEM Rakyat programme, increasing the allocated quota to 350MW.

Applications for quotas for the NEM Rakyat programme are open until Dec 31, 2024, or until all allocated quotas are exhausted, whichever comes first.

"With these provisions, Petra believes that Solaris can attract more domestic users to participate and benefit from the installation of solar systems in residential premises, thereby contributing to energy transition aspirations and the country's carbon-neutral targets by 2050," he added.

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