There are three main initiatives to promote RE in Malaysia, including the Net Energy Metering (NEM) scheme, the large-scale solar (LSS) project scheme and self-consumption. 

NEM is a solar photovoltaic (PV) program that is being introduced to replace the FIT scheme under the 2018 budget. NEM applies to all the customers of TNB and SESB, including domestic, industrial and commercial sectors. The electricity generated from solar PV systems is consumed initially, and any excess will be exported to the grid. After, they sell to the Distribution Licensee (TNB/SESB) at a premium rate, predetermined by the Energy Commission. 

LSS refers to the generation of electricity by a photovoltaic power station that is classified as utility-scale or large-scale. The companies that are interested in establishing a large-scale solar plant must go through a bidding process announced by the Energy Commission. The licence will be granted to shortlisted companies only. 

Self-consumption (SELCO) allows the consumer to generate electricity from their own solar PV panel. This program is for individual usage only and any excess production is not allowed to flow into the grid. The program helps to reduce electricity bills due to the increasing cost of electricity.

RE sources are a good alternative to conventional power generation, as they help in lowering the GHG emissions and the accompanying global warming effects. Malaysia has aggressive targets to reduce carbon footprint in improving the nation’s power generation to transition to RE. Installing solar panels would be one of the most effective ways for us to cut down on our carbon footprint and electricity bills in the long term. Eventually, by having clean, affordable and renewable energy, we can transition to more sustainable living.