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Malaysia Energy Transition Roadmap

Malaysia launched its National Energy Transition Roadmap (NETR) on July 27, 2023 with a strong focus on transforming the economy and creating potential business opportunities in the energy sector. Phase 1 of the NETR unveiled 10 flagship catalyst initiatives that aim to attract investments and generate job opportunities while reducing CO2 emissions by over 10 million tons annually.

The major business opportunities highlighted in the NETR are as follows:

  • ASEAN’s Largest Solar Plant: Malaysia plans to build a one-gigawatt integrated solar photovoltaic (PV) plant, the largest of its kind in Southeast Asia. This project presents significant investment opportunities for companies in the renewable energy sector, including solar equipment manufacturers, EPC contractors, and operators.
  • Household Rooftop Solar Initiative: The NETR introduces a mechanism that allows households to earn income by leasing out rooftops for solar panel installations. This initiative opens up opportunities for businesses in the solar leasing and installation sector.
  • Renewable Energy Zone: The establishment of a one-gigawatt integrated renewable energy zone provides potential investment opportunities in the renewable energy sector.
  • Large-Scale Solar Parks: The plan to set up five centralized large-scale solar parks, each with a capacity of 100MW, co-developed by national power utility company TNB, offers opportunities for companies involved in solar project development and operations.
  • Energy Storage Systems: The NETR emphasizes the need for utility-scale energy storage systems, which opens up opportunities for companies specializing in energy storage technologies and solutions.
  • Green Hydrogen and Carbon Capture and Storage: The roadmap highlights initiatives in green hydrogen production in Sarawak and carbon capture and storage projects. These initiatives create potential opportunities for companies in the hydrogen and CCS sectors.
  • Future Mobility and Charging Infrastructure: The NETR includes the installation of 10,000 charging stations along highways and commercial buildings by 2025. This development could present opportunities for companies involved in EV charging infrastructure and services.
  • Biomass Demand Creation: The plan to use used cooking oil and waste as feedstock for biomass and biofuels creates opportunities in the biomass and bioenergy sectors.

Overall, the NETR advances a range of investment opportunities across the renewable energy sector and related industries in Malaysia. Businesses that align their offerings with the country’s energy transition goals have the potential to thrive and contribute to Malaysia’s economic and environmental objectives. Phase 2 of the NETR will be launched in the second half of 2023.

If you represent a U.S. company with relevant technology or expertise and are keen to explore renewable energy opportunities in Malaysia, please contact Commercial Specialist Mohan Gurusamy at office.kualalumpur@trade.gov.