Hello everyone! Are you excited about renewable energy and energy efficiency effort in Malaysia? I am thrilled to see the positive growth that Malaysia has undertaken in order to avoid being solely dependent on fossil fuels to generate electricity. Let us get to know the steps for interested personnel in the country who would like to generate renewable energy and sell it out to Distribution Licencees (DLs) such as TNB, Nur and SESB in order to generate passive income. SEDA Malaysia is the implementer of Feed-in Tariff program for development of renewable energy in Malaysia.
First of all, individuals or corporate sectors that are interested in installing solar PV system must contact PV service provider and get the provider to do the installation and help you apply for the Feed-in Approval. Directory for PV service providers can be obtained from www.seda.gov.my > Directory > click on RE Industry Directory. There are over 100 PV service providers in Malaysia ready to assist you so be sure to survey for price comparison and check on their past projects and experiences in this industry. Proven track record, accountability and reliability are very important indicators to ensure the quality and durability of the PV system installation.
There are certain criteria for the individuals interested in applying for the Feed-in Tariff mechanism:
-Malaysian citizen aged 21 years and above
-Ownership of the landed property with evidence to prove relationship between leaser and leasee
-Each individual is limited to two applications
-Each application should not exceed 12kW installation capacity and must have different address.
Complete the eligible criteria found in www.seda.gov.my under Feed-in Tariff > How to Become a Feed-in Tariff Approval Holder > Solar PV Installations <72kw b="">If you are interested, here is what you need to do:72kw>
There are two registration stages for Feed-in Approval application and they are:
1) Profile registration:
-A copy of MyCard
2) Project registration:
- Copy of documents proving the Applicant’s ownership of the site, or other conditional or unconditional rights.
-Copy of Land Title of the landed property.
- Copy of fee payment receipt.
-Copy of system Engineering Drawing prepared by your appointed Service Provider.
-Copy of wireman certificate(s) issued by the Energy Commission to the Qualified Person(s) prepared by the Service Provider.
-Copy of certificate in solar photovoltaic system design from any institution recognized by the authority, also provided by the Service Provider.
There are some administration fees imposed upon application. Total application fee for a 4 kW installation capacities is RM 310 for application made through manual submission and RM 200 for application through electronic delivery. Payment can be made through online transfer or cheque payable to SEDA Malaysia’s account.
Malaysia’s Feed-in Tariff system requires the Distribution Licensees (DLs) such as Tenaga Nasional Berhad and NUR Distribution Sdn. Bhd. (NUR) with this year’s addition of Sabah Electricity Sdn. Bhd (SESB) to buy from renewable energy producers the electricity produced by them. FiT rates are set by SEDA Malaysia with approval from KeTTHA to pay for the renewable energy supplied to the electricity grid for a specific duration.
By having access to the grid and setting a favorable price per unit of renewable energy, the FiT mechanism also ensures that renewable energy becomes a viable and sound long-term investment for companies, industries and individuals. This can happen very easily if consumers are registered under SEDA Malaysia as one of the producers of renewable energy through solar panels, small hydro power, biomass and biogas at their homes or private lands.
The Cabinet has also agreed for the surcharge on consumers’ electricity bills that has been gazetted and collected from consumers. 1% surcharge is needed to achieve the target capacity of renewable energy in the long run. As of 2013, 1% surcharge was imposed on all electricity customers and domestic electricity consumers are obliged to contribute to the surcharge only if their monthly electricity consumption exceeds 300 kWh or RM 77 a month.
This money is channelled into the Renewable Energy Fund and administered by SEDA Malaysia to pay the premium Feed-in Tariff rate to those producers who generate electricity from renewable resources at homes or in industrial companies. However, as of January 2014, this surcharge increases by 0.6% to be 1.6 % for current electricity users. This increase will also affect the consumers in Sabah and Wilayah Persekutuan Labuan as they are charged with 1.6% of their electricity bills for the first time. Please refer to www.seda.gov.my for more news and information about this tariff. Take care and God bless, I will see you later!