Govt Maintains Solar Energy Credit Scheme For Over 96,000 Rooftop Users

PUTRAJAYA, July 1 (Bernama) -- The government will continue to allow over 96,000 existing rooftop solar users under the Malaysian Building Integrated Photovoltaic (MBIPV) and Net Energy Metering (NEM) schemes to earn electricity bill credits for the excess solar power they generate and export to the grid.

In a statement today, the Energy Transition and Water Transformation Ministry (PETRA) said the continuation of the solar credit scheme aligns with the implementation of a new electricity tariff structure, effective today, that ensures fairness and transparency.

Under the updated framework, these credits will differ slightly based on which programme users are enrolled in, and for how long their systems have been active.

At present, there are over 82,000 solar photovoltaic (PV) systems with a combined capacity of 1.7 gigawatts (GW) in operation, with another 14,000 systems (595 megawatts) under development.

The ministry noted that MBIPV users will receive credits for energy, network and capacity use for five more years, until Dec 31, 2030, while NEM 1.0 users will continue earning credits based on the displaced cost (the cost the utility avoids when solar energy replaces electricity from the grid) for ten years, until Dec 31, 2035.

Meanwhile, NEM 2.0 and 3.0 users will receive similar credits for ten years from the date their solar system was installed.

It added that incentive rates and calculations will be adjusted as needed to ensure the system remains fair for all electricity users and to provide equitable incentives to eligible MBIPV and NEM users, including energy efficiency rebates or other related benefits.

To standardise how credits are applied across all rooftop solar programmes, the ‘settlement period’ or the time frame for calculating and applying these credits, will now be fixed at 12 months, replacing the previously varied timeframes.

For users whose original credit period has ended, PETRA said they have the option to switch to other ongoing solar initiatives, such as the Solar for Self-Consumption (SelCo) programme or the Community Renewable Energy Aggregation Mechanism (CREAM).

They may also install energy storage systems or join any new solar schemes the government introduces, it said.

With the conclusion of the NEM programme on June 30, rooftop solar installations will now continue under the improved SelCo programme, which allows for larger system sizes and more flexible installation setups, following earlier announcements by the government.

-- BERNAMA