Don’t set too high RE targets, says minister

 

The government has set an RE target of 31% of generation capacity for 2025, reducing carbon emissions by 45%. (Bernama pic)

KUALA LUMPUR: Industry players should not urge Malaysia to set too high a target for renewable energy (RE) without thinking about the cost of electricity supply that consumers have to bear, said energy and natural resources minister Shamsul Anuar Nasarah.

In planning the country’s electricity supply, he said the government had taken the approach to balance three elements – guarantee of energy supply, affordability and sustainability.

He said the government had set an RE target of 31% of the generation capacity for 2025, hence, the electricity sector is expected to reduce the intensity of carbon emissions by 45% for the period.

“In addition, efforts to sustain the country’s electricity supply should also be implemented through consistent and transparent distribution policies and quota approvals to give investors confidence to continue investing in the country’s RE development industry,” he said.

The minister was speaking at the National Energy Awards (NEA) 2020, appreciation ceremony here today.

He said the government would also continue with the policy of approval of RE quota through open bidding to create a conducive RE industry development ecosystem which promotes fair competition and keeps tariff rates low.

Meanwhile, Shamsul Anuar said the average electricity disruption rate recorded in Peninsular Malaysia is less than 50 minutes yearly and the lowest compared with other countries in Southeast Asia.

In fact, he said the rate of electricity disruption in the peninsula is equivalent to developed countries such as Denmark, France and the UK, yet Malaysians pay lower tariff rates than those countries.

The NEA 2020 appreciation ceremony toasted 30 winning companies which later represented Malaysia at the Asean Energy Awards 2020 where 15 of them won in various categories.

Among the winners were Honda Showroom and Care Centre, Jelebu Hospital (Negeri Sembilan), Top Glove Factory 29, Amcorp Power Sdn Bhd, Concord Green Energy Sdn Bhd and Sime Darby Plantation Bhd. - FMT