The Ministry of Economic in Malaysia has adopted the National Energy Transition Roadmap (NETR), with the goal of accelerating energy transition and promoting the shift from fossil fuel-based economic model to a green economy. NETR seeks to open up investment opportunities up to RM 1.85 trillion.
The roadmap is divided into two phases. The first phase was officially launched on July 27th, including 10 key catalyst initiatives: energy efficiency, renewable energy zone, utility-scale energy storage systems, energy security, green hydrogen, hydrogen and ammonia co-firing project between Tenaga Nasional and Petronas, biomass demand creation, future mobility, future fuels, and carbon capture and storage.
The total annual investment of these flagship projects is about RM 25 billion (about USD 5.5 billion), creating 23,000 job opportunities and reducing more than 10,000 Gg of carbon dioxide equivalent emissions. By 2050, NETR plans to open investment opportunities of between RM 435 billion to 1.85 trillion (about USD 96.3 billion to 409 billion).
Key projects in the first phase include the development of floating solar on Petronas' hydroelectric dams, with a potential total capacity of 2,500 MW for power generation and energy storage; 4.5 MW of rooftop solar on residential buildings, with a capacity up to 10 kW per household; and the Integrated Renewable Energy Zone will be promoted by Malaysia’s Khazanah Nasional Berhad and implemented through a joint venture between UEM and ITRAMAS, making it the largest solar PV power station in Southeast Asia.
Malaysian Economy Minister Rafizi Ramli promised that NETR is not just a policy document; instead, it represents a different way of thinking about the economy and livelihoods. For example, rather than requiring every household to buy expensive solar panels, the government wants to provide an income-generating opportunity. “We intend to give every household the option to lease their roof in exchange for monthly income, lowering their electricity bills and boosting their income,” he said.
The second phase will focus on developing low-carbon pathways, national energy mix, emissions reduction targets, and the enablers needed for the energy transition. This phase will be released in a month.
