Malaysia has, in its Tenth Malaysia Plan for 2011 to 2015,
re-emphasised its commitment to the use of renewable energy to meet the
country's growing energy demands and the sustainability of the
environment. This commitment can be seen through the enactment of the
Renewable Energy Act 2011 (RE Act) and the Sustainable Energy
Development Authority Act 2011 (Seda Act) coming into effect in December
2011, a significant milestone in the development of renewable energy in
Malaysia.
A feed-in tariff (FIT) system has been established under the RE Act
to enable electricity generated from approved renewable energy
installations by individuals as well as companies incorporated in
Malaysia to be sold at a premium FIT rate to electricity utility
companies/distribution licensees over a guaranteed period. Malaysia's
FIT system is based on the German model with the exception that there is
a yearly quota put in...