Biomass, biogas, municipal solid waste, solar and mini-hydro are all possible answers to renewable energy sources. And beyond 2020, solar energy could surpass all other forms of renewable energies for Malaysia. All we need are laws to make it possible.
IN view of the depleting conventional energy sources, global warming and climate change issues are becoming a serious global concern. The Energy, Green Technology and Water Ministry has been tasked with providing sustainable and long-term national solutions to address the challenges.
Malaysia has been very fortunate to be blessed with fossil fuel energy resources. With the fast depletion of fossil fuel resources, our ministry has been tasked with the responsibility of securing alternative energy sources.
The main objectives of the National Energy Policy are to ensure the provision of adequate, secure and cost-effective energy supplies through developing indigenous energy resources; both non-renewable and renewable energy resources from within and outside the country.
Fossil fuel that the world relies on heavily today generates harmful carbon dioxide (CO2) and other greenhouse gases, which have resulted in extreme changes in global climate. As a result, there are now extreme weather conditions such as drought, flash floods as well as food and water shortages in some parts of the world.
We need to be in control of the alternative fuel sources such as indigenous renewable sources without relying on others for supply.
Any new and alternative sources of fuel must provide us with energy autonomy as well as spur new socio-economic growth in the country.
In addition, there must be distributed wealth creation for the people through new job opportunities, development of vibrant green economic activities and a healthier place for society to live in.
This has to be the mantra for Malaysia’s blueprint of alternative energy sources.
Renewable Energy (RE) has been recognised as clean and sustainable. While many are concerned about the high investment costs for green energy, the good news is — market demand for an alternative sustainable source will drive the price down.
According to a research published by the International Energy Agency, it is estimated that as the renewable energy market doubles, the price of RE will be reduced by at least 20%. As the cost of conventional fuel is projected to rise, there will be a point in time when both the price of RE and conventional fuel, i.e. gas or coal, are equal.
When this happens, the country is said to have attained grid parity. Countries currently racing close to grid parities are Japan and some southern European countries. Thus, using renewables in place of fossil fuel resources to generate electricity will be a preferred choice as it is environmentally friendly.
However, until we attain grid parity, Malaysia will need comprehensive and holistic policy instruments in place to generate the market for RE.
In July, Prime Minister Datuk Seri Najib Tun Razak launched the Green Technology Policy, which is a catalyst for green technology development for the country. In line with the policy, our ministry has established the Renewable Energy Policy and Action Plan (REAP), where we are now ready for the implementation stage, pending the approval from the Cabinet.
The sources of RE identified under this policy and action plan are biomass, biogas, municipal solid waste, solar and mini-hydro. Under the REAP, we have also set the medium and long targets of RE growth.
By 2015, the estimated potential for electricity from sources such as biomass and biogas is 330MW and 100MW, respectively. For the same period of time, mini-hydro is estimated to have a power generation capacity of 290MW, while that of solid waste is about 200MW.
Solar Photovoltaic (PV) is estimated to have a cumulative capacity of 55MW in 2015.
Beyond 2020, it is predicted that solar energy will surpass all other forms of renewable energies for Malaysia. This is very feasible given that solar energy is the only renewable technology which does not require land area (example, PV in buildings’ applications) and is suitable for urban applications.
Last month, Dr Hermann Scheer, the German parliamentarian who pioneered the Feed-in Tariff (FIT) programme in Germany was invited to Kuala Lumpur to share his experiences in driving national policies on renewable energies.
The FIT is a mechanism that allows electricity that is produced from renewable energy sources to be sold to power utilities at a premium price for a specific term. This principle has been adopted in more than 40 countries.
Germany is a world leader in RE for power generation and today the country has the highest grid-connected renewable energy in the world (34GW last year), while to-date, Malaysia has managed to generate a bit more than 40MW of RE.
The FIT is seen as the most effective mechanism to drive renewable energy development aggressively.
For this mechanism to be effectively implemented there is a need for an effective legal instrument to be in place.
Therefore, there is a need for us to put in place the Renewable Energy Act. This Act will pave the way for a new era for renewable energy development in the country.
As RE is relatively new in the power generation sector, the Government must provide the necessary support and legal tools for it to grow exponentially.
The people must equally embrace this non-traditional way of consuming power for a greener world.
Dr Halim, the ministry’s secretary-general, can be contacted at halimman@kettha.gov.my
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