Building Investment (Jan - Feb 2017)

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Special Feature Solar energy to empower consumers Net Energy Metering (NEM) augmenting the growth of Solar PV market. Contributed by Sustainable Energy Development Authority (SEDA) Malaysia. SOLAR PHOTOVOLTAIC (PV) has taken centre stage in the renewable energy scene for the past decade. With the ever increasing efficiency of the PV modules and decreasing price, harnessing energy from the sun appeals to everyone - after all the sun is free. In Malaysia the development of Solar PV market started off with the implementation of the SURIA 1000 programme under the Malaysia Building Integrated Photovoltaic (MBIPV) Project (2006-2010) where capital subsidies were offered for PV systems for residential and commercial applications. The programme was a success and this led to the implementation of the Feed-in Tariff (FiT) Mechanism by Sustainable Energy Development Authority (SEDA) Malaysia on 1 December 2011. The FiT obliges distribution licensees such as Tenaga Nasional Berhad (TNB) and Sabah Electricity Sdn Bhd (SESB) to buy energy generated from renewable energy (RE) producers at pre-defined FiT rate. Solar PV under the FiT grew and due to fund constraint, no more solar PV quota will be released under the FiT post 2017. To ensure sustainable growth in the distributed solar PV market, the Eleventh Malaysia Plan (RMK11) has meted out a new programme whereby the country is implementing its 500MW capacity under the new Net Energy Metering (NEM) scheme. The NEM is also implemented by SEDA and the scheme commenced on 1 November 2016 and will conclude in 2020. As the worldwide cost of solar PV system continues to reduce significantly each year, the energy consumer can benefit by generating their own energy using solar PV via net metering scheme. NEM allows an eligible consumer to install a solar PV system primarily for his own use and the excess energy to be exported to the national grid at a prevailing displaced cost prescribed by the Energy Commission (ST) Malaysia. The credit shall be allowed to be rolled over for a maximum of 24 months. This scheme is applicable to all domestic, commercial and industrial sectors as long as they are the customers of TNB (Peninsular Malaysia) and SESB (Sabah and FT Labuan). With its yearly 100MW capacity quota, 90MW will be allocated for the Peninsular and the remaining 10MW for Sabah. NEM’s target is to hit up to 500MW after five years of its implementation. The Ministry of Energy, Green Technology & Water (KeTTHA) Malaysia is the responsible ministry helming this green agenda with the Energy Commission (ST) Malaysia and Sustainable Energy Development Authority (SEDA) Malaysia both as the regulator and implementing agency respectively. On 6 October 2016, in conjunction with IGEM 2016, the NEM scheme was successfully launched by YB Datuk Seri Panglima Dr Maximus Johnity Ongkili, the Minister of Energy, Green Technology & Water (KeTTHA). In order to create awareness on this new scheme to the public and industry players, SEDA Malaysia held two stakeholder engagement sessions in both the Peninsular and Sabah to gain insightful information among the stakeholders. The first engagement session was held on 19 October 2016 at The Everly Hotel, Putrajaya and the second on 7 November 2016 at Le Meridian, Sabah. Solar PV array converts energy from sunlight into electricity. The inverter converts the electricity produced by the solar array from direct current (DC) to alternating current (AC). PV meter measures the energy generated by the solar PV system. Conceptual Framework of the NEM. The Bidirectional Meter. Indicates energy usage and excess energy produced. Excess energy not used by your home goes back to the electricity grid. Energy used by your home from the electricity grid. Utility pole / distribution line. YB Minister of Energy, Green Technology & Water (KeTTHA) Datuk Seri Panglima Dr Maximus Johnity Ongkili officially launched the Net Energy Metering Scheme in Malaysia on the 7th October 2016 in conjunction with IGEM 2016. Apart from promoting cleaner generation of electricity, NEM scheme also encourages Malaysian to play an active role in RE generation which at the same time addresses the climate agenda and national energy security. By generating their own clean energy, typical consumers are now prosumers whereby they are both producers and consumers of electricity. Under the NEM, prosumers will contribute to the reduction of CO 2 emission, hence reducing the carbon foot print and mitigating climate change. 16 Building & Investment | www.b-i.biz
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Building Investment (Jan - Feb 2017)

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