NEM Rakyat (NEM 4.0)

In a significant move aiming to catalyse the transition towards renewable energy within the domestic sector, the Malaysian Government has formally announced the inauguration of the Solar for Rakyat Incentive Scheme (Solaris). This precisely targeted initiative is set to bolster the integration of solar photovoltaic (PV) technology in residential properties, facilitated through the established Net Energy Metering (NEM) programme.

Strategic Move to Harness Solar Energy

The Deputy Prime Minister, accompanied by the portfolio of Minister of Energy Transition and Water Transformation, Datuk Seri Fadillah Yusof, elucidated that motivating homeowners to install solar PV systems represents a tactical manoeuvre. This strategy not only maximises the utilisation of residential rooftop space but also significantly contributes to the renewable energy generation (REG) landscape.

“Among various renewable energy sources, solar PV systems hold a particularly promising potential for widespread adoption in residential contexts. This aligns seamlessly with our governmental vision of increasing the REG’s contribution to our national electricity supply matrix to 70% by the year 2050. Concurrently, this initiative is pivotal in our efforts to reduce carbon emissions from the power sector,” he articulated during a press statement on Wednesday (March 27).

Solaris: A Catalyst for Solar Adoption

With the roll-out of Solaris, there is an optimistic forecast regarding the acceleration of solar energy adoption under the NEM programme. The scheme introduces an enticing rebate of RM1,000/kWac, subject to a maximum of RM4,000, for new applicants of the NEM Rakyat who forward their applications to the Sustainable Energy Development Authority (SEDA) Malaysia starting 1 April.

Datuk Seri Fadillah Yusof further clarified that this scheme is universally accessible to all Malaysian citizens who are account holders of TNB and are applying for the NEM programme for the first time. Each eligible individual is entitled to a one-time claim under this scheme.

He outlined that rebate allocations would be governed on a ‘first-come, first-served’ basis for NEM Rakyat quotas requested from 1 April until 31 December 2024. It is imperative for approved applications under the NEM Rakyat to be operational by 31 March 2025, or until the depletion of available Solaris rebate quotas, with the earlier occurrence taking precedence.

Ensuring Seamless Implementation

Moreover, disbursements linked to the rebate for installation and operationalisation of the solar PV system under the NEM Rakyat programme will be processed directly to the respective bill holder’s local bank account upon completion. This process will adhere strictly to specified claim conditions, with TNB being responsible for overseeing the distribution of incentives.

For individuals seeking detailed insights into the programme, information is comprehensively available through the official websites of TNB, SEDA Malaysia, and the Energy Commission.

Expanding the Horizon of Renewable Energy

In a further demonstration of commitment towards enhancing public participation in REG production, Datuk Seri Fadillah Yusof disclosed the governmental approval for an additional allocation of 100 megawatts under the NEM Rakyat programme. This augmentation raises the total available quota to an impressive 350MW.

The application window for the NEM Rakyat Programme quotas will extend until 31 December 2024, or until the fully allocated quotas are exhausted, subject to which occurrence is sooner.