Latest news with #Feed-inTariff
The Star
4 days ago
- Business
- The Star
Renewable Energy Fund charge lifted for green initiatives
PUTRAJAYA: The government will exempt the 1.6% Renewable Energy Fund charge on electricity tariffs under renewable energy programmes effective Aug 1. This was disclosed by the Energy Transition and Water Transformation Ministry yesterday. The exemption covers the Green Electricity Tariff initiative, Corporate Renewable Energy Supply Scheme and Community Renewable Energy Aggregation Mechanism. The ministry said the measure aligned with the government's goal to accelerate the development and integration of renewable energy into the national electricity supply. 'With this exemption and related enhancements, the ministry hopes to incentivise users, particularly corporations and industries, to continue supporting the national energy transition agenda towards achieving a 70% renewable energy mix in electricity supply by 2050,' the ministry said yesterday, Bernama reported. The move was also expected to spur more positive growth in the renewable energy industry. The ministry said the 1.6% charge on electricity tariffs, introduced in 2011, was to fund the growth of renewable energy through the Feed-in Tariff (FiT) mechanism implemented by the Sustainable Energy Development Authority. 'Since the introduction of the FiT mechanism, the distributed renewable energy capacity in the national power supply system, particularly from solar sources, has grown significantly, from just 5 megawatts (MW) in 2011 to 5,100 MW,' the ministry said. FiT also boosted electricity generation from biogas, biomass and small hydropower sources, which now collectively contribute 855 MW to the national supply. The ministry said following the implementation of the new electricity tariff structure on July 1, the government reviewed existing renewable energy programmes and resolved to further promote renewable energy among electricity users.
The Sun
5 days ago
- Business
- The Sun
SunBiz 2025-07-24 03:58 PM
KUALA LUMPUR: Kinergy Advancement Bhd (KAB), through its wholly owned subsidiary KAB Energy Holdings Sdn Bhd, has secured feed-in approvals for two hydropower projects under the Sustainable Energy Development Authority's (SEDA) Feed-in Tariff (FiT) 2.0 initiative. This latest milestone adds a combined installed capacity of 8.04 megawatts (MW), comprising two facilities with outputs of 5.2 MW and 2.84 MW, respectively. Building on the success of its mini-hydropower project in Indonesia, acquired in August 2023 and powered by environmentally friendly run-of-river technology, the group is now expanding its hydropower footprint in Malaysia through these newly approved projects under SEDA's FiT 2.0 programme. As these projects progress, KAB's Sustainable Energy Solutions (SES) segment is poised to benefit from stable, recurring revenue over 21 years, enabled by SEDA's structured tariff framework. Under the scheme, the approved tariff rates are fixed at RM0.34/kWh for the first 10 years and RM0.32/kWh for the following 11 years. The group's strategic move to initiate its renewable energy (RE) journey with the Indonesian mini-hydropower project is now bearing fruit—fueling tangible growth and strengthening its domestic presence in Malaysia. KAB executive deputy chairman and group managing director Datuk Lai Keng Onn said the company's progression from Indonesia to Malaysia reflects the scalability and synergy of its SES segment. 'We continue to unlock the growth potential of our sustainable energy portfolio. The approval of more than 8.0 MW demonstrates a well-aligned regional strategy and reaffirms the group's commitment to advancing sustainable energy development across Southeast Asia. 'We aim to contribute meaningfully to Malaysia's energy transition goals by ensuring each initiative delivers impactful, long-term economic growth—while most importantly, enhancing national energy security,' he said in a statement. SEDA's FiT 2.0 initiative is designed to promote renewable energy investment, create jobs, and accelerate Malaysia's shift toward cleaner energy sources. Its transparent online bidding process has increased industry participation, boosted investor confidence, and supported the development of renewable energy infrastructure nationwide.
The Sun
5 days ago
- Business
- The Sun
KAB wins SEDA FiT 2.0 nod for two hydropower projects with 21-year fixed tariff
KUALA LUMPUR: Kinergy Advancement Bhd (KAB), through its wholly owned subsidiary KAB Energy Holdings Sdn Bhd, has secured feed-in approvals for two hydropower projects under the Sustainable Energy Development Authority's (SEDA) Feed-in Tariff (FiT) 2.0 initiative. This latest milestone adds a combined installed capacity of 8.04 megawatts (MW), comprising two facilities with outputs of 5.2 MW and 2.84 MW, respectively. Building on the success of its mini-hydropower project in Indonesia, acquired in August 2023 and powered by environmentally friendly run-of-river technology, the group is now expanding its hydropower footprint in Malaysia through these newly approved projects under SEDA's FiT 2.0 programme. As these projects progress, KAB's Sustainable Energy Solutions (SES) segment is poised to benefit from stable, recurring revenue over 21 years, enabled by SEDA's structured tariff framework. Under the scheme, the approved tariff rates are fixed at RM0.34/kWh for the first 10 years and RM0.32/kWh for the following 11 years. The group's strategic move to initiate its renewable energy (RE) journey with the Indonesian mini-hydropower project is now bearing fruit—fueling tangible growth and strengthening its domestic presence in Malaysia. KAB executive deputy chairman and group managing director Datuk Lai Keng Onn said the company's progression from Indonesia to Malaysia reflects the scalability and synergy of its SES segment. 'We continue to unlock the growth potential of our sustainable energy portfolio. The approval of more than 8.0 MW demonstrates a well-aligned regional strategy and reaffirms the group's commitment to advancing sustainable energy development across Southeast Asia. 'We aim to contribute meaningfully to Malaysia's energy transition goals by ensuring each initiative delivers impactful, long-term economic growth—while most importantly, enhancing national energy security,' he said in a statement. SEDA's FiT 2.0 initiative is designed to promote renewable energy investment, create jobs, and accelerate Malaysia's shift toward cleaner energy sources. Its transparent online bidding process has increased industry participation, boosted investor confidence, and supported the development of renewable energy infrastructure nationwide.
The Star
21-07-2025
- Business
- The Star
Govt policy boosts Samaiden's transition to RE asset owner
PETALING JAYA: Samaiden Group Bhd 's renewable-energy (RE) ambitions have received a timely boost following its latest success under Malaysia's Feed-in Tariff (FiT) 2.0 programme, with RHB Research reiterating its 'buy' call on the stock, keeping to a target price of RM1.44. The award of three new bioenergy assets – two biomass and one biogas plants – signals continued momentum in Samaiden's transition from an engineering, procurement, construction and commissioning (EPCC) contractor to an RE asset owner. 'We reiterate our positive stance on Samaiden's outlook following its latest win, which reinforces the group's strong position in the RE space,' said the research house. The new plants, awarded to Samaiden's subsidiaries Legasi Green Resources Sdn Bhd (88%-owned), Sumas Energy Sdn Bhd (51%) and SC Green Solutions Sdn Bhd (100%), collectively adds 18MW of installed capacity to the group's portfolio. They will be developed under a 21-year power purchase agreement (PPA), with the FiT 2.0 scheme offering a fixed tariff for the first 10 years, and a bidding-based mechanism thereafter. 'These assets further strengthen Samaiden's diversified RE portfolio – spanning solar, biogas, and biomass – and underscore its growing role in driving Malaysia's clean-energy transition,' said RHB Research in a note to clients yesterday. While earnings estimates remain unchanged for now, back-of-envelope calculations by RHB Research suggest the trio of plants could add around RM11mil to annual earnings, based on effective equity stakes. 'Management is guiding for a high single-digit to low double-digit internal rate of return (IRR),' said the research house, adding that capital expenditure for the plants is generally estimated at RM10mil to RM12mil per megawatt. The facilities are expected to be running by 2028. In addition to its asset-building plans, Samaiden also stands to benefit from EPCC contracts related to other shortlisted FiT 2.0 projects, with RHB Research noting potential upside to its valuation as contributions from these new bioenergy projects and Samaiden's large scale solar 5 (LSS5) asset are not yet included in the research house's base case. Seeing potential upside to its valuation of the stock, which had risen 24.8% in the last month, RHB Research is forecasting recurring net profit for Samaiden to rise 24.2% for its financial year ended June 2025 (FY25) and 41.6% in FY26.
Barnama
18-07-2025
- Business
- Barnama
PETRA Approves 48 Renewable Energy Projects, To Generate RM1.87 Billion In Investments
PUTRAJAYA, July 18 (Bernama) -- The Ministry of Energy Transition and Water Transformation (PETRA), through the Sustainable Energy Development Authority (SEDA) Malaysia, has approved the development of 48 Renewable Energy (RE) projects from biogas, biomass and small hydropower sources, with a total capacity of 181.25 megawatts (MW), under the Feed-in Tariff (FiT) mechanism. PETRA, in a statement today, said the approved RE projects were expected to generate investments worth RM1.87 billion in the renewable energy sector and would begin supplying green electricity to Tenaga Nasional Bhd (TNB) from as early as 2028. "The implementation of new RE projects under the Feed-in Tariff mechanism is part of PETRA's commitment to increasing the share of RE in the national electricity supply mix to 70 per cent by 2050. "The effort to boost the capacity of biogas, biomass and small hydropower sources will also strengthen the reliability of the country's electricity supply by diversifying RE generation sources and providing firm or consistent electricity supply,' the statement read. The ministry said it was confident that the FiT mechanism-based RE initiative would serve as a catalyst for a more progressive and positive growth of the domestic renewable energy industry, in line with the core principles of Malaysia MADANI, which emphasised sustainability, innovation and shared prosperity. 'The government announced the offering and opening of FiT approval applications totalling 190MW for three RE sources – biogas, biomass and small hydropower – from Jan 15 to Feb 19, 2025. PETRA said the government had invited eligible RE developers to submit applications for participation in an e-bidding process during that period. A total of 59 applications were received, with 48 that met the prescribed technical and financial criteria approved. The approvals comprise 20 projects with a total quota of 30.93MW for green electricity generation from biogas, eight projects with a quota of 53.50MW (biomass), and 20 projects with a quota of 96.82MW (small hydropower).
