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Introduction
Malaysia is seeking foreign investments across high-end sectors including electric vehicles, carbon capture, and semiconductor. For this reason, the Malaysian government is en route to foster a conducive business environment, including creating greater and easier access to renewable electricity. For many industries, scope 2 emissions make up the largest portion of their carbon emissions. Sometimes capable entities may rely on on-site solar for self-consumption, but such option would not suffice the appetite of energy intensive entities.
Apart from self-consumption solar, currently there are mainly three ways for companies to green their energy use in Malaysia: 1) unbundled renewable energy certificates (RECs), 2) power purchase agreements (PPAs), and 3) the Green Electricity Tariff (GET) program. Each of the options have their advantages and considerations, companies should pursue the option, or a combination of options, most suitable to their targets and locations. This article delves into the existing ways and prospective measures companies may consider as they enter Malaysia.