Meru, Ipoh, Perak, 10 December 2025: The Sustainable Energy Development Authority
(SEDA) Malaysia has highlighted Perak’s significant opportunities for accelerating its
renewable energy (RE) transition, particularly by focusing on the state’s inherent
strengths in the solar, hydro, and bioenergy sectors.
At the GREEN TECH PERAK 2025 PANEL FORUM, titled Environmental, Social &
Governance (ESG) for Industrial Advantage, SEDA’s Chief Executive Officer, YBhg.
Dato’ Hamzah bin Hussin, presented a detailed overview of the state’s potential and
outlined its key priorities for the next five years.
Perak’s Strong Renewable Energy Foundation and Potential
Perak have already established a substantial RE base and possesses clear potential for
expansion. As of October 2025, SEDA has awarded 260.36 MW of projects in Perak
under the Feed-in Tariff (FiT) Programme, with the largest capacity coming from small
hydro (161.49 MW), followed by biogas (47.079 MW) and biomass (27.5 MW). A recent
SEDA study further identified approximately 78.85 MW of additional viable small hydro
potential along suitable rivers in Perak, affirming its status as a hydro-rich state. For the
Net Energy Metering (NEM) programme, Perak has been awarded 207.46 MW of quota,
with most of the uptake (112.49 MW) being from the NEM3.0 NOVA category, primarily
driven by commercial and industrial users.
SEDA recommends that Perak prioritise Hydro and Small Hydro over the next five years,
as this aligns directly with the Perak Sejahtera 2030 goal to expand mini hydro projects,
especially to supply clean and reliable energy to communities not fully connected to the
main grid. Second, the state should continue to support Industrial and Commercial Solar
because the demand pattern is already strong under the NOVA programme, even when
Accelerated Transition Action Programme (ATAP) replaces NEM, factories and
businesses in Perak’s industrial corridors will remain major buyers of rooftop solar and
green electricity.
Finally, there is room to grow Bioenergy (Biogas and Biomass), which is supported by
Perak’s agriculture and agro-industry profile and can complement the state’s energy mix.
Furthermore, pre-feasibility findings by the Minerals and Geoscience Department
Malaysia (JMG) in 2016 indicated a geothermal potential of approximately 162 MW in Ulu
Slim, Perak. The state is also well-positioned to attract green manufacturing in solar
components and battery systems.
SEDA’s Key Priorities (2025–2028) for National RE Transition
SEDA’s strategic focus areas for the next three to five years begin with efforts to Scale
Up Rooftop Solar Growth by ensuring stable and predictable policy frameworks,
supported by more digitalised and user-friendly processes. The Authority will also Expand
Community-Energy Programmes to widen public participation through community-based
models and shared participation structures. A major focus is to Strengthen Data
Governance and Reporting to track RE performance accurately, support evidence-based
decision-making, and improve transparency. In parallel, SEDA will Support Emerging
Technologies, including battery storage, modern bioenergy systems, and hydrogen pilot
projects. Finally, SEDA aims to Build a Competent Green Workforce through structured
green-jobs pathways and targeted micro-credential programmes, alongside efforts to
Enhance State-Federal Alignment to standardise processes and reduce administrative
bottlenecks.
SEDA Strategies for Addressing Industrial Transition Challenges
SEDA is focused on streamlining adoption and providing critical support to address
industry challenges. SEDA can streamline rooftop solar approvals by improving
coordination between state and federal processes, which shortens approval timelines.
SEDA will also continue supporting clean energy adoption through expanded green
electricity and corporate procurement mechanisms under CRESS to help companies
meet ESG expectations. The common challenge of High Upfront Costs can be reduced
through leasing arrangements, third-party financing models, and access to green loan
programmes. Issues of Limited Technical Understanding are addressed by strengthening
capacity-building programmes, advisory clinics, and clearer technical documentation. For
industries facing Grid Constraints, solutions include joint planning between TNB, state
authorities, and investors. Reliability Concerns are mitigated by encouraging the adoption
of hybrid systems and storage solutions. Furthermore, industries without available on-site
resources can participate by purchasing Renewable Energy Certificates (REC) or
leveraging Green Electricity Tariff (GET) options. Lastly, Compliance and Reporting
Demands can be eased by providing templates, digital tools, and awareness programmes
that simplify reporting and certification.
Attracting RE Investors and Preparing Industries
SEDA provides guidance on attracting investors and preparing industries for upcoming
requirements. To attract investors, states like Perak can provide clear zoning for solar,
hydro, and bioenergy projects. They should also promote “RE-ready” industrial parks pre
assessed for grid access and actively highlight the state’s 78.85 MW of viable small hydro
potential as a ready-to-develop pipeline. Regarding industry preparation, companies
should be preparing mandatory energy reporting by organizing their energy-use data,
appointing or training internal energy managers, and conducting basic energy audits. Key
steps also include setting internal consumption targets, upgrading old equipment, and
adopting automation and smart metering for real-time tracking.
In his concluding remarks, YBhg. Dato’ Hamzah bin Hussin stated, “Perak has clear
strengths it can build on, especially in solar and hydro projects… With coordinated action
between the state, federal agencies, investors and industries, Perak can position itself as
a leading hub for renewable energy development and help drive Malaysia’s broader
transition toward a cleaner, more resilient and more competitive energy future”.
ENDS.
