Govt waives KWTBB charge from Aug 1 to boost renewable energy
The exemption covers the Green Electricity Tariff (GET) initiative, Corporate Renewable Energy Supply Scheme (CRESS) and Community Renewable Energy Aggregation Mechanism (CREAM).
PETRA stated that the measure aligns 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, PETRA hopes to incentivise users, particularly corporates and industries, to continue supporting the country's energy transition agenda towards achieving a 70 percent renewable energy mix in electricity supply by 2050,' the statement read.
PETRA added that the move is also expected to spur more progressive and positive growth in the renewable energy industry.
PETRA said the 1.6 percent charge on electricity tariffs, introduced in 2011, was established to fund the growth of renewable energy in Malaysia through the Feed-in Tariff (FiT) mechanism implemented by the Sustainable Energy Development Authority (SEDA) Malaysia.
'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 has also boosted electricity generation from biogas, biomass, and small hydropower sources, which now collectively contribute 855 MW to the national supply, PETRA added.
It said that following the implementation of the new electricity tariff structure on July 1, the government reviewed existing renewable energy programmes and resolved to further promote the adoption of renewable energy among electricity users. - Bernama
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