Datuk Seri Dr Maximus Ongkili, Malasia’s Energy, Green Technology, and Water Minister, said that the Malaysian Government sought to exploit solar and wind energy to reduce fuel subsidies for diesel-fired power generation by Sabah Electricity Sdn Bhd. Currently, between $105-140 million is spent on subsidising diesel fuel.
Dr Ongkili said that the Cabinet was looking to reduce the amount of diesel subsidies by half over the next three years. He said: “It is not only wasteful, but also inefficient, as it leaves a large carbon footprint, which defeats Malaysia’s commitment to the Paris Agreement to reduce greenhouse gas emissions.”
He said his Ministry and the Sustainable Energy Development Authority have approved 58 MW of solar power, of which 50 MW would be generated under a large-scale solar method developed jointly by Tadau Energy and Edra Global Energy. Dr Ongkili said: “This is entirely funded by the private sector, while creating job opportunities for locals.”
In addition, Kudat and Kota Marudu have been identified for wind energy development, where it has been estimated that up to 300 MW could be exploited.
Dr Ongkili said that there were plans to set up a research centre for renewable energy in Kudat, which would see collaboration between local universities and ASEAN energy institutes.