Solar power to drive Gadang's future earnings?
KUALA LUMPUR: The government is looking to approve several more solar photovoltaic (PV) companies with a total estimated investment of RM1.7 billion this year.
"We will announce it when the time comes," Malaysian Investment Development Authority (Mida) Deputy Chief Executive Officer Datuk Phang Ah Tong said in a media conference at the PV CellTech Conference 2016 here on Wednesday.
Solar PV is a method for converting energy from sunlight directly into electricity using large arrays of solar panels.
Earlier, Phang said one solar PV company, with a total investment of RM1 billion, has been approved so far this year.
"Malaysia's stategic position in the industry is now attracting global solar PV module manufacturers," he said, adding the country's PV cluster ecosystem comprises about 250 companies from upstream manufacturing to downstream services, including module supply chain, supporting industries and system integrators.
Phang pointed out that the PV industry is growing as the country has been diversifying its electricity generation mix and shifting to solar PV.
"Malaysia also expects to have installed about 1,250 MW of solar PV by 2020 from the current 230 MW following two mechanisms approved by the government namely net metering and utility scale solar.
"With support from the government, we are optimistic the target is achievable with these two mechanisms in place," he said.
Phang also said that solar energy now has become a popular approach to renewable energy usage as it is the easiest, compared with biomass, biogas and hydropower.
"Malaysia is now the world's third largest manufacturer of PV cells, with the industry contributing significantly to economic growth and job creation," he said, citing International Energy Agency data.
Malaysia also has the world's largest thin manufacturing site and is one of the top exporters of solar panels to the US, he noted.
"Five out of 10 of the world 's largest solar companies are operating in Malaysia with the PV industry recording revenue of RM20.8 billion last year," Phang said.- Bernama
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