KUALA LUMPUR: Eligible renewable energy developers under the Corporate Renewable Energy Supply Scheme (CRESS) Acceleration Package (CAP) will benefit from a fixed system access charge (SAC) of 14 sen per kilowatt-hour (kWh) for 10 years, while green consumers will be subject to a separate charge of four sen/kWh.
The Energy Commission (EC) said the revised charging structure was intended to give developers greater cost certainty while ensuring transparent, equitable allocation of costs and risks between developers and green consumers.
"For green consumers, a separate CRESS charge of four sen per kWh will apply based on the prevailing Regulatory Period 4 tariff,” it said in a statement.
The EC, together with Tenaga Nasional Bhd
, the single buyer and the grid system operator, held a briefing in Putrajaya on Oct 13 to provide further details on the CAP announced by the Ministry of Energy Transition and Water Transformation (PETRA) on Sept 18, including the enhanced SAC structure and measures to facilitate project implementation.
The EC said the fixed-rate arrangement would apply to eligible projects that achieve commercial operation date by Dec 31, 2028, subject to the stipulated eligibility criteria and conditions. Participating projects must also commit to a minimum contract period of 10 years.
The separate CRESS charge is based on green consumers’ electricity consumption and is distinct from project development costs and the SAC applicable to renewable energy developers.
The fixed-rate arrangement is intended to improve the predictability of system access costs, support project financing and enhance project bankability.
The EC said the separation of charges reflects the different activities, responsibilities and risks undertaken by developers and consumers.
"It is guided by the principles of cost reflectivity, equitable cost allocation, fair distribution of risks and transparency,” it said.
The commission also briefed industry participants on the basis for calculating the SAC and CRESS charge, including the underlying cost components, the allocation of costs between developers and green consumers, and potential savings under the CAP compared with the previous SAC structure.
However, the EC did not quantify the potential savings arising from the revised charging mechanism.
The CAP has attracted encouraging interest, with approximately three gigawatts of projects currently in the CRESS pipeline, reflecting continued interest in corporate renewable energy procurement and the potential for further growth in Malaysia’s renewable energy sector.
The EC is also working to further improve the CRESS framework, covering technical and operational requirements, contractual arrangements, procedures, and application documentation.
Supplementary amendments to the CRESS Guidelines incorporating the CAP, along with the relevant technical and procedural enhancements, are expected to be published by November 2026.
The improvements are intended to provide greater clarity for industry participants, facilitate project implementation and strengthen the overall CRESS framework.
CRESS enables renewable energy developers to supply electricity directly to corporate consumers through the existing electricity grid. - Bernama
