Industry players: Loo (left) and Wong.
PETALING JAYA: The Solar for Rakyat Incentive Scheme (SolaRIS) is a positive step in encouraging residential rooftop installations, say industry players.
The solar industry, through the Malaysian Photovoltaic Industry Association (MPIA), had been requesting such incentives for residential premises for the past 10 years, said its former committee member Edmund Loo.
“We welcome the policy. Unlike companies that can claim for the Gita (Green Investment Tax Allowance) incentive and enjoy low interest rates, houseowners have not been given any monetary incentive for adopting solar power under Net Energy Metering (NEM) scheme – not until now.”
SolaRIS was announced on Wednesday by Deputy Prime Minister Datuk Seri Fadillah Yusof.
He said the special initiative, which is expected to increase solar generation adoption, would provide rebates of RM1,000/kWac (kilowatt alternating current) up to a maximum of RM4,000 to new NEM Rakyat users who submit their applications to the Sustainable Energy Development Authority (Seda) on or after April 1.
Fadillah said SolaRIS aims to encourage the installation of solar photovoltaic (PV) systems in residential premises and would enable effective use of building roof space for renewable energy generation.
The rebates will be given on a “first come, first served” basis for NEM Rakyat quotas applied from April 1 until Dec 31.
These approved applications must be operational by March 31, 2025, or until all SolaRIS rebate quotas have been exhausted.
Loo said the government could also consider giving incentives to houseowners who had installed solar PV system before April 1 and who are currently waiting for their NEM meter to be installed, he said.
“The additional quota of 100MWac for NEM Rakyat is definitely a cheer for the market.
“It will be good if the relevant authorities can provide an early indication if there will be a bigger NEM Rakyat quota once the current balance of around 70MWac, plus the additional 100MWac, is fully subscribed and if the SolaRIS scheme would continue beyond this year.”
Seda-registered service provider and MPIA member Joe Wong said the potential of rooftops is much bigger and has not been utilised much.
Land cost is zero, he added, so premium agricultural or industrial land would not be used up.
“Perhaps in the next phase of NEM Rakyat implementation, the government can increase the quota to 1,000MW (megawatts) while allowing the limitation of maximum installation from the current 12kWac for three phase rated households to 25kWac.
“This will encourage more houseowners to install a solar PV system and help reduce their electricity charges,” he said.
The SolaRIS scheme is open to all Malaysian citizens with a one-time claim limit per individual who is a TNB account holder, and is also available to first-time applicants for the NEM programme.
