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All You Need to Know About Large Scale Solar in Malaysia

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large scale solar malaysiaLarge Scale Solar Malaysia (LSS) is known as a government-led competitive bidding programme that is aimed at driving down the cost of Levelized Cost of Energy (LCOE). This is done via a scheme that allows businesses to conduct electricity generation activities with their own solar photovoltaic farms.

As electricity is generated by these solar farms, it will be sold to the grid – this entire process will be administered and over watched by the Energy Commission of Malaysia, and the selection for potential companies running these solar farms will be done via competitive bidding.

 

 

Why Is Large Scale Solar needed in Malaysia?

The progress of Large Scale Solar Malaysia in Malaysia is driven by our country’s target of becoming the second-largest producer of solar photovoltaic (PV) energy globally.

This can be achieved by increasing our current output levels from 12% to 20%, and this will also benefit Malaysian by reducing our greenhouse gas emissions by as much as 45% by 2030.

While Malaysia’s current efforts to drive LSS has been commended worldwide, there is still room for growth as the aim for LSS to produce 2.5GW of electricity (roughly 10% of Malaysia’s electricity demands) will require significantly more players in the field to take on solar farms in Malaysia.

 

How do you qualify to bid for Large Scale Solar Malaysia programme?

To  be successful in any bidding process for the LSS programme, it is mandatory that applicants send in a technical qualification application in response to the Request of Qualification by the Energy Commission (or Suruhanjaya Tenaga). This documentation must succinctly provide both the technical and financial capabilities of the company for the completion of the LSS project that it is bidding for.

It is also compulsory for foreign applicants that applications must always be submitted by Malaysian-incorporated companies, where a Malaysian individual is holding a minimum of 51% of its shares. It can be also a consortium of owners where at least one Malaysian company owns a minimum of 51% of its shares.

Secondly, the project and the relevant bidder should be fully detailed in a series of official documentation. This is in addition to a compulsory Power System Study (PSS), where additional technical information regarding the bidded project and a thorough technical assessment of several issues will be carried out.

A successful bidder that best balances its offering of technical expertise, solid financial background and a competitive cost of energy production will then be awarded the contract by the Energy Commission. Then, the winning bidder will reach a Power Purchase Agreement with a selected utility provider.  

large scale solar lss

 

Next Energy provides winning technical expertise for any LSS bidding projects 

With its competitive bidding landscape, LSS programmes will be difficult to secure without a trusted and authoritative technical solutions provider.

With Next Energy as your partner, we can materialize your bid for any LSS projects on time and on budget.  

Drop us a message of your needs and our SEDA-certified engineers or customer experience consultants will get in touch with you shortly.

Other than Large Scale Solar Malaysia or large scale solar projects, do check out our latest blog post for more juicy information about renewable energy , solar plants and many more.

 

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