4. • Final energy intensity on
declining trend
• Strong co-relation between
Industrial energy intensity &
Final energy intensity
Source: National Energy Balance 2010
0
10
20
30
40
50
60
70
80
90
100
toe/RMMillion(at2000prices)
Final Energy Intensity Industrial Energy Intensity
0.00
0.02
0.04
0.06
0.08
0.10
0.12
0.14
0.16
0.18
0.20
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
GWh/RMMillion(at2000prices)
Electricity Intensity
Electricity intensity
stabilised
5.
6. National Energy Policy (1979)
6
Supply Objective: Ensure the provision of
adequate, secure and cost-effective energy
supply.
Utilization Objective: Promote efficient
utilization of energy and eliminate wasteful
and non-productive patterns of energy
consumption
Environmental Objective: Minimize
negative impacts of energy production,
transportation, conversion, utilization and
consumption on the environment.
7. 7
EE Regulatory Framework
Electricity Supply (Amendment) 2001-Act A1116
Empowers the Minister to promote the efficient use of
electricity
(Section 23A, 23B & 23C)
Determine efficiency standards;
Installation to meet efficiency requirements; and
Equipment to meet efficiency requirements
Efficient Management of Electrical Energy Regulations
2008
Requires installations consuming 3 million kWh or more over a 6-
month period to engage a registered energy manager to:
analyse total consumption of electrical energy;
advise on the development and implementation of measures to ensure efficient
management of electrical energy; and
8. Current Development on EE Regulatory
Framework
The amendment of Electricity Supply Regulations 1994 to enable the
enforcement of the Minimum Energy Performance Standards (MEPS) on
electrical appliances and lighting equipment (incandescent, CFL & LED).
The MEPS will phase-out inefficient incandescent bulbs (below 20
lumens/Watt) by 2014.
9.
10. Green Technology Fund Scheme(GTFS)
Initial RM1.5 billion fund shared by government and banks to improve the supply and
utilization of green technologies in Malaysia
2% subsidized interest rate of the total interest/profit rate
Any technology that suitable for the identified project criteria provided it is a proven
technology
FEATURES PRODUCER OF GREEN TECHNOLOGY USER OF GREEN TECHNOLOGY
Financing size Maximum: RM50 million per company
Maximum: RM10 million per
company
Financing tenure Up to 15 years Up to 10 years
Eligibility criteria
Legally registered Malaysian -owned
companies (at least 51%) in all
economic sectors
Legally registered Malaysian -
owned companies (at least
70%) in all economic sector
www.gtfs.my
11. Fiscal Incentives For EE & RE
Projects And Products
• Introduced by the government to promote
EE & RE
• Companies implementing EE measures in
their premises (…2015)
Investment Tax Allowance
Accelerated capital allowance
import duty exemption
sales tax exemption
GBI Certified Buildings(…2014)
Energy Efficient Products(…2012)
import duty exemption
sales tax exemption
Implementing Agencies:
MIDA – Business & Other Services
Division(Application)
Energy Commission(Technical assessment)
www.kettha.gov.my
www.st.gov.my
12. Incentives Energy Efficiency
Projects & Products
Companies Providing Energy
Conservation Services (ESCO)
Companies Incurring CAPEX For
Conserving Energy For Own
Consumption
Pioneer Status
Investment Tax
Allowance
Import duty and sales
tax exemption
Investment Tax Allowance
Import duty and sales tax
exemption
Importers – exemption of
import duties& sales tax for
products
Locally manufactured
products-exemption of
sales tax
13. Green Buildings
Owners Of Buildings Awarded
With The GBI Certificate Buyers Of Buildings And
Residential Properties Awarded
With The GBI Certificates Bought
From Real Property DevelopersTax exemption
equivalent to 100% of
the additional capital
expenditure incurred
to obtain the GBI
Certificate
Stamp duty exemption on
instrument of transfer of
ownership of such building.
Amount of stamp duty
exemption is on the
additional cost incurred and
is given only once to the first
owner of the building
13
14.
15. Energy –Efficient Buildings: Demonstration Projects
Building Targeted BEI
Low Energy Office (LEO) – MEGTC
Completed in 2004
100kWh/m2/yr
Green Energy Office (GEO) - MGTC
Completed in 2008
Certified rating (GBI)
65kWh/m2/yr
Diamond Building – Energy
Commission
Completed in 2010
Platinum rating (Green Mark & GBI)
85kWh/m2/yr
16. Energy-Efficient Equipment: Rating And Labeling
Refrigerator
Wall mounted split unit air
conditioner
Domestic fans (standing,
ceiling, table)
Television
The list is available at
www.st.gov.my
17. 2011 TOTAL TARGET
ENERGY SAVINGS
127.3GWh
Type of
Appliances
Fridges Air -
Conditioners
Chillers
Allocation
Target # of
Units
100,000
units
65,000 units 72,000RT
Offered
Rebates
Per Unit
RM200 RM100 RM200
Total
Budget
RM20mil RM6.5mil RM14.4mil
2011
Target
Savings1
Energy 24.9GWh 48.75GWh 53.6GWh
Cost RM5.4mil RM10.6mil RM16.8mil
CO2
(tons/year)
17,181 33,638 36,992
Estimated
Lifetime
Savings2
RM38mil RM74.4mil RM252mil
Expected Total Energy Savings2 : 1,319.6GWh (equivalent to RM364.2mil)
SAVE
Program
1 Target energy and cost savings at
current tariff rate
2 Lifetime saving for fridge and air
conditioner in 7 years; for chillers in
15 years
18. Adaptation from US Dept. of Energy, Measurement & Verification Guidelines, Version 3.0,
time
(year)
Electricity Bill
During EPC contract
period
Lower Electricity
Bill
After EPC Contract
period
Electricity
bill saved
Before EPC Contract
Period
Electricity bill
before EPC
implementation
Payment to
ESCO
Government’s
Savings
Saving for
Government
Baseline
Lower
Electricity Bill
Saving for
Government
EPC Saving Mechanism
19.
20. NEEMP’s main objective is to enhance the nation’s energy
efficiency & conservation initiatives over a 10-year period.
NEEMP is focused on the industrial sector, buildings and
equipment .
NEEMP’s targets are:
Targets Short
(3rd Year)
Medium
(6th Year)
Long/Total
(10th Year)
Electricity Savings
(GWh)
2,774 14,840 50,594
Monetary Savings
(RM Mill)
832 4,373 14,627
Electricity consumption
reduction (%) 1.3 3.4 5.6
21. Programs Plant and
Processes
Industrial
Technologies
High Efficient
Motors
Cogeneration
Policy Tools Incentives
(Soft loans)
Incentives
(Grant)
Incentives
(Cash rebates)
Regulatory
Awareness Awareness MEPS Awareness
Awareness
Public Fund
(RM, Mill)
401 295 2 0
Private Fund
(RM, Mill)
2,649 570 174 750
Electricity
Savings
(GWh)
22,388 4,950 934 3,675
22. Programs Govt Buildings Commercial
Buildings
New Buildings
Policy Tools Incentives
(Financial)
Incentives
( Financial & Tax)
Building Codes
(MS1525)
Awareness Awareness Awareness
Public Fund
(RM, Mill)
69 127 5
Private Fund
(RM, Mill)
235 589 1,260
Electricity Savings
(GWh)
2,038 3,914 932
23. Programs EE Refrigerators EE Lightings EE Air-
Conditioners
EE Fans
Policy Tools MEPS MEPS MEPS MEPS
Labeling Labeling Labeling Labeling
Incentives
(Cash Rebates)
Incentives
(Cash Rebates)
Incentives
(Cash
Rebates)
Awareness Awareness Awareness Awareness
Public Fund
(RM, Mill)
50 2 19 17
Private Fund
(RM, Mill)
1,118 127 1,294 751
Electricity
Savings
(GWh)
2,079 3,056 5,983 645