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Asia-Pacific

Malaysia

With a power score of 2.06, Malaysia ranks number 38 among Emerging Markets and number 10 in the Asia-Pacific region

Power score

2.06/5

12345

Score over time

2021 - 2024

44
2021
39
2022
21
2023
38
2024

Overview

Malaysia has a power score of 2.06, which puts it at rank 38 in the Emerging Markets power ranking. In comparison to 2023, Malaysia has dropped in the power rankings by 17 places, from rank 21, to rank 38.

At 2.06, the power score of Malaysia is better than than the regional average of 1.94 in the Asia-Pacific region and puts it at rank 10 in the region.

Regional comparison chart

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Malaysia

Power

Power policy

Malaysia implements policies in 7/9 power policy categories tracked by Climatescope, including Renewable energy target, Renewable energy auction, Feed-in tariff, Net metering, Import tax incentives, Priority grid access, and Renewable Energy Certificates.

Power policies

Renewable energy target
Renewable energy auction
Feed-in tariff
Net metering
Import tax incentives
VAT incentives
Priority grid access
Renewables mandate
Renewable Energy Certificates

Power prices and costs

The average electricity price in Malaysia has dropped from 78.19 USD/MWh in 2022 to 73.26 USD/MWh in 2023. Since 2017, the average electricity price in Malaysia has fluctuated between 73.26 USD/MWh (2023) and 85.33 USD/MWh (2018).

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Power market

The top amount of capacity installed in Malaysia in 2023 was in Coal at 38.72%, down from 39.46% in 2022. The technology with the biggest increase in capacity installed in 2023 was Utility-scale PV at 3.85%, up from 3.15% in 2022.

Installed capacity (in MW)

20002005201020152020010K20K30K40K MW

Electricity generation (in GWh)

20002005201020152020050K100K150K200K GWh

The top amount of electricity generated in Malaysia in 2023 was in Coal at 43.87%, up from 40.59% in 2022.

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Investment in clean energy in Malaysia was around $704.64 million in 2023, an increase of 103.97% from 2022 ($345.46 million). Between 2018 and 2023, the highest investment in clean energy was in 2023 at $704.64 million, while the lowest was in 2019 with $328.84 million.

Utility privatisation

Which segments of the power sector are open to private participation?

generation: Yes
transmission: No
retail: No

Doing business and barriers

Type

Question

Availability

Currency of PPAs

Are other PPAs (eg. corporate PPAs) signed in or indexed to U.S. Dollars or Euro?

No

Type

Question

Availability

Bilateral power contracts

Can a C&I (Commercial and Industrial) customer sign a long-term contract (PPA) for clean energy?

Yes

Type

Question

Availability

Fossil fuel price distortions - Subsidies

Does the government keep the wholesale price of electricity from fossil fuels artificially low through subsidies?

Yes

Type

Question

Availability

Fossil fuel price distortions - Taxes and carbon prices

Does the government significantly increase the wholesale price of electricity from fossil fuel through targeted taxes and/or carbon prices?

No

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