Malaysia's energy transition to accelerate into 2026 on solar, carbon policies
Summary
Malaysia's energy transition will accelerate into 2026 driven by aggressive renewable energy targets, solar projects, and new carbon-related policies that boost clean power demand.
Key Points
- Malaysia aims for a 70% renewable energy mix by 2050 as per its National Energy Transition Roadmap.
- A 4GW solar project under Large Scale Solar 5 (LSS5) and LSS5+ programs is underway, with LSS6 expected in 2026.
- Introduction of a carbon tax in 2026 will increase grid power costs, encouraging renewable energy adoption.
- Malaysia's Carbon Capture, Utilization, and Storage (CCUS) Act in 2025 provides regulatory support for carbon mitigation technologies.
