Electricity
Electricity
In Malaysia, electricity, the lifeblood of modern society, flows through a dynamic network powered by a diverse mix of primary and secondary energy sources. From the roaring turbines of conventional fuel plants to the silent sun-kissed panels of solar farms, this complex system drives the nation's progress, illuminating homes, fuelling industries, and powering countless daily activities. This intricate journey, from natural resources to the hum of electrical appliances, is a testament to Malaysia's commitment to innovation, sustainability, and a secure energy future.
History
Policy & Act
Peninsular Malaysia
Act
-> Electricity Supply Act 1990:Electricity Supply (Exemption) Notification 1994: P.U. (B) 156
-> Electricity Supply Act 1990: Exemption Under Section 54: P.U. (B) 324
-> Electricity Supply Act 1990 [Act 447]
-> Energy Commission (Amendment) Act 2010
-> Electricity Supply (Amendment) Act 2015 [Act A1501]
Regulations
-> Licensee Supply Regulations, 1990
-> Electricity Regulations 1994
-> Electricity Supply (Compounding of Offences) Regulations 2001:
P.U. (A) 408
-> Efficient Management of Electrical Energy Regulations 2008 [P.U.(A)444]
-> Electricity (Amendment) Regulations 2013 P.U (A)151
-> Electricity (Amendment) (No.2) Regulations 2014 P.U.(A)136
-> Electricity (Amendment) Regulations 2014 P.U.(A)73
-> Electricity Supply (Compounding of Offences) Regulations 2017
Sabah
Sarawak
-> Energy Commission of Sabah Enactment 2023
-> The Electricity Ordinance- Chapter 50 (Revised 2003)
-> The Electricity Rules, 1999
-> The Electricity (State Grid Code) Rules, 2003
Framework
Ministry of Energy Transition and Water Transformation (PETRA)
Responsible for formulating policies, regulations, and strategies related to the energy sector including electricity.
Energy Commission (Suruhanjaya Tenaga)
The Energy Commission ensures the efficient and reliable supply of electricity and protects the interests of consumers and industry players.
Ministry of Utility and Telecommunication (MUT)
The Ministry of Utility and Telecommunication (MUT) oversees various utilities, including electricity and telecommunication in Sarawak, Malaysia.
Energy Commission of Sabah (ECoS)
The Energy Commission of Sabah (ECoS) regulates Sabah's energy sector, setting policies, issuing licenses, and collaborating with Single Buyer (SESB) to improve electricity procurement, distribution, and pricing efficiency in the state.
Renewable Energy Development Authority Malaysia (SEDA)
SEDA is an agency under Ministry of Energy Transition and Water Transformation (PETRA) responsible for promoting and facilitating the development of renewable energy in Malaysia including solar, biomass and hydropower projects.
Tenaga Nasional Berhad (TNB)
TNB is the largest electricity utility company in Malaysia that responsible for the generation, transmission, and distribution of electricity to consumers throughout Peninsular Malaysia and the eastern state of Sabah.
Sarawak Energy Berhad (SEB)
SEB is the electricity utility company responsible for the generation, transmission, and distribution of electricity in the state of Sarawak.
Sabah Electricity Sdn. Bhd. (SESB)
SESB is the electricity utility company responsible for the generation, transmission, and distribution of electricity in the state of Sabah. Single Buyer Sabah is a unit under SESB to manage the procurement of electricity and ensuring the balance between supply and demand within the region's power system.
Single Buyer (SB)
SB is responsible for purchasing electricity from power generators and selling it to distribution licensees. SB function is performed by the Energy Commission (ST) through its subsidiary, the Sustainable Energy Development Authority (SEDA).
Grid System Operator (GSO)
GSO responsible for operating and managing the high-voltage electricity transmission grid. The GSO function is carried out by TNB that operates the transmission network, ensures grid stability, and facilitates the movement of electricity from power plants to distribution networks.
Independent Power Producers (IPPs)
Private companies that produce electricity to sell to both utilities and consumers. IPPs are crucial to the country's electricity supply, adding to the overall generation capacity and helping to maintain a stable power supply to accommodate increasing energy needs.
Supply Chain
Electricity generation begins at the power plant. It is a process of generating electric power from the primary energy sources. The technology in generating the electricity varies depending on the type of energy used in the plant.
In Malaysia, most of the energy sources used in the power plants are from the fossil fuels (coal, natural gas, and petroleum), hydro and renewable energy sources (solar, biomass, mini-hydro).
Coal is typically sourced domestically or imported. The procurement process involves negotiating contracts with coal suppliers, transportation logistics, and ensuring quality standards.
Natural gas is sourced either domestically from gas fields or imported via pipelines or liquefied natural gas (LNG) terminals.
Bioenergy refers to energy derived from biological sources, including plants, animals, and organic waste. Malaysia being a major producer of palm oil, generates significant amounts of palm oil residues like empty fruit bunches, palm kernel shells, and palm oil mill effluent.
Electricity is generated at power plants using the chosen energy sources. Malaysia has a diverse mix of power generation facilities including coal and natural gas plant, biomass plant, hydroelectric plant and solar plant.
Malaysia has coal-fired power plants that utilize coal as a primary fuel source for electricity generation. These power plants burn coal to produce steam, which drives turbines connected to generators.
Malaysia has natural gas power plants that utilize domestically produced natural gas as well as imported liquefied natural gas (LNG).
Biomass plant convert organic materials such as palm oil residues including empty fruit bunches and palm kernel shells into electricity through combustion or other processes.
Biogas plant produce energy by breaking down organic matter such as palm oil mill effluent (POME) to generates biogas which is then used to power generators.
Malaysia has several hydroelectric plants harness the energy of flowing water to generate electricity, involve damming rivers to create reservoirs, with water released to drive turbines, generating electricity as it flows through.
Solar power plant harness sunlight using photovoltaic (PV) panels or concentrated solar power (CSP) systems to generate electricity. Malaysia has a favorable climate with ample sunlight, making it conducive for solar energy generation.
Malaysia imports of electricity to meet its growing energy demands to avoid shortages and ensure a stable supply, helps enhance energy security by reducing reliance on domestic power plants and cost-effective during peak demand periods.
Biogas plant produce energy by breaking down organic matter such as palm oil mill effluent (POME) to generates biogas which is then used to power generators.
Once electricity is generated, it is transmitted via the national grid to distribution centers and then distributed to consumers.
Transmission
Transmission lines carry high voltage electricity over long distances. By adhering to transmission licenses issued by Energy Commission (Suruhanjaya Tenaga) to authorize companies to transmit electricity across the national grid and ensure compliance with regulatory standards, transmission code and grid codes.
National Grid of Electricity: https://www.tnb.com.my/commercial-industrial/malaysian-grid-code
Distribution
Distribution networks deliver electricity to homes, businesses, and industries. By adhering to distribution licenses issues by Energy Commission (Suruhanjaya Tenaga) to authorize companies to distribute electricity to end-users. The distribution code ensures the reliability, safety, and efficiency of electricity distribution to consumers across Malaysia.
Transmission Network in Circuit - Kilometres, 2021
Sources: TNB, SESB & SEB
Retail sector in Malaysia encompasses various categories of consumers and activities, including industrial, commercial, residential,export, and transportation sectors.
Manufacturing facilities and factories that require significant amounts of electricity to power their operations that often have high electricity demand and may have specialized requirements.
Consists of businesses, offices, retail outlets, and service providers that utilize electricity lighting, water heating, cooling, and other operational needs.
Households that use electricity for lighting, appliances, heating, cooling, cooking, and other domestic products.
Heads of ASEAN Power Utilities/Authorities (HAPUA) is an organization that facilitates collaboration and cooperation among power utilities and authorities in ASEAN member countries. Malaysia involves the export surplus electricity generated within Malaysia to meet the energy needs of neighboring regions or to support cross-border electricity trading initiatives within the ASEAN region.
Includes train and electric vehicles (EV), charging stations, and other infrastructure related to electric mobility.