SOLAR PV: POLICY, MARKET & INDUSTRY IN MALAYSIA

Transcription

1 SOLAR PV: POLICY, MARKET & INDUSTRY IN MALAYSIA 7 th April 2018 Presented by Gladys Mak (gladys@seda.gov.my) Director, Feed-in Tariff Division Sustainable Energy Development Authority (SEDA) Malaysia 50 th Task 1 Meeting, Pullman Hotel, Kuching, MALAYSIA

2 50 th Task 1 Meeting, Pullman Hotel, Kuching, MALAYSIA POLICIES DRIVING THE SOLAR PV MARKET IN MALAYSIA

3 Policies in Support of the PV Market in Malaysia Capital subsidy under UNDP-GEF Malaysia Building Integrated PV (MBIPV) Project ( ) (quota 1 MW); Feed-in Tariff (FiT) with quota offered on 1 st December 2011 and the last quota offered for Solar PV was in 2017, except for the MySuria* programme; Net Metering (NEM) launched in November 2016 with a proposed cumulative quota of 500 MW upto 2020; Large Scale Solar (LSS) introduced in 2016 with a proposed quota of 1,200 MW upto *Note: MySuria is a special programme by the GoM for a specialised group of citizens (B40) to be implemented in 2018

4 RE Connected to the Grid (as of 31/12/17) under the Feed-in Tariff No. RE Resource Accepted (MW) Approved (MW) Connected to the Grid (MW) 1 Biogas Biomass Small Hydropower Geothermal Solar Photovoltaic Individual Community Non-Individual ( 500 kw) Non-Individual (>500 kw) Total 2, ,

5 NEM Net Metering Total Cum. Capacity in 2017: 5.25 MW

6 Large Scale Solar (LSS)

7 Large Large Scale Scale Solar (LSS) Capacities Awarded Awarded Bidding Cycle 1 18 Projects (MW AC ) Bidding Cycle 2 40 Projects (MW AC ) Direct Award 8 Projects (MW AC ) Total = 66 Projects (MW AC ) Johor 29 39, ,99 Kedah , ,89 Kelantan 0 39, ,99 Melaka 0 6, ,8 Negeri Sembilan Pahang 50 59, ,916 Perak 79 69, ,87 Perlis 3, ,996 Pulau Pinang Selangor 50 37, ,942 Terengganu 22 34, ,99 WP Kuala Lumpur WP Putrajaya WP Labuan Sabah 11,9 39, ,5 Peninsula 383, , ,384 Sabah & Labuan ,5 TOTAL ,884 Source: Suruhanjaya Tenaga

8 Completed LSS Projects in 2017 Total Capacity Commissioned in 2017: MW (12 MW AC ) Source: Photo courtesy of Suruhanjaya Tenaga

9 The MySuria Programme ** The Honorouble PM s Announcement in the 2017 Budget Speech for a special Solar PV programme called MySuria for qualified and selected B40 Citizens** all over Malaysia ** houses with 3 kw installed capacity under the Feed-in Tariff mechanism in

10 50 th Task 1 Meeting, Pullman Hotel, Kuching, MALAYSIA SOLA PV INDUSTRY IN MALAYSIA: UPDATES

11 Solar PV Industry (as of 2017) In 2017, a steady growth was reported for the solar PV industry in Malaysia; captured in MIDA s Malaysia Investment Performance Report 2017 Over 90 % of the PV products were exported to Europe, US and Asia. In 2016: Manufacturers (Silicon Process & feedstock /ingots) technology Nameplate Capacity Elpion Si Metal Si 33,4 tonnes Tokuyama 1 Poly-Si 20 tonnes COMTEC 2 mc-si ingots 124 MW [1] Sold to South Korea s OCI Co Ltd in 2017 [2] In early 2017, LONGI agreed to buy over COMTEC Malaysia. In 2017: Manufacturers for Silicon Process & technology Nameplate Capacity OCIM Sdn Bhd Poly-Si 9,8 kilo ton

12 In 2018, the strategy for polysilicon by OCI: Source:

13 Production capacity (MW/yr) Ingot/Wafer/Cell Technology (estimat ed) 1. Longi Ingot Wafer (p-type mono) TOTAL Longi Cell (mono-si) Sunpower 1 N-type mono- Si 826,4 764,4 3. Hanwa Q-Cells P-type mc-si TS Solartech Mono & mc-si Jinko Solar mc-si JA Solar mc-si TOTAL 5 766, ,4 [1] SunPower took over its joint venture (JV) solar cell manufacturing operations in Malaysia from Taiwan-based partner AUO, a subsidiary of AU Optronics Corporation at a cost of US$170 million in 2016

14 Module manufacturer Technology Module Production Capacity (MW/yr) (estimated) 1. Hanwha Q-Cells P-type mc-si Longi Jinko Solar mc-si Flextronics c-si Panasonic HiT mono-si MSR Mono & mc-si PV HiTech mc-si Promelight Mono & mc-si Solartif mc-si 0,7 1 Sub-Total 4 682, Thin film manufacturers (estimated) 1. First Solar CdTe Grand Total 6 753,

15 Report downloadable here:

16 Key Findings on the Contribution of the Solar Industry to the Malaysian Economy

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19 THE FEED-IN TARIFF Impact and Outcomes

20 Impact 1: Increase in Grid Connected RE Cumulative Growth of Grid-Connected RE Capacity (MW) 600 Solar Photovoltaic Biomass Biogas 300 BASELINE: SRE P & MBIPV Small Hydro Geothermal Year

21 Impact 2: Reduction in Costs of PV Systems Cost (MYR)/kW 35, , , , , , , BASELINE: MBIPV PROJECT 20, , , , SOLAR INDIVIDUAL SOLAR NON-INDIVIDUAL 11, , , , , , , , Year

22 Reduction in Costs of PV Systems with Increase in Installed Capacities GROWTH OF INSTALLED CAPACITIES VS SYSTEM COST Capacity (MW) 300 Cost (MYR)/ kw , Solar Photovoltaic , , , , , , Year

23 Impact 3: Increase in Renewable Energy Jobs Solar Photovoltaic 27,908 Biomass 6,840 Biogas Small Hydro 4,127 4,187 Total Employment 43,617 Geothermal ,000 *Based on figures submitted to IRENA and includes the service sectors and manufacturing

24 Evolution of Renewable Energy Employment Solar Photovoltaic Biomass No. of Jobs 30,000 Biogas Small Hydro 25,000 20,000 15,000 5,686 7,941 9,913 10,103 7,740 6,840 6,405 Geothermal 10,000 5,000-6,837 4,224 4,797 3,538 4,127 4,144 2,492 1,923 4,389 4,005 1,989 4,487 4,187 4, , ,726 1, Total Employment* 25,424 Year *Jobs Created Directly from the Generation of RE under the FiT Mechanism

25 Impact 4: Human Capital Development Since 2012 Training Modules Organized by SEDA In Renewable Energy Solar PV Installation & Maintenance Course 17 GCPV Design Course 31 Publications CDP for GCPV Design 13 3 OCPV for Wiremen & Chargeman 29 GCPV for Wiremen & Chargeman GCPV: Grid-connected Photovoltaic OGPV: Off-grid Photovoltaic CDP: Continuous Development Program Total Training Sessions: 93 Total Publications: 9

26 Impact 5: Number of Workforce Certified Since 2011 No. of Skilled Workers GCPV Designer Wireman/Chargeman PV Installer OGPV Designer MBIPV/ Year

27 Impact 6: Number of Registered Solar PV Service Providers in Malaysia No. of Registered Solar PV Service Providers (RPVSPs) MBIPV/2011 *2012 *2013 Year *Estimated figure

28 Impact 7: Domestic/International Recognition of our RPVSPs Malaysian Service Provider Ditrolic Solar being awarded a 50MW project in Bangladesh Recipient of a Frost & Sullivan Excellence Award 2013 Recipient of a Sin Chew Award

29 Impact 8: Impact of the FiT Bonus for Local Assembly on the PV Industry RE developers enjoy a 5 sen/kwh FiT bonus rate on top of their basic FiT rate for using locally produced/assembled modules. This has led to an increase in production capacity among PV manufacturers Production of PV Module Production Volume (MW) (estimate) Year Export market Local Market *Statistics based on seven (7) PV module manufacturers surveyed in 2017

30 Impact 9: Impact of the FiT Bonus on the Local Market from the PV Industry Export market accounts for 97% share PV module sales order 97% 3% Local Market accounts for only 3% share of PV module sales order Production of PV Module For Local Market Between 2014 and 2017, it is estimated that 97 % of all PV modules assembled in Malaysia were exported for the overseas market. Production Volume (MW) However, since the local recognition initiative began in 2014, there is a steady stream of uptake in the local market With LSS, more production for local market is expected for (estimate) Year

31 MALAYSIA S LANDSCAPE TODAY A Gallery of Pictures Of RE Plants under the FiT Mechanism and LSS

32 Solar PV Installations In Malaysia 685kWp, Suria KLCC Sdn Bhd, Kuala Lumpur 13.0MWp, Cypark Suria Sdn Bhd, Pajam, Negeri Sembilan 646kWp, Robert Bosch (M) Sdn Bhd, Bayan Lepas 470kWp, Maglo Steel Service Centre, Shah Alam 32

33 5.3MWp (2013) Selasih Mentari Sdn Bhd Kuala Kawah, Negeri Sembilan Transformation of Land to Solar Farm

34 Solar Farm Ground Mounted Fortune 11 Sdn Bhd, Solar Farm with Single Axis Tracker 5 MWp at Sepang, Selangor

35 Solar Farm Ground Mounted Amcorp Power Sdn Bhd, 10.25MWp at Gemas, Negeri Sembilan

36 Solar Farm with BIPV Application 1MWp, TTL Energy Sdn Bhd, Papar, Sabah Solar Farm (BIPV) Agriculture (Yam cultivation)

37 Solar Farm with BIPV Application 1MWp, Green Leadership, Keningau, Sabah Solar Farm (BIPV) Aquaculture : Fish Cultivation

38 Solar Farm with BIPV Application 425kWp Solar Management Sdn Bhd Solar Farm (BIPV) Goat Farm

39 Solar PV - Retrofit 646kWp, Bayan Lepas, Pulau Pinang

40 Solar PV - Retrofit 180kWp, Lokkawi, Sabah

41 Solar PV in Government Buildings Ministry Of Energy, Green Technology & Water Ministry Of Agriculture Malaysia Greentech Corporation Energy Commision Headquarters

42 Solar PV Residential (3 12kWp)

43 Solar PV Residential (3 12kWp)

44 Solar PV Community Quota

45 Solar PV Community Quota Community Rehabilitation Centre, Ranau (24kWp)

46 Some Photos Showing On-going LSS Projects Source: Photo courtesy of Suruhanjaya Tenaga

47 Disclaimer The information contained in this PowerPoint slides is for general purposes only. While the Sustainable Energy Development Authority Malaysia ( SEDA Malaysia ) endeavours to keep the information up to date and correct, the information displayed herein is subject to changes and may no longer be accurate after the preparation date. SEDA Malaysia is not responsible for any errors or omissions, or for the results obtained from the use of this information, nor do we make any representation or warranty of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to this PowerPoint slides or the information contained in this PowerPoint slides for any purpose. Any reliance you place on such information is therefore strictly at your own risk. In no event will SEDA Malaysia, the Ministry of Energy, Green Technology and Water, the Government of Malaysia, or any of their related corporations, agents, employees or consultants be liable to you or anyone else for any decision made or action taken in reliance on the information in this PowerPoint slides or for any damages whatsoever, including without limitation, special, indirect, or consequential damages arising out of or related to the use or reliance of the information contained in this PowerPoint slides, whether by action in contract, tort or otherwise howsoever.

48 THANK YOU SEDA Malaysia, Galeria PjH, Level 9 Jalan P4W, Persiaran Perdana, Presint 4, Putrajaya, Malaysia. Phone : F1tteam@seda.gov.my Web:

49 Scheme Grid-Connected Solar PV Market Status Category No. of Applications (Aug 2017) Approved Capacity (MW) Commercial Operation No. of Applications Capacity (MW) FiT Sub-total , Individual , ,52 Community , ,85 Non-Individual , ,62 NEM Sub-total 101 3, ,31 Residential 72 0, ,42 Commercial 22 1, ,12 Industrial 7 1,77 7 1,77 LSS Sub-total ,90 Up to 5 MW 5 21,40 Up to 30 MW 7 120,5 Up to 50 MW Total , ,31

50 Large Scale Solar Bid Price (Aug 2017) Category P1 ( MW ac ) P2 ( MW ac ) P3 (10-30 MW ac ) Total No of Submissions /MW Peninsular Malaysia Lowest Bid Price RM/kWh Highest Bid Price RM/kWh 25 (72,3MW) 0,375 0,47 18 (171,9MW) 42 (1.198MW) 85 (1442,2MW) 0,37 0,46 No of Submission s /MW 19 (78,8MW) 12 (111MW) Sabah Lowest Bid Price RM/ kwh Highest Bid Price RM/ kwh Total Submissio ns 0,371 0, ,39 0, ,3398 0,5 na na na (189,8MW) 116 (1632MW) Available Quota: 360MW ac (x 4) in Peninsular Malaysia and 100MW ac (x 2) in Sabah (commercial operational by ); Exchange rate: US$1 = RM4,21 Source: