The government of Malaysia has unveiled the next round of its Large-scale solar (LSS) program tender seeking 2.5GW of solar PV co-located with 1.25GW of battery energy storage system (BESS) capacity.
Held by the Ministry of Energy Transition and Water Transformation, the sixth round of LSS will be implemented through three packages, two of which involve co-locating solar PV with BESS.
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The first package will seek 2.2GW of solar PV with 1.1GW of BESS and is open to all developers, while the second and third packages are open to Bumiputera developers in Peninsular Malaysia – companies owned by ethnic Malays or other indigenous peoples from Malaysia. The second package aims to award 300MW solar PV with 150MW, while the third package will be for 150MW of standalone solar PV.
Biddings for the two co-located packages are set between 60MW and 500MW, while the third package is set between 10MW to 30MW. The third package was created to encourage the participation of small Bumiputera companies that are interested in venturing in the energy industry, said the Energy Ministry.
The window for projects to bid in the two solar-plus-storage packages will be open between 27 July until 7 August 2026, while the standalone solar one will be open between 17-28 August 2026.
Moreover, project development focus will be given to strategic areas with high electricity demand growth, in particular in the south of the Peninsula. This is in order to optimise the planning of the country’s electricity generation and transmission system.
According to the Ministry, the construction of large-scale solar-plus-storage projects is aimed at increasing the country’s electricity grid stability, flexibility and reliability.
Projects using domestically produced solar PV modules will be given priority, while awarded projects under LSS6 are expected to begin commercial operations no later than the end of 2029. With 2.5GW of solar PV sought in the LSS6, the tender will further accelerate the growth of solar PV, and BESS, in the Southeast Asian country, which has a little bit over 3GW of installed solar at the end of 205, according to data from think tank Ember.
Interest in co-locating solar PV with BESS continues to increase in Malaysia, as shown last year with investment from the World Bank in one of the largest solar-plus-storage projects in the region. The US$6 billion project aims to build a 4GW solar PV and 5.12GWh BESS complex in the Southeast Asian country, which will form part of a pan-Southeast Asian power grid initiative.
Furthermore, the implementation of LSS6 is forecast to attract MYR13-15 billion (US$3.2-3.7 billion) in private investment and create up to 20,000 job opportunities during the development and construction period of the awarded projects.
