The electricity surcharge used to fund Malaysia’s feed-in tariff (FiT) will be increased from 1.0% to 1.6% from next year, the country’s Sustainable Energy Development Authority (SEDA) has announced.
The levy on electricty bills has been used to fill the country’s Renewable Energy Fund, which in turn makes payments to FiT consumers.
In October the country formally closed the residential FiT scheme to new applications for the year with the final 1.5MW quota snapped up within an hour of its release in September.
In the first two years of operation, SEDA claims 482MW of renewable capacity has been approved with 193.8MW of that being PV.
SEDA chairman Datuk Dr Yee Moh Chai claimed the government was keen to cut its reliance on fossil fuels.
“As a country’s economy is strongly pegged to the price of energy, the ability to achieve a certain level of energy autonomy will help to create a more robust and resilient economy,” said Datuk Dr Yee.
The increase in the levy comes into force on 1 January 2014. Further FiT application rounds are expected next year.