In the exercise of the powers under section 63 of the Renewable Energy Act 2011 (‘REA’), the Minister of Energy, Science, Technology, Environment and Climate Change of Malaysia issued the Renewable Energy (Amendment of Schedule) (No.3) Order 2019 (‘Amendment Order’) to amend the Schedule to the REA.
 
In essence the Amendment Order will amend the Schedule to the REA as follows –
 
A. Biomass
 
The effective period for fee-in-tariff for all forms of biomass resources described in the Schedule is increased from 16 years to 21 years from the feed-in-tariff commencement date.
 
B. Small hydropower
 
The feed-in-tariff rate and the qualifying criteria for small hydropower installations is amended as follows –

 

 
Prior to the amendment, the feed-in-tariff for small hydropower installations was divided into three categories, namely installations having an installed capacity not exceeding 2MW, installations having an installed capacity exceeding 2MW but not exceeding 10MW and installations having an installed capacity exceeding 10MW but not exceeding 30MW with prescribed basic feed-in-tariff rates of RM0.26, RM0.25 and RM0.24 per kilowatt hour respectively.
 
The Amendment Order comes into operation on 23 December 2019.
 
Alert prepared by Anita Natalia (Senior Associate) of Skrine.