The better environment the better future for smart cities?

by Fleming. Team

Malaysia has a target to cut carbon emissions by 40% by the year 2020. Ir. Hamdan Ali, General Manager from the Project Department, TNB Energy Services, shared with us some insights on how to achieve this goal: “One government initiative is to increase renewable energy in the area.

TNB is showing its commitment and being actively involved in reducing carbon emission projects to support the government initiative. Our four main renewable energy tools are solar farms, biomass, biogas and hydropower.”

How does it benefit smart citizens?

Solar energy is clean, environmentally friendly and has zero emissions. There is no depletion of natural resources and it is one of the fastest growing energy sources in the world. And yes the rates are very attractive for generating electricity using solar photovoltaic (PV) technology; it is about four times the normal domestic TNB electricity rates (at RM0.40 per kWh). All you have to do is simply to apply and obtain a feed-in approval from the newly-established Sustainable Energy Development Authority Malaysia (Seda Malaysia), sign a renewable energy power purchase agreement (REPPA) with TNB and install the solar PV system on your rooftop. On the average, the bungalow is able to produce about 1,000 kWh of electricity per month (based on 10kW installed PV capacity). Given this, the owner may earn about RM1,200 per month (based on FiT rate RM1.20 per kWh if the PV system is commissioned by 2012) and recoup his investment within eight to nine years. The earnings may be even higher if the house owner meets other bonus criteria such as installing as a building-integrated PV system. The current cost of 1 kW solar PV system ranges from RM12,000 to RM14,000. The interesting thing is that for your average household needs, you purchase the electricity from TNB at between RM0.33 to 42.6 per kWh but when you produce the clean electricity, you can sell it at between RM1.20 to RM1.70 per kWh depending on the installed capacity and the qualifying bonus criteria for solar PV. The longer the sun shines, the more one can “export” electricity to the national grid during daylight hours (when power is urgently needed) and earn income. (Source: Sustainable Energy Development Authority Malaysia

TNB not only participates in renewable energy projects but also implements them in their own buildings. They have installed solar panel on their office rooftops – just a few percent of their total area, but it's only the beginning.

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Nazira Yergaliyeva is the Community Relations Specialist at Fleming.

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