Kuala lumpur: Malaysia is committed to reaching 32 per cent installed renewable energy (RE) capacity this year, Deputy Prime Minister Datuk Seri Fadillah Yusof announced.
According to BERNAMA News Agency, Fadillah, who also serves as the Minister of Energy Transition and Water Transformation, stated that the country had achieved 31 per cent installed RE capacity as of December 2025. The government's objective is to increase this capacity by one per cent annually to achieve 35 per cent by 2030 or earlier. The RE mix includes various sources such as solar, biogas, and biofuels. Fadillah expressed confidence that Malaysia would meet these goals through several initiatives, including battery storage programs.
Under the National Energy Transition Roadmap (NETR), Malaysia aims to reach 70 per cent RE capacity by 2050. Fadillah highlighted that approximately 40 to 50 per cent of the country's current energy use is based on gas. Although carbon-based sources remain predominant, the government is committed to phasing out coal by 2044. Efforts to introduce large-scale solar and rooftop solar projects are underway, with plans to open another tender for the sixth large-scale solar project (LSS 6) this year.
Fadillah mentioned that Malaysia is exploring a combination of other energy sources, including biodiesel and biogas, to ensure a stable future energy supply. The government has agreed to increase the palm oil blend in diesel to 12 per cent, and biogas production from palm oil is also being considered.
The potential use of nuclear power is also under study in Malaysia. Fadillah noted that the country must enter international agreements and conduct comprehensive assessments of law, safety, the environment, and public acceptance. The current baseload supply in Peninsular Malaysia relies on gas, which is subject to volatile prices. With coal being phased out by 2044 and limitations in biogas and biomass, Malaysia seeks a diverse energy mix to maintain a secure energy supply.
Fadillah cited the Philippines and Vietnam's decisions to incorporate nuclear energy into their energy strategies, suggesting Malaysia must consider nuclear power as a viable clean energy option. This approach aims to support economic growth and the wellbeing of citizens, particularly in Peninsular Malaysia.
In Sabah, which relies heavily on diesel, higher generation costs are a concern due to current diesel prices. In contrast, Sarawak sources about 70 per cent of its energy from renewables and is focusing on further development in gas and solar energy.