KUALA LUMPUR, 2 NOVEMBER 2018: Cenergi SEA Sdn Bhd, Khazanah Nasional’s clean energy investment and development company, welcomes the Government’s RM2 billion allocation under Budget 2019 for the Green Technology Financing Scheme (GTFS) as well as the expansion of the list of green assets listed in the MyHijau directory that qualify for the Green Technology Investment Allowance (GITA) from 9 assets to 40 assets.
Chief Executive Officer Mr Ernest Navaratnam said the move will encourage more green energy players to expand and explore innovative ways to leverage on renewable energy sources.
He also said that the allocation and other tax incentives will ensure the resurgence of the renewable energy industry. Easier access to financing will enable small and medium enterprises (SMEs) to seek more opportunities for the investment and development of Renewable Energy (RE), which in turn will help the country to meet its 20 per cent RE target by 2025.
Recently, Minister of Energy, Science, Technology, Environment and Climate Change, YB Yeo Bee Yin, had also announced various initiatives to attract more players to the RE industry. These include the release of new Feed-in Tariff (FiT) quota, the Large Scale Solar 3 (“LSS3”) policy, where 500MW of capacity will be made available for tendering, which will spur the solar energy sector and the Net Energy Metering (“NEM”) policy, where every 1kWh of energy exported to the grid will be offset against 1kWh energy consumed from the grid by the contributor. The Government will also introduce the Building Energy Intensity (“BEI”) labelling for Government buildings, starting with Putrajaya, to reduce energy consumption in an effort to go green. All these initiatives are set to benefit RE industry players while creating a dynamic new sector of the economy.
“We are grateful the industry continues to receive support from the Government in the form of dynamic policies and strong incentives like GTFS. These will ensure that sustainable green development will continue to take place in the country in step with the rapidly changing new technologies to further improve energy generation and efficiency,” Mr Ernest said.