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    INGENIEURTHEVOL.60OCTOBER-DECEMBER 2014

    M A G A Z I N E O F T H E B O A R D O F E N G I N E E R S M A L A Y S I A

    KDN PP 11720/4/2013 (032270)L E M B A G A J U R U T E R A M A L A Y S I A

    BOARD OF E NGI NE E RS M AL AYS I A

    Perception ofBEM - Survey

    Summary

    Photo by Ir. Fong Chew Chung

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    1

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    INGENIEUR

    2 VOL 60 OCTOBER – DECEMBER 2014

    CONTENTS

    6 President’s Message

    Announcement

    7 Publication Calendar The Ingenieur e-magazine

    on Smartphones & iPad

    Note to Editor

    8 Article on Nostalgia

    BEM News

    11 Perception of BEM – SurveySummary

    Cover Feature

    16 Renewable Energy GainsMomentum26 Technical Challenges in

    the Renewable EnergyProgramme in Malaysia

    31 Electricity Demand-Generation Balance: TheQuestion of National Energy

    Security International Policy

    46 United Nations Decade ofSustainable Energy for All2014-2024

    Guidelines

    50 MS ISO 50001:2011 – Energy ManagementSystems

    Profile

    55 Elon Musk: ExtraordinaryEngineer16

    46

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    3

    Facility Management

    58 Human Error in Maintenance

    Feature

    64 Power Management in a PowerHungry World

    66 Safe, Reliable, Ef cient: CreatingFirst-Class Gas Supply in Malaysia

    70 Championing Best Practices: EnergyCommission Workshop Discusses Plant Reliability

    76 Solarcity: Solar Power for Less

    Lighter Moments

    79 The Health Bene ts ofDifferent Sleeping Positions

    Engineering Nostalgia

    80 Railway Viaduct, Jalan Kinabalu

    80 50

    55

    64

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    INGENIEUR

    4 VOL 60 OCTOBER – DECEMBER 2014

    EDITORIALBOARD

    2013-2014

    PRESIDENTYBhg. Dato’ Ir. Hj. Annies bin Md Ariff

    BOARD MEMBERS

    SECRETARYIr. Ruslan bin Abdul Aziz

    REGISTRARIr. Hizamul-din bin Ab. Rahman

    EXECUTIVE DIRECTORIr. Ashari bin Mohd Yakub

    EDITORIAL BOARD

    ADVISORYBhg. Dato’ Ir. Hj. Annies bin Md Ariff

    CHAIRMANYBhg Dato’ Prof. Ir. Dr Hassan bin Basri

    EDITORYBhg Dato’ Ir. Fong Tian Yong

    EDITORIAL MEMBERSProf. Ir. Dr K S KannanIr. Prem KumarIr. Chan Boon Teik

    PUBLICATION OFFICERPn Nik Kamaliah Nik Abdul Rahman

    The Ingenieur is published quarterly by the Board of Engineers Malaysia (Lembaga Jurutera Malaysia)and is distributed free to registered Professional Engineers.The statements and opinions expressed in this publica on are those of the writers.BEM invites all engineers and readers to contribute relevant ar cles and views to the Publisher.

    PUBLISHERLembaga Jurutera MalaysiaTingkat 17, Ibu Pejabat JKR, Jalan Sultan Salahuddin,50580 Kuala Lumpur.Tel: 03-2698 0590 Fax 03-2692 5017e-mail: [email protected]: www.bem.org.my

    DESIGN AND PRODUCTION: Inforeach Communica ons Sdn BhdPRINTER: Art Pr in ng Works Sdn Bhd,

    LEMBAGA JURUTERA MALAYSIABOARD OF ENGINEERS MALAYSIA

    YBhg. Dato’ Ir. Nordin bin HamdanYBhg. Datuk Wira Ir. Md Sidek bin AhmadYBhg. Datuk Ir. Hj Abdul La f bin Mohd SomYBhg. Dato’ Prof. Ir. Dr Hassan bin BasriIr. Mohtar bin MusriIr. Yahiya bin Awang KaharIr. Zuraimi bin Haji SabkiIr. Prem Kumar M VasudevanIr. Dr Abdul Majid bin Dato' Abu KassimIr. Tan Yean ChinIr. Gunasagaran KristnanIr. Gopal Narian Ku yIr. Prof. Dr Lee Teang ShuiIr. Choo Kok BengAr. Dr Tan Loke MunSr. Nik Zainal Alam bin Hassan

    29 Jalan Riong, 59100 Kuala Lumpur, Malaysia

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    INGENIEUR

    6 VOL 60 OCTOBER – DECEMBER 2014

    PRESIDENT’SMESSAGE

    Energy resources remain the driving forcebehind the economic progress of a nationsince the invention of steam engines and

    later, power generation. With more inventionsand innovations centered on powered facilitiesand transportation, the concern on demandand scarcity of energy resources, particularlynon-renewable resources, has drawn worldwideattention.

    The great scientist of the 19th century,Lord Kelvin made a statement in 1881

    that the world will soon run out of its mostimportant energy resource because suppliesare becoming exhausted. Today, we hear thesame alarm. Although some progress is beingmade to introduce renewable energy as analternative supply, its application is lacking farbehind the consumption pattern of fossil fuels.The emerging economies such as China, Indiaand Brazil are likely to continue to rely heavilyon non-renewable energy resources to powertheir industries to compete in the world market,especially in the manufacturing sectors.

    The theme chosen for this publication ismost apt in the light of the above situation. Thepolicies and initiatives taken towards utilizationof renewable energy is one positive contributionof the Malaysian Government as detailed in anarticle entitled “Renewable Energy (RE) GainsMomentum”. It identifies biogas, biomass, smallhydro and solar PV that can enjoy the Feed-in

    Tariff (FIT) policy mechanism to spur the growthof RE from indigenous RE sources.

    The important question of energy mixtarget for Malaysia warrants attentionas the way forward for Malaysian energypolicies. The article on “Electricity Demand-Generation Balance” mentions the nationalsecurity agenda where Malaysia must gobeyond gas and coal for its future electricitydemand-generation balance. The nationalposition on nuclear fuel as enshrined in the

    Economic Transformation Programme can becontroversial but is a necessary option as theway forward.

    On the global front, the United Nations andthe World Bank jointly set three goals under the“Sustainable Energy for All initiative” by 2030for universal access to electricity, doubling therate of improvement in energy efficiency anddoubling the amount of renewable energy in theglobal energy mix from its current share of 18%to 36%.

    The above scenarios will pose a challengeto as well as opportunities for engineers.Meanwhile, local engineers should optimizetheir designs with greater energy efficiencyfeatures and products as their contribution to asustainable environment.

    Dato’ Ir. Hj. Annies bin Md Arif President, BEM

    Managing EnergyResources

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    7

    INGENIEURTHEVOL.59JULY- SEPTEMBER 2014 M A G A Z I N E O F T H E B O A R D O F E N G I N E E R S M A L A Y S I AKDN PP 11720/4/2013 (032270)

    L E M B A G A J U R U T E R A M A L A Y S I A

    BO A RD O F E N G I N E E RS MA L AY S I A

    SAFE

    ENGINEERING

    Practising Safe Engineering

    Guideline for OccupationalSafety and Health

    Safety and Health in the Useof Chemicals at Work

    Non Revenue WaterManagement

    14-J - . 1 7 14 1 7

    PUBLICATION CALENDAR

    The Ingenieur is published quarterly by theBoard of Engineers Malaysia. The followingare the themes for the coming issues.

    • Vol. 61 Jan-March 2015- Globalisation

    • Vol. 62 April-June 2015- Waste Management

    • Vol. 63 July-Sept 2015- Capacity Building

    • Vol. 64 Oct-Dec 2015

    - Engineering Services

    Articles and editorial contributions relevantto the themes are welcomed, but thedecision to publish rests with the EditorialBoard.

    Advertising inquiries are also welcomed.Please refer to the BEM advertisementin this issue for the latest rate card andbooking form.

    THE INGENIEUR E-MAGAZINE ON SMARTPHONES & IPAD

    THE INGENIEUR can now be read on smartphone as well as iPad. Read anywhere, anytimeand share with your colleagues and friends.

    How to get the e-magazine?

    Mobile Version - Scan the QR Code Native iPad/iPhone Version

    – Get the free Apps

    The Ingenieur Vol 60October-December 2014

    The Ingenieur Vol 59 July-September 2014

    The e-magazine may beviewed natively on iPadsand iPhones using theJoomag Apps. Download forfree.

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    INGENIEUR

    10 VOL 60 OCTOBER – DECEMBER 2014

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    Article on Nostalgia : Tales behind old colonial buildings– Sg Buloh Leprosy Centre

    By chance, I picked up the publication –The Ingenieur Vol 59 at an office in Petaling Jaya. I was particularlyengrossed and moved when I read the above article written by Ms Foo Mee Sim. I must congratulate

    her for the vivid account of the events surrounding the plight of leprosy patients that were so dreadful inthe 1800s and 1900s. The article reminds me of the historical accounts of leprosy patients in the Westwho were as good as being condemned to death in isolated hide-ups.

    I fully agree with the author that the present old buildings of Sg Buloh leprosarium should beconserved as historical link to the painful past of those unfortunate ‘inmates’; many waiting for deathuntil remedy were discovered in the middle of 20th century.

    I wish to add on the significance of this Sg Buloh Leprosy Centre. It was not only a model for otherleprosy centres around the world to replicate, but also it was from this centre that medical researchersfound the vaccines to combat the deadly leprosy virus.

    Hence, the preservation of this Leprosy Centre is not only of heritage interest; it is also a tributeto those medical staff who had volunteered their services to care for the desperate patients and thetales of the centre’s confined patients. Thanks again to Ms Foo Mee Sim for her passion for the leprosycentre. Ms Lee Ah Ying

    NOTETOEDITOR

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    11

    Perception ofBEM – Sur veySummary

    comments consisting of theirfeedback on BEM’s roles andfunctions, suggestions on serviceimprovements and expectationsfrom BEM.

    Action Plan for further serviceimprovementsA half-day workshop to study theresults of the survey and conductpreliminary analysis and determinepotential action plan was organisedon September 5, 2014 attended byrepresentatives of all committeesand Secretariat of the BEM.

    The workshop participantshave developed PreliminaryAction plans to address all areasof concern. The workshop alsohighlighted areas or scope that

    requires further investigation.Specific action plans are alreadybeing put into place. For example,on further service improvement,BEM will send QR Code and alink to access THE INGENIEURin digital format via email to allregistered engineers after eachvolume has been printed. And thiswill start with this issue, Vol. 60,October – December 2014.

    Follow-up workshop andmeeting sessions wil l beconducted before the final findingsand strategic plans are presentedto the Board.

    The Publication Committee indeliberating its strategic plan“to enhance communicationand raise public’s perception ofthe integrity and achievementsof the engineering profession”had decided to conduct a surveyamongst registered engineers.

    This is a summary of the resultsof the 2014 Survey of RegisteredEngineers’ Perception towards

    BEM conducted by the Board ofEngineers Malaysia (BEM). Thesurvey was run online from July 16,2014 to August 6, 2014.

    Questionnaires were groupedinto two sections; Perceptionof BEM Amongst RegisteredE n g i n e e r s a n d P e r s o n a lInformation for demographicsurvey purposes. The survey alsoprovided registered engineers withopportunities to put forward theircomments and suggestions.

    We were pleased to receiveresponses from a total of 7,462registered engineers and 2,026

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    INGENIEUR

    12 VOL 60 OCTOBER – DECEMBER 2014

    13.49%1,001

    36.34%2,697

    37.72%2,799

    9.90%735

    2.55%189

    7,421

    17.83%1,323

    39.99%2,968

    27.91%2,071

    11.06%821

    3.21%238

    7,421

    26.73%1,984

    44.16%3,277

    20.82%1,545

    5.97%443

    2.32%172

    7,421

    50.91%3,778

    35.22%2,614

    9.65%716

    2.76%205

    1.46%108

    7,421

    36.09%2,678

    30.43%2,258

    17.17%1,274

    7.59%563

    8.73%648

    7,421

    E xt re me l y a wa re Very a wa re M o de ra te l y a wa re S li g ht ly a wa re

    I am not at all aware

    I am awareof thefunctions of BEM

    I am awareof thedifferencesbetween BE...

    BEM is aregulatorybody(registrat...

    I am awarethatregistrationwith BEM i...

    I am awarethat I mustregister withBEM first...

    0%

    20%

    40%

    60%

    80%

    100%

    Extremelyaware

    Veryaware

    Moderatelyaware

    Slightlyaware

    I am not at allaware

    Total

    I am aware of the func tions of BEM

    I am aware of the differences between BEM and IEM

    BEM is a regulatory bod y (registration) and IEM is a learned socie ty (membership).

    I am aware that registration with BEM is comp ulsory if I work as an engin eer andprovide engineering services.

    I am aware that I must register with BEM first before applying with IEM as a mem ber

    20.54%1,518

    64.98%4,803

    9.90%732

    3.87%286

    0.72%53

    7,392

    16.43%

    1,213

    42.46%

    3,135

    38.73%

    2,860

    1.94%

    143

    0.45%

    33

    7,384

    7.18%526

    31.77%2,329

    58.23%4,268

    2.39%175

    0.44%32

    7,330

    10.85%799

    44.90%3,308

    39.11%2,881

    4.30%317

    0.84%62

    7,367

    5.24%385

    26.49%1,945

    64.96%4,769

    2.74%201

    0.57%42

    7,342

    6.76%496

    37.88%2,781

    51.47%3,779

    3.13%230

    0.76%56

    7,342

    7.65%561

    43.64%3,202

    45.54%3,342

    2.58%189

    0.60%44

    7,338

    8.06%593

    45.52%3,347

    40.79%2,999

    4.60%338

    1.03%76

    7,353

    8.69%637

    46.46%3,407

    37.84%2,775

    5.66%415

    1.35%99

    7,333

    Very Good Good Unsure Poor Very Poor

    Applicationfor Regi...

    Renewalof Registr ation

    Applicationfor Exam...

    EnquiryonMyBEMOnli...

    EnquiryonStatusof...

    Enquiryof ScaleonFees

    EnquiryonEngineers A...

    Consistency:Information...

    Timeliness:Services...

    0%

    20%

    40%

    60%

    80%

    100%

    Very Good Good Unsure Poor Very Poor Total

    Appl ic ati on fo r Registrati on

    Renewal of Registration

    Appl ic ati on fo r Exami nati on

    Enquiry on MyBEM Online Registration System

    Enquiry on Status of Complaint Against Engineer

    Enquiry of Scale on Fees

    Enquiry on Engineers Act and Regulations

    Consistency: Informati on provided by our staff are consistent

    Time liness: Services provided as promised

    Q2 Quality of General Services

    Q1 Awareness on Functions

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    13

    9.31%684

    40.20%2,952

    47.82%3,512

    2.29%168

    0.38%28

    7,344

    13.19%971

    52.21%3,843

    27.99%2,060

    5.16%380

    1.44%106

    7,360

    9.89%726

    47.63%3,496

    36.40%2,672

    5.19%381

    0.89%65

    7,340

    12.42%912

    55.72%4,093

    28.86%2,120

    2.41%177

    0.59%43

    7,345

    10.80%793

    53.23%3,907

    32.63%2,395

    2.87%211

    0.46%34

    7,340

    13.11%964

    55.54%4,084

    27.53%2,024

    3.11%229

    0.71%52

    7,353

    13.33%977

    55.91%4,098

    27.67%2,028

    2.46%180

    0.63%46

    7,329

    Very Good Good Unsure Poor Very Poor

    Counter Email Te lephone Respec tful andcourteous

    Knowledgeable andskilful

    Helpful Friendlyandpolite

    0%

    20%

    40%

    60%

    80%

    100%

    Very Good Good Unsure Poor Very Poor Total

    Counter

    Email

    Telephone

    Respectful and courteous

    Knowledgeable and skilful

    Helpful

    Friendly and polite

    15.13%961

    69.66%4,424

    9.81%623

    4.85%308

    0.55%35

    6,351

    13.82%878

    67.41%4,282

    12.30%781

    5.79%368

    0.68%43

    6,352

    12.78%810

    63.28%4,010

    15.64%991

    7.56%479

    0.74%47

    6,337

    10.32%653

    58.10%3,678

    20.41%1,292

    10.11%640

    1.06%67

    6,330

    11.46%727

    61.51%3,901

    16.38%1,039

    9.68%614

    0.96%61

    6,342

    8.77%555

    54.98%3,480

    27.96%1,770

    7.41%469

    0.88%56

    6,330

    Very Good Good Unsure Poor Very Poor

    Informative Clear contents

    User friendly

    Visuallyappealingand trendy

    Easy tonavigateand notice

    Functionflawlessly

    0%

    20%

    40%

    60%

    80%

    100%

    Very Good Good Unsure Poor Very Poor Total

    Informative

    Clear contents

    User friendly

    Visually appealing and trendy

    Easy to navigate and notice

    Function flawlessly

    Q4 Quality of Services: BEM website (www.bem.org.my)

    Q3 Quality of Services: Communication with Customer

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    INGENIEUR

    14 VOL 60 OCTOBER – DECEMBER 2014

    18.28%924

    63.69%3,219

    14.35%725

    3.17%160

    0.51%26

    5,054

    16.22%820

    65.22%3,296

    15.16%766

    2.91%147

    0.49%25

    5,054

    14.17%716

    60.29%3,047

    19.31%976

    5.48%277

    0.75%38

    5,054

    12.50%630

    62.05%3,126

    20.39%1,027

    4.47%225

    0.60%30

    5,038

    Very Good Good Unsure Poor Very Poor

    I nfo rm ati v e Cl ea r Con te nts L ay-o ut –visuallyappealing andtrendy

    Sufficientnumber of pages

    0%

    20%

    40%

    60%

    80%

    100%

    Very Good Good Unsure Poor Very Poor Total

    Informative

    Clear Contents

    Lay-out – visually appealing and trendy

    Sufficient number of pages

    42.08%3,123

    43.38%3,219

    8.57%636

    4.81%357

    1.16%86

    7,421

    46.52%3,452

    42.50%3,154

    8.21%609

    2.21%164

    0.57%42

    7,421

    42.78%3,175

    42.15%3,128

    10.78%800

    3.37%250

    0.92%68

    7,421

    36.42%2,703

    42.72%3,170

    15.59%1,157

    4.15%308

    1.12%83

    7,421

    39.43%2,926

    42.04%3,120

    12.33%915

    4.61%342

    1.59%118

    7,421

    40.60%3,013

    42.47%3,152

    11.94%886

    3.75%278

    1.24%92

    7,421

    20.33%1,509

    36.60%2,716

    31.69%2,352

    8.18%607

    3.19%237

    7,421

    24.11%1,789

    42.82%3,178

    25.14%1,866

    6.05%449

    1.87%139

    7,421

    20.39%1,513

    35.55%2,638

    37.81%2,806

    4.41%327

    1.85%137

    7,421

    S tro ng ly A gre e S li gh tl y A gre e Un su re S li gh tl y Di sa gre e

    Strongly Disagree

    BEMisahighlyresp...

    BEMisanethicalprof...

    BEMpromotes ahigh...

    BEMisprotectingthesafe...

    BEMisensuring thequal...

    BEMregulatesengi...

    BEMisquicktoreac...

    BEMpromotessust...

    BEMisbiastowardscons...

    0%

    20%

    40%

    60%

    80%

    100%

    Strongly Agree Slightly Agree Unsure Slightly Disagree Strongly Disagree Total

    BEM is a highl y respected professional and au thoritative body.

    BEM is an ethical professional body.

    BEM promotes a highly ethica l engine ering profession.

    BEM is protecting the safety and interest of the publi c.

    BEM is ensuring the quality of engineering profession.

    BEM regulates engineering p rofession in the c ountry.

    BEM is quick to react to engineering fai lures in the country.

    BEM promotes sustainable and environmen tally friendly develop ment.

    BEM i s bias towards construction-related industry.

    Q5 Quality of Services: BEM’s Magazine - THE INGENIEUR

    Q6 Image of BEM

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    51.85%3,848

    31.06%2,305

    10.21%758

    4.38%325

    2.49%185

    7,421

    49.91%

    3,704

    34.15%

    2,534

    8.81%

    654

    5.51%

    409

    1.62%

    120

    7,42116.71%

    1,24033.88%

    2,51436.46%

    2,7069.16%

    6803.79%

    281

    7,421

    8.21%609

    18.34%1,361

    50.48%3,746

    12.18%904

    10.79%801

    7,421

    47.74%3,543

    36.30%2,694

    13.81%1,025

    1.64%122

    0.50%37

    7,421

    11.56%858

    46.15%3,425

    28.02%2,079

    10.43%774

    3.84%285

    7,421

    S tro ng ly A gr ee S li gh tl y A gre e Un su re S li gh tl y d isa gre e

    Strongly Disagree

    BEMshouldconsider introducingregistra...

    All BEMregistration / renewalshould b...

    Thepresentlocation of BEM is...

    BEM officehaveampleparkingspace.

    BEMshouldfocus onalldiscipli...

    Myexpectations of BEMhave bee...

    0%

    20%

    40%

    60%

    80%

    100%

    StronglyAgree

    SlightlyAgree

    Unsure Slightlydisagree

    StronglyDisagree

    Total

    BEM should consider introducing registration card.

    All BEM reg istration / renewal should b e pape rless.

    The present location of BEM is strategic.

    BEM offic e have ample parking space.

    BEM should focus on all di sciplines of engineering apart from c onstruction-relatedindustry.

    My expectations of BEM have been met.

    Q7 Expectation from BEM

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    COVERFEATUR

    E

    Renewable energy (RE) is a form of energythat is derived from natural resources suchas the sun and water, which are indigenousto the country, and continually available. Since2000, Malaysia has made great steps forwardin renewable energy development. The principle

    adopted has been to use market forces to deliverthe intended outcomes in electricity generation.The result of the last decade provides valuablelessons in identifying the issues arising fromsuch an approach. The key lesson is that a policywithout an action plan will not achieve the desired

    RENEWABLE ENERGYGAINS MOMENTUM

    By Koh Keng Seng and Ir. Dr Ali Askar Sher Mohamad, SEDA Malaysia

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    results. SEDA Malaysia was set up as an agencyunder the Ministry of Energy, Green Technologyand Water (Kettha) dedicated to the developmentof RE for power generation. At SEDA’s inceptionin 2011, only about 60 MW of grid-connectedRE power plants were operating. Today, the grid-connected capacity has reached 200 MW, and willhit 250 MW by the year end. The target for 2020is 2000 MW, which will probably be surpassed.This success has been in large part due to a clearnational policy and objectives, as well as strongsupport from Kettha, the Energy Commission, andthe utility, Tenaga Nasional Berhad (TNB).

    National RE Policy & Objectives

    The National RE Policy and Action Plan (NREPAP)

    was approved by the Cabinet on April 2, 2010; theNREPAP provides long-term goals and commitmentwhich all stakeholders should endeavour toachieve. The Policy charts the path of enhancingthe utilisation of indigenous renewable energyresources to contribute to the national electricitysupply, its security, as well as sustainable social-economic development.

    Renewable Energy Act 2011 (Act 725)

    The Renewable Energy (RE) Act 2011, which waspassed in Parliament on April 27, 2011, providesfor the establishment and implementation ofthe Feed-in-Tari mechanism to catalyse thedeployment of renewable energy and to providefor any other related matters.

    The Feed-in Tariff Mechanism

    What is Feed-in Tariff (FiT)Feed-in Tariff (FiT) is the most commoninternationally applied policy mechanism to

    spur the growth of renewable energy. The FiTmechanism allows electricity produced from anindigenous renewable energy source to be sold topower utility companies at a xed premium pricefor a specic duration. Most FiT mechanisms ofteninclude a tariff degression system, where the pricefor new entrants declines over time. This is done inorder to encourage reductions in technology costas the technology matures. The primary goal of FiTis to offer cost-based compensation to renewable

    energy producers, providing price certainty, andlong term contracts which improve bankability ofrenewable energy projects.

    Advantages of FiT The use of the FiT mechanism has provided asignicant contribution to two primary economicissues faced by many countries - employmentand gross national income via renewable energyindustry growth. Two other secondary issuesaddressed by FiT, include energy security andclimate change mitigation. FiT also providessolutions to tertiary issues concerning socialhealth, empowering and providing fairer wealthdistribution and environment conservation. Allthese are achieved without putting a strain onthe national budget and spending. Compared to

    the other RE policies, the FiT mechanism hasproved to be more effective and effcient with thehighest number of countries adopting it (more than50 countries worldwide). Reasons for this highlysuccessful employment of the mechanism include:

    ● The proliferation of RE systems like solar (PV),capital costs are driven down, enabling the REtechnology to achieve price reductions muchfaster;

    ● It promotes a diversied portfolio oftechnologies and industries, and encouragesharmonious growth in congruence with theindigenous renewable energy resources; and

    ● It encourages market competition amongmanufacturers and EPC (define) companies tolower RE technology pricing, leading to bettermarket conditions for RE investors to buildand deploy projects.

    Framework of FiT in MalaysiaThe FiT mechanism obliges the DistributionLicensees (DLs), i.e. TNB, NUR (define), and othersmaller DLs in the Peninsula, and SESB (define),

    in Sabah, to buy renewable energy from Feed-inApproval Holders (FiAHs). The rates to be paidare set out in the Schedule of the RE Act 2011.For a specic time, DLs will pay for each unit ofrenewable energy supplied to their respectiveelectricity grids. By guaranteeing access to thegrid and setting a favourable price per unit ofenergy generated, the FiT mechanism ensuresthat RE becomes a viable long-term investment forcompanies, industries and even individuals. The

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    Biomass plant

    Biogas plant

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    effective period or duration in which the renewableenergy can be sold to DLs depends on the typeof indigenous resource. Biomass and biogashas an effective RE Power Purchase Agreement(REPPA) period of 16 years, whereas small hydroand solar photovoltaic sources have an effectiveperiod of 21 years. This period is decided basedon characteristics of the renewable resource.

    Funding of FiT The FiT mechanism is nanced by a dedicatedfund called the Renewable Energy (RE) Fund. ThisFund was established under the RE Act and getsits monies through the collection of an additional1% surcharge imposed on electricity bills byTenaga Nasional Berhad (TNB) to their consumerssince December 1, 2011. The surcharge has

    since been increased to 1.6 % effective January1, 2014, and expanded to include electricityconsumers in Sabah and WP Labuan, as well asconsumers of NUR. RE projects located in Sabahand WP Labuan are thus eligible to participate inthe FiT programme commencing January 1, 2014.However, Sarawak is not included in the FiT sincethe RE Act does not apply there. To protect thelow income group, domestic consumers whoseelectricity bills do not exceed 300kWh per monthare exempted from contributing to the fund.

    Contribution to the RE Fund will continue untilsuch time when the FiT is no longer required.This will happen when grid parity is reached,meaning the cost of generating electricityfrom renewable resources is the same or lessthan the cost of generating the same unit ofelectricity from conventional sources at the pointof interconnection to the grid. The additionalsurcharge to the tariff is collected by the DLs whenconsumers pay their electricity bills and disbursedto SEDA. The DLs pay the FiAHs the FiT rate forthe energy generated every month and recover the

    amount from SEDA after deducting the prevailingdisplaced cost (DC). The DC is the amount it willcost the DL to generate, transmit and distributeone kWh of electricity using conventional sources.

    Renewable Resources Eligible for FiT in Malaysia

    BiogasBiogas is defined as a gas produced by theanaerobic digestion or fermentation of indigenous

    organic matter under anaerobic conditionsincluding but not limited to manure, sewagesludge, agriculture waste, municipal solid wasteand biodegradable waste.

    Biogas technology refers to systems designedto turn organic waste products into usable energy.Biogas typically consists mainly of methane, witha significant proportion of carbon dioxide, andsmaller quantities of other gases such as nitrogenand hydrogen. Methane, hydrogen and carbonmonoxide are combustable allowing biogasto be used as a fuel in a gas engine to convertthe energy into electricity and heat. Biogas is arenewable resource, so it qualifies for FiT.

    There are many advantages of using biogasfor power generation. In future, biogas couldpotentially help reduce global climate change.

    Normally, manure, sewage sludge, municipalsolid waste and biodegradable waste are leftto decompose releasing two main gases thatcause global warming such as nitrous dioxide andmethane. Nitrous dioxide warms the atmosphere310 times more than carbon dioxide and methane21 times more than carbon dioxide.

    Biomass

    Biomass is defined as non-fossilized fuel

    originating from plants, animals and micro-organisms including, but not limited tobiodegradable organic material, by-products,residues and waste from agriculture, industrialand municipal wastes.

    Electrical power can be generated byincinerating or gasifying the biomass. Burningbiomass produces many of the same emissionsas burning fossil fuels, although on a lesser scale.However, growing biomass captures carbon dioxide

    Biomass plant

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    out of the air, so that the net contribution of thecycle to global atmospheric carbon dioxide levelsis zero. Although fossil fuels have their origin inancient biomass, they are not considered biomassby the generally accepted definition because theycontain carbon that has been out of the carboncycle for a very long time. Their combustion

    therefore disturbs the carbon dioxide content inthe atmosphere.There are various biomass sources, which

    are a great source of energy that can be usedfor various applications. Examples of biomasssources are wood and waste wood, leaves of theplants, agricultural waste (EFB, PKS, rice husk,etc.) and municipal solid waste (MSW). The mostpopular in Malaysia is palm oil EFB (empty fruitbunches).

    Small Hydro

    Small hydro is defined as the production ofelectricity by harnessing the power of flowingwater from lakes, rivers, and streams. Smallhydro is based on simple concepts. Moving waterturns a turbine, the turbine spins a generator, andelectricity is produced. Many other componentsmay be in the system, but it all begins with theenergy contained within moving water.

    Water power is the combination of head(height) and flow rate. Both must be present to

    produce electricity. Consider a typical small hydrosystem. Water is diverted from a stream into apipeline (penstock), where it is directed downhilland through the turbine (flow). The vertical drop(head) creates pressure at the bottom end of thepipeline. The pressurized water emerging from theend of the pipe creates the force that drives theturbine. More flow or more head produces moreelectricity. Electrical power output will always beslightly less than water power input due to turbineand system inefficiencies.

    Solar PV Solar photovoltaics offer consumers the ability togenerate electricity in a clean, quiet and reliableway. The word photovoltaic comes from “photo,”

    Biomass plant in operation

    Mini hydro along a river

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    meaning light, and “voltaic,” which refers toproducing electricity. Therefore, the photovoltaicprocess is “producing electricity directly fromsunlight.” Photovoltaics are often referred to asPV.

    PV cells convert sunlight directly into electricitywithout creating any air or water pollution. PV cellsare made of at least two layers of semiconductormaterial. One layer has a positive charge, theother negative. When light enters the cell, someof the photons from the light are absorbed bythe semiconductor atoms, freeing electrons

    from the cell’s negative layer to flow through anexternal circuit and back into the positive layer.This flow of electrons produces electric current.To increase their utility, dozens of individual PVcells are interconnected together in a sealed,weatherproof package called a module. When twomodules are wired together in series, their voltageis doubled while the current stays constant. Whentwo modules are wired in parallel, their currentis doubled while the voltage stays constant. To

    achieve the desired voltage and current, modulesare wired in series and parallel into what is calleda PV array. The flexibility of the modular PV systemallows designers to create solar power systemsthat can meet a wide variety of electrical needs,no matter how large or small.

    Feed In Approval (FIA) ApplicationThe applications for Feed-in Approval (FIA) for allapproved renewable energy sources can be madethrough an online system called the e-FiT OnlineSystem at www.seda.gov.my. Applicants can alsosubmit the application forms manually, howeverthe information will also be keyed into the systemby employees of SEDA Malaysia to enable theapplications to be processed. The e-FiT Online

    Solar PVs

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    System which was launched on December 1,2011, minimises the need for human interventionin the processing of the applications and theallocation of RE quotas which are limited. Thisalso ensures a fair and transparent applicationprocess, which is vital for a Government agencylike SEDA Malaysia, to maintain its integrity.

    During the application for an FIA, an eligibleproducer is required to submit their RE installationwork plan milestones. Once the feed-in approval(FiA) is granted, SEDA Malaysia closely monitorsthe work plan according to the milestonesdeclared by the applicant until the Feed-in TariffCommencement Date (FiTCD). Close monitoringis required to prevent the Feed-in ApprovalHolders (FiAHs) from holding on to their RE quotafor unnecessarily long periods of time thereby

    jeopardizing genuine RE developers who may bewaiting for quotas to be released. This form ofearly detection and possibly revocation of FiA’s (forFiAHs who do not meet their milestone deadlines)will ensure quotas are reallocated to the pool inthe next quota opening.

    FiT StatisticsIn Malaysia, the FiT was implemented onDecember 1, 2011 as soon as all the subsidiarylegislations under the RE Act 2011 were gazet tedon November 30, 2011. As of July 31, 2014, atotal of 5,338 Feed-In Approval (FiA) applicationswith a total RE capacity of 1,079.4 MW werereceived by SEDA Malaysia. Out of theseapplications, 4,505 applications were approved(Exhibit 1) as of July 31, 2014 for a total REcapacity of 805.7MW.

    Exhibit 2 shows the approved RE capacitycategorized by the renewable resource as ofJuly 31, 2014. In terms of renewable resource,solar photovoltaic (individual and non-individual)constituted the highest take up rate at 30.9%

    followed by small hydro (30.6%), biomass (28.9%)and biogas (9.6%).

    As of July 31, 2014, a total of 2,371 projectshave achieved commercial operation. The totalRE capacity successfully connected to the gridcurrently stands at 195.8 MW (Exhibit 3). SolarPV (individual and non-Individual) leads theway in terms of the most number of projectscommissioned (2,355 projects) and also in terms

    of capacity (116.1 MW). This can be attributedto the shorter construction period for solar PVcompared to the other renewable resources,hence solar PV projects were the main renewableresource that delivered results in terms ofoperational capacity.

    The Way Forward for RE in Malaysia

    Most countries which adopt the FiT as themechanism to develop the RE Industry graduallymove on to other methods once the criticalmass is achieved and the technologies becomecommon place. The FiT is normally used tokick start the RE Industry. It’s no different inMalaysia; new FiTs for solar PV are planned tobe phased out by 2017, small hydro by 2020

    and biogas/biomass by 2025. Small hydro andbiogas/biomass reserves are expected to be fullyutilized for FiT by those years, leaving solar PV asa resource with almost no limit, except for gridconnection constraints. Therefore for solar PV,SEDA has planned two approaches to replace FiT,subject to Government approval.

    Net Metering Net Metering, or Net Energy Metering (NEM), isbasically the installation of PV systems for self-consumption by a consumer, where any unitsexported to the Grid during low load periods aresubtracted or netted off from the consumer’smonthly bill. NEM is planned to be launched in2015, and gradually ramped up once the FiT isdiscontinued. With increasing electricity tariffs dueto the gradual removal of fuel subsidies, NEM willbecome an attractive option for consumers withheavy consumption.

    Apart from technical constraints, utilitiesare apprehensive of uncontrolled proliferationof solar PV installations since they will affect

    the utility sales and revenue. However, solar PVpower coincides with the utility peak demandin Malaysia, therefore reducing the reliance onexpensive distillate and open cycle gas turbine(OCGT) generation. In future, even if new plants,using combined cycle gas turbines (CCGT) doaway with the need for distillate and OCGT, solarPV power can reduce the amount of heavilysubsidized gas consumption in the CCGT plants.

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    Status ofApplications Biogas Biomass

    SmallHydro

    Solar PV(Individual)

    Solar PV(Non-

    Individual)Total

    Received60 36 38 4693 511 5338

    1.1% 0.7% 0.7% 87.9% 9.6% 100%

    Approved47 24 32 4060 342 4505

    1.0% 0.5% 0.7% 90.1% 7.6% 100%

    In Operation(Commissioned)

    6 5 5 2194 161 2371

    0.3% 0.2% 0.2% 92.5% 6.8% 100%

    ExpectedOperationalYear (FiTCD)

    Biogas Biomass SmallHydroSolar PV

    (Individual)Solar PV

    (Non-Individual)

    TotalCapacity

    (MW)

    2012 7.2 66.3 15.7 6.4 40.8 136.4

    2013 15.3 41.5 2.3 19.5 98.0 176.6

    2014 20.7 72.6 58.1 14.2 69.8 235.4

    2015 25.1 33.0 34.9 - - 93.1

    2016 9.1 19.8 135.4 - - 164.2

    TotalCapacity 77.4 233.1 246.4 40.1 208.6 805.7

    % of Total 9.6% 28.9% 30.6% 5.0% 25.9% 100%

    Renewable Resource No. Of Applications Capacity % of Total Capacity

    Biogas 6 11.7 6%

    Biomass 5 52.3 27%

    Small Hydro 5 15.7 8%Solar PV (Individual) 2194 24.1 12%

    Solar PV (Non -Individual) 161 92.0 47%

    Total 2371 195.8 100%

    Exhibit 1: Approved FiA Applications by Renewable Resource as at July 31, 2014

    Exhibit 2: RE Capacities (MW) Approved as at July 31, 2014

    Exhibit 3: Total FiT Projects Achieved Commercial Operation (as at July 31, 2014)

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    Apart from that, the Distributed Generationfrom solar PV installations can help to delayutility investments in reinforcing distributionnetworks. Therefore SEDA proposes an orderlyand controlled implementation of NEM which willlead to economic benefits for the country andencourage greater energy autonomy.

    Utility Scale PV Apart from NEM, there is also a proposal to allowthe implementation of so-called utility scalePV plants by a bidding process similar to thatof fossil fuel plants. With increasing fossil fuelcosts, utility scale PV plants can be competitivein providing power during the mid-day peak.To mitigate intermittency due to local weatherconditions, the capacity of each plant would have

    to be limited to say 100 MW, and the plants wouldneed to be spread out through the Peninsula.Due to their size, these plants would need tobe connected to the Transmission network andmeet most of the requirements of the Grid Code,except the ability to dispatch. Any increase inutility costs due to injection from these plantswould be covered through the existing fuel costpass through mechanism implemented by theEnergy Commission. However, with falling PVprices and rising fossil fuel costs, there is notexpected to be any major effect on the utilityif the total capacity from these utility scale PVplants is limited to the rise in the mid-day peak.If gas subsidies are completely removed, solar PV

    power may even be cheaper, resulting in savingsfor the country.

    Conclusion

    The NREPAP has given a huge boost to the REPower Industry in Malaysia. However, most REresources in the country like small hydro, biogasand biomass are finite in number and limited toa few hundred MW each. Once the resources arefully utilised, there can be no more new plantsusing these resources. As mentioned above, theonly resource with almost no physical limit is solarPV. We are located in a part of the world with goodsolar radiation, although the tropical weather withsudden clouds and rain leads to greater variationin the power generation profile. Apart from that,

    solar PV can only generate during the daytime.For solar PV to be considered a serious player in

    the power industry, storage technologies must playa major part. Storage will solve the twin problemsof intermittent and daytime only generation, butit is still too expensive to be widely employed. Assolar PV technologies mature, research in storagetechnologies is expanding and is expected to soonlead to more efficient and affordable storage. Whenthat happens, solar PV generation will increase inleaps and bounds. The conventional plants canthen concentrate on the base load and heavyindustries, while PV plants can meet part of thepeak load, as well as some residential, commercialand light industrial loads.

    Solar PV farm

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    PUB, Singapore ’s national water agency,is inviting applications for the following positions :

    Electrical Engineer/

    Senior Electrical EngineerResponsibilities

    • Carry out operation & maintenance in compliance withElectricity Act 1990 and its subsidiary legislations forJohor River Waterworks and Linggiu Reservoir locatedin Johor, Malaysia.

    • Lead and manage a team of technical ofcers to plan,manage and execute maintenance ofelectrical/ instrumentation and control systemsand equipment.

    • Perform pilot and feasibility studies for innovativetechnologies and formulate plans for major electricalupgrading works.

    • Preparation of tender specications, calling of tendersand contracts management.

    Requirements

    • For the Electrical Engineer position, a recognised Universitydegree in Electrical Engineering and the Certicate ofCompetency as a Competent Electrical Engineer issued byEnergy Commission of Malaysia for 22 kV and aboveelectrical installation, is required.

    • For the Mechanical Engineer position, a recognisedUniversity degree in Mechanical Engineering and the1st Grade Engineer Certicate in Internal CombustionEngine for standby generators issued by JabatanKeselamatan dan Kesihatan Pekerjaan of Malaysia, in

    compliance with the Malaysian legislation, is required.

    • Not less than 2 years’ relevant working experience in O&Mof M&E plant and equipment. Preferably at waterworks.

    • Committed and able to work independently at waterworksin Johor.

    • Preferable with driving licence and car.

    • Procient in spoken and written English and spoken Malay.

    Mechanical Engineer/Senior Mechanical Engineer

    Responsibilities• Lead a team of technical ofcers to plan, manage and

    execute preventive and corrective maintenance ofmechanical systems and equipment at waterworks, whichincludes centrifugal and mixed ow vertical turbine pumpsup to 1 MW, dewatering lter presses, chemical dosingplants, standby generator, air compressors, blowers andvehicle maintenance.

    • Work closely with operations and maintenance staff totroubleshoot equipment failures and execute repair works.

    Formulate plans and manage major mechanicalupgrading works.

    • Preparation of tender specications, calling of tendersand contracts management.

    Interested candidates, please log on towww.pub.gov.sg/career or www.careers.gov.sg

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    The Renewable Energy (RE)Act states that a distributionlicensee (DL) such asTenaga Nasional Berhad (TNB) isrequired to purchase electricityfrom indigenous RE resourcesat a fixed premium price for aspecific duration. Under theFeed-in-Tarffif (FiT) programme,generation of renewable energyis limited to 30 MW in size forone Feed in Approval Holder(FIAH). The RE Fund determinesthe amount of RE quota whichhas to be secured for a specified

    number of years. For 2014,the contribution to the RE Fundhas been increased to 1.6%.However, this amount is lowerthan many countries such as3% in China and Japan, 18% inGermany and 2% to 3% in Britain.

    The collection of the RE Fundis based on the “polluter paysprinciple” and it is vital for theFiT programme as it acts as acatalyst in ensuring the growthof renewable energy in Malaysia.Proliferation of RE will result inlesser utilisation thus lesserreliance on fossil fuel generationin Malaysia and will contributetowards the Government’saspiration of having 40% lesson the CO 2 intensity level ascompared with the intensitylevel of the year 2005.

    COVERFEATUR

    E

    Technical Challenges inthe Renewable EnergyProgramme in MalaysiaBy Dr Ahmad Jaafar Abd Hamid, Dr Amissa Ariffin, Nur Azlin Mohd Yusoff,

    Tenaga Nasional Berhad

    Figure 1: RE Fund Concept in Malaysia

    Malaysia has one of themost sophisticated FiT systemsin the South East Asia region.FiT rates in Malaysia arecategorised by technologies,project sizes and applications.The FiT scheme also includesbonus FiT that can be obtainedfor different technologies and a“degression rate” to graduallyreduce the level of the FiT basedon expectations of reducedcosts.

    To oversee the smoothimplementation of the FiT

    scheme, the Sustainable EnergyDevelopment Authority (SEDA)Malaysia was established in2011 under the RenewableEnergy Act . Since then,there has been a significant

    development in the MalaysianRE landscape. To date, close to200MW of cumulative installedcapacity is in operationwith 2600 Renewable PowerPurchase Agreements (REPPA),signed between TNB and Feedin FIAHs, with a total of 250 MWRE capacity expected to be fullycommissioned by the end of2014.

    EVOLUTION OF REPROGRAMME The current FiT programme for

    renewal energy was precededby the MBIPV (MalaysianBuilding Integrated Photovoltaic2005-2010) and SREP (SmallRenewable Energy Programme2001). However, the acceptance

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    more popular in RE deploymentunder the F iT scheme.Nonetheless, focussing onsingle RE technology may resultin much lower allocations to fund

    other types of RE technologies.The two main challenges,

    among the many facing TNB, areshort notice announcementsof quota release dates andshort lead times betweenquota awards and scheduledoperational dates. For instance,upon the announcement of aquota release by SEDA, TNBreceives a sudden rush in REPPAapplications, requests for CCC,PSS and other requests whichneed to be carried out withinthe same or stipulated years toavoid RE tariff degression of theFIAH. If the announcement of aquota release could be plannedon specific dates of the year andmade known to the public wellin advance, this issue could bebetter managed. In addition,most RE developers are required

    to plan ahead to ensure projectscan be commissioned ontime. This includes procuringimportant equipment such asswitchgear, transformers, solarpanels and other electricalinfrastructures.

    Furthermore, there werealso cases whereby somehome owners have successfullysecured an FiT approval andsigned a REPPA with TNB butlater decided to withdraw fromthe programme due to a numberof reasons, of these, the mainreason was lack of financialoptions for home owners tochoose from local financialinstitutions. During the initialimplementation of the FiTscheme, there was not muchsupport from the local financial

    Figure 2: Growth Of RE Installations in Malaysia

    and development of the renewal

    energy under these programmeswere not overwhelming due to anumber of reasons including;lesser incentive being offered,difficulty in obtaining fundingfor RE related projects, andperceived as non-bankable bymany financial institutions.

    The current FiT scheme withthe premium pricing mechanismhas generated a lot of inter-est from many RE developers.Nonetheless, the overwhelmingresponse and sudden increasein RE connection applications,has initially resulted in bothtechnical and commercial chal-lenges to TNB. This is shownin the exponential growth inRE installation (mostly solar) inFigure 2.

    Figure 2 shows anexponential increase in REMeters instal led s tar t ingfrom the early stages of theFiT scheme until today. Thisindicates that the FiT programmeis being well received bypublic and has resulted in anexponential increase in thenumber of connections. Dueto its ease of installation aswell as higher FiT rates, solarphotovoltaic (PV) is the most

    popular RE type currently

    deployed in the TNB system.

    IMPLEMENTATION ISSUESThe increase of RE sources inthe TNB distribution network hasintroduced many challenges,both technical and non-technical,to TNB. Teething problemshave often surfaced, rangingfrom voluminous Power SystemStudies (PSS) and connectionconfirmation checks (CCC)

    that had to be carried out inlimited time, late submission ofREPPA’s, over stretching testingand commissioning dates aswell as insufficient notice for therelease of quotas for renewableenergy. Although there has beena good progress thus far inrenewable energy developmentand growth, but there is a lot ofroom for improvement.

    It appears that the approvedprojects for biomass, biogasand solid waste sectors haveonly achieved 31% of targetbased on the 10th Malaysiaplan. In addition 45% has beenachieved for small hydropower.On the contrary, the target forsolar PV has exceeded by 322%(up to and including June 2015).Clearly solar PV has become

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    institution to fund RE projectspartly due to lack of precedence,a wait-and-see attitude by manybanks, and collateral issuesbecause banks at that timedid not recognise, for instance,a solar PV installation as acollateral item.

    However th ings havegenerally improved now, asfinancial institutions havestarted to offer financingpackages to the home ownersas well as commercial entitiesfor solar PV installation.

    ISSUES IN CONNECTING

    RE SOURCES TO THEDISTRIBUTION SYSTEMDistribution systems, beinggenerally passive in nature,are not normally designed toaccommodate generators orRE plants. The connection ofa Distributed Generation (DG)unit to the distribution systemwould seem to provide benefitsbecause it serves the loads fromlocal source thereby reducingtransmission, substation andfeeder loading. However, thereare several technical issuesthat must be recognised andaddressed before a DG can beconnected to the distributionnetwork. For instance, solar PVconnections have intermittentresource charac te r i s t ics ,which vary the output powergenerated. Similarly, for mini

    hydro situations the uncertaintyof water levels, remote locationsof the plant and low loaddemand from surrounding areascauses other problems such ashigh fault levels, voltage risesand losses.

    To cater for the changingnature of distribution systemswi th the deployment ofrenewable energy sources, the

    Malaysian Distribution Codewas established and approvedfor implementation by theMalaysian Energy Commissionin 2012. This code incorporatesnew requirements for connectingdistributed generation to thedistribution system. In addition,as DG is very new, TNB alsomake uses of other guidelinesand standards such as MS,IEC and IEEE in implementingdistributed generation in thesystem.

    Among many issues that arebeing faced by TNB in analysingthe impact of distribution

    generation, the following are themost common.

    Low voltage ride through(LVRT) or Fault ride throughcapabilities (FRT)Voltage sag occurs whenever asystem is experiencing a faulteither locally or remotely whichmay result in the disconnectionof a DG plant. Due to theproliferation of RE plants, it isbecoming important to ensurethat RE plants remain connectedduring the occurrence of a faultto minimise the impact at thedistribution level as well as tohelp the overall grid systemremain secure and stable.Therefore, the need to havegreater ride through capabilityduring a fault is important for allRE plants and this requirement

    has been incorporated in theDistribution Code.

    Reverse power flow A Distributed or EmbeddedGenerating Unit is a generatingunit connected within adistribution network that doesnot have direct access to thetransmission network. Thisincludes a DG connected to its

    own network and interconnectedwith the Distribution networkeither directly or through aninterface transformer. Basedon existing TNB Guidelines, theoutput power of the DG has tobe scheduled not to spill overto the transmission network toavoid a reverse power flow atthe interface of transmissionand distribution networks.

    The connection of an REplant may lead to a reversepower flow at substation levels(400V to 11kV), and from thedistribution to the transmissionnetworks (33kV to 132kV). The

    impact of reverse power flowsis most prominent during highpenetration scenarios and mayaffect the protection system co-ordination as well as line voltageregulation. For solar plants, thehigh penetration is during thedaytime, whereas for mini hydroit will be during the monsoonseason.

    Current DG guidel inesused for RE connection doesnot allow reverse flow fromthe distribution system to thetransmission system. The DGoutput must be designed tobe lower by 15% from the localdistribution through load toavoid the reverse flow situation.However, this constraint maypose difficulties in connectingmore RE plants to the systemand may result in less DGs in the

    system. A comprehensive studyto control the effects of reversepower flows during high REpenetrations is currently beinglooked at. This also includes thepossibility of introducing micro-grid controls into the distributionsystem which may includemodernizing the SCADA systemor even the implementation ofsmart grids.

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    Fault level Introduction of DGs into thedistr ibut ion network alsopresents challenges for theutility as it alters the shortcircuit capacity of the system.Although the contribution of onesolar plant to the fault level isinsignificant, if a few plantsare connected together thismay have some impact on theexisting system. The fault levelcontribution is more pronouncedon RE plants with rotatingdevices such as those of min-hydros. Currently, an RE plantlarger than 180kW is subjected

    to short circuit limits dependingon the connected voltage levele.g., 20kA for 11kV.

    The increase in the overallsystem generation has alsoresulted in a higher fault levelin the distribution system. Atthe planning stage, the steady-state fault level is limited to 90%of the breaker rated capacityand any increase in the faultlevel must be mitigated eitherthrough network reconfiguratione.g. off-point change, or breakercapacity increase. Both solutionshave implications to the FiAH aswell as to TNB. For the FiAH,a fault level increase beyondthe rated breaker capacitymeans additional investmentis required to ensure the shortcircuit level can be mitigatedby larger capacity breakers. For

    TNB, changing operational off-points may result in less securenetwork on top of additionaloperational obligation that needsto be incorporated later.

    Voltage and reactive powercontrol regulationsIntroduction of RE sourcesin the distribution systemwarrants the need for dynamic

    voltage controls to avoid overor under voltage situations.Voltage control is a mechanismto regulate the system voltageto operate within the safeoperating level. The existingdistribution system SCADAis not designed for meshed-network operation, similar tothe national grid control centre,as it is traditionally designedas a static control centre witha minimum communicationspeed and energy managementsystem. To assist in achievingbetter voltage control in thedistribution system, connected

    R E s o u r c e s e s p e c i a l l ygenera tors wi th ro ta t ingdevices must be designed withreactive power capabilitiesthat can continuously adjustthe output voltage to meetthe distribution level voltageregulations. The requirement forvoltage regulation capability forgenerators may add additionalcapital cost to the overallproject scope and should notbe compromised as it is relatedto the safety and security of thedistribution system.

    INTERCONNECTION STANDARDS AND GUIDELINESThe following standards andguidelines are currently appliedby TNB in evaluating all REconnection applications to thesystem.

    M S 1 8 3 7 : 2 0 1 0 –Installation of grid connectedphotovoltaic (PV) systems; thisinterconnection series guidelinewas first introduced in 2007mainly for solar PV installations.

    MS IEC 61727:2010– Photovol ta ic Sys tems:Charac te r i s t ics o f u t i l i tyinterfaces; is mostly a summarytha t s impl i f ies ru les of

    interconnection policies suchas voltage regulations, voltagelimits, flicker levels, harmonics,frequency, disconnection rules,system fault and protectionrequirements. In summarythis standard provides thedistribution system performancerequirements and distributedgeneration technical criteriaand specifications in order toconnect to grid system as awhole.

    IEEE 1547- 2003 – Standardfor Interconnecting DistributedRe sou r c e s w i th E l e c t r i cPower System provides more

    technical details and includesthe rationale of interconnectionto the power system grid. Thestandard elaborates each rulerequirement and how it wasdeveloped. Furthermore, thisguideline describes and providesinformation on DG impact on thedistribution system.

    TNB Technical Guidebook forthe Connection of Generation tothe Distribution Network 2005– mostly covers and providesengineering assistance andtechnical application guide fordistributed generation. Thisguideline provides detailedinsight into the scope andcri ter ia required prior toconducting a system study,along with recommended stepsin possible interconnection anddetails to ensure all potential

    impacts are covered.

    CONCLUSIONThe implementation of FITprogramme has propelledthe growth of RE sources inMalaysia. In supporting thegrowth of RE, many technical andnon-technical challenges havearisen which have promptedcontinuous analysis and review

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    of many internal processes aswell as technical limitations.

    T h e p r o l i f e r a t i o n o frenewable energy sources inthe system has also created theneed to develop and review manyguidelines and standards toensure the impact of distributiongeneration can be mitigated andcontrolled.

    The introduction of RE Act2011 and the subsequentcollection of the FiTs, the REFund has contributed to thegrowth of the RE development inMalaysia. Through the RE Fund,as of December 2013, RM776.5mil was contributed by electricity

    users in Malaysia. Out of this,RM73 million has been paid tothe FIAH as the FiT payment.

    The initial problems andhiccups during early stage of FiTimplementation have providedlessons and feedback to all REplayers in Malaysia includingTNB and SEDA. SEDA as theauthority is also constantly

    taking measures to improvethe FiT quota applicationprocess including reviewing theonline application system andintroducing stricter guidelines.

    To facilitate the growth of REin Malaysia, TNB is continuouslylooking into ways and means toimprove and strengthen the cur-rent distribution system includ-ing enhancing the operationalflexibility of the distribution sys-tem Regional Control Centres(RCC). This flexibility could beachieved through the enhance-ment and modernisation ofRCCs so that current RCCs canbe dynamic control centres with

    real-time control and monitoringcapabilities.

    There is also a growing needto review the current MalaysianDistribution Code so that issueson DG can be better guided bythe Code. This is also currentlyan on-going exercise and mayneed longer time before it canbe approved and implemented

    by the Energy Commission.In conclusion, proliferation

    of RE in TNB will see betterfuture with the strong supportof Government and greaterawareness from the generalpublic on the importance ofutilization of RE in Malaysia.

    REFERENCES

    National Renewable EnergyPolicy and Action Plan, 2009(2014) Retrieved March 5, 2014from http://www. seda.gov.my

    Statistic & Monitoring, RE

    Generation Retrieved March 5,2014 from http://www.seda.gov.my

    SEDA Annual Report (2012)Retrieved March 5, 2014 fromhttp://www.seda.gov.my

    IEEE Standard 1547.2 TM2008, IEEE Standard forInterconnecting DistributedResources with Electric PowerSystems.

    G. J Shirek, B. A. Lassiter, “SolarPlant Modelling Impacts onDistribution System,” in 2012IEEE International Standard

    H. Ong, T. Mahlia, and H.Masjuki, “A review on energyscenario and sustainable energyin Malaysia,” Renewable and

    Sustainable Energy Reviews, vol.15, pp. 639-647.

    S. Yusoff and R. Kardooni,“Barr iers and Challengesfor Developing RE Policyin Malays ia ,” in 2012International Conference onFuture Environment and Energy,Singapore, 2012.

    Malaysian map on Solar Generation factor

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    Any modern sovereign nation irrespective ofsocial-political governance ideology mustsecure for its people three basic needs -water, food and energy. These are the triple national“internal security” issues that any Governmentof the day must address and secure as its coredoctrine for national security. If these are notmet, there will be social instability that can leadto civil war among the populace. For homelandsecurity/internal public order and defence againstexternal aggression, the Government need toaddress and secure only one issue, and that is,police/military security strategy in terms of assetsand infrastructure deployment.

    Energy underpins almost every aspect ofour way of life. Energy is synonymous to nationaldevelopment . It enables us to cool and light ourhomes; to produce and transport food; to travelto work, around the country and the world. Ourbusinesses and jobs rely on the use of energy.And, energy is essential for the critical serviceswe rely on - from hospitals to traffic lights andcash machines. It is difficult to overestimate theextent to which our quality of life is dependenton adequate energy supplies. The major typesof energy that we use are: fossil fuels, renewableenergy and nuclear energy for generatingelectricity; fossil fuels (gas or coal) are used

    Electricity Demand-Generation Balance:

    The Question of NationalEnergy SecurityBy Ir. Dr Amir Basha Ismail,Power Plant & Renewable Energy Division, Minconsult Sdn Bhd

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    directly for heating/cooling and industry and oil-based fuels for transport. As we move towards2050, the ways in which we use energy will betransformed; we should become less dependenton some forms of energy, as new and innovativelow-carbon technologies and energy efficiencymeasures are taken up. However, we couldbecome more dependent on others, for exampledemand for electricity will increase if electricvehicles are widely deployed. This means thatover the coming decades there will be significantchange in the energy sector, but an adequateprimary energy supply will continue to be critical forelectricity demand-generation-balance.

    Energy security may seem abstract and vagueto some. Without oil there is virtually no mobility,and without electricity — and energy to generate

    that electricity — there would be no Internet age.But the dependence on energy systems, and theirgrowing complexity and reach, all underline theneed to understand the risks and requirementsof energy security in the 21 st century. Moreover,energy security is not just about counteringthe wide variety of threats; it is also about therelations among nations, how they interact witheach other, and how energy impacts their overallnational security.

    The foundational touchstone of energy securityis diversification of supply. Sir Winston Churchill,the war-time British Defence Minister who laterbecame Prime Minister, is on record as havingsaid in the British Parliament that : “on no onequality, on no one process, on no one country,on no one route, and on no one field, must we bedependent - safety and security in fuel (oil) liein variety and variety alone” [1]. This doctrine isproven true for the modern society of today andthe future.

    Electricity, which is electromagnetism-based,is at the point-of-use will undoubtedly continue to

    be the numero uno in terms of energy use in the21 st century and beyond, compared to other formsof hydrocarbon-based energy use. Thus, nationalenergy security policy must necessarily address theelectricity demand-generation balance issue.

    Malaysia, being a parliamentary democracy,and evolving towards a developed nation status,must rise over partisan politics to address thisissue. Long-term electrical power system planningis all about power/energy generation expansion

    programme and the associated strengthening/development of the national transmission power-grid infrastruc ture. This demand- generationexpansion planning will continue to seek outconventional generating plant candidates thatutilize carbon-based fossil-fuels, either gas orcoal, for the planting-up program.

    However, as part of its national securityagenda, Malaysia must move on beyond gas orcoal for its future electricity demand-generationbalance. Nuclear fuel for electricity generationmust be an option for its primary fuel mix ofpower generating units. In 2010, the Governmenttook up the national position with regards to thenuclear energy option to meet future (post-2020)electricity demand of Peninsular Malaysia withdiversification of primary fuel mix, that is coal, gas

    and nuclear for base load electrical power/energygeneration. This nuclear energy option standis contained in the official document “EconomicTransformation Program – A Road map for Malaysia,Chapter 6: Powering the Malaysian Economy withOil, Gas and Energy” [2]. Malaysia Nuclear PowerCorporation (MNPC) was specifically set up bythe Government, under the Prime Minister’sDepartment, to spearhead the development ofnuclear power programme (NPP). One of the firstmajor tasks of MNPC is to conduct various studiestowards formulation of Malaysia’s Nuclear PowerInfrastructure Development Plan (NPIDP).

    This NPIDP will be the basis for the Governmentto make the decision (expected in 2015) for theimplementation of the first few nuclear powergenerating units for operation in the 2020-2030period to meet the growing electricity demand ofPeninsular Malaysia.

    It is critical that Malaysia continues to havereliable and secure supplies of electricity for“keeping the lights on” and “powering up thenation ”. Electricity delivers a precision unmatched

    by any other form of energy; it is also almostinfinitely versatile in how it can be used.

    Electricity has a unique characteristic, as onceit is generated it has to be consumed, such thatat any point in time, the demand for it must bemet exactly and simultaneously by its supply . Thisrequires an operating reserve margin of sparecapacity to accommodate fluctuations in supply ordemand so as to keep the power system frequencyat every time instant within a very tightly controlled

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    band of 50 Hertz (cycles per second), as shown inFig. 1.

    Operating a reserve margin is the stabilizer,

    the extra production capacity – above projectedpeak power demand – that can be called intooperation in order to avoid a shortage. Maintainingsuch a margin is a basic rule of operations – thepower system in its entirety has to be sufficientat all times, not only to cover average demandbut the extremes of demand, with an additionalreserve to allow for malfunctioning plants and/or equipment. For the Peninsular Malaysia powersystem, the reserve margin is normally held

    Fig. 1: Electricity Demand-Generation Balance

    around 15% to 25% which is consistent with thereliability standard of one day per year Loss ofLoad Probability (LOLP).

    The generating capacity and any associatedsupply chains, such as the fuel for powergenerating stations, must be reliable enoughto meet demand as it arises. There is also theneed to have a diverse mix of technologies andfuels, so that the nation does not rely on any onetechnology or fuel for electrical power generation.There should also be effective price signals, sothat market participants have sufficient incentiveto react in a timely way to minimize imbalancesbetween supply and demand.

    Electricity/Energy security is also closelylinked to global climate change which impactsenvironmental well-being and security. Human

    activities are contributing the most to climatechange through carbon greenhouse gasesemissions and change in land use. The FourthAssessment Report by the Intergovernmental Panelon Climate Change (IPCC, 2007) has concludedthat carbon dioxide (CO 2) emitted globally fromfossil fuels made up approximately 56% of totalanthropogenic greenhouse gas emissions, withchanges in land use which included deforestationmaking up to almost 19% and roughly 26% of CO 2

    Fig. 2 Trends in GDP and Electricity ConsumptionSource: Department of Statistics Malaysia

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    Fig. 3 Electricity Consumption (kWh) per CapitaSource: Department of Statistics Malaysia

    Fig. 4 Annual Growth Rates of GDP and Electricity ConsumptionSource: Department of Statistics Malaysia

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    emission originating from electricity-generatingpower plants globally.

    Fig. 2 gives the historical trends (1990-2012)of Gross Domestic Product (GDP) and electricityconsumption, while Fig. 3 provides the electricityconsumption per capita over the same period. Thecoefficient of electricity elasticity (Fig.4), which isthe ratio relationship between annual growth rateof electricity consumption and economic growth isalso an important input parameter for future load/demand projection. These data are key drivingeconomic variables for the econometric modellingof electricity demand projection using multiplevariable regression analysis technique.

    According to the National Energy Balance 2012Report [3], Malaysia’s total energy consumptionfor year 2012 was 46,711 kilo-tonnes oilequivalent (ktoe). Out of this total, 21.4% wascontributed by electricity consumption, which interms of electrical energy is equivalent to 116,353GWh. Fig. 5(a) shows the sectorial share of thisconsumption.

    The share of primary energy input in powergenerating plants in terms of fuel mix to deliverthis amount of electricity consumption is as shownin Fig. 5(b). In terms of overall input-output energyefficiency for the electricity demand-generationbalance, the figure is about 34%.

    Fig. 5 (a): Share of Electricity Consumption (116,353 GWh) by Sectors, 2012.

    Fig. 5 (b): Share of Primary Energy Input in Power Stations, 2012

    [Total 29, 252 ktoe (340,200 GWh)]

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    THE STRATEGIC CHALLENGES OF MALAYSIA’SENERGY SECURITY

    Challenge No.1: Growing Electricity Demand- Generation Supply Requirement

    Based on the key historical economic and energydata as given in the National Energy BalanceRepor t 2012 (highlighted in the precedingsection), and utilising the econometric modellingof electricity consumption/multiple regressionanalysis technique, the long-term integratedload demand forecast for Peninsular Malaysiawas formulated as shown in Fig.6 for electricityconsumption (GWh) until year 2050. Theconsumption growth is about 3% over this period.

    From this integrated electricity (energy)consumption forecast, the energy generation(GWh) required to supply this consumption growthwas computed taking into account the PeninsularMalaysia transmission-distribution grid loss factorof about 9%. The associated integrated peakpower demand (MW) was also derived using gridannual load factor of about 78% as shown in thesame figure.

    Generation expansion planning simulation isthen required to identify the size, technology, fueland timing for new generating units post-2020 tomeet the integrated load demand forecast over thesame period (2015-2050), taking cognizance that

    all those new generating plants that have alreadybeen identified for implementation/operationbefore year 2020 are already in various stages ofconstruction.

    The generation expansion plan necessitatesproduction simulation of the operation ofgenerating units and calculation of the expectedamount of energy generated by each unit to meetfuture projected loads over the planning horizonthat is until 2040. The simulation programme(WASP-IV of IAEA) uses a load duration curvesimulation method to dispatch generationresources to meet the demand for electricitydescribed by the input peak power (MW) andenergy demand (MWh) for each time period.The model takes into account both plannedresource variations (periods of scheduled plannedoutages) and unplanned resource variations(such as the effect of plant forced outages). The

    Fig. 6: Peninsular Malaysia Electricity Consumption, Energy Generation and Peak Demand Forecast

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    overall objective of generation expansion planis to develop a least-cost generation expansionprogramme to adequately meet the demand forelectricity at minimum cost with development oflarge data sets tabulating the costs, fuel use,reliability and reserve margin which are usefulin analysing issues relevant to decision-making.Based on reliability criterion of Loss of LoadProbability (LOLP) of not exceeding one day per

    year for Peninsular Malaysia power system, thegenerating reserve margin will be around 15% to25% of the peak power demand (MW)

    Due to future uncertainties, such as electricitydemand growth, fuel choice/fuel mix, and fuelprice volatility especially gas and coal, carbon andclimate change and the nuclear option, variousscenario studies are required for the WASPgeneration expansion planning simulation to

    Fig. 7 (a): Scenario 1 Planting up Programme

    Fig. 7 (b): Scenario 2 Planting up Programme

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    analyse issues relevant to decision-making. In thisPaper, we have chosen three pertinent scenariosof generation plant-up with respect to fuel choice /fuel mix to adequately meet the projected demandwith the necessary reserve margin, namely:

    ● Unconstrained coal and gas planting-upwith no Nuclear Option (Scenario 1)

    ● Constrained coal and unconstrainedgas planting-up with no Nuclear option(Scenario 2)

    ● Nominally balanced fuel mix with nuclear,coal and gas planting-up (Scenario 3)

    Challenge No.2: Fuel Security viz-a-viz ExistingNational Energy PoliciesPresently, electricity generation supply planningis governed by the Five-Fuel Policy (2001) which

    specifies Oil, Gas, Hydro, Coal and RenewableEnergy/Energy Efficiency as primary energysources for electricity generation. This iscomplimented by the National Green TechnologyPolicy (2010) which gives preference to greentechnology to drive and accelerate the nationaleconomy and promote sustainable development.

    However, these existing policies do not addressthe issue of fuel security from the aspect of:

    ● Resource accessibility● Degree of acceptance of price risk

    (a) Resource Accessibility of Indigenous Gas Supply

    Fig. 8 shows the evolution of generation mix by fueltype. Following the world-wide oil crisis in 1979 andthe 1982 discovery of off-shore indigenous gas inTerengganu, Petronas-supplied/subsidized naturalgas became the main fuel, reaching about 80%share by year 2000. However, from about 2002,Petronas imposed curtailment on gas supply forpower generation and by 2011, there was severeshortage of piped natural gas from Petronas.

    Currently, Malaysia does not have:(i) Clear policy on indigenous gas utilisation

    for the power sector in terms of fuelgeneration mix for the medium to longterm which is to facilitate infrastructuredevelopment requirements for upstreamplayer (PETRONAS) and downstreamplayers (TNB/IPPs and other industrialusers), and

    Fig. 8: Evolution of Generation Mix by Fuel TypeSource: TNB

    (ii) Clear policy commitment on guaranteedindigenous gas volume for powergeneration.

    If these two additional policies on resourceaccessibility of indigenous gas supply areincorporated into the existing energy policy, this willfacilitate national planning for strategic decisionson domestic gas utilisation (that is, export vs.local use) and on gas purchasing from the globalmarket. This in turn will ensure security of supplyin the longer term and minimise uncertainties inthe planning for competitive, clean and secureelectricity supply for the nation.

    (b) Gas Pricing Policy/Acceptance of Price Risk

    Malaysia also does not have a clear gas pricingpolicy with regards to the principle of ‘marketprice’ for power generation. The definition ofmarket price can either be based on

    - A weighted average of all gas sources,that is, indigenous, imported via pipeline,

    and LNG- Peg ged to internat ional indices or

    competing fuel such as coal- Pegged to fuel oil which could result in

    high priceIn countries, such as Thailand, Indonesia and

    Vietnam, they practice the so-called Governmentadministrative price with a pricing formula thatbalances local indigenous gas with high imported

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    gas price by setting domestic gas price at costplus level. In this way, the gas pricing formulabrings benefit to the national economy and ensuresecurity of supply.

    Currently, Malaysia has an “interim” policy ongas pricing for the existing 12,000 MW installedgas-fired power plants which require a total gasvolume of 1744 mmscfd for full operation ofthese plants. For the first 1000 mmscfd, theGovernment-subsidized price is RM 16.7 permmbtu for indigenous gas. Beyond this volume,it is based on that for LNG market price which isabout RM 40+ mmbtu. The Government subsidyfor indigenous-gas power generation will begradually removed. It is not certain at this point intime what would be the final gas price to be usedafter the removal of this Government subsidy.

    However, for the purpose of determining futureenergy mix and generation plant-up program, wehave assumed the expected global market price ofLNG which is about RM 40+ per mmbtu.

    (c) Resource Accessibility and Pricing Risk of Coal

    Malaysia started to plant up coal-fired electricitygenerating units when imported coal price was

    very much lower, as shown in Fig.9. Coal wasstable in terms of price for decades. Price startedto increase beyond 2003 and has since climbedto new levels due to surge in world-wide demand.Malaysia fully imports its coal from Indonesia,Australia and South Africa.

    In terms of resource accessibility, steam coalexport market is geopolitically concentrated.Indonesia and Australia are the main coalexporting countries which have a combined exportmarket share of about 80%.

    It is a known fact that there are plenty ofcoal in the ground in countries like US, China,India, Europe and Russia. But, these countriesstrategically reserve this indigenous resource fortheir own respective domestic power generationneeds. The United States holds over 25% of known

    world reserves, putting it in the same positionin terms of coal reserves as Saudi Arabia withrespect to oil reserves.

    Volatile, unsettled coal price poses a big riskto Malaysian electricity power producers due torisk of no fuel-cost pass through mechanism.Automatic fuel-cost pass through mechanismis a must to sustain viability of a power utilitycompany.

    Fig. 9: Pricing Risk of CoalSource : TNB

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    Challenge No.3: Carbon Emission and ClimateChangeAs shown in Fig. 5(b), coal has now taken thelead over gas for Malaysia’s electricity generationwith about 50% share from year 2012. And, it isexpected to further increase post-2015.

    Our most recent WASP generation expansionplanning simulation study for post-2020 electricitysupply requirement, with the scenario ofunconstrained coal planting-up (Scenario 1), thecoal share in the fuel mix is up to about 80%, withabout 10% from natural gas.

    Coal produces more than twice as much carbondioxide per unit (kWh) of electricity as does naturalgas. Malaysia has also made a commitment atthe Copenhagen Summit on Climate Change forcarbon emission intensity reduction of 40% by

    2020.Traditionally, energy issues have revolved

    around questions about price, accessibility,security – and pollution. But now energy policies ofall kinds are being shaped by the issue of climatechange and global warming. There is now a verystrong case for international regulation on carbonemission in the future. Development of new powerplants will be subjected to stringent

    environmental codes and regulations. Futuregeneration options must incorporate efficientplants such as supercritical/ultra-supercriticalboilers.

    Since 2000, though not well publicised, thebiggest increase in global energy output has comefrom coal – double that from oil and triple thatfrom natural gas. More than anything else, coal’sincrease is the result of growing electricity use inemerging market countries.

    Today 40% of the world’s electricity is generatedfrom coal. Also, currently most generationexpansion planning scenarios have coal-generatedelectricity growing on a global basis. China and

    India, the world’s most populous countries, rankfirst