Understanding CGPP
In 2023, the Government introduced the CGPP to provide opportunities for business entities, both local and multi-national to utilise renewable energy in their business operation.
Under the program, an eligible Corporate Consumer, being a normal consumer of the Electricity Utility Company, will sign a virtual power purchase agreement with a Solar Power Producer for the virtual sale and purchase of renewable energy and green attributes while being backed up by secure and reliable power from the Electricity Utility Company.
In reality, the electricity supplied to the Corporate Consumer is not directly from the Solar Power Producer but from a pool of generation sources connected to the electricity supply system. When the Solar Power Producer is not producing electricity or not producing enough electricity, other generation sources from the electricity supply system will top up the supply to meet the demand of the Corporate Consumer.
The CGPP was launched with a quota allocation of 800 MW, which has been fully subscribed on 8 November 2023, with 32 successful applicants.
Overview of CGPP Framework
This framework illustrates how renewable energy is generated, scheduled, and settled between Solar Power Producers, Corporate Consumers, and the electricity system, ensuring clear roles, fair pricing, and reliable delivery of green electricity.
Governing Documents
Information Guide for CGPP
Information Guide for CGPP
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NEDA Registration Process: Transmission-Connected
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Conduct a Power System Study (PSS)
To begin, the solar power producer appoints a qualified consultant to carry out a Power System Study. This study assesses how the proposed plant will affect the transmission system and confirms whether the grid can safely support the connection. -
Validate the PSS results
The completed study is reviewed by Grid Planning to confirm that all technical, performance, and reliability requirements are met. Validation at this stage is required before the registration process can proceed.
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Submit NEDA registration to Single Buyer
Once the study is validated, the solar power producer submits the NEDA Registration Form together with the required technical and corporate documents to Single Buyer.
Important: This submission must be made within six (6) months from the date of offer acceptance.
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Registration review by Single Buyer
Single Buyer reviews the submission to ensure the information is complete, accurate, and compliant with NEDA requirements. Where necessary, clarification or additional information may be requested.
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System consultation with the Grid System Operator (GSO)
Single Buyer consults the Grid System Operator to assess system readiness and the operational implications of integrating the proposed generating facility into the transmission network. -
Grid connection approval
Following this consultation, the Grid System Operator confirms whether the transmission system can accommodate the new plant without affecting system security or reliability. -
Registration confirmation
Upon receiving confirmation, Single Buyer issues a registration verification letter to the solar power producer and formally notifies the Energy Commission (Suruhanjaya Tenaga).
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Receive the NEDA Deed of Accession
Single Buyer provides the NEDA Deed of Accession, which enables the solar power producer to formally accede to the NEDA market framework. -
Execute the NEDA Deed of Accession
By executing the deed, the solar power producer confirms acceptance of the NEDA Market Rules and associated obligations. -
Prepare the NEDA Connection Agreement
By executing the deed, the solar power producer confirms acceptance of the NEDA Market Rules and associated obligations. -
Execute the NEDA Connection Agreement
Once issued, the solar power producer executes the Connection Agreement, formally accepting the technical, operational, and commercial terms governing the grid connection.
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Construct the plant and interconnection facilities
The solar power producer constructs the generation plant and all required interconnection facilities in accordance with approved designs and standards. -
Apply for a NEDA Generation Licence
Before commencing operations, the solar power producer applies to Suruhanjaya Tenaga for a NEDA Generation Licence. -
Generation licence issued
Suruhanjaya Tenaga issues the license upon satisfaction of regulatory requirements, authorizing the plant to generate electricity under NEDA. -
Back energisation and initial operation
The plant is energised and connected to the grid for final testing, after which initial operations commence under controlled conditions. -
Grid Code compliance testing
Grid Code tests are conducted to confirm that the plant meets all technical and operational requirements. -
Firm participation confirmed
Single Buyer issues a Notice of Firm Participation Date, confirming that the solar power producer is now an active participant in the NEDA market.
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NEDA Registration Process: Distribution-Connected
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Apply for a distribution Power System Study
For plants connecting at the distribution level, the solar power producer submits an application to the Distribution Network to assess connection feasibility. -
Distribution Power System Study conducted
The Distribution Network carries out the study, including site assessment and evaluation of connection options, and confirms whether the proposed connection is technically feasible.
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Submit NEDA registration
The solar power producer submits the NEDA Registration Form and required documents to Single Buyer.
Timeline: Submission must be completed within six (6) months of offer acceptance. -
Registration verification
Single Buyer reviews the submission, confirms compliance, and notifies Suruhanjaya Tenaga of the successful registration
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Execute the NEDA Deed of Accession
The solar power producer executes the Deed of Accession to formally join the NEDA market. -
Execute the NEDA Connection Agreement
The Connection Agreement is executed, confirming acceptance of the technical and operational terms for distribution-level connection.
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Construct plant and interconnection facilities
The plant and interconnection works are constructed in accordance with approved requirements. -
Technical coordination and readiness checks
The solar power producer works with the Distribution Network on coordination meetings, metering assessment, testing, and commissioning readiness.
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Apply for and obtain a NEDA Generation License
Regulatory approval to generate electricity under NEDA is obtained from Suruhanjaya Tenaga. -
Commissioning and Initial Operation Date (IOD)
Following successful commissioning, the plant begins operation. -
Firm participation confirmed
Single Buyer confirms the plant’s participation in the NEDA market through the issuance of a Notice of Firm Participation Date.
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Leading Renewable Energy Initiatives
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