On 26 January 2024, in conjunction with the International Day of Clean Energy, the Ministry of Energy Transition and Water Transformation (PETRA) announced the launch of the Low Carbon Energy Generation Programme, aimed at accelerating the development of non-solar renewable energy resources in Malaysia.

The programme targets diversified renewable technologies including wind, small hydro, biogas, biomass and hydrogen, reinforcing national efforts to broaden the renewable energy mix and enhance long-term system resilience. A total quota of 400MW has been allocated under this initiative, with participation administered on a first-come, first-served basis.

Within the market framework, Single Buyer operationalises the programme through structured quota administration, capacity assessment and integration planning to ensure that new low-carbon generation is incorporated in a manner consistent with system reliability and market transparency. By aligning allocation mechanisms with grid readiness and demand outlook, the programme strengthens investment clarity while maintaining orderly market development.

Applications opened on 5 February 2024. As of 15 January 2025, applications received amount to 3.22MW of the allocated quota.

The Low Carbon Energy Generation Programme represents a key step in deepening Malaysia’s renewable energy portfolio, enabling broader participation in emerging technologies while reinforcing a balanced and reliable power system as the energy transition progresses.