KUALA LUMPUR (March 11): Tenaga Nasional Bhd (TNB), through its wholly-owned subsidiary, TNBX Sdn Bhd (TNBX) and the Public Works Department (PWD) are undertaking a feasibility study on the installation of rooftop solar on PWD buildings under TNB Solar Energy Purchase Programme.
The study is one of the five areas of collaboration that both parties are considering under a memorandum of understanding (MoU) signed on Saturday.
The non-binding and non-exclusive three-year MoU was signed by TNBX managing director, Ir. Nirinder Singh Johl while PWD was represented by deputy director general (specialist sector), Ir. Kamaluddin Abdul Rashid.
Ir. Nirinder described the signing of the MOU as a teamwork of two like-minded entities, keen to address energy management issues.
“Hopefully, this initiative will raise awareness for a greater need for energy management in Malaysia,” he said in a statement.
Under the MoU, TNB would invest, design, install and maintain the solar PV system on PWD buildings throughout a 20 to 25 year contract period. With the installation of the rooftop solar photovoltaic (PV) system with TNBX, PWD would enjoy the benefits of clean electricity at zero capital upfront cost.
PWD would also be billed for the electricity generated from the solar PV system at a rate that is lower than the normal TNB electricity tariff. In addition, PWD can sell any excess energy generated from the solar PV back to TNB under the Net Energy Metering scheme.
Hence, through this proposed TNB Solar Energy Purchase Program, PWD would benefit from clean electricity to meet its carbon reduction target without incurring any capital and gain from immediate overall electricity cost savings at minimal risk.
Both parties also seek mutual benefits in four other areas namely, promotion of green technology by focusing on joint intentions in public awareness and outreach; smart nation by embarking on industrial revolution 4.0 smart city solutions; precision operation by optimising asset management; and research excellence by conducting continuous research initiatives in renewable energy (RE) technology.
TNB is targeting to generate 1,700MW of RE by 2025 which would be in line with the government’s target of generating 20 per cent of RE resources by 2030.
The MoU was witnessed by Ministry of Works secretary-general Datuk Dr Syed Omar Sharifuddin Syed Ikhsan. Present was TNB chief retail officer Ir. Megat Jalaluddin Megat Hassan.