Kota Kinabalu: The private sector is ready to play a greater role in Sabah’s renewable energy transition and is seeking stronger collaboration with the government to accelerate the state’s green energy agenda, said Green Energy Association of Sabah (GENS) President Dr Edward Chua.
He said industry players possess the financing capabilities, technological expertise and project management experience needed to support Sabah’s transition towards a more sustainable energy future.
“We respectfully encourage the Government to continue accelerating the implementation of renewable energy policies through an open, transparent and equitable framework that enables meaningful private sector participation,” he said during the GENS Executive Committee Installation Dinner, here.
Chua said GENS was established to bring together renewable energy industry players in Sabah and support the state’s energy transition goals under the Sabah Energy Roadmap and Master Plan 2040 (Seramp) and the National Energy Transition Roadmap (NETR).
He said stronger public-private partnerships would be crucial in enhancing Sabah’s energy security, improving grid reliability and developing a more sustainable and resilient power system.
According to him, greater industry engagement and the timely sharing of strategic development plans involving solar photovoltaic (PV), hydropower, wind energy and battery energy storage systems would provide investors with greater certainty while facilitating more effective project planning and execution.
Chua noted that renewable energy is becoming increasingly important in addressing climate change and environmental challenges, which continue to affect communities, economies and ecosystems worldwide.
He said Malaysia’s NETR and Sabah’s Seramp share the common objective of accelerating the transition to a low-carbon economy and achieving net-zero carbon emissions by 2050.
At the same time, he highlighted several challenges facing the renewable energy industry, including the implementation of the Sales and Service Tax (SST), rising global trade tariffs, geopolitical uncertainties, and increasing material and logistics costs.
As such, he appealed to the Sabah Government to consider extending Power Purchase Agreement (PPA) implementation timelines and Commercial Operation Date (COD) requirements for projects affected by cost escalations and supply chain disruptions.
He also called for appropriate relief measures to address the impact of SST on renewable energy projects that had been approved before the revised tax framework came into effect.
“Such support would greatly assist industry players in maintaining project viability and ensuring the continued growth of Sabah’s renewable energy sector,” he said.
Chua further urged the State Government to implement the Net Energy Metering (NEM) programme in Sabah, noting that consumers in the state had missed out on the previous RM3,000 residential solar installation incentive available in other parts of the country.
Beyond industry development, he said GENS remains committed to environmental, social and governance (ESG) initiatives.
The association announced a RM5,000 contribution to Respect, a non-governmental organisation involved in elephant conservation efforts in Kinabatangan.
It will also sponsor a 5kW solar photovoltaic and battery system for a hostel in Kanibongan, Pitas, to provide sustainable energy access to the local community.
Chua said GENS would continue working closely with the government and other stakeholders to support Sabah’s renewable energy transition and contribute towards a more sustainable future for the State.