Malaysia Launches a Green Electricity Tariff (GET) Program backed by I-REC Standard
Malaysia is making it easier for corporations and households to buy high-quality renewable electricity products, direct from the utility—Tenaga Nasional Berhad (TNB).
The renewable power comes from solar and hydropower plants across the country, with clean power procurement evidenced by Malaysia Renewable Energy Certificates (mREC). Each mREC is denominated by an International Renewable Energy Certificate (I-REC), cleared through the Evident I-REC(E) Accredited registry, and redeemed in accordance with the I-REC Standard Product Code for Electricity. mREC is a trademark product by TNBX Sdn. Bhd., a wholly-owned subsidiary of TNB.
This structure ensures that clean power consumers receive Malaysian-origin renewable electricity, and at the same time, that power purchases are aligned with international best practices for tracking and reporting.
Jared Braslawsky, Executive Director of the I-REC Standard Foundation stated, “[we] are exceptionally glad to see TNB and the Malaysian government working to provide high-quality renewable energy products to end-users of all sizes. It is an honor to work with TNB on delivering this REC product, and we are optimistic that the broader program will help support domestic renewable energy generation.”
According to Malaysia’s Ministry of Energy and Natural Resources, domestic, commercial, and industrial electricity buyers in Peninsular Malaysia can opt into the new Green Electricity Tariff (GET) program starting 1st December 2021, with the first redemptions taking place in January 2022. Subscribers will receive a nominal surcharge for their clean power purchase (currently set at Malaysian Ringgit 3.7 sen per kilowatt-hour). In exchange, both corporate and household consumers will receive evidence of redemption (mREC/I-RECe), which can be used for reporting and disclosure in line with CDP, Race to Zero, RE100, Science-Based Targets, and all other major reporting frameworks. Proceeds will directly support the country to scale up renewable power generation, in line with national and global commitments.
The GET program was officially launched on Tuesday, 23 November, where nine major entities announced plans to enroll in the clean energy subscription. Among them are CIMB Bank Berhad, Dutch Lady Milk Industries Berhad, Gamuda Berhad, HSBC Amanah Malaysia Berhad, MCIS Insurance Berhad, Nestlé (Malaysia) Berhad, Opensys (Malaysia) Berhad, Tenaga Nasional Berhad, and Zurich General Insurance Malaysia Berhad. Domestic government entities, including the Ministry of Energy and Natural Resources (KeTSA), Energy Commission of Malaysia, Sustainable Development Authority of Malaysia (SEDA), and MyPower Corporation are also subscribing to the GET program and will be powering offices with home-grown renewables from January onwards.
Ir. Nirinder Singh Johl, Managing Director of TNBX has explained, “[t]his initiative is a big step for our country and the region. Our customers have long been asking for domestic clean energy products backed by international standards, and that is exactly what the mREC instrument delivers. The unique move we are making with GET is ensuring that anyone in the country can access high-quality clean energy—from major international companies down to household users. That’s a big step! We’re the first in the region to provide a comprehensive green tariff program like this one, and we think it will open the door to building more clean power across the country.”