The Government of Malaysia has announced a 250 MW renewable energy Feed-in Tariff (FiT) quota for 2027 to support clean energy generation and attract investment. The quota will be allocated through an online bidding process for biogas, biomass and small hydropower projects in Peninsular Malaysia and the Federal Territory of Labuan. The allocation includes 30 MW for biogas, 120 MW for biomass and 100 MW for small hydropower.
The programme is expected to attract around RM3 billion in investment and create more than 5,000 direct and indirect jobs. Eligible projects could begin supplying renewable electricity from 2030. The initiative supports Malaysia’s target of increasing renewable energy’s share of electricity generation to 70 per cent by 2050. Since the FiT programme began in 2011, 1,660.50 MW of renewable energy capacity has been approved across 9,658 projects.
In July 2026, Malaysia’s Ministry of Energy Transition and Water Transformation (PETRA) announced the sixth round of its Large-Scale Solar programme, targeting 2.5 GW of solar capacity paired with 1.25 GW of BESS. The tender will be implemented in three lots. Awarded projects are expected to commence commercial operations by the end of 2029. The tender forms part of Malaysia’s broader renewable energy strategy to expand clean energy capacity and strengthen energy security.