Electricity in Malaysia in 2023

As of 2023, Malaysia's electricity production is predominantly reliant on fossil fuels, accounting for more than 80% of the total generation. Within this category, coal makes up 43% while natural gas contributes about 37%. Low-carbon energy sources, which include hydropower and solar, contribute to roughly 20% of Malaysia's electricity. Specifically, hydropower constitutes approximately 17% and solar energy provides close to 2%. Despite some reliance on low-carbon technologies, the overwhelming dependence on fossil fuels remains a significant challenge in terms of greenhouse gas emissions and air quality.

Suggestions

To increase the share of low-carbon electricity generation, Malaysia can adopt strategies from countries that have successfully integrated diverse low-carbon technologies. For instance, countries like France and Slovakia have significantly relied on nuclear energy, contributing around 65% and 62% respectively of their electricity from nuclear power. Even countries with considerable geographical and economic similarities to Malaysia, like South Korea and Pakistan, have incorporated nuclear to the tune of nearly 30% and 14% respectively. Furthermore, countries like Denmark and Uruguay have leaned heavily into wind energy, generating more than half and 35% of their electricity from this clean resource. Learning from these successful models, Malaysia can also look into expanding both its nuclear and wind energy sectors to diversify and clean up its electricity grid.

History

Looking back at Malaysia's history of low-carbon electricity generation, hydropower has shown fluctuating yet generally positive contributions since the 1980s. In the mid-1980s, there were moderate increases, with a notable rise of 1.7 TWh in 1984 and smaller increments in subsequent years. The 1990s witnessed significant variability with increases and declines, such as a notable dip in 1990 but a strong recovery in 1999 with a 3.1 TWh increase. The period from the early 2000s to the mid-2010s saw small but consistent contributions, culminating in substantial growth from 2014 onwards, including a significant surge of 6.1 TWh in 2016 and 6.8 TWh in 2017. More recently, solar energy has started entering the mix, adding 0.8 TWh in 2019. This historical trend indicates a growing but potentially underutilized capacity for low-carbon electricity, especially in hydropower, suggesting that there is ample room to expand green energy efforts further.

Electricity Imports and Exports

Balance of Trade

Data Sources