As a developing country with the rapid growth of economic and population like Malaysia, energy and electricity play a critical role towards sustaining and supporting the development of the nation. However, like many countries across the world, Malaysia is facing challenges in reducing the carbon footprint while attending the expanding growth. In the Eleventh Malaysia Plan, Malaysia has pledged to renew and increase its commitment to the environment and long-term sustainability by adopting green growth initiatives. According to the plan, one of the approaches towards pursuing green growth is by undertaking the sustainable consumption and production concept that promotes economic growth without compromising the environment. One of the strategies is to focus on promoting renewable energy sources as well as boosting up the development of the systems. The last decade has seen a growing trend towards renewable energy in Malaysia, particular in solar photovoltaic applications in recent years. This paper will investigate the potentials of installing 5 MW solar PV plants in the state of Sabah according to feed in tariff incentives and its financial and environmental assessment in order to promote large scale solar PV in Malaysia. This paper calculates the economic viability through IRR and simple payback indicators and the environmental impact through CO 2 emission reduction indicator for the proposed 5 MW plant.
In tenth Malaysian Plan, Malaysian government had voluntarily targeted to reduce its emission intensity to 40% compared to the 2005 level by the year 2020 and recently re-pledge to reduce more and declared for 45% emission reduction by 2030. Looking at the country's high dependency to the fossil fuel generation it is a high concern on the increasing CO 2 emission in Malaysia. This paper intends to analyze the current status of CO 2 emissions from electricity generation in Malaysia during the period 1992-2014 by applying the LMDI (logarithmic mean Divisia index) technique to find the nature of the factors influencing the changes in CO 2 emissions. The decomposition analysis observed three biggest factors contributed to the reduction of CO 2 emission throughout the period which is thermal generation effect, electricity generation efficiency effect and electricity structure effect.
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