ENERGY MANAGER TRAINING COURSE (EMTC)

TC 0.2 – ENERGY POLICIES, LEGISLATIONS, STANDARDS &

LABELLING, INCENTIVES

VER.2(2019)
Learning Outcomes for TC-0.2
At the end of the module, participants should be able to:

• Recognise and describe the unique roles of various governing

agencies and institutions; the key instruments to promote energy
sustainability such as policies, legislations or acts, standards and
labeling as well as incentives.

• Leverage on EE and RE schemes and benefits, and emulate the

best practices on EE & RE initiaties.

• Undertake the required actions and mobilise organisations to

comply with the relevant energy legislation, laws and acts.

• Recognise and leverage on the benefits of local and international

standards, labelling and incentives of energy efficient products
and processes.
 Contents
1. Introduction
2. Policies
2.1 Energy policies in Malaysia
2.2 Other policies related to energy
2.3 Institutional framework
2.4 Action plan
3. Legislations
3.1 Electricity Supply Act 1990
4. Standards and Labelling
4.1 Standard
4.2 Labelling and certification
5. Incentives
 1.0
Introduction
1.0 Introduction
Toward achieving 45% Carbon Emission by 2030
the government has:
▪ Implemented the Efficient Management of
Electrical Energy Regulation, 2008 – to
encourage efficient management of energy
▪ Promoting Energy Management program and
widespread implementation of Energy Efficiency
and Conservation through the drafting of EE and
Conservation Act (EECA)*
▪ Incentivising Energy Efficiency (EE) and
Renewable Energy – Reduce dependency of
fossil fuel

*Include thermal EE and C

 2.0
Policies
 2.1
Energy policies in Malaysia
 Policy Objectives
1. Supply Objective: To ensure the provision of adequate, secure
and cost effective energy supply by developing indigenous energy
resources, both non-renewable and renewable energy sources
using the least-cost option and diversification of supply sources
both from within and outside the country.

2. Utilization Objective: To promote the efficient utilization of

energy and to discourage wasteful and non productive patterns of
energy consumption

3. Environment Objective: To minimize the negative impacts of

energy production, transportation, conversion, utilization and
consumption on the environment.

Secure supply, efficient usage, protection of

the environment
 The need for Energy Efficiency (EE) is embedded in Malaysia’s National
Energy Policy

Petroleum National National National Four-Fuel Five-Fuel

Development Petroleum Energy Depletion Diversification Diversification
Act 1974 Policy 1975 Policy 1979 Policy 1980 Strategy 1981 Strategy 2001

• To regulate • To ensure • To prolong • To pursue • Renewable

• Vested on
downstream adequacy, lifespan of balanced Energy
PETRONAS
oil & gas security and Malaysia’s utilization of included as
the
exclusive industry via cost- oil reserves oil, gas, hydro the “fifth
the effectiveness for future and coal fuel” in
rights to
Petroleum of energy security & energy
explore,
Regulations supply stability of supply mix
develop
and 1974 oil supply
• To promote
produce efficient
petroleum utilization of
resources energy
of Malaysia
• To minimize
negative
environmental
impacts in the
energy supply
chain
 2.2
Other policies related to energy
NATIONAL GREEN TECHNOLOGY POLICY

POLICY STATEMENT
GREEN TECHNOLOGY
SHALL BE A DRIVER TO
ACCELERATE THE MINISTRY OF ENERGY, MALAYSIAN GREEN
SCIENCE, TECHNOLOGY
NATIONAL ECONOMY
TECHNOLOGY, CORPORATION
AND PROMOTE (GREENTECH MALAYSIA)
ENVIRONMENT AND
SUSTAINABLE CLIMATE CHANGE
A corporation under
DEVELOPMENT. (MESTECC)
the purview of the
Responsible for the Ministry of Energy,
planning and Green Technology &
formulation of policies Water Malaysia act as
for energy, green the nation’s lead
technology and water agency in catalysing
LAUNCHED BY THE green technology as a
sectors, as well as to
MALAYSIAN PRIME MINISTER strategic engine for
facilitate and regulate
ON 24 JULY 2009 socio-economic
the growth of these
sectors. growth.
NATIONAL GREEN TECHNOLOGY POLICY

What is Green Technology?

Green Technology is the development and application of products, equipment,
and systems used to conserve the natural environment and resources, which
minimizes and reduces the negative impact of human activities.

Green Technology refers to products, equipment, or systems which satisfy the

following criteria:
❑ It minimizes the degradation of the environment;
❑ It has a zero or low green house gas (GHG) emission;
❑ It is safe for use and promotes healthy and improved environment for all forms
of life;
❑ It conserves the use of energy and natural resources;
❑ It promotes the use of renewable resources.
NATIONAL GREEN TECHNOLOGY POLICY
FOUR PILLARS OF GREEN TECHNOLOGY POLICY

ENERGY ENVIRONMENT ECONOMY SOCIAL

Seek to attain
Conserve and Enhance the Improve the
energy
minimize impact national quality of life
independence
on the economic for all
& promote
environment development
efficient
through the use
utilization
of technology
 2.3
Institutional framework
Institutional Framework
• Energy Efficiency & Conservation development in Malaysia:
Government agencies Private sectors

15
 2.4
Action plan
 NATIONAL ENERGY
EFFICIENCY ACTION PLAN
(NEEAP)
 NATIONAL ENERGY EFFICIENCY ACTION
PLAN (NEEAP)
OVERVIEW

NATIONAL ENERGY EFFICIENCY ACTION PLAN (NEEAP)

2016-2025

Strategic Thrust 1 : Strategic Thrust 2 : Strategic Thrust 3 : Strategic Thrust 4 :

Implementation of Energy Strengthen Institutional Establishment of Sustainable Promotion of Private Sector
Efficiency Plan Framework, Capacity Funding Mechanisms To Investment in Energy Efficiency
Development and Training for Implement Energy Efficiency Initiatives
Implementation of EE Initiatives Initiatives

NEEAP KEY INITIATIVES

Equipment Programme Initiative Industrial Programme Initiative Buildings Programme Initiative

1. Promotion of 5-Star Rated 1. Energy Audits and Energy 1. Energy Audits and Energy
Appliances Management in Industries Management in Buildings

2. Minimum Energy Performance 2. Promotion of Co-generation 2. Energy Efficient Building Design

Standards (MEPS)
 NEEAP
KEY INITIATIVES OF NEEAP PROGRAMS

1. Initiatives Promotion of 5-Star Rated Appliances

2. Minimum Energy Performance Standards (MEPS)

3. Energy Audits and Energy Management in

Buildings and Industries

4. Promotion of Cogeneration

5. Energy Efficient Building Design

11TH MALAYSIA PLAN
 11TH MALAYSIA PLAN
ENERGY EFFICIENCY PROGRAM UNDER THE 11TH MALAYSIA PLAN

ENERGY AUDIT,
ENERGY AUDIT AND ENERGY ENERGY
ENERGY EFFICIENCY MANAGEMENT
MANAGEMENT IN PROGRAM & RETROFIT
INDUSTRIAL SECTOR UNDER PROGRAM IN
RMK-11 GOVERNMENT
•- ENERGY AUDIT
CONDITIONAL GRANT SECTOR
(EACG)
ENERGY AUDIT AND
ENERGY • One of government initiative
MANAGEMENT IN under “Government Lead by
• Open to any industrial and commercial company. COMMERCIAL
Example”
• Application through implementation agency, SEDA SECTOR
•- ENERGY AUDIT
• Inclusive government offices
(for Commercial sector) & MGTC (for Industrial
sector) CONDITIONAL GRANT and hospitals
• Applicant shall appoint Energy Service Company
(EACG) • Retrofit measures including
(ESCO) registered with Energy Commission (EC) to improvement of lighting and
do the energy audit. air conditioning systems.
• Successful applicant of Energy Audit Conditional
Grant (EACG) must implement the measure
recommended in the energy audit report where
the cost of implementation equal or more than
the amount of grant given within 3 years.
 11TH MALAYSIA PLAN
Expected outcome
• Reduction of electrical energy consumption of government buildings by 199
1 GWh and savings of RM74,529,138.51 in electricity cost for the period RMK-11.

• Cost savings in generation and transmission as much as RM130,012,732.97

2 (13.83 MW) for the plan period RMK-11

• GHG emission reduction of 147.52 ktCO2e

3

• Cultivating the culture of energy auditing to improve energy efficiency in all

4 sectors
 3.0
Legislation
 3.1
Electricity Supply Act 1990
 Acts & Regulations
LEGAL AND REGULATORY FRAMEWORK

ACTS OF PARLIAMENT

• Energy Commission Act 2001

• To promote efficiency, economy and safety in the generation, production, transmission,
distribution supply and use of electricity.
• To promote the use of renewable energy and the conservation of non-renewable energy
• Electricity Supply Act 1990
• Part VA – Efficient use of electricity (Section 23A – Minister to determine standards, etc., Section
23B – Installation to meet requirements and Section 23C – Equipment to meet requirements.)

REGULATIONS – Power of the Minister to make regulations

• Electricity Regulations 1994

• Amendment 2013 - Implementation and Enforcement of Minimum Energy Performance
Standards (MEPS) for 5 Domestic Electrical Products; Air Conditioner, Refrigerator,
Television, Domestic Fan and Lighting (Regulation 97, Regulation 101A, 109 A(1), 109 A(2))
• Efficient Management of Electrical Energy Regulations 2008
 EFFICIENT
MANAGEMENT OF
ELECTRICAL ENERGY
REGULATIONS 2008
(EMEER 2008)
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008

▪ Gazeted on 15th December 2008

▪ Improving energy management practices among large
consumers through the implementation and enforcement
of the EFFICIENT MANAGEMENT OF ELECTRICAL
ENERGY REGULATIONS (EMEER) 2008.
▪ Applied to big energy users (equal or exceeding 3 Million
kWh over any period not exceeding 6 consecutives
months
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008

REGULATION 3:
APPLICATIONS

Any installation which receives Any installation used, worked

electrical energy from a or operated by a private
licensee or supply authority installation licensee with a
with a total electricity total net electrical energy
consumption equal to or generation equal to or
exceeding 3,000,000 kWh as exceeding 3,000,000 kWh
measured at one metering over any period of six
point or more over any period consecutive months
of six consecutive months; or
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008
REGULATION 5 : OBLIGATION TO SUBMIT INFORMATION
A licensee or supply authority who supplies electrical energy
Existing installation New installations
Shall submit to the Commission Shall submit to the Commission
information or documents regarding information or documents regarding the
the names and particulars of names and particulars of consumers
consumers whose total electrical whose total electrical energy
energy consumption over any period consumption over any period not
not exceeding six consecutive exceeding six consecutive months
months equals to or exceeds equals to or exceeds 3,000,000 kWh,
3,000,000 kWh, not later than one not later than one month after the
month after the expiry of the period expiry of the period of six consecutive
of six consecutive months from the months from the date the electrical
effective date. energy supply is connected to the
installation by the licensee or supply
authority.
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008

REGULATION 5 : OBLIGATION TO SUBMIT INFORMATION

A private installation licensee
Existing installation
Shall submit to the Commission
information or documents
regarding the total net electrical
energy generation over any
period not exceeding six
consecutive months that equals
to or exceeds 3,000,000 kWh,
not later than one month after
the expiry of the period of six
consecutive months from the
effective date.
New installations
Shall submit to the Commission
information or documents regarding
the total net electrical energy
generation over any period not
exceeding six consecutive months
that equals to or exceeds 3,000,000
kWh, not later than one month
after the expiry of the period of six
consecutive months from the date
the installation starts to generate
electrical energy.
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008
REGULATION 5 : OBLIGATION TO SUBMIT INFORMATION

◼ Licensee, supply authority or private installation licensee shall ensure

that the information or documents provided are true, accurate and
complete.
◼ Any licensee, supply authority or private installation licensee who –
• fails to submit such information; or
• fails to disclose or omits to give any relevant information or
document, or provides information or documents that he or it
knows or has reason to believe is false or misleading
commits an offence under these Regulations
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008
REGULATION 6 : NOTIFICATION
• 6. (1) The Commission may, at any
•(d) to submit the report in Form A of
the Second Schedule that has been
time by written notice, direct any
duly signed; and private installation licensee or
•(e) to submit any other information consumer whose total net
which the Commission may require. electrical energy generation or
•6.(2) The private installation licensee Every 6 months, a total electrical energy
How to get
or consumer shall upon submitting the review report on
informed that your consumption, as the case may be,
information and report under the measures taken
installation is equals to or exceeds
paragraphs (1)(c), (d) and (e) include a must be submitted
affected by the 3,000,000kWh
declaration by the registered electrical to Energy
energy manager for the installation in regulation?
Commission
Form B of the Second Schedule.

Information to be
submitted must •(a) to appoint or designate a
•(c) to submit information regarding – include the way registered electrical energy
What you should
(i) the statement of policy for efficient forward of the manager to carry out the functions
installation towards do when received
electrical energy management of the and duties under regulation 16 at
efficient energy the notice?
installation; the installation
(ii) the objectives of efficient electrical management in 3
•(b) to submit a written
energy management; and months from the
date notice received confirmation of such appointment
(iii) the accounts and documents or designation under paragraph (a)
pertaining to efficient electrical energy to the Commission containing the
management name and particulars of the
registered electrical energy
manager as well as the date of
expiry of his registration as an
electrical energy manager
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008
SUMMARY OF REGULATIONS 3 & 6
Consumer
Any installation which receives electrical
energy from a licensee or supply authority–
Consume equal or exceeding 3,000,000 kWh
any period of 6 consecutive months
Applicable to:
Generator
Installation worked or operated by a private
installation licensee– Generate equal or
exceeding 3,000,000 kWh any period of 6
consecutive months
Duties and Responsibilities of Affected
Installation
To appoint or designate a registered
electrical energy manager ;
To submit a written confirmation of such
appointment or designation (name,
particulars, date of expiry of registration);
To submit information:
• The statement of Policy for Efficient
management of Electrical energy
• The Objectives of Efficient
management of Electrical energy
• The Accounts & Document pertaining
to Efficient management of Electrical
energy
To submit reports
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008

PROCESS CYCLE of MONITORING EMEER 2008

 Notice issued to the affected installation  Appoint REEM

 Installation to notify EC on REEM appointment

 Prepare report and submit to

REEM to verify
 Submit the report together with Form A  Verify the report and endorse Form B
and Form B
REGISTERED ELECTRICAL
ENERGY COMMISSION INSTALLATION
ENERYG MANAGER
Example Form A
Example Form B
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008
REGULATION 7 : OBLIGATION OF PRIVATE INSTALLATION LICENSEE OR CONSUMER

1) Any private installation
licensee or consumer who
is served with a written
notice from the
Commission under
regulation 6 shall submit
to the Commission:
a) the information as required under paragraphs 6(1)(a) and (b)
not later than three months from the date of the written
notice; and
b) the information and report as required under paragraphs
6(1)(c), (d) and (e) and the declaration under subregulation 6(2)
not later than thirty days after the expiry of six consecutive
months from the end of the period specified in paragraph
7(1)(a).

2) The private installation
licensee or consumer shall
continue to submit to the
Commission:
a) the information as specified in paragraph (1)(a) not later than
three months; and
b) the information and report as specified in paragraph (1)(b)
not later than thirty days after the expiry of six consecutive
months,
from the end of the period specified in paragraph (1)(b), and shall
thereafter be submitted accordingly within the periods as
prescribed in this subregulation.
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008
REGULATION 7 : OBLIGATION OF PRIVATE INSTALLATION LICENSEE OR CONSUMER
30 Days 30 Days
To submit To submit
EXAMPLE: information and information and
report report
[ 6(1)(c),(d) &(e) and [ 6(1)(c),(d) &(e) and
6(2) ] 6(2) ]

10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1

Three Months Six Months Six Months

To appoint REEM and
submit written
confirmation of
appointment

2014
2015 2016
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008
REGULATION 9 :REVIEW REGULATION 10 : WITHDRAWAL
The Commission may, review the The Commission may withdraw the
obligations of the entity by considering: - earlier notice by considering:-

The total net electrical energy The total net electrical energy
consumption/generation for the reported consumption or generation for the
period is below 3,000,000 kWh; reported period equals to or exceeds
3,000,000 kWh

Any other reason as the Commission

Has fully complied with the requirements deems fit when it is satisfied that
of the Regulations; and efficient management of electrical
energy at the installation for the
reported period has not been practised
Any other reason which the Commission after the date of issue of the notice
deems fit to show efficient management
of electrical energy at the installation for
the reported period.

and may by written notice notify the entity

that he or it is no longer required to further
submit the information and report
 Efficient Management of Electrical
Energy Regulations (EMEER) 2008
REGISTERED ELECTRICAL ENERGY MANAGERS (REEM)
Qualification (Regulation 12)
Malaysian citizen aged 23 years and above.
Professional Engineer with at least 6 months
working experience in Electrical Energy
Efficiency; or
Degree in Science/ Engineering /
Architecture with at least 1 year working
experience in Electrical Energy Efficiency; or
Hold a Certificate of Competency as an
Electrical Services Engineer or as a
Competent Electrical Engineer with at least 9
months working experience in Electrical
Energy Efficiency; and
Demonstrates knowledge of the
requirements of the Act and these
Regulations that satisfies the Commission
Functions and Duties (Regulation 16)
To audit and analyze the total electrical
energy consumption
To advise in developing and implementing
measures to ensure efficient management
of electrical energy at the installation
To monitor effective implementation of the
measures
To supervise the keeping of records on
efficient management electrical at the
installation (verify the accuracy of the
record)
To ensure timely submission of information
and reports under the regulations
 General Penalty
• Example: If not submit report as required by
Regulation: Refer Regulation 7 (3)
– Any private installation licensee or consumer who
fails to comply with subregulation (1) or (2) commits
an offence under these Regulations.
• Regulation 22
– Any person who commits an offence under these
Regulations shall, on conviction, be liable to a fine
not exceeding five thousand ringgit or to
imprisonment for a term not exceeding one year or to
both.
ENERGY MANAGEMENT
INFORMATION SYSTEM
(EMIS)
 Overview

EMIS is an online reporting mechanism under EMEER 2008 replacing

hardcopy submission of report starting from year 2018.
It also used in monitoring of EMEER 2008 compliance and
comprehensive performance analysis of each installations as well as
sectors and sub-sectors.
Objective of EMIS:
To establish an online reporting mechanism for the purpose of continuous monitoring
of EMEER 2008 compliance.
EMIS will be a tool to support continuous energy management initiatives in any
facilities.
Introduction of computerized energy management reporting that would initially
include EMEER 2008 affected installation with potential to be expanded to other
installation or project as well.
To be a comprehensive performance tracking with regards to the Energy
Management and Energy Efficiency Initiatives.
 User Definition & Roles
EC
❑ System Administrator
❑ Create new installations / users
account.
❑ Create new REEMs account.
❑ Linking of installations to REEMs.
❑ Organizational management
workflows, e.g. forgotten password,
editing of installation, etc.
❑ Inputting of calculation constants.
❑ Reviewing of system reports.
❑ Downloading of full dataset and
detailed analysis of same.
INSTALLATION
❑ Inputting of installation level
data.
❑ Inputting reporting data.
❑ Reviewing of inputted data.
❑ Data submission to REEM for
verification and then submission
to EC.
❑ Reviewing of system reports.
❑ Generate Form A and Form B
REEM
❑ Verify the data submitted by
the installation under his
supervision.
❑ Will see list of installation
under his supervision only
and the data/information
submitted by the installation
❑ REEM account will be linked
to the installation under his
supervision
 Reporting Flow

Create Installation Acc. Create REEM Acc.

EC
Installation submit the
EC link Installation data to EC
to their REEM
INST REEM INST Data Submission

1. Installation user will

update detail Approve
information on
installation. Submit to EC
2. Installation will key in Data
required data every six Verification
months
REEM review and EC
Data Entry verify the data
Reject

Submit to REEM REEM

INST
Installation need to correct
the data
 Reported Data

ELECTRICITY NET FLOOR

FUEL
[kWh] AREA [m2]
Commercial & If applicable
Goverment sector only

PRODUCTION VARIABLES ENERGY

Industry sector Eg: Cooling SAVINGS
only Degree days, MEASURES
Occupancy, etc
 Analysis

Regression Electricity
Regression analysis based on
baseline with defined variables
to get savings analysis (actual
08 01
kWh vs predicted kWh)
CO2 Emission
Energy Savings 02
Measure 07 Type
of
Fuel Analysis Products
03
If applicable 06 For Industry Sector only

05 04
Building Energy Intensity (BEI) Specific Energy Consumption (SEC)
1. For Commercial / Government 1. For Industry Sector only.
Sector only. 2. Benchmarking with Average
2. Benchmarking with Average BEI SEC for Subsector of the
for Subsector of the installation. installation.
SNAPSHOT
OF EMIS
• EMIS can be accessed
via
https://emis.st.gov.my
• Please refer to the EMIS
Manual which can be
downloaded at the login
page for more details
information in using
EMIS. (Installation user
manual, REEM user
manual & Guide on
Selecting Subsectors
and Product Types)
 4.0
Standards and Labelling
 4.1
Standards
 AEMAS vs. ISO 50001
AEMAS ISO 50001
Energy management

Corporate energy policy

 
Energy Management system in place and
documented  
Trained and certified energy manager
 
Motivation
 
Budget management
 
Demonstration of budget spending  
Demonstration of measurable performance
improvement and project implementation
 

51
Requirements of
ISO 50001 & EN 16001:2009
ISO 50001 EN16001
4.1 General requirements 3.1 General requirements
4.2 Management responsibility 3.2 Energy policy
4.2.1 General 3.3 Planning
4.2.2 Roles, responsibility and authority 3.3.1 Identification and review of energy aspects
4.3 Energy policy 3.3.2 Legal obligations and other requirements
4.4 Planning 3.3.3 Energy objectives, targets and programme(s)
4.4.1 General 3.4 Implementation and operation
4.4.2 Energy Profile 3.4.1 Resources, roles, responsibility and authority
4.4.3 Energy Baseline 3.4.2 Awareness, training and competence
4.4.4 Energy performance indicators 3.4.3 Communication
4.4.5 Legal and other requirements 3.4.4 Energy management system documentation
4.4.6 Objectives, targets and action plans 3.4.5 Control of documents
4.5 Implementation and operation 3.4.6 Operational control
4.5.1 Competence, training and awareness 3.5 Checking
4.5.2 Documentation 3.5.1 Monitoring and measurement
4.5.3 Operational control 3.5.2 Evaluation of compliance
4.5.4 Communication 3.5.3 Nonconformity, corrective action and preventive action
4.5.5 Design 3.5.4 Control of records
4.5.6 Purchasing energy services, goods and energy 3.5.5 Internal audit of the energy management system
4.6 Checking performance 3.6 Review of the energy management system by top management
4.6.1 Monitoring, measurement and analysis 3.6.1 General
4.6.2 Evaluation of legal/other compliance 3.6.2 Inputs to management review
4.6.3 Internal audit 3.6.3 Outputs from management review
4.6.4 Nonconformities, corrective, preventive and improvement actions
4.6.5 Control of records
4.7 Review of the energy management system by top management
4.7.1 Inputs to management review
4.7.2 Outputs from management review
 4.2
Labelling and certification
MINIMUM ENERGY
PERFORMANCE
STANDARD (MEPS)
MINIMUM ENERGY PERFORMANCE STANDARD (MEPS)
Governed by Electricity Regulations 1994 gazetted on 3rd May 2013
Air Conditioner
• Type :Non-ducted Single Split Wall Mounted
• Capacity ≤ 25,000 btu/hr
Fan
• Ceiling Fan with diameter less than 60 inch
• Wall fan,desk fan,table fan with diameter less
than 16inch
Refrigerator
• 1-door & 2-door only
Television
• Type :LCD,PLASMA,LED,CRT
• Screen size up to or equal to 70 inch
Lamp
• T5 & T8 Fluorescent Lamp
• Self ballasted single capped CFL
MEPS Requirement is 2 Star.
• Single Capped Fluorescent Lamp & Circular
Fluorescent Lamp
More Stars More Efficient • Self ballasted LED Lamp
Washing Machine
• Type :Top Loading and Front Loading
• Capacity ≤16kg
 NATIONAL BUILDING
ENERGY INTENSITY (BEI)
LABELLING FOR
GOVERNMENT
BUILDINGS
BEI Labelling
• Aims to encourage government staff to improve the
energy intensity of their buildings

• Suruhanjaya Tenaga (ST) as the implementing

agency responsible in verifying a building’s data
and issuing the label

• Provides information on the energy performance of

a building
 WHAT IS BEI ? LABEL CONCEPT
• A benchmarking tool in monitoring building energy Star range:
performance by indicating the intensity of energy used per 1 Star: Highly inefficient
meter square area of the building 5 Star: Most efficient

• The Intensity is calculated by taking the ratio between annual

energy consumption of a building (kWh/year) and nett floor
area of the building (NFA)

Annual Energy Consumption (kWh) Building

BEI (kWh/m² /year) = categories:
NFA (m²) Building
Office/ Energy
Hospital/ Intensity
University/ Unit:
BEI LABELLING BENEFITS School & etc. kWh/m2/year
Ascertains energy performance of Government
buildings

Accelerates efforts to make Government buildings

energy efficient through Government Lead By Example

Provides and disseminates information to building STAR BEI Range*

occupants on energy usage performance of the building
compared to energy efficient building
5-Star BEI ≤ 100
4- Star 100 < BEI ≤ 130
Creates healthy competition among building owners to
improve energy use 3- Star 130 < BEI ≤ 160
Helps the Government achieve national commitment 2- Star 160< BEI ≤ 250
to reduce GHG emissions intensity of GDP by 45% by 1- Star BEI > 250
2030
*BEI range for office building
MyHIJAU MARK
MyHIJAU Mark - Green Recognition

MyHIJAU Mark is Malaysia’s

official green recognition
endorsed by the Government
of Malaysia, bringing together
certified green products and
services that meet local and
international environmental
standards under one single
mark.
MyHIJAU Mark - Symbol of Green Change

Uniting Green Certifications

Under A Single Mark
Benefits of the MyHIJAU Mark registration

Source for Government Green

Procurement (GGP) and Green
Private Purchasing (GPP)

Companies purchasing MyHIJAU

Mark registered products including
equipment and systems may be
eligible for Green Investment Tax
Allowance (GITA)

New green service providers

registered with the MyHIJAU Mark
may be eligible for Green Income
Tax Exemption (GITE)
Criteria for Registration of Products
Green Product
Features
Manufacturers or Suppliers
• Business or company must be a Malaysian
Registered Business or Malaysian
Registered Company
Eligibility Criteria
for Applicant • Authorised Malaysian distributor or reseller
must have a Letter of
Appointment/Authorization by the original
product manufacturer
• Must have existing Green Label Certification
or Performance Standard Compliance report
Requirement for
from an independent certification body that
Products
meets minimum standards recognized by
GreenTech Malaysia
Requirement for Green Product Certification

[1] Green Label Certification (ISO 14024 Type I Eco-labels)

e.g. SIRIM Eco Labelling Scheme

[2] Green Label Certification (ISO 14025 Type III Eco-labels)

e.g. SIRIM Carbon Footprint Labelling Scheme

[3] Green Label Certification (Other Type I-like Voluntary

Sustainable Scheme; VSS)
e.g. Energy Efficiency, Water Efficiency, PEFC & MCS

[4] Performance Standard Compliance

e.g. MS 2413:2011 (P) Electric Motorcycles Specification
Part 3 (Performance Test)
MyCrest
What is MyCrest
➢ Malaysian Carbon Reduction and Environmental
Sustainability Tool, aims to guide, assist, quantify, hence
reduce, the built environment’s impact in terms of reduced
carbon emissions and environmental impact.

➢ While taking into account a more holistic life cycle view of

the built environment.

➢ It also aims to integrate socio-economic considerations

relating to the built environment and urban development.
Certification
Certification
Design Stage
Construction Stage
O & M Stage

Design Certification
Construction Certification

O&M Certification
Condition:
1) If the building certified
Final Certification Final Certification
with all certification from 3
80%-20% 50%-20%-30%
stages
2) If the building certified
with O&M certificationonly, it
must at least receive 3 Star CARBON AWARD LABEL
and above
GreenRE
 GreenRE is pushing the green building industry further
▪ GreenRE is one of the leading green building rating tools in Malaysia.
▪ We conduct assessment and certification for green buildings and townships in
Malaysia.
▪ In GreenRE, green buildings and townships will be first assessed by our
internal assessors and the assessment results will be reviewed and assessed
by independent reviewers.
▪ For projects with Gold or Platinum rating, two independent reviewers will be
engaged to ensure that the green building projects are eligible for the top two
ratings.
▪ GreenRE green building certifications are recognised by authorities in Malaysia
such as MESTECC (formerly known as KeTTHA), MGTC, MIDA, IRDA and the
local authorities.
▪ By adopting the GreenRE criteria, property developers and building owners
develop high performance green buildings and high performance green
townships which are highly energy, water and resources efficient.
▪ High performance green buildings and townships have lower long term
operating costs and thereby reduces the living expenses of the building users.
▪ GreenRE being a Malaysian-developed rating tool enhances the country’s
competitiveness and standing in the international arena.
 5.0
Incentives
GREEN BUILDING
INCENTIVES
GREEN BUILDING INCENTIVES

• Qualifying expenditure to obtain Green Building Index

(GBI) certification
– Tax exemption equals 100% of qualifying expenditure
– Only for GBI certificate obtained between 24-10-09 and 31-12-14

• Purchase of GBI certified property

– Stamp duty exemption on transfer of ownership
– Stamp duty exemption on S&P between
24-10-09 and 31-12-14
– Exemption only on additional cost incurred
to obtain GBI certification
GREEN INVESTMENT TAX
ALLOWANCE (GITA) &
GREEN INCOME TAX
EXEMPTION (GITE)
GREEN INVESTMENT TAX ALLOWANCE (GITA) &
GREEN INCOME TAX EXEMPTION (GITE)
Scope of Green Technology Tax Incentive
CATEGORY SCOPE

Green Investment Tax Applicable for companies that acquire

Allowance (GITA) qualifying green technology assets and
Assets listed under the MyHIJAU Directory.

Green Investment Tax Applicable for companies that undertake

Allowance (GITA) qualifying green technology projects for
Projects business or own consumption.

Green Income Tax Applicable for qualifying green technology

Exemption (GITE) service provider companies that are listed
Services under the MyHIJAU Directory.
 INVESTMENT TAX ALLOWANCE INVESTMENT TAX ALLOWANCE INCOME TAX EXEMPTION
(ACTIVITIES) (ASSETS) (SERVICES)

GITA of 100% of qualifying capital
expenditure incurred on green
technology project from the year of
assessment 2013 (date on which the
first qualifying capital expenditure
incurred is not earlier than 25th
October 2013) until the year of
assessment 2020.
• Renewable Energy ( RE)
• Energy Efficiency
• Green Building
• Green Data Centre
• Integrated Waste Management
Activity
GITA of 100% of qualifying capital Income tax exemption of 100%
expenditure incurred on approved green of statutory income from the
technology asset from the year of year of assessment where the
assessment 2013 (date on which the first date of application received by
qualifying capital expenditure incurred is not MIDA until the year of
earlier than 25th October 2013) until the year assessment 2020.
of assessment 2020.
• Renewable Energy (RE)
• Energy Efficient transformer (up to 33kv) • Energy Efficiency
• Solar air-conditioning equipment/system • Green Building
• Thermal energy storage • Green Data Centre
equipment/system • Green Certification and
• Variable Air Volume (VAV) Verification
equipment/system • Green Township
• Variable-refrigerant-volume (VRV) • Electrical Vehicle (EV)
equipment/ system
• Electric motorcycle/scooter (excluding
superbike)
• Electric bus
• Electric MPV/truck
• Electric Vehicle (EV) charging
equipment/system

Applications received by 31 December 2020 are eligible for this incentive Note:
❑ Total RE projects (2016 – Oct. 2018) = 185 projects = *RM 960,682,138 During 2019 Budget Announcement, the list
❑ Total EE projects (2016 – Oct. 2018) = 46 projects = *RM 99,269,737 of qualifying assets is to be increased to 40.

*-Figure based on application approved by GreenTech Malaysia

RE & EE INCENTIVES
Green Technology Incentive includes more
qualifying activities

❑ To strengthen the development of green technology, the Government

will continue to provide incentives in the form of investment tax
allowance for the purchase of green technology assets and income tax
exemption for the use of green technology services and system.
❑ The incentives which were announced in Budget 2014 will cover
broader scope of green technology activities in the areas of energy,
transportation, building, waste management, and supporting services
activities.
❑ It also facilitates the transition of the expired (by 31 December 2015)
tax incentives relating to renewable energy (RE) and energy efficiency
(EE) projects under the Promotion of Investment Act (PIA), 1986.
Green Technology Incentive includes more qualifying activities
A) Tax Incentive for Green Technology Project
➢ Investment Tax Allowance (ITA) of 100% of qualifying capital expenditure incurred on a
green technology project from the year of assessment 2013 (date on which the first
qualifying capital expenditure incurred is not earlier than 25 October 2013) until the year of
assessment 2020.
➢ The allowance can be offset against 70% of statutory income in the year of assessment.
➢ Unutilised allowances can be carried forward until they are fully absorbed.
➢ Green technology project related to renewable energy, energy efficiency, green building,
green data centre, and waste management can qualify for this tax incentive.
B) Tax Incentive for Green Technology Services
➢ Income tax exemption of 100% of statutory income from the year of assessment 2013 until
the year of assessment 2020.
➢ Green technology services related to renewable energy, energy efficiency, electric vehicle
(EV), green building, green data centre, green certification and verification, and green
township can qualify for this tax incentive.
C) Tax Incentive for Purchase of Green Technology Assets
➢ Investment Tax Allowance (ITA) of 100% of qualifying capital expenditure incurred on
green technology asset from the year of assessment 2013 (date on which the first
qualifying capital expenditure incurred is not earlier than 25 October 2013) until the year of
assessment 2020.
➢ The allowance can be offset against 70% of statutory income in the year of assessment.
Unutilised allowances can be carried forward until they are fully absorbed.
GREEN TECHNOLOGY
FINANCING SCHEME
(GTFS)

ABOUT
The GTFS is a special
financing scheme introduced
by the government to support
the development of Green
Technology (GT) in Malaysia.
Budget 2010, with a total
financing amount of RM1.5
billion.
Budget 2013, the fund
increased by RM2 billion and
the application period
extended ending 31
December 2015.
SCHEMES
OFFERED
Government guarantee
covering up to 60% of green
project costs.
2% rebate on interest or profit
rates charged by financial
institutions.
Financing is by Participating
Financial Institutions (PFIs).
RESULTS
By end of 2017 GTFS has
contributed to RM 7.05 billion in
green investment in Malaysia
including 16 EE projects
amounting to RM 269.7 million
(USD 64.21 million), created
over 4,909 new green jobs and
reduced 3.74 million tonnes of
CO2 equivalent per year.

Budget 2016, extension of the

implementation period until
31 December 2017.
The Green Technology Financing Scheme exists to help
incorporating green technology elements in specific project
related to the identified sectors.

These projects must be located within Malaysia, utilising

local and/or imported technology. Private companies that
could benefit from this financing scheme are PRODUCER
or USER of green technology products or systems. GTFS
for PRODUCER or USER category shall be as follows:

This scheme is only applicable for new project and

retrofitting or expansion that incorporates Green
Technology elements which have not been funded and
partly funded. The GTFS is not for projects that already
started or completed.
FEATURES PRODUCER OF GREEN USER OF GREEN TECHNOLOGY
TECHNOLOGY
Financing size Maximum: RM100 million per Maximum: RM10 million per company
company (effective from 15 June 2016)
Financing tenure Up to 15 years Up to 10 years
Eligibility criteria Legally registered Malaysian -owned Legally registered Malaysian -owned
companies (at least 51%) in all economic companies (at least 70%) in all economic
sectors sectors
Participating All commercial and Islamic banks.
financial institutions GFIs: Bank Pembangunan, SME bank, Agrobank, Bank Rakyat, EXIM bank and Bank
(PFIs) Simpanan Nasional
(Listing of commercial banks and Islamic banks from Bank Negara Malaysia website.)
GTFS GREEN CRITERIA

MINIMISE
DEGRADATION
TO THE
ENVIRONMENT

PROMOTES THE Products,

ZERO OR LOW
USE OF equipment and
GREEN HOUSE
RENEWABLE systems used to
conserve the GAS EMISSION
RESOURCES natural
environment and
resources which
minimize and
reduce the
negative impact of
human activities

SAFE FOR USE

CONSERVE THE
AND PROMOTES
USE OF
HEALTHY AND
NATURAL
IMPROVED
RESOURCES
ENVIRONMENT
End of Session