NATIONAL ENERGY PLANNING & PERSPECTIVE: SPECIAL FOCUS ON DEMAND - PowerPoint PPT Presentation

NATIONAL WORKSHOP BUILDING SECTOR ENERGY EFFICIENCY NATIONAL ENERGY PLANNING & PERSPECTIVE: SPECIAL FOCUS ON DEMAND SIDE MANAGEMENT : 25 th February 2016 Date Venue : Pullman Kuala Lumpur By : YBhg. Datin Badriyah binti Ab Malek Director (Energy) Economic Planning Unit, Prime Minister’s Department 1

PRESENTATION OUTLINE 1. Introduction 2. Malaysia Energy Policies 3. 11 th Malaysia Plan 4. Conclusion 2

Introduction Holistic Malaysia is Major Energy Malaysia’s Management blessed with challenge security is commitment - Focus on natural is the the vital cog in efficient use energy governance to sustain international of energy & resources structure & economic arena energy (fossil & inefficient growth e.g. COP21 renewables) conservation usage of energy 3

PRESENTATION OUTLINE 1. Introduction 2. Malaysia Energy Policies 3. 11 th Malaysia Plan 4. Conclusion 4

Malaysia Energy Policies 2009 1974 2010 RE Act National Green Petroleum National RE Policy (2011) Technology Policy Development Act 1975 2006 New Energy 2010-2015 National Petroleum National Biofuel Policy 10 th Malaysia Plan (2010-2015) Policy Policy 1979 2000 2016-2020 National Energy Five-Fuel 11 th Malaysia Plan Policy Diversification Policy Key initiative 1980 1981 National Depletion Four-Fuel Demand Side Policy Diversification Policy Management Master Plan 5

PRESENTATION OUTLINE 1. Introduction 2. Malaysia Energy Policies 3. 11 th Malaysia Plan 4. Conclusion 6

11 TH MALAYSIA PLAN New dimensions … Action driven 1 • Part of a systematic Focus more on the effectiveness of implementation planning of national development People-centric 2 Focus more on people economy – increase access to education, healthcare, • Final leg in the journey housing and reducing income disparity towards achieving Game changers 3 Vision 2020, and lays To spur growth and ensure inclusivity the foundation for further growth Taking the long-term view 4 Goes beyond 2020 7

11MP 6 strategic thrusts & 6 game changers to accelerate Malaysia’s development Uplifting B40 households 2 Enhancing inclusiveness towards a middle-class society towards an equitable society 1 Improving well-being for all 2 Enabling industry-led Technical 2 and Vocational Education and Accelerating human capital Training (TVET) development for an advanced nation 3 Embarking on green 3 Pursuing green growth for growth sustainability and resilience 4 Strengthening infrastructure to support economic expansion 5 4 5 6 Re-engineering economic growth Innovation Competitive Enhancing for greater prosperity cities 6 productivity to wealth 8

STRATEGIC THRUSTS 4 – ENERGY SECTOR FOCUS AREA B: Adopting the sustainable consumption & production concept B2 a) Exploring new RE sources  wind, geothermal, ocean energy Increasing 2,080 b) Enhancing capacity of RE personnel share of  To create 15,300 jobs (skilled & semi-skilled) MW renewables in  Training for 1,740 personnel to create experts in relevant fields energy mix c) Implementing Net Energy Metering  To increase the contribution of RE in the generation mix a) Formulating a comprehensive DSM Master Plan B3  covers the scope of electrical, thermal including energy usage in the Enhancing transport sector DSM b) Expanding DSM measures for buildings, industries & demand side households management  REEM, EPC  ISO 50001 for buildings, MEPS & Energy Labelling  Enhanced Time of Use Tariff (EToU)  Smart grid & Co-gen 9

STRATEGIC THRUSTS 5 – ENERGY SECTOR….contd. FOCUS AREA E: Encouraging sustainable energy usage to support growth E1 Strengthening a) Fostering greater institutional collaboration on energy stakeholder planning coordination &  High-level focal point in the Government collaboration in b) Engaging end-users on efficient energy consumption  Comprehensive & effective communication plan the energy  Public awareness programmes sector E2 Ensuring the a) Ensuring security of gas supply security &  Pipelines from Malaysia-Thailand Joint Development Area to Kerteh  RGT-2, Pengerang, Johor reliability of  LNG units – Sabah & Sarawak supply for oil & b) Reducing market distortion gas subsector  Review the pricing structure for gas supply within a market-  Introduce Incentive-based Regulation (IBR) for gas based approach  Expansion of CNG retail infrastructure 10

STRATEGIC THRUSTS 5 – ENERGY SECTOR…. contd. FOCUS AREA E: Encouraging sustainable energy usage to support growth E3 a) Supporting the development of Pengerang Integrated Petroleum Complex (PIPC) Enabling growth  Additional 300,000 bpd of oil refining capacity – RAPID in the oil & gas  1,220MW co-generation power plant subsector b) Moving towards third party access for gas supply to allow new entrants  Amendment of Gas Supply Act, 1993 (Act 501) in 2016  Creation of vibrant gas supply market c) Implementation of clean fuel in the transport sector  Introduce environment-friendly fuel - EURO 4M & EURO 5 Standards  Bio-diesel programme – B15 by 2020 11

STRATEGIC THRUSTS 5 – ENERGY SECTOR…. contd. FOCUS AREA E: Encouraging sustainable energy usage to support growth E4 a) Ensuring electicity supply security through better management of resources Managing  Optimum generation mix guided by HHI supply diversity  Clean & green energy sources in power generation for security of b) Enhancing alternative energy sources the electricity  Renewable sources to reach 7.8% (2,080MW) subsector  Net Energy Metering (NEM) c) Augmenting rural electrification  Improve national coverage to 99% (including Sabah & Sarawak)  Community involvement E5 Improving the a) Creating a sustainable tariff framework  Balancing of generation fuel mix to optimise cost of supply sustainability,  Abolishment of Special Industrial Tariff by 2020 efficiency & 7,626  Implementation of Incentive-based Regulation (IBR) reliability of the MW b) Improving efficiency & reliability of electricity supply electricity  New investment - generation, transmission & distribution subsector  Improvement of SAIDI for Malaysia 12

11 TH MALAYSIA PLAN cont. DSM Master Plan  Policy statement & objectives – covers the scope of electrical, thermal including energy usage in the transport sector  Identify major thrusts for DSM implementation  Specific, Measurable, Achievable, Realistic, Time tagged - short-term, mid-term, long-term  National Action Plan for DSM 2016 2017 2018 2019 2020 Preliminary DSM Study DSM Policy DSM Action Plan roll-out DSM Study & Master Plan 13

11 TH MALAYSIA PLAN cont.  700 Registered Electrical Energy Manager (REEM) Buildings  Extend EPC to other govt. buildings  New govt. buildings to adopt EE Design  Retrofit 100 govt. buildings (NEEAP)  Register 70 ESCOs  100 companies to implement ISO 50001  Enforce MS1525 & UBBL T A  Introduce Enhanced Time of Use (EToU) tariff Industries - 3 different time zones R  Abolish Special Industrial Tariff G  Install 4 million smart meters  Increase on-grid Cogeneration capacity E T  Expand the scope of MEPS Households  Enhance energy labelling 14

PRESENTATION OUTLINE 1. Introduction 2. Malaysia Energy Policies 3. 11 th Malaysia Plan 4. Conclusion 15

CONCLUSION In the 11 th Malaysia Plan (2016-2020): • Robust & holistic approach is needed to manage the energy sector. • Urgent need to:  Streamline government structure  Rationalise subsidy  Sustainable usage & product management • Demand Side Management Master Plan will be a paradigm shift in energy management for Malaysia • DSM will provide a new trajectory to ensure:  control rising demand of energy  delay construction of new power plants  reduce GHGs emission in line with COP-21 commitments  prolong lifespan of the countries’ natural resources  long-term target – decouple energy consumption from economic growth 16

NATIONAL WORKSHOP BUILDING SECTOR ENERGY EFFICIENCY 17

New Energy Policy (2010-2015) Market Pricing • Adoption of market-based energy pricing Supply Side Energy • Subsidy Initiatives Efficiency decoupling approach - Measures • Development of itemization alternative resources • Encourage efficient use - renewables, coal & LNG, of energy in all sectors nuclear • National Energy • public awareness Efficiency Master Plan New Energy Policy (2011-2015) Holistic Change Governance Management • Governance • Sequenced & gradual structure for implementation of 5 strategic efficient integrated plan to management of pillars of the achieve outcome energy sector New Energy Policy 18