Forecast Life-Cycle Cost of
solar PV Electrity (LCOE) (RM/
KWhr) VS Future Cost of
Electricity from Fossil Fuel (RM/
KWhr)
PV Scenarios for Residential ( 5% Nominal Discount Rate)
Year
Single
Distribution/
Total
System
Total
Buyer Transmission
Customer
LCOE
Capital LCOE Gen
Operation
Electricity
Gen (sen/ Tariff Tariff (sen/
Services
Cost (RM/ (US$/MWh)
Tariff (sen/
Cost (sen/
kWh)
kWh)
(sen/
Tariff (sen/
kWp)
kWh)
kWh)
kWh)
kWh)
2019
6500.00
6000.00
5500.00
5200.00
139.19
128.48
117.78
111.35
48.72
44.97
41.22
38.97
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
48.72
44.97
41.22
38.97
2020
5000.00
107.07
37.47
NA
NA
NA
NA
37.47
2016
2017
2018
Data Prepared by Might - PV National Road Map Working Group
Assumptions:
•  25 years duration,
•  Average installed capacity for residential system (12 KWp)
•  Average annual yield:1350 KWhr/KWp/yr
•  Capacity factor 15.4%
NA= Not applicable
Forecast Residential PV Generation Cost
(2016-2020)
PV Scenarios for Commercial & Industrial ( 5% Nominal Discount Rate)
Single
Distribution/
System
Total
Buyer Transmission
Customer
Total
Operation
Electricity
LCOE Gen LCOE Gen
Capital
Tariff (sen/
Tariff
Services
Year
(US$/MWh) (sen/kWh)
Tariff (sen/
Cost (sen/
Cost (RM)
kWh)
(sen/
Tariff (sen/
kWh)
kWh)
kWh)
kWh)
2016
2017
2018
2019
2020
6000.00
5500.00
5000.00
4800.00
4500.00
121.82
111.67
101.52
97.46
91.36
42.64
39.08
35.53
34.11
31.98
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA
NA= Not applicable
Data Prepared by Might - PV National Road Map Working Group
Assumptions:
•  25 years duration,
•  Average installed capacity for residential system ( 1000 KWp)
•  Average annual yield: 1,350 KWhr/KWp/yr
•  Capacity factor 15.4%
Forecast Commercial & Industrial Solar PV
Generation Cost (2016-2020)
42.64
39.08
35.53
34.11
31.98
PV Scenarios for Utility Scale ( 5% Nominal Discount Rate)
Single
Distribution/
Total
Total
System
Customer
LCOE Buyer Transmission
Capital LCOE Gen
Electricity
Operation
Gen (sen/ Tariff Tariff (sen/
Services
Year
Cost (RM/ (US$/MWh)
Cost (sen/
Tariff (sen/
kWh)
kWh)
Tariff (sen/
(sen/
kWp)
kWh)
kWh)
kWh)
kWh)
2016
5500.00
93.98
32.89
0.19
3.66
0.05
8.25
45.04
2017
5000.00
85.44
29.90
0.19
3.66
0.05
8.25
42.05
2018
4500.00
76.89
26.91
0.19
3.66
0.05
8.25
39.06
2019
4500.00
76.89
26.91
0.19
3.66
0.05
8.25
39.06
2020
4500.00
76.89
26.91
0.19
3.66
0.05
8.25
39.06
Data Prepared by Might - PV National Road Map Working Group
Assumptions:
•  25 years duration,
•  Average installed capacity for residential system (between 50 MWp)
•  Average annual yield: 1,550 KWhr/KWp
•  capacity factor : 17.7%
•  Land cost < RM 3 to 4 /sq ft. (lease or purchase) x 87,120 sq ft x 50 ( 1 acre ~43,560 sq ft, 2
acre/ MWp )
Forecast Utility Scale Solar PV Generation
Cost (2016-2020)
60
50
Average Electricity Tariif (Sen/
kWh) - (ST Data)
40
Forecast Average Electricity Tariif
(Sen/kWh)
Residential PV Generation Cost
(Sen/kWh)
30
Commercial & Industrial PV
Generation Cost (Sen/kWh)
20
Utility Scale PV Generation Cost
(Sen/kWh)
10
+ T&D cost
0
2005
2006
2008
2009
2011
2014
2016
2017
2018
2019
2020
Past Trend and Forecast Average Electricity Tariff vs
Solar PV Electricity Generation Cost (2016-2020)
PROPOSED MECHANISMS
FOR NET ENERGY METERING
(NEM)
OR
Check
Meter
Power Grid
Proposed Net Energy Metering
Interconnection Diagram
•  PV Installation Capacity
i) Residential: Maximum 4kWp for Single phase Installation
Maximum 12kWp for Three Phase Installation
ii) Commercial and Industrial : Maximum 75% of declared Max. Demand load OR Maximum
60% of Incoming Fuse Rating. (Or which ever higher)
•  Meters Arrangement (Two Meters)
Net Meter to record/Read the unit of Import Electricity in kWh and Export electricity in kWh
And Solar Meter/ Check Meter to record the units of electricity generated by Solar PV system.
•  Roll Over Period
12 months roll over period is to allow excess export credit to be utilized over period of 12month to
off set the import electricity.
•  No Quota and No Cap System
Any residential, commercial or Industrial electricity consumer are eligible to install Solar
on their roof and require to follow the PV installation capacity
requirement.
•  No Power System Study and Connection Confirmation Check
•  ON – Line Application and Low Application Fee
Proposed NEM Mechanisms.
PV
18,000
PV Energy Contribution (NEM) more than 10% of National
Electricity Generation (PV capacity = 15GW)
Export Tariff = 0.6 Import Tariff
Power Grid Change : 5cent/kWh of total PV generation
16,000
15GWp
14,000
12,000
10,000
PV Energy Contribution (under NEM) less than 10% of Nation
Electricity Generation but above 5%
Export Tariff = 0.9 Import Tariff
Power Grid Charge : 5 cent/kWh of total PV generation
8,000
6,000
4,000
7GWp
PV Energy Contribution (under
NEM) less than 5% of Nation
Electricity Generation but about 1.5%
Export Tariff = 0.9 Import Tariff
2GWp
2,000
Cumulative. PV (MWp)
% Vs Generation
2021
2022
2023
2024
2025
PV Energy Contribution (under
NEM) less than 1.5% of Nation
Electricity Generation.
Export Tariff = Import Tariff
2016
2017
2018
2019
2020
2026
2027
2028
2029
2030
150
345
599
928
1,356 1,913 2,637 3,579 4,802 6,393 8,143 10,067 12,185 14,513 17,075
0.08% 0.26% 0.46% 0.71% 1.03% 1.42% 1.92% 2.59% 3.37% 4.41% 5.62% 6.91% 8.30% 9.79% 11.40%
Proposed Cumulative PV Capacity Targets, Export Tariffs and Power
Grid Charges by Phases under NEM Programs