scholarly journals Comparison of New and Previous Net Energy Metering (NEM) Scheme in Malaysia

2019 ◽  
Vol 18 (1) ◽  
pp. 36-42 ◽  
Author(s):  
Abdul Hafiz Razali ◽  
Md Pauzi Abdullah ◽  
Mohammad Yusri Hassan ◽  
Faridah Hussin

The introduction of new Net Energy Metering (NEM) scheme in 2016 in Malaysia is seen as an improvement from the previous FIT scheme. NEM allows a user to generate, use and export the net excess energy to the grid instead of selling all the generated energy as in FIT scheme. However, the NEM scheme (NEM 2016) still have a problem which is small size residential customers will not get benefited from the scheme in term of electricity bill savings. Therefore, the Malaysian government introducing a new NEM scheme (NEM 2019) to replace previous NEM scheme (NEM 2016) to overcome drawbacks of NEM 2016. This paper will investigate the performance of NEM 2019 overcome the previous problem by comparing the performance of NEM 2019 and against NEM 2016 in term of NPC (net present cost) and electricity cost savings by using HOMER software. The analysis is conducted on three different size of residential customers; small, medium and large with different PV panel sizes from 1kWp to 8kWp. The results show that NEM 2019 will produce lower NPC compared to NEM 2016 for most cases.

2018 ◽  
Vol 7 (3) ◽  
pp. 450-457
Author(s):  
T. M. N. T. Mansur ◽  
N. H. Baharudin ◽  
R. Ali

Malaysia has moved forward by promoting the use of renewable energy such as solar PV to the public to reduce dependency on fossil fuel-based energy resources. Due to the concern on high electricity bill, Universiti Malaysia Perlis (UniMAP) is keen to install solar PV system as an initiative for energy saving program to its buildings. The objective of this paper is to technically and economically evaluate the different sizing of solar PV system for university buildings under the Net Energy Metering (NEM) scheme. The study involves gathering of solar energy resource information, daily load profile of the buildings, sizing PV array together with grid-connected inverters and the simulation of the designed system using PVsyst software. Based on the results obtained, the amount of solar energy generated and used by the load per year is between 5.10% and 20.20% from the total annual load demand. Almost all solar energy generated from the system will be self-consumed by the loads. In terms of profit gained, the university could reduce its electricity bill approximately between a quarter to one million ringgit per annum depending on the sizing capacity. Beneficially, the university could contribute to the environmental conservation by avoiding up to 2,000 tons of CO2 emission per year.


Author(s):  
Abdul Hafiz Bin Razali

The current Malaysia’s Net Energy Metering (NEM) scheme has been updated in 2019 that credits excess generation into the next billing month at retail rate compare to at displaced cost. The new NEM may attract more installation of solar photovoltaic (PV) system among residential customers. However, it is discovered that customers with low monthly electricity consumptions are still not benefited since their electricity cost is lower than the PV generation cost. Implementing time-of-use (TOU) pricing on NEM scheme may overcome the problem as it based on hourly energy usage. This paper compares the annualized energy cost of residential PV system under different TOU prices and NEM scheme. The results show that an optimized TOU prices as suggested in this paper may give financial benefits to all residential customers with PV system, including the one with low monthly consumption.


2020 ◽  
Vol 19 (1) ◽  
pp. 50-54
Author(s):  
Abdul Hafiz Razali ◽  
Md Pauzi Abdullah ◽  
Dalila Mat Said ◽  
Mohamad Yusri Hassan

Net energy metering (NEM) is a financial scheme that allows a consumer to generate, use and sell their excess energy to the grid. The main purpose of NEM is for self-consumption to reduce demand from the grid. It will allow customer to avoid being charged with expensive electricity tariff and hence reducing their monthly electricity bill. In other words, the annualized electricity cost could be reduced. NEM is commonly offered to residential solar photovoltaic (PV) system. Different PV size will determine the amount of energy that can be generated. This paper compares the annualized electricity cost of different residential customer types (large, medium and small) for different PV size under Malaysia’s net energy metering (NEM) scheme. This paper utilizes the load profile and solar irradiation data for Malaysia. The results show that high PV size does not guarantee reduction in annualized electricity cost especially for medium customers as the excess PV generation can only be accumulated for 24 months. Large customers may have benefited the most with lower annualized cost with larger PV system, while small customers may not have benefited at all.


Energies ◽  
2019 ◽  
Vol 12 (24) ◽  
pp. 4794 ◽  
Author(s):  
Peter Cappers ◽  
Andrew Satchwell ◽  
Will Gorman ◽  
Javier Reneses

Distributed solar photovoltaic (DPV) under net-energy metering with volumetric retail electricity pricing has raised concerns among utilities and regulators about adverse financial impacts for shareholders and ratepayers. Using a pro forma financial model, we estimate the financial impacts of different DPV deployment levels on a prototypical Western U.S. investor-owned utility under a varied set of operating conditions that would be expected to affect the value of DPV. Our results show that the financial impacts on shareholders and ratepayers increase as the level of DPV deployment increases, though the magnitude is small even at high DPV penetration levels. Even rather dramatic changes in DPV value result in modest changes to shareholder and ratepayer impacts, but the impacts on the former are greater than the latter (in percentage terms). The range of financial impacts are driven by differences in the amount of incremental capital investment that is deferred, as well as the amount of incremental distribution operating expenses that are incurred. While many of the impacts appear relatively small (on a percentage basis), they demonstrate how the magnitude of impacts depend critically on utility physical, financial, and operating characteristics.


Author(s):  
Mohamad Fakrie Mohamad Ali ◽  
◽  
Mohd Noor Abdullah ◽  

This paper presents the feasibility study of the technical and economic performances of grid-connected photovoltaic (PV) system for selected rooftops in Universiti Tun Hussein Onn Malaysia (UTHM). The analysis of the electricity consumption and electricity bill data of UTHM campus show that the monthly electricity usage in UTHM campus is very high and expensive. The main purpose of this project is to reduce the annual electricity consumption and electricity bill of UTHM with Net Energy Metering (NEM) scheme. Therefore, the grid-connected PV system has been proposed at Dewan Sultan Ibrahim (DSI), Tunku Tun Aminah Library (TTAL), Fakulti Kejuruteraan Awam dan Alam Bina (FKAAS) and F2 buildings UTHM by using three types of PV modules which are mono-crystalline silicon (Mono-Si), poly-crystalline silicon (Poly-Si) and Thin-film. These three PV modules were modeled, simulated and calculated using Helioscope software with the capacity of 2,166.40kWp, 2,046.20kWp and 1,845kWp respectively for the total rooftop area of 190,302.9 ft². The economic analysis was conducted on the chosen three installed PV modules using RETScreen software. As a result, the Mono-Si showed the best PV module that can produce 2,332,327.40 kWh of PV energy, 4.4% of CO₂ reduction, 9.3 years of payback period considering 21 years of the contractual period and profit of RM4,932,274.58 for 11.7 years after payback period. Moreover, the proposed installation of 2,166.40kWp (Mono-SI PV module) can reduce the annual electricity bill and CO2 emission of 3.6% (RM421,561.93) and 4.4% (1,851.40 tCO₂) compared to the system without PV system.


2021 ◽  
Vol 5 (S1) ◽  
pp. 1467-1479
Author(s):  
Noriza Mohd Saad ◽  
Izzaamirah Ishak ◽  
Amar Hisham Jaaffar ◽  
Mohd Zamri Laton

Generate energy by Solar PV installation among prosumer, i.e; domestic, commercial, industrial as well as agriculture for self-consumption under Net Energy Metering (NEM) system become more popular in Malaysia. One, if not the only reason, is that day-to-day installation costs are kept at a decreasing rate and this is one of the reasonable ones for future investments and energy savings. By considering this issue, this study is motivated to investigate the relationship between installed capacity with the total installation costs as represented by equipment costs, installed costs, and operating costs. Secondary data was utilized provided by Sustainable Energy Development Authority (SEDA) Malaysia and retrieved from Malaysian Energy Information Hub (MEIH). The data is then run by multivariate regression, which is focused on the random and fixed-effect model. Overall, the findings indicate that there is a significant relationship between installed capacities with total installation costs among all categories of the prosumer in Malaysia. It would be recommended that the policymaker can increase the quota capacity allocation to the prosumer since the costs are at a diminishing rate that led to the take-up rate increase.


2019 ◽  
Vol 8 (4) ◽  
pp. 6240-6243

There are various types of Renewable Energy (RE) that has been studied by many researchers in order to find a costeffective energy generation in reducing the non-renewable energy source. In this study, the solar energy was suggested in order to apply the Net Energy Metering (NEM) scheme that has been introduced effective on 1st January 2019, by Malaysian government in achieving 20% national RE target in electricity power mix, reducing the dependency on imported fossil fuels. Based on the data and results, the suitable size of solar panel for a house can be determined based on the daily electricity usage. The findings show that the system size and the cost itself also depends on the estimated amount solar generated set by the consumer.


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