As of 2024, electricity consumption in Malaysia remains heavily reliant on fossil fuels, with over 81% of its electricity generated from coal and gas. More specifically, about 44% of the electricity comes from coal, while nearly 37% is generated from gas. Low-carbon energy sources, which are crucial for a sustainable and environmentally friendly future, make up almost 19% of Malaysia's electricity generation. Hydropower is the predominant low-carbon energy source, contributing a notable 16%, while solar accounts for just above 2%. This distribution highlights the urgent need for Malaysia to diversify its energy portfolio towards cleaner sources and reduce its dependence on fossil fuels.
Is Electricity Growing in Malaysia?
Electricity consumption in Malaysia has shown growth, with the average consumption rising to 5512 kWh per person in 2024, marking an increase of 166 kWh per person compared to 2023. This upward trend aligns with the growing importance of electricity in modern life and the increasing demand driven by technological advancements, including artificial intelligence. Even more promising is the slight increase in low-carbon electricity generation, which has reached 1042 kWh per person in 2024, up by 12 kWh compared to the previous high recorded in 2022. While these increments are encouraging, they underscore the need to accelerate the shift towards more sustainable energy sources to keep pace with consumption growth and climate goals.
Suggestions
Malaysia can accelerate its transition to low-carbon electricity by learning from regions with successful clean energy implementations. For instance, countries like France and Slovakia have achieved impressive results with nuclear power contributing 69% and 64% of their electricity, respectively. Solar power can also play a crucial role, as seen in Lebanon and Chile, where solar contributes more than 20% of electricity. By investing in solar and nuclear technologies, Malaysia can rapidly increase its clean energy share, reducing reliance on fossil fuels and significantly contributing to global decarbonization efforts. These steps will not only align with sustainable development goals but also secure Malaysia's energy future.
History
In reviewing Malaysia’s history of low-carbon electricity generation, hydropower has played a significant role. The late 20th century saw modest gains, with notable increases in the late 1990s and again in the late 2000s. Significant growth occurred mid-2010s, particularly between 2014 and 2017, when hydropower experienced impressive annual increases, reaching a peak in 2017. In recent years, the focus has begun shifting towards solar power, as evidenced by the 2024 increase, marking the first recorded significant growth in this sector. This transition reflects Malaysia's recognition of the need for diversified low-carbon energy sources, emphasizing the importance of continuing to expand both solar and, potentially, nuclear energy to maintain momentum in clean electricity growth.
Electrification
We estimate the degree of electrification by comparing electricity and total energy emissions. More about methodology.