Energy efficiency in malaysia -------ppt

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Energy efficiency in malaysia -------ppt

  1. 1. ENERGY EFFICIENCY IN MALAYSIA By Datuk Ir. Ahmad Fauzi Hasan Energy Commission, Malaysia 12 March 2014
  2. 2. Energy Efficiency In Malaysia’s Key Energy Policies • To ensure adequacy, security and cost- effectiveness of energy supply • To promote efficient utilization of energy • To minimize negative environmental impacts in the energy supply chain Five-Fuel Diversification Strategy 2001 Four-Fuel Diversification Strategy 1981 National Depletion Policy 1980 National Energy Policy 1979 National Petroleum Policy 1975 Petroleum Development Act 1974 • Vested on PETRONAS the exclusive rights to explore, develop and produce petroleum resources of Malaysia • To regulate downstream oil & gas industry via the Petroleum Regulations 1974 • To prolong lifespan of Malaysia’s oil reserves for future security & stability of oil supply • To pursue balanced utilization of oil, gas, hydro and coal • Renewable Energy included as the “fifth fuel” in energy supply mix
  3. 3. Energy Supply and Demand 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Primary Energy Supply (ktoe) 21,471 26,335 29,291 29,925 31,662 33,879 37,840 43,173 40,996 44,534 50,710 51,979 53,196 57,565 62,836 66,211 67,021 72,389 76,032 74,583 76,809 79,289 Final Energy Demand (ktoe) 13,146 14,563 16,185 17,728 19,287 22,164 24,181 26,167 25,558 27,228 29,699 31,515 33,289 34,586 37,323 38,285 38,567 41,606 41,968 40,845 41,476 43,455 GDP at 2005 Prices (RM million)* 217,047 237,766 258,891 284,509 310,718 341,258 375,393 402,882 373,231 396,140 431,234 433,466 456,834 483,278 516,061 543,578 573,936 610,087 639,565 629,885 676,653 711,351 - 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 - 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 ktoeRM Million (at 2005 prices) Note: i) Primary Energy Supply does not include Renewable Energy (RE) except Hydropower Source: i) Department of Statistics Malaysia ii) National Energy Balance 2011
  4. 4. Energy Efficiency Initiatives In Malaysia • Energy efficiency promotion in the Seventh Malaysia Plan (1996-2000) • Malaysian Industrial Efficiency Improvement Programme (MIEEP) (1999) • Fiscal incentives for EE (2001) • Development of Malaysian Standard MS 1525 (2001) • Capacity building on EE and DSM for key institutions (2002) • Energy audit on government buildings (2002) • EE and RE in education curriculum and university courses (2002) • Energy efficient building demonstration projects (2004) • Development of EE guidelines for Malaysian industries (2006) • Efficient Management Of Electrical Energy Regulations (2008) • Green Building Index (GBI) (2009) • EE rating and labelling (2009) • Green Technology Financing Scheme (2010) • EE equipment rebate scheme (2011) • Minimum energy performance standards (MEPS) regulations (2013) • Incentive-based tariff regulation (2014) • 5% energy reduction target for government buildings (2014)
  5. 5. Malaysia’s Final Energy Intensity 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Final EnergyIntensity(toe/RM Million at2005 Prices)* 60.5761.2562.5262.3162.0764.9564.4264.9568.4868.7368.8772.7072.8771.5772.3270.4367.2068.2065.6264.8561.3061.09 Industrial EnergyIntensity(toe/RM Million at2005 Prices)** 49.4352.3756.2259.6858.1057.9259.0758.9163.6057.9158.4362.4564.9062.1562.7462.8061.9564.6863.2363.8957.2461.08 45.00 47.00 49.00 51.00 53.00 55.00 57.00 59.00 61.00 63.00 65.00 67.00 69.00 71.00 73.00 75.00 toe/RM Million (at 2005 prices) Note: Intensity = Quantity of energy required per unit output or activity (*): Final Energy Demand / GDP at 2005 prices (**): Industrial Energy Demand / Industrial GDP at 2005 prices Source: i) Department of Statistics Malaysia ii) National Energy Balance 2011
  6. 6. Malaysia’s Electricity Intensity 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 ElectricityIntensity (toe/GDP at2005 Prices (RM Million))* 7.9 8.1 8.6 8.6 9.4 9.9 10.1 10.9 12.3 12.2 12.2 12.9 13.0 13.1 12.9 12.8 12.7 12.6 12.5 13.2 13.3 13.0 ElectricityIntensity (GWh/GDP at 2005 Prices (RM Million))** 0.092 0.094 0.100 0.100 0.110 0.115 0.117 0.126 0.143 0.141 0.142 0.150 0.151 0.152 0.150 0.148 0.147 0.146 0.145 0.153 0.155 0.151 - 2.0 4.0 6.0 8.0 10.0 12.0 14.0 - 0.020 0.040 0.060 0.080 0.100 0.120 0.140 0.160 0.180 toe / RM Million (at 2005 prices) GWh / RM Million (at 2005 prices) Note: Intensity = Quantity of energy required per unit output or activity (*): Electricity Intensity (toe/RM Million GDP at 2005 prices (**): Electricity Intensity (GWh/RM Million GDP) at 2005 prices Sources: i) Department of Statistics Malaysia ii) TNB, SESB, SEB and IPPs iii) National Energy Balance 2011
  7. 7. Heavily subsidised gas price does not make EE attractive 8 Diesel data available from 2005 onward – source: Department of Statistics
  8. 8. Gradual move towards market pricing of gas and electricity Peninsular Malaysia’s electricity tariff over the years
  9. 9. Electricity Tariff Comparison 10
  10. 10. Implementing new generation capacity biddingImplementing new generation capacity bidding mechanismmechanism Promoting co-generationPromoting co-generation Gradual phasing-out of fuel subsidies with selectiveGradual phasing-out of fuel subsidies with selective subsidizationsubsidization Implementing incentive-based electricity tariff regulationImplementing incentive-based electricity tariff regulation Minimizing technical and non-technical losses in theMinimizing technical and non-technical losses in the supply chainsupply chain Enhancing governance in grid system operationsEnhancing governance in grid system operations through ring-fencing mechanismthrough ring-fencing mechanism To continue enhancing supply-side EE initiativesTo continue enhancing supply-side EE initiatives
  11. 11. Introduction of a National EE Action PlanIntroduction of a National EE Action Plan Strenthening of EE institutional frameworkStrenthening of EE institutional framework Strenghtening and updating of EE legislative frameworkStrenghtening and updating of EE legislative framework Enhancement and streamlining of EE initiativesEnhancement and streamlining of EE initiatives Implementation of EE improvement programmes and activitiesImplementation of EE improvement programmes and activities  Savings target and target groupsSavings target and target groups  Priority areasPriority areas • Capacity building in energy managementCapacity building in energy management • Technology applicationsTechnology applications • Technical supportTechnical support • Funding mechanismFunding mechanism • Promotion and information disseminationPromotion and information dissemination To strengthen demand-side EE implementation frameworkTo strengthen demand-side EE implementation framework
  12. 12. 0 20 40 60 80 100 120 140 0 5000 10000 15000 20000 25000 30000 35000 40000 45000 GDP / Capita (US$) EnergyConsumption (‘00kWh/Capita) Need For Benchmarking And Progress Monitoring Source: EIA Ukraine Russia US Kazakhstan Czech Republic Malaysia Turkey Brazil RomaniaThailand China Egypt Philippines Indonesia India Italy France Germany UK Japan Canada
  13. 13. Thank YouThank You

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