🇲🇾 Solar Calculator Malaysia

Enter your monthly TNB/SESB/SESCO bill and region — get solar system size, NEM 3.0 1:1 retail credit for Peninsular Malaysia, MyHIJAU GITA tax incentive for commercial, and payback period.

Your electricity details

Monthly electricity bill?

RMMYR

Region?

System size?

NEM 3.0 (Peninsular Malaysia / TNB)?

Solar system results — Malaysia

8 kWp system — 1372 kWh/kWp/yr

Monthly kWh usage444 kWh/mo

Annual solar production10,979 kWh/yr

Self-consumption savingsRM2,470/yr

NEM 3.0 export credit (1:1 retail)RM2,470/yr

Total annual benefitRM4,941/yr

System cost rangeRM36,000 – RM52,000

Total installed cost (midpoint)RM44,000

Payback period8.9 years

25-year net savingsRM79,516

NEM 3.0 active: Surplus electricity is credited to your TNB account at the retail tariff rate (1:1). Credits roll over monthly and offset future bills. Apply through SEDA Malaysia (seda.gov.my) — NEM approval required before installation.

MyHIJAU GITA tax incentive: Commercial and industrial systems may qualify for the MyHIJAU GITA (Green Investment Tax Allowance) — an investment tax allowance on qualifying solar capital expenditure. Consult a Malaysian tax advisor and check MIDA (mida.gov.my) for current eligibility criteria.

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How to Use This Calculator

Enter your monthly bill and region

Enter your average monthly electricity bill in Malaysian Ringgit (RM) from TNB (Tenaga Nasional Berhad) in Peninsular Malaysia, SESB in Sabah, or SESCO in Sarawak. The calculator uses a blended domestic rate of RM0.45/kWh. Select your region — Johor Bahru (4.8 PSH) is Malaysia's sunniest major city; all Malaysian regions have excellent tropical solar resources of 4.5–4.8 PSH, among the best in Asia.

NEM 3.0 and East Malaysia distinction

Peninsular Malaysia (TNB grid) operates under NEM 3.0 — a 1:1 net energy metering scheme where surplus solar electricity is credited to your account at the retail tariff rate. East Malaysia (Sabah/Sarawak) uses different utilities (SESB, SESCO) with their own net metering rules and rates. Toggle NEM 3.0 off for East Malaysia scenarios to see conservative estimates.

MyHIJAU GITA tax incentive

Commercial and industrial solar installations in Malaysia may qualify for the MyHIJAU GITA (Green Investment Tax Allowance) — an investment tax allowance on qualifying solar capital expenditure. This reduces effective system cost for businesses. Consult MIDA (Malaysian Investment Development Authority) for eligibility criteria and application procedures.

The Formula

Monthly kWh = Monthly Bill ÷ RM0.45/kWh (blended MY domestic rate) Annual production = kWp × PSH × 365 × 0.80 efficiency Self-consumption = Annual kWh × 50% Self-consumption savings = Self-consumed kWh × RM0.45/kWh retail NEM 3.0 export credit = Exported kWh × RM0.45/kWh (1:1 retail) East MY export rate = Exported kWh × RM0.20/kWh (non-NEM estimate) System cost = kWp × RM4,500–6,500/kWp (MY installed 2026) Payback = Total cost ÷ Annual benefit (typically 6–8 years with NEM)

Malaysia's solar regulatory framework is managed by SEDA (Sustainable Energy Development Authority Malaysia) under the Renewable Energy Act 2011 and the Electricity Supply Act. NEM 3.0 was launched in 2021 as the third iteration of Malaysia's net metering programme, replacing the previous FiT (Feed-in Tariff) scheme. Apply for NEM approval through SEDA Malaysia (seda.gov.my) before installing your system — installers must be SEDA-registered. Applications are processed within 30 working days.

Example

Amirah — Penang home, 8kWp, NEM 3.0

Amirah pays RM200/month for her semi-detached house in Penang. She installs an 8kWp system and registers for NEM 3.0.

Monthly billRM200

Region / PSHPenang, 4.7 PSH

System size8 kWp

NEM 3.0Yes — 1:1 retail credit

Result

Annual production~10,970 kWh/yr

Production per kWp~1,371 kWh/kWp/yr

Self-consumption savings~RM2,468/yr

NEM 3.0 export credit~RM2,468/yr

Total annual benefit~RM4,936/yr

System cost~RM44,000

Payback~8.9 years

25-year net savings~RM79,400

Penang's 4.7 PSH is excellent — one of Malaysia's top solar regions. The 8kWp system produces approximately 1,371 kWh/kWp/yr, significantly more than European systems. NEM 3.0's 1:1 credit means exported electricity is as valuable as self-consumed energy, simplifying system sizing. Penang's relatively high electricity consumption (air conditioning in tropical heat) makes larger systems economically justified.

FAQ

Is solar worth it in Malaysia? ▼

Yes — Malaysia has some of the best solar conditions in Asia (4.5–4.8 PSH). Combined with NEM 3.0's 1:1 retail rate credit, payback periods of 6–8 years are typical. SEDA data shows Malaysian solar installations have grown dramatically — over 1 GW of NEM-registered systems by 2024. Johor Bahru (4.8 PSH) and Penang (4.7 PSH) offer the best conditions. Even East Malaysia (Sabah/Sarawak) with 4.5–4.7 PSH is excellent by global standards.

What is NEM 3.0 in Malaysia? ▼

NEM 3.0 (Net Energy Metering 3.0) is Malaysia's current solar export scheme, launched in January 2021 and managed by SEDA Malaysia. It allows solar system owners in Peninsular Malaysia (TNB grid) to export surplus electricity at the retail tariff rate (1:1 credit) — meaning exported energy has the same value as grid energy you'd otherwise buy. Credits roll over monthly and offset future TNB bills. NEM 3.0 applies to systems up to 1,000kWp. Apply through seda.gov.my before installation. A SEDA-registered contractor must carry out the work.

What is the MyHIJAU GITA tax incentive? ▼

MyHIJAU GITA (Green Investment Tax Allowance) is a Malaysian tax incentive for companies investing in green technology, including solar PV systems. Qualifying businesses can claim an Investment Tax Allowance (ITA) of 100% of qualifying capital expenditure, offset against 70% of statutory income for each year of assessment — for up to 5 years. This effectively reduces the net cost of solar for businesses significantly. Applications go through MIDA (Malaysian Investment Development Authority). Consult a Malaysian tax advisor to verify current eligibility and claim procedures.

Does NEM 3.0 apply in Sabah and Sarawak? ▼

NEM 3.0 as administered by SEDA Malaysia applies to Peninsular Malaysia (TNB network) and Labuan. Sabah uses SESB (Sabah Electricity Sdn. Bhd.) as the utility, with its own solar programme — the Sabah Renewable Energy Programme (SREP). Sarawak uses SESCO (Sarawak Energy Berhad), which operates the Sarawak Green Initiative. Contact SESB or SESCO directly for their current net metering terms. Both East Malaysian utilities have been expanding solar programmes, but terms differ from Peninsular Malaysia's NEM 3.0.

Which region is best for solar in Malaysia? ▼

Johor Bahru (4.8 PSH) is Malaysia's sunniest major city, benefiting from its southern position near the equator and lower average cloud cover. Penang, Kota Kinabalu, and Malacca (4.7 PSH) are close behind. Kuala Lumpur (4.6 PSH) is excellent despite urban heat island effects. Kuching and Ipoh (4.5 PSH) round out the list — still world-class solar resources by global standards. Malaysia's uniform tropical climate means there is no "bad" region for solar — even the lowest PSH (4.5) exceeds most of Europe and North America.

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