Malaysia’s energy sector is standing at an important turning point. In a recent interview with Reuters, Tenaga Nasional Berhad (TNB) CEO Datuk Megat Jalaluddin shared how the nation plans to move away from coal and build a more balanced mix of solar and natural gas. The objective is straightforward: to keep electricity affordable and dependable while meeting the growing needs of data centres, manufacturers, and an expanding economy.

A Balanced and Realistic Approach

This direction is both pragmatic and forward-looking. Solar energy has become Malaysia’s most cost-effective new power source, offering long-term savings while supporting national decarbonisation goals. The complementary relationship between solar and natural-gas generation reflects Malaysia’s systematic approach to addressing the energy “trilemma” of sustainability, affordability, and security.

Energy Storage — The Bridge Between Renewables and the Grid

As solar capacity continues to expand, the challenge lies in managing its intermittency without raising system costs or compromising reliability. This is where Battery Energy Storage Systems (BESS) play a vital role. By storing excess solar power during the day and releasing it during evening peaks, storage smooths out load fluctuations and eases grid stress. Modern systems also provide frequency control, voltage support, and rapid-response capabilities — the “invisible infrastructure” enabling higher renewable penetration.

Strategic Importance at a Critical Moment

Deploying storage across multiple layers — from grid-connected facilities and generation sites to commercial and industrial users — can reduce reliance on gas-fired peaking units, limit future LNG import exposure, and defer costly new capacity investments. These measures not only optimise overall system costs but also support Malaysia’s commitment to cutting carbon intensity by 45 per cent from 2005 levels by 2030.

The Economic Value of Energy Storage

Malaysia’s transition also highlights the rising role of large-scale storage infrastructure as an economic pillar within its power system. TNB’s energy blueprint emphasises reliability and affordability, yet achieving both depends on unlocking the economic value of storage.

By optimising power dispatch, BESS makes energy use more efficient and balanced — alleviating peak loads, lowering system costs, and deferring new capacity investment. It has become a cornerstone for improving the grid’s economic performance and resilience.

At SynVista Energy, we view energy storage not only as an engineering solution but as a practical investment tool that improves how energy is used, shared, and managed — delivering real economic value to both the grid and end users.

The company’s upcoming manufacturing base in Jeram, Selangor will support Malaysia’s growing demand for utility-scale storage projects, strengthening local supply capability and driving technology-driven investment in the clean-energy sector.

Looking Ahead

Malaysia’s plans to phase out coal by 2045 and lift renewable capacity beyond 30% by the middle of this decade mark a decisive move toward a cleaner energy future. But delivering on that ambition will take coordination between utilities, regulators, and technology partners to ensure that flexibility and resilience are built into every layer of the grid.

As Datuk Megat Jalaluddin’s remarks suggest, Malaysia’s success will not depend on choosing between solar or gas, but on how well these resources are integrated. Energy storage is the bridge that connects them — empowering not only the grid, but also the businesses that drive Malaysia’s economic progress.

SynVista Energy provides tailored BESS solutions for Malaysia’s generation side, grid operators, and large industrial users — helping optimise system costs and enhance energy resilience.

Ready to optimize your system costs and enhance energy resilience? Contact our dedicated Malaysia Project Team today to schedule your strategic consultation.