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Audit: Good management of Renewable Energy development programme

KUALA LUMPUR, March 22 (Bernama) -- The management of the Renewable Energy (RE) development programme is good in terms of achieving the installed capacity of RE as set out in the Green Technology Master Plan (GTMP) 2017-2030.

In addition, according to the Auditor-General’s Report (LKAN) 2020 Series 1, the contribution of RE in the national energy generation mix is good based on achievements of generation against the targets set out in the National Renewable Energy Policy and Action Plan.  

However, there are weaknesses in aspects of programme management that need attention, including in the aspects of notification system for RE producers, the Feed in Tariff (FiT) programme performance, and a significant shortage of feedstock supply of wood chips.

“The notification system for reminding the RE producers if the milestone/actual date exceeds the original completion date, was not activated. In addition, the usage of the milestone function that displayed project progress was not optimally used.

“The FiT programme performance for the period of 2017 to 2020 was lower between 65.7 per cent to 69.8 per cent compared to the minimum performance target,” the report said.

“Other weakness is a significant shortage of feedstock supply of wood chips, causing RE producers to experience an inadequate supply around 29.9 per cent to 98.8 per cent from the actual requirements.

To overcome the weaknesses, the report recommended that the Ministry of Energy and National Resources (KeTSA) cooperate with ministries/departments at the federal, state and local levels to support the development of the RE industry.

It also recommended that KeTSA, Energy Commission and Sustainable Energy Development Authority (SEDA) Malaysia enhance their monitoring activities to ensure that the RE programmes are implemented as planned.

“In addition, a post-mortem review should be carried out on the RE producers that had performed poorly in accordance with the established policies/procedures so that the goals of the national RE policy are not affected,” it said.

-- BERNAMA

 

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