Solar energy comes with a price
Maria J. Dass
SUBANG JAYA: Solar energy, whether in the form of light or heat, may be free but getting electricity out of it will come at a price.
In several remote parts of the world where infrastructure is scarce, including villages in the country, electricity is obtained from solar energy, which has long been promoted as a clean, efficient and renewable source of power for all Malaysians.
However, middle and lower income households in Malaysia may only be able to afford such photovoltaic (PV) technology in their homes in about 10 years.
This is because the government plans to promote this technology among the high income group in urban areas first.
Ahmad Hadri Haris, who heads the Malaysian Building Integrated Photovoltaic (MBIPV) national project, said efforts to drive the growth of BIPV will be focused on urban areas - which are grid connected - and will be private sector and investment driven.
"Right now the cost of BIPV is high. That's why we are targetting the high income group, because that's where the market and customers with buying power are," he said at the BIPV seminar, "What's in it for me?" here on March 17, 2006.
"This way the government's investment is reduced and the people who can afford to install these panels for now will absorb the initial cost," said Ahmad Hadri.
"So when the demand increases and the market is developed, the cost will come down, making it affordable to other users, including those in rural areas," he added.
The seminar was organised by the Malaysia Energy Centre in collaboration with the Energy, Water and Communications Ministry, the United Nations Development Programme and the Global Environment Facility.
Currently, consumers may have to fork out RM150,000 to RM300,000 to install a BIPV system in their homes.
"The idea is to build up a sort of branding, niche market and appeal for the product among the high income group and those in the upper middle class.
"This, we hope will trickle down to the other groups in the lower rungs of the social strata when the cost comes down eventually," said Ahmad Hadri.
"We hope that owning solar panels will become something of a statement of being cool, fashionable, and a sign of environmental awareness and high technology," he said.
"New high-end housing projects will also soon offer the option of installing these solar panels.
"This can be accommodated, with perhaps an option for housebuyers to incorporate the costs into their loans," he added.
To promote the use of solar energy, the Malaysia Energy Centre plans to offer the public incentives for installing a BIPV system in their homes.
Currently, only companies are entitled to such incentives.
Industry observers have pointed out that the success in encouraging the public to use BIPV in other countries was fueled by tax incentives given by the government to those who adopted the technology.
The centre will also be launching a National Suria 1000 programme,
The programme will aim to encourage BIPV installation in residential and commercial buildings before the end of this year.
PV application in Malaysia started in the 1980s to generate power for communication towers, oil and gas facilities, calculators and some rural systems.
Stand-alone PV systems are used by the Malaysian Nature Society in Endau Rompin, in Gunung Machinchang in Langkawi, parking ticket machines as well as emergency phones in certain stretches of some highways in the country.
The Ministry of Rural and Regional Development also has an ongoing rural electrification programme which involves the use of solar energy.
Source: The Sun
Updated: 06:25PM Wed, 22 Mar 2006
SUBANG JAYA: Solar energy, whether in the form of light or heat, may be free but getting electricity out of it will come at a price.
In several remote parts of the world where infrastructure is scarce, including villages in the country, electricity is obtained from solar energy, which has long been promoted as a clean, efficient and renewable source of power for all Malaysians.
However, middle and lower income households in Malaysia may only be able to afford such photovoltaic (PV) technology in their homes in about 10 years.
This is because the government plans to promote this technology among the high income group in urban areas first.
Ahmad Hadri Haris, who heads the Malaysian Building Integrated Photovoltaic (MBIPV) national project, said efforts to drive the growth of BIPV will be focused on urban areas - which are grid connected - and will be private sector and investment driven.
"Right now the cost of BIPV is high. That's why we are targetting the high income group, because that's where the market and customers with buying power are," he said at the BIPV seminar, "What's in it for me?" here on March 17, 2006.
"This way the government's investment is reduced and the people who can afford to install these panels for now will absorb the initial cost," said Ahmad Hadri.
"So when the demand increases and the market is developed, the cost will come down, making it affordable to other users, including those in rural areas," he added.
The seminar was organised by the Malaysia Energy Centre in collaboration with the Energy, Water and Communications Ministry, the United Nations Development Programme and the Global Environment Facility.
Currently, consumers may have to fork out RM150,000 to RM300,000 to install a BIPV system in their homes.
"The idea is to build up a sort of branding, niche market and appeal for the product among the high income group and those in the upper middle class.
"This, we hope will trickle down to the other groups in the lower rungs of the social strata when the cost comes down eventually," said Ahmad Hadri.
"We hope that owning solar panels will become something of a statement of being cool, fashionable, and a sign of environmental awareness and high technology," he said.
"New high-end housing projects will also soon offer the option of installing these solar panels.
"This can be accommodated, with perhaps an option for housebuyers to incorporate the costs into their loans," he added.
To promote the use of solar energy, the Malaysia Energy Centre plans to offer the public incentives for installing a BIPV system in their homes.
Currently, only companies are entitled to such incentives.
Industry observers have pointed out that the success in encouraging the public to use BIPV in other countries was fueled by tax incentives given by the government to those who adopted the technology.
The centre will also be launching a National Suria 1000 programme,
The programme will aim to encourage BIPV installation in residential and commercial buildings before the end of this year.
PV application in Malaysia started in the 1980s to generate power for communication towers, oil and gas facilities, calculators and some rural systems.
Stand-alone PV systems are used by the Malaysian Nature Society in Endau Rompin, in Gunung Machinchang in Langkawi, parking ticket machines as well as emergency phones in certain stretches of some highways in the country.
The Ministry of Rural and Regional Development also has an ongoing rural electrification programme which involves the use of solar energy.
Source: The Sun
Updated: 06:25PM Wed, 22 Mar 2006
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