As solar energy adoption continues to grow across Southeast Asia, many homeowners and businesses in Malaysia are asking an important question: Can I sell my solar energy back to the grid?
The short answer is yes—but it depends on the specific solar policy framework and participation scheme you choose in Malaysia.
This article explains how selling solar energy back to the grid works in Malaysia, what programs are available, and what solar system owners should consider before getting started.
Selling solar energy back to the grid typically means exporting excess electricity generated by your solar photovoltaic (PV) system to the national power grid. In Malaysia, this process is regulated and coordinated mainly through Tenaga Nasional Berhad (TNB) and overseen by the Sustainable Energy Development Authority (SEDA Malaysia).
When your solar panels produce more electricity than your property consumes, the surplus energy can either:
Be credited against your electricity bill
Be sold to the grid under specific government-backed schemes.
Understanding the applicable scheme is essential before deciding to sell solar energy back to the grid.
The Net Energy Metering (NEM) program is currently the most common way to sell solar energy back to the grid in Malaysia.
Under NEM:
Excess solar energy is exported to the grid.
The exported energy is credited on a “one-to-one” offset basis against electricity consumed from the grid.
Credits are reflected directly on your TNB electricity bill.
For residential, commercial, and industrial users, NEM makes selling solar energy back to the grid financially attractive by reducing overall electricity costs rather than providing direct cash payments.
Malaysia previously offered a Feed-in Tariff (FiT) scheme, allowing solar system owners to sell solar energy back to the grid at a fixed premium rate. However:
FiT quotas for solar PV are largely fully allocated.
New applicants may face limited availability or may no longer qualify.
While FiT played a major role in early solar adoption, most new installations now rely on the NEM framework.
You may be eligible to sell solar energy back to the grid if:
Your solar PV system is registered with SEDA Malaysia.
The system is grid-connected and approved by TNB.
Installation is performed by a certified solar installer.
Your system capacity complies with current NEM regulations.
Both homeowners and commercial property owners in Malaysia can participate, making solar energy a viable investment across multiple sectors.
Selling solar energy back to the grid in Malaysia offers several advantages:
Lower monthly electricity bills
Faster return on investment (ROI) for solar systems
Protection against rising electricity tariffs
Increased property value and sustainability credentials
While direct cash payouts are rare under NEM, long-term savings can be substantial, especially for high-consumption users.
Before installing a solar system with the intention to sell solar energy back to the grid, consider:
Roof space and solar exposure
System size relative to energy consumption
Upfront installation costs and payback period
Current NEM quota availability
Compliance with Malaysian grid and safety standards
Working with an experienced solar solution provider ensures smooth approval and long-term system performance.
So, can you sell your solar energy back to the grid in Malaysia?
Yes—primarily through the Net Energy Metering (NEM) scheme. While the system focuses on bill offsets rather than direct payments, it remains a highly effective way to maximize the value of your solar investment.
As Malaysia continues to push toward renewable energy targets and carbon reduction goals, selling solar energy back to the grid is becoming an increasingly attractive option for both residential and commercial users.
For those considering solar adoption, now is a strategic time to explore compliant, grid-connected solar solutions tailored to the Malaysian market.
