KUALA LUMPUR, October 13 — The Unity Government in Malaysia is taking a significant step towards the development of the electric vehicle (EV) industry and promoting widespread public adoption of EVs as part of its commitment to achieving net-zero carbon emissions. Prime Minister Datuk Seri Anwar Ibrahim unveiled these plans during the presentation of Budget 2024, emphasizing the government’s focus on environmental sustainability. Key initiatives in the Budget include a substantial investment of RM170 million from prominent companies like Tenaga Nasional Bhd (TNB), Gentari, and Tesla Malaysia to establish 180 EV charging stations across the country.
This extensive network aims to support the growth of the EV ecosystem in Malaysia. For individuals with an annual income of RM120,000 or less, the government is introducing the “Encourage Electric Bike Usage Scheme.” Under this scheme, buyers will receive rebates of up to RM2,400, making electric bikes more accessible and affordable for a broader segment of the population. The government is also partnering with Prasarana Malaysia Bhd to construct three bus depots valued at RM600 million. These depots will accommodate 150 electric buses, supporting the Light Rail Transit 3 (LRT 3) project and further promoting eco-friendly public transportation.
To encourage the adoption of EVs, Anwar announced an extension of individual income tax relief of up to RM2,500 on EV charging facility expenses for four years. Individuals will also benefit from tax deductions for EV rental costs for an additional two years. As part of the government’s green energy drive, it is facilitating the installation of more solar panels. Anwar mentioned that the Net Energy Metering (NEM) program’s offer period would be extended until December 31, 2024, to incentivize residential solar panel installations. Additionally, a rooftop solar buyback program with minimal system cost implications is in development.
The government is keen to encourage companies to adopt the “Zero Capital Cost” subscription model, similar to what Gentari offers in its residential home category. This approach aims to make the transition to solar energy more accessible for both residential and corporate consumers. The initiatives outlined in Budget 2024 demonstrate the government’s determination to embrace clean and sustainable energy sources while fostering a robust EV industry in Malaysia, contributing to the country’s environmental goals and economic development.
