Sabah Renewable Energy Feed Approval And Feed Tariff Rate Rules 2024

These Rules come into operation on 3 January 2024.

Interpretation

a person holding, directly or indirectly, more than forty-nine per centum of the voting power or issued share capital (excluding preference shares)

of the distribution licensee;

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a company, in which the distribution licensee holds, directly or indirectly, more than forty-nine per centum of the voting power or issued share capital (excluding preference shares); or

a company, in which a third person holds, directly or indirectly, more than forty-nine per centum of the voting power or issued share capital

(excluding preference shares) of the company and such third person also holds more than forty-nine per centum of the voting power or issued share capital (excluding preference shares) in the distribution licensee;

“basic feed-in tariff rate” means —

in relation to a renewable energy installation utilizing biogas, biomass or solar photovoltaic as its renewable resource, the basic feed-in tariff rate as set out in row (a) of the third column of the Schedule to the

Enactment; and

in relation to a renewable energy installation utilizing small hydropower or geothermal as its renewable resource, the basic feed-in tariff rate as set out in the third column of the Schedule to the Enactment, and as reduced progressively under section 19 of the Enactment;

“bonus feed-in tariff rate”, in relation to a renewable energy installation utilizing biogas, biomass or solar photovoltaic as its renewable resource, means the bonus feed-in tariff rate as set out in row (b) of the third column of the Schedule to the Enactment and as reduced progressively under section 19 of the Enactment;

“buildings” means roofed building structures which can be independently used and entered into by human beings and are primarily designed for the purpose of sheltering human beings, animals or objects from the external environment;

“connection point” has the meaning assigned to it in rule 2 of the Sabah

Renewable Energy (Technical and Operational Requirements) Rules 2024;

“foreign company” has the meaning assigned to it in the Companies Act 2016

[Act 777];

“initial operation date” has the meaning assigned to it in rule 2 of the Sabah

Renewable Energy (Technical and Operational Requirements) Rules 2024;

“interconnection cables” means the cables or lines for transporting electricity from a renewable energy installation to a connection point;

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“milestone” means a significant stage or event in the development of a renewable energy installation;

“qualified person” has the meaning assigned to it in rule 2 of the Sabah

Renewable Energy (Technical and Operational Requirements) Rules 2024; and

“revenue meter” has the meaning assigned to it in rule 2 of the Sabah Renewable

Energy (Technical and Operational Requirements) Rules 2024.

a Malaysian citizen of not less than eighteen years of age;

in respect of an application for a feed-in approval relating to a renewable energy installation utilizing solar photovoltaic as its renewable resource and having an installed capacity of up to and including seventy-two kilowatts peak only, a non-Malaysian citizen or Malaysian permanent resident of not less than eighteen years of age;

a company incorporated in Malaysia other than —

a company in which a non-Malaysian citizen, Malaysian permanent resident or foreign company holds, directly or indirectly, more than forty-nine per centum of the voting power or issued share capital

(excluding preference shares);

a local authority as defined in the Local Government Ordinance 1961 [No.

11 of 1961];

a body corporate constituted or established under any written law excluding the Commission;

a registered society as defined in the Societies Act 1966 [Act 335];

a co-operative society as defined in the Co-operative Societies Act 1993

[Act 502];

a firm as specified in section 6 of the Partnership Act 1961 [Act 135];

a business registered under the Trades Licensing Ordinance (Cap. 144);

or

such other persons or classes of persons as may be determined by the

Commission from time to time.

Application for feed-in approval

An application made under subrule (1) which is duly executed by an eligible producer shall be submitted by —

Upon receipt of the request under subrule (1), the Commission may approve or reject the request.

The processing fee as prescribed in the Second Schedule —

The Commission shall, at any time, after approving the request and receiving the processing fee, amend the relevant particulars as specified in the request and notify the eligible producer of such amendment.

Application for feed-in approval for renewable energy installation utilizing only one type of renewable resource

utilizes more than one type of renewable resource; and

does not have separate and dedicated interconnection cables and a separate and dedicated revenue meter in respect of renewable energy generated by each type of the renewable resource, the eligible producer shall only make one application for a feed-in approval in respect of the installation.

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Where an eligible producer proposes to develop a renewable energy installation which —

utilizes a new type of renewable resource; and

does not have separate and dedicated interconnection cables and a separate and dedicated revenue meter in respect of the increase in the installed capacity, the feed-in approval holder shall apply for a new feed-in approval in respect of the total combined installed capacity of his or its installation after taking into account such increase in the installed capacity.

Where a feed-in approval has been granted and the feed-in approval holder proposes to increase the installed capacity of his or its renewable energy installation which —

Where a new feed-in approval is granted by the Commission under subrule (1), the feed-in approval holder shall surrender his or its earlier granted feed-in approval to the Commission in accordance with rule 22 on or before the initial operation date of the total combined installed capacity of the installation.

Upon the surrender of the earlier granted feed-in approval under subrule (3), the earlier granted feed-in approval shall be deemed to have been superseded by the new feed-in approval.

Application for feed-in approval for increase in capacity of renewable energy installation utilizing same renewable resource

utilizes the same type of renewable resource; and

does not have separate and dedicated interconnection cables and a separate and dedicated revenue meter in respect of the increase in the installed capacity, the feed-in approval holder shall apply for a new feed-in approval in respect of the total combined installed capacity of his or its installation after taking into account such increase in the installed capacity.

Where a feed-in approval has been granted and the feed-in approval holder proposes to increase the installed capacity of his or its renewable energy installation which —

Where a new feed-in approval is granted by the Commission under subrule (1), the feed-in approval holder shall surrender his or its earlier granted feed-in approval

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to the Commission in accordance with rule 22 on or before the initial operation date of the total combined installed capacity of the installation.

Upon the surrender of the earlier granted feed-in approval under subrule (3), the earlier granted feed-in approval shall be deemed to have been superseded by the new feed-in approval.

Application for bonus feed-in tariff rate

only part of the installation has met or shall meet the applicable criteria as set out in column (2) of the First Schedule; and

has separate and dedicated interconnection cables and a separate and dedicated revenue meter in respect of renewable energy generated by the part of the installation referred to in paragraph (a), the eligible producer shall apply for a feed-in approval in respect of the installed capacity of the part of the installation referred to in paragraph (a) and a separate feed-in approval in respect of the installed capacity of the remaining part of such installation.

Required information for application for feed-in approval

the particulars of the eligible producer;

a description of the renewable energy installation which shall be owned by the eligible producer, including —

the renewable resource to be used for the operation of the renewable energy installation;

the proposed milestones and dates by which such milestones are to be achieved;

the name of the distribution licensee whose electricity distribution network is proposed to be connected to the renewable energy installation;

the location, details and specifications of the proposed connection between the renewable energy installation and the connection point and, where applicable, accompanied by a copy of the report of the connection confirmation check or power system study conducted in accordance with the Sabah Renewable Energy (Technical and Operational Requirements)

Rules 2024;

particulars of any feed-in approval currently or previously held by the eligible producer;

evidence of the eligible producer’s ownership of, or other conditional or unconditional rights to utilize, the site or building on which the renewable energy installation is to be located;

where the eligible producer applies for any bonus feed-in tariff rate, such documents that are required under subrule 24(1); and

such other information or document as the Commission may require in writing.

In the case of an application for a feed-in approval by a company, the application shall be accompanied by the information required under subrule (1) and, where applicable, with the following additional information:

If the application is approved under subrule (1), the Commission shall issue a certificate of feed-in approval to the feed-in approval holder.

Standard conditions of feed-in approval

subject to subrules (2) and (3), the feed-in approval holder shall continue to comply with the eligibility criteria described in rule 3;

the feed-in approval holder shall meet such milestones by such dates as may be determined by the Commission;

the feed-in approval holder shall observe and comply with the conditions

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of his or its feed-in approval, the provisions of the Enactment and any subsidiary legislation made under the Enactment, and all other applicable laws;

the feed-in approval holder shall provide information, in such format and at such intervals, as may be required by the Commission in accordance with the Enactment and its subsidiary legislation;

subject to subrule (2), the feed-in approval holder shall obtain written approval of the Commission in respect of any change in circumstances —

which would result in the feed-in approval holder not complying with the eligibility criteria described in rule 3; and

the feed-in approval holder shall comply with such other conditions as may be determined by the Commission from time to time.

Where a feed-in approval of a renewable energy installation has been assigned or transferred to a distribution licensee or an associate of the distribution licensee due to a breach of a renewable energy power purchase agreement by a feed-in approval holder or a distribution licensee, the distribution licensee or associate of the distribution licensee is not required to comply with paragraph (l)(a) within twelve months from the date of such assignment or transfer or such longer period as may be approved by the Commission.

A feed-in approval holder shall not make or permit to be made any material modification to the design or physical form of the renewable energy installation except with the prior written consent of the Commission if the modification results in any change in any information earlier submitted by or on behalf of the feed-in approval holder to the Commission in the application for a feed-in approval under these Rules.

After the expiry of the period referred to in subrule (2), the distribution licensee or associate of the distribution licensee shall comply with the standard conditions specified in paragraph (1)(a) by selling its rights, titles and interests in the renewable energy installation so that the distribution licensee’s or the associate

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of the distribution licensee'es direct or indirect ownership of the renewable energy installation shall not exceed forty-nine per centum.

Application to relocate renewable energy installation utilizing solar photovoltaic

The application made under subrule (1) shall be made to the Commission in writing in a form as may be determined by the Commission and accompanied by the fees as specified in the Second Schedule.

The Commission may, after being satisfied that the relocation referred to in subrule (1) is not reasonably foreseeable at the time of the application for the feed-in approval, grant or refuse the application.

The Commission shall, by written notice, communicate its decision to the feed-in approval holder as soon as practicable.

Duration of feed-in approval

After receipt of the request under subrule (1), the Commission may approve or reject the request.

The processing fee as prescribed in the Second Schedule —

The Commission shall, at any time, after approving the request and receiving the processing fee —

The Commission may reject the request under subrule (2), if after such enquiry as it deems necessary and expedient, it is satisfied or has reason to believe that the change in information —

A rejection under subrule (5) shall be without prejudice to the Commission’s right to revoke the feed-in approval under section 12 of the Enactment.

Replacement of certificate of feed-in approval

The feed-in approval holder referred to in subrule (1) shall make an application to the Commission in writing for a replacement of the certificate of feed-in approval and the application shall be accompanied by any information as required by the

Commission and the fee as prescribed in the Second Schedule.

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If the Commission is satisfied that the loss or destruction of a certificate of feed-in approval under subrule (1) did not involve any fraud, the Commission may issue a replacement for the certificate of feed-in approval with the word “DUPLICATE”

endorsed on the new certificate of feed-in approval.

The duplicate certificate of feed-in approval issued under subrule (3) shall have the same effect as the original certificate of feed-in approval.

Assignment or transfer of feed-in approval due to purchase of renewable energy installation by distribution licensee or associate of distribution licensee

the relevant particulars of the proposed assignment or transfer, including the particulars of the proposed assignee or transferee; and

the processing fee as prescribed in the Second Schedule.

The Commission may, at any time after the receipt of an application under subrule (1), request the feed-in approval holder to give to the Commission the additional information or other documents within such time as may be specified in the request.

Upon receipt of the request under subrule (2), the feed-in approval holder shall give the additional information or other documents to the Commission.

If the additional information or other documents required under subrule (2)

are not provided by the feed-in approval holder within the time specified in the request, the application shall be deemed to have been withdrawn and shall not be

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further proceeded with.

Any application deemed to have been withdrawn under subrule (4) shall not affect the right of the feed-in approval holder to make a fresh application.

Approval to assign or transfer feed-in approval

The Commission shall not grant an approval under subrule (1) unless the feed-in approval holder has furnished sufficient evidence to the Commission’s satisfaction that the proposed assignment or transfer —

The Commission shall communicate its decision under subrule (1) to the feed-in approval holder by written notice as soon as practicable.

The written notice referred to in subrule (3) shall specify —

Notwithstanding subrule (2), the Commission may approve an application for a feed-in approval holder to assign or transfer a feed-in approval if —

Where the feed-in approval holder dies, the Commission may, on application in writing and subject to any conditions as determined by the Commission, assign or transfer the feed-in approval to a fit and proper person for the benefit of the feed-in approval holder’s estate until the expiration of the feed-in approval or such earlier date as the Commission may deem fit and such person shall be deemed to be the feed-in approval holder.

Surrender of feed-in approval

The surrender of a feed-in approval shall not take effect until the Commission is satisfied that the feed-in approval holder has fulfill all his or its liabilities and obligations that are outstanding at the time of the notice of surrender.

The surrender of a feed-in approval shall be without prejudice to any proceedings for an offence under subsection 10(3) of the Enactment.

A surrender of a feed-in approval may not be withdrawn by the feed-in approval holder.

the installed capacity of his or its renewable energy installation; and

the type of renewable resource to be utilized by such installation, in accordance with the Enactment and Part V of these Rules, and as set out in his

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or its feed-in approval.

Bonus feed-in tariff rate

The feed-in approval holder shall certify all copies of the documents referred to in subrule (1) in such manner as may be determined by the Commission.

A feed-in approval holder who submits the documents under subrule (1) shall ensure that the documents provided are true, accurate and complete and shall provide a representation to that effect, including a representation that he or it is not aware of any other information or document which would make the documents submitted untrue or misleading.

Where an application for a feed-in approval under subrule 7(1) is granted by the Commission —

Where an application for a separate feed-in approval under subrule 7(2) is granted by the Commission, the renewable energy generated by each type of the renewable resource shall be deemed to be generated by a separate renewable energy installation for the purposes of determining the applicable basic feed-in tariff rate, bonus feed-in tariff rate, feed-in tariff commencement date and effective period.

Where an application for a feed-in approval under subrule 8(1) is granted by the Commission —

Where an application for a separate feed-in approval under subrule 8(2) is granted by the Commission, the renewable energy generated by the increase in installed capacity shall be deemed to be generated by a separate renewable energy installation for the purposes of determining the applicable basic feed-in tariff rates, bonus feed-in tariff rates, feed-in tariff commencement date and effective period.

Where an application for a feed-in approval under subrule 9(1) is granted by the Commission —

Where an application for a separate feed-in approval under subrule 9(2) is granted by the Commission, the renewable energy generated by the increase in installed capacity shall be deemed to be generated by a separate renewable energy installation for the purposes of determining the applicable basic feed-in tariff rates, bonus feed-in tariff rates, feed-in tariff commencement date and effective period.

Calculation of bonus feed-in tariff rates