Renewable energy feed-in-tariffs bill to be tabled in Oct

THE government is set to table a new law to establish feed-in-tariffs for renewable energy in Parliament this October, said Energy, Green Technology and Water Minister Datuk Seri Peter Chin Fah Kui.

      "It will be for the whole range from solar, biomass, solid waste to hydro. And when I say renewable energy, I also mean methane sourced from palm oil mill effluent for use in the gas pipeline," he told Business Times by phone last night.

Earlier in the day, Chin said the Attorney General's Chambers was in the midst of drafting the new legislation on feed-in tariffs. "We will table it in Parliament this October. Hopefully, the process can be completed by the end of the year," he told reporters after the launch of the Second Malaysia-Europe Trade and Investment Forum in Kuala Lumpur yesterday.

Earlier in his speech, Chin said the New Economic Model had identified the green technology sector as one of the new sources of economic growth. "Our major initiative will be the introduction of the feed-in tariffs. Once that is done, we may need the European Union's technology and expertise to modernise and expand our renewable energy sector, especially in biomass and solar energy," he said.

Chin said the government will come up with a strategic plan to restructure the electricity supply sector. "It has to be more market-driven. We want to liberalise energy generation and distribution," he said, adding that at an advanced stage, smart grids, smart meters and other related elements will be introduced.

   The Energy, Green Technology and Water Ministry is organising the International Greentech & Eco Products Exhibition & Conference (IGEM).

Scheduled for October, the ministry expects 1,000 dignatories to fly in to Kuala Lumpur. Chin said the inaugural gathering will see Prime Minister Datuk Seri Najib Razak chairing a regional ministerial meeting on green technology development.

   To a question on the drawdown progress of the RM1.5 billion Green Technology Financing Scheme, Chin replied he is upset with the National Green Technology Centre's slow pace in processing the applications. He has now given the agency another month to do so. "I understand this is something new but after three months only 19 out of 200 over applications have been processed. I'm not happy," he said.

The RM1.5 billion Green Technology Financing Scheme was established under Budget 2010 to encourage supply and usage of green technologies. The loan is meant to help companies which are producers and users of green technologies. Developers of green technologies are entitled to apply up to RM50 million over 15 years. Companies that use green technologies can apply up to RM10 million for 10 years.

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