Malaysia is taking a significant step toward renewable energy adoption with a pioneering solar initiative in the City of Elmina township. Sime Darby Property, partnering with Tenaga Nasional Berhad (TNB), has launched the country’s first community solar project under the government’s Community Renewable Energy Aggregation Mechanism (CREAM). The program allows homeowners to lease their rooftops for solar energy generation without installing panels themselves, with the electricity distributed to nearby commercial and industrial areas.
Unlike traditional solar projects, this initiative eliminates upfront costs for residents while creating a new revenue stream. GSPARX, TNB’s solar subsidiary, will manage lease agreements with participating homeowners, ensuring seamless integration into the local power grid. The generated energy will be supplied to Sime Darby’s developments within a 5km radius, optimizing efficiency and reducing transmission losses.
The project aligns with Malaysia’s National Energy Transition Roadmap, which aims to boost renewable energy capacity to 70% by 2050. Sime Darby Property’s CEO, Datuk Seri Azmir Merican, emphasized that the initiative supports both corporate decarbonization goals and national sustainability targets. The company has pledged to cut Scope 1 and 2 emissions by 40% by 2030, with net-zero ambitions by mid-century.
Introduced by the Ministry of Energy Transition and Water Transformation, CREAM encourages community-driven renewable energy production through Local Energy Generators and Aggregators. By leveraging residential rooftops, this model could expand across Malaysia, accelerating the shift toward cleaner energy while fostering economic benefits for homeowners and businesses alike.