Skip to content

To put it simply, who hasn't looked up at the Malaysian midday sun and thought, "Why not turn all that heat into money?" That's basically much the point of nem rakyat. But before you start putting up panels, let's answer one of the most important questions: What sorts of solar systems does nem rakyat permit you have?

You need to have solar photovoltaic (PV) first. This isn't about fancy solar water heaters or anything you can use to live off the grid in the jungle. NEM Rakyat is all about solar PV, which are gadgets that turn sunlight into electricity and transfer it directly to the grid. If your installer tries to offer you anything else, politely tell them to go.

But there's a catch: NEM Rakyat only works with systems that are connected to the grid. This is not the same as solar systems that don't need to be connected to the grid or have enormous battery banks. The major purpose of the project is for homeowners to send additional energy back to the Tenaga Nasional Berhad (TNB) grid. If you create more power than your house requires, the additional goes back into the national supply. You can use that electricity to pay for your next bill.

But what about batteries that work at night? This is where some folks become confused. You can keep batteries, but the system you put in under NEM Rakyat has to be able to transfer solar power directly to the grid. You can add batteries, but TNB must approve the design for the connections. You will also need an inverter that is allowed to be used with the grid. Most NEM Rakyat systems in real life are just standard on-grid systems with solar panels and a reliable inverter. No trouble, no pricey batteries.

There are also limits on how big the system may be. For homes that are already built, you can acquire up to 10 kilowatts (kW). If you live in an apartment, the highest power you can acquire from an electric meter is 4 kW. Sometimes, bigger isn't better. Most Malaysians choose systems between 3 kW and 6 kW because they don't get additional awards or credits with bigger systems. The size of their roof, their budget, and how much energy they consume on average each month all play a role in this choice.

In short, NEM Rakyat is sensible and simple: utilize grid-tied solar PV, don't go on crazy off-grid adventures, and make sure your installer isn't utilizing technology that hasn't been tested yet. Your roof will soak up the sun and cut your power bill faster than you can say "panas gila!" if you stick to what you know is right.