MALAYSIA will cut its coal-fired power generation capacity by half by 2035 and completely phase it out by 2044, Deputy Prime Minister and Minister of Energy Transition and Water Transformation, Datuk Amar Fadillah Yusof, announced today.
Speaking at the launch of ‘Malaysia’s Green Energy Future – Power Sector Decarbonisation Dialogue Series’ at the St. Regis Hotel, Kuala Lumpur, Fadillah said the move marks a decisive step towards achieving a cleaner, more resilient energy system.
“Coal has long powered Malaysia’s growth, providing stable and affordable baseload electricity. But the world is changing, and Malaysia must evolve to remain competitive, resilient, and sustainable,” he said.
The initiative, co-led by the Ministry of Energy Transition and Water Transformation (PETRA) and the World Economic Forum, aims to accelerate Malaysia’s path to net-zero emissions by 2050 through a series of technical workshops and a high-level roundtable in 2026.
Fadillah emphasised that the National Energy Transition Roadmap (NETR) serves as Malaysia’s “compass”, integrating policies, industrial strategies, and climate ambitions into one unified mission.
“This transition is not only about reducing carbon emissions. It is about building an energy system that works for the people — one that delivers affordable electricity for every household and business, safeguards national energy resilience, generates high-value jobs, and drives long-term economic growth,” he said.
He reported that Malaysia’s operational renewable energy capacity now stands at 30 per cent, led by over 5,000 megawatts of solar power, and that the country is “firmly on track” to achieve 40 per cent renewable capacity by 2035 and 70 per cent by 2050.
At the heart of the transition, Fadillah said, is Malaysia’s commitment to a “Just Energy Transition” — ensuring that communities, workers and industries are not left behind.
“The challenge before us is to ensure that our transition is orderly, equitable, and economically viable,” he noted, calling for innovative solutions to maintain grid stability, mobilise finance, and scale technologies such as hydrogen, storage, carbon capture, and regional power trade.
The Dialogue Series, running over the next six to eight months, will convene global and local experts in technology, policy, and finance to map out practical pathways for decarbonising Malaysia’s power sector.
“Let us combine innovation with investment, policy with pragmatism, and commitment with courage,” said Fadillah. “With collective resolve and collaboration, I am confident we will transform Malaysia’s green energy future from aspiration into reality — one that is secure, inclusive, and sustainable for generations to come.” - October 23, 2025
