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Malaysia opens 2.65 GW solar auction with 1.25 GW battery storage requirement

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The Malaysian government, through the Ministry of Energy Transition and Water Transformation (PETRA), has announced the sixth round of the Large Scale Solar (LSS6) programme to further increase the country’s renewable energy capacity (PETRA press release, 16/07/2026).

The programme provides a total allocation of 2.65 GW of solar capacity, coupled with 1.25 GW of Battery Energy Storage Systems (BESS). Under the initiative, 450 MW of solar capacity has been set aside for Bumiputera companies - i.e., fully or partially owned by Ethnic Malays or indigenous peoples from Sabah and Sarawak - to promote stronger participation by local businesses in the renewable energy industry.

LSS6 is structured into three packages: 

  • Package 1, open to all eligible developers through a competitive tender, includes 2.2 GW of solar capacity and 1.1 GW of BESS. 
  • Package 2, reserved exclusively for Bumiputera developers, offers 300 MW of solar capacity together with 150 MW of BESS. 
  • Package 3 targets smaller Bumiputera companies, allocating 150 MW of solar capacity with no battery storage requirement.

For Packages 1 and 2, developers may submit bids for projects ranging from 60 MW to 500 MW, while Package 3 accepts proposals between 10 MW and 30 MW.

Priority will be given to projects incorporating locally manufactured solar photovoltaic modules, with development concentrated in high-demand regions, particularly southern Peninsular Malaysia, to strengthen electricity transmission and enhance grid performance.

The selected projects are expected to enter commercial operation on a progressive basis, with all developments scheduled for completion by 31 December 2029.