Malaysia Solar Scheme Timeline: FiT, NEM and Solar ATAP

Malaysia has run three generations of residential solar scheme: the Feed-in Tariff, Net Energy Metering, and now Solar ATAP. This page lays out the timeline, sets out what each one offered, and explains the pattern that emerges once you put them in order.

Why does the timeline matter? Because the most common argument for delaying a solar installation is “wait for a better scheme”. The record so far does not support it. Each replacement solar scheme has been worth less than the one before, and none of them was announced far in advance of the old one closing.

Phase One: The Feed-in Tariff

The FiT was introduced under the Renewable Energy Act 2011 and administered by SEDA Malaysia. Its model was entirely different from today’s solar scheme: you sold generated energy to the utility at a premium rate locked in for a long contract term.

For owners who secured quota, the economics were attractive — you were paid more than the retail rate for every unit sent out. But solar PV quota was limited and allocated through competitive rounds, and it has long been closed to new applications.

If you have heard of a neighbour receiving monthly payments from rooftop solar, that is most likely an old FiT contract rather than anything you can apply for today.

Phase Two: Net Energy Metering

NEM took a different approach. Instead of selling energy at a premium rate, it netted what you exported against what you imported.

The scheme evolved through several versions. Early versions were less attractive because surplus was valued at a low rate. It later moved to a true one-for-one offset — one unit out cancels one unit in, at the full retail rate — and that is what made this generation of solar scheme popular.

NEM 3.0 then split the programme into categories including NEM Rakyat for residential customers, with quota released in tranches. NEM applications closed on 30 June 2025.

The most valuable feature under NEM was not the rate alone but the carry-forward. The grid acted as free storage with no monthly cut-off.

Phase Three: Solar ATAP

Solar ATAP — the Solar Accelerated Transition Action Programme — began on 1 January 2026, under terms set out in Energy Commission guidelines, as NEM’s successor. It keeps the basic idea of exporting for an offset, but with three significant changes.

• Lower export value. Credits are calculated on your tariff’s energy charge component, not the full retail rate.
• No carry-forward. Credits unused at the end of a billing period are forfeited.
• Higher capacity limits. Residential single-phase rose to 5 kW and three-phase to 15 kW.

That third change is a genuine improvement and deserves saying. But the first two have a larger effect on the monthly arithmetic, and both move in the direction of reducing what export is worth.

The Second Track: Cash Rebates

Running alongside the grid schemes is a separate cash rebate track for homeowners.

SolaRIS ran with NEM Rakyat and paid RM1,000 for every kWac installed, up to a maximum of RM4,000. That scheme has ended.

SuRIA Home replaced it, paying RM600 per kWac up to a maximum of RM3,000, with an RM150 million allocation covering roughly 250 MW. Its window closes on 31 December 2026 or when the quota fills.

Every Solar Scheme in One Table

The Pattern That Emerges

Put those five rows in order and two trends stand out.

First, export value falls with each generation. From a premium payment, to a full offset, to a partial credit that expires monthly. Each step shifts value away from export and towards self-consumption.

Second, upfront cash support shrinks. RM4,000 became RM3,000, and the capacity needed to reach the maximum rose from 4 kWac to 5 kWac.

At the same time, one thing moves the other way: electricity tariffs. Under the RP4 structure, each unit you buy costs more. That means each unit solar supplies directly to your home is worth more. The net effect is not that solar stops making sense — it is that the source of the value shifts from government incentives to bill savings.

What This Means If You Are Waiting

The “wait for a better scheme” argument needs two assumptions: that the next scheme will be more generous, and that you will know it is coming in advance. The record so far supports neither.

We cannot forecast policy beyond 2026 and should not pretend to. But a decision made now is made on terms that exist, rather than terms that are hoped for. The terms that exist include a SuRIA Home rebate with a closing date and an unpublished quota.

The other side of this argument deserves stating honestly too: if you are not eligible for the rebate — because you already claimed SolaRIS, for instance — then rushing to beat the SuRIA Home deadline makes no sense. Judge solar on bill savings alone and decide on your own timing.

Read More About Each Solar Scheme

Frequently Asked Questions About Malaysia’s Solar Schemes

The questions that come up most about the scheme changes:

Want the detail on the schemes that apply now? Read our Solar ATAP Malaysia guide and the SuRIA Home rebate guide.

This page summarises government programmes in general terms based on published information. Terms and programme status can change. Confirm the current position with SEDA, TNB or a registered installer before deciding.