The availability of an adequate electrical supply to the whole population is essential for the wellbeing and equity of a society. However, for those countries that are largely dependent on fossil fuels for generating electricity, peak oil and gas threaten energy security and the ability to provide an uninterrupted supply of electricity on an equitable basis.
This paper will review future energy demand and supply in Malaysia and implications for its electricity supply. It will demonstrate that there is likely to be an energy deficit that could result in electricity rationing. Difficult decisions will need to be made about the priority of electricity supply that is likely to have a greater impact on the “bottom” layers of society.
The paper will also review the extent to which renewable energy, in particular photovoltaics, can contribute to the energy mix in Malaysia. It will be argued that a decentralised renewable energy supply system has the potential to maintain not only an equitable distribution of electricity but also potential earnings to low-income families.
In order to achieve this, technical and economic changes are required to make decentralised renewable energy systems a viable proposition. The importance of the introduction of ‘smart meters’ and a ‘smart grid’ as both a means of increasing energy efficiency and equitably distributing electricity will be addressed
