KUALA LUMPUR, April 16 (Xinhua) -- Analysts here agreed that the setting up of an energy exchange platform will boost Malaysia's renewable energy sector.
The Maybank Investment Bank said in a note on Tuesday that it views the Malaysian government's move to set up the Energy Exchange Malaysia (ENEGEM) will facilitate cross-border trading of renewable energy among neighboring countries positively.
This is because the renewable energy export is potentially a new revenue source and capacity growth driver for the industry, according to the research house.
Meanwhile, CGS International said in a note that the establishment of ENEGEM will reinforce its view of good follow-through on the implementation of the National Energy Transition Roadmap (NETR) by the Malaysian government just eight months after its launch.
According to the research house, this further adds to the good progress being made on initiatives under the NETR, which should help address investors' qualms on its implementation.
"It also marks a key step towards realizing the country's energy exports potential," it added.
MIDF Research also said in a note that it sees the establishment of ENEGEM a positive development.
The research house believed that the renewable energy engineering, procurement, construction and commissioning sub-sector is a key immediate-term beneficiary of Malaysia's renewable energy initiative. ■
