KUALA LUMPUR (July 22): Bursa Carbon Exchange, a subsidiary of Bursa Malaysia Bhd (KL:BURSA), will host its first bilateral energy supply contract auction this November.

Under a pact signed with UEM Lestra Bhd on Tuesday, the exchange will offer its auction-as-a-service solution to facilitate an open and competitive bidding process for renewable energy supply under the government’s Corporate Renewable Energy Supply Scheme (Cress).

The initiative allows corporates to bid for renewable energy credits that directly support their decarbonisation efforts through the actual consumption of renewable energy, said Bursa Malaysia chief executive officer Datuk Fad’l Mohamed.

The solution will “facilitate efficient price discovery, allowing corporate off-takers the opportunity to bid for competitively priced certified green electricity generated from solar photovoltaic projects”, he said in a speech at the signing ceremony with UEM Lestra.

Fad’l added that the initiative involves the trading of bundled renewable energy certificates, along with clean energy and environmental attributes that are transacted under the auction.

UEM Lestra, the renewable energy arm of sovereign wealth fund Khazanah Nasional Bhd, is currently developing several large-scale hybrid solar projects, including a one-gigawatt project in Segamat, Johor.

The project would be the first undertaken under Cress, launched in September 2024, which aims to expand accessibility for corporate companies to green electricity through third-party access to the national grid in Peninsular Malaysia.

“This platform has the potential to catalyse a shift in how the corporate sector engages with the nation's energy transition,” UEM Lestra chief executive officer Harman Faiz Habib Muhamad said in his speech at the same event.

The platform will support Malaysia’s target to reduce carbon emissions intensity by 40% by 2030 and to increase the share of renewable energy in our electricity mix to 40% by 2025, he added.

Malaysia is currently highly dependent on fossil fuels in its energy mix, with coal, crude oil and natural gas accounting for nearly 90% of its energy mix.

The auction date will be announced at the third Malaysia Carbon Market Forum on Oct 15, 2025.