KUALA LUMPUR, MALAYSIA Oct. 22, 2025 – A major offshore wind energy initiative sourcing power from Vietnam and landing in Kelantan before channeling exports to Singapore has received Cabinet approval, paving the way for enhanced regional energy ties and domestic supply reliability.
Deputy Prime Minister and Minister of Energy Transition and Water Transformation, Dato’ Sri Fadillah Yusof, announced the green light during a Wednesday session in the Dewan Rakyat, responding to a query from Tumpat MP Datuk Hajah Mumtaz binti Md Nawi on project specifics and broader East Coast Peninsula green energy plans under the ASEAN framework.
The project, endorsed on May 21, 2025, will unfold in two phases:
Phase One: Developers will build 2,000 megawatts (MW) of offshore wind capacity off Vietnam, linked by a subsea cable to the Malaysian Peninsula. Of this, 700 MW will serve local needs, while 1,300 MW will be exported to Singapore via the national grid. Completion is targeted for 2034.
Phase Two: This stage envisions a land-based transmission line from Vietnam to the Peninsula, routing through Cambodia, Laos, and Thailand. It will be evaluated post-Phase One, contingent on energy demands and economic viability.
Fadillah also outlined upgrades to the Peninsula’s transmission network, starting from the Kelantan cable landing site and extending through Terengganu, Pahang, Negeri Sembilan, and Johor. Reinforcement works began in May 2025 and are slated for full operation by 2030, aimed at bolstering domestic electricity reliability while generating revenue from Singapore exports.
While Malaysia’s green energy push prioritizes local consumption, projects are led by qualified developers assessing commercial viability, technical feasibility, and grid integration. The government facilitates through supportive policies, regulations, and investment incentives, with site selection guided by technical, economic, and geographic criteria. Federal-state collaboration is being intensified to accelerate rollout.
Aligning with the ASEAN Plan of Action for Energy Cooperation (APAEC), the Ministry of Energy Transition and Water Transformation (PETRA) is actively courting local and foreign investors for green initiatives, particularly along the East Coast Peninsula, to drive sustainable development across the region.
