This article is contributed by Irhamy Ahmad, founder and managing director of Irhamy Valuers International, who brings nearly 35 years of experience, chartered valuation surveyor and plant & machinery valuer.
As global environmental concerns grow, the shift toward electric vehicles (EVs) is gaining momentum, and Malaysia is no exception. Committed to achieving carbon neutrality by 2050, Malaysia is actively promoting the adoption of EVs as a central part of its sustainable transportation strategy. This transition is driven by the goal of reducing greenhouse gas emissions and dependency on fossil fuels, aligning the country with global trends in clean energy.
Malaysia aims for electric vehicles to make up 15% of the total industry volume by 2030. One critical factor in EV adoption is the development of adequate charging infrastructure. Without enough charging stations, widespread EV usage would be impractical.
Commercial EV charging stations in Malaysia primarily offer two types of chargers: Level 2 chargers and DC fast chargers, each differing in charging speed, power output, and additional costs (which vary based on local conditions). The figure below illustrates the differences, which are self-explanatory.
The figure below provides an approximate cost comparison for building EV charging stations in Malaysia relative to other countries. All prices are in USD and may vary from actual figures.
The Malaysian government offers several incentives to support the development of commercial EV charging infrastructure. Under the Low Carbon Mobility Blueprint, businesses setting up charging stations receive tax exemptions and rebates, with additional benefits from the Green Investment Tax Allowance (GITA), which provides tax deductions on capital expenditures. The Green Technology Financing Scheme (GTFS) 4.0 further supports EV infrastructure by offering a 60% to 80% government guarantee on green component costs and a 1.5% annual rebate on interest rates, making low-interest financing more accessible for companies investing in charging networks.
In conclusion, Malaysia’s push for sustainable transportation through EV adoption is gaining momentum. The success of this transition relies on rapidly expanding EV charging infrastructure. With government incentives, strategic investments, and rising public interest, the country is set to meet its ambitious goals, reducing carbon emissions and establishing itself as a leader in green mobility in Southeast Asia.