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Solar
Malaysia Launches LSS6 Tender for 2.5GW Solar PV and 1.25GW BESS Capacity to Accelerate Energy Transition

Malaysia’s Ministry of Energy Transition and Water Transformation has officially unveiled the sixth round of the Large-scale Solar (LSS6) tender, targeting a total of 2.5GW solar PV capacity paired with 1.25GW battery energy storage system (BESS) capacity, marking a major push to upgrade the country’s renewable energy infrastructure and grid performance.


Structured into three tender packages, the LSS6 programme prioritises solar-plus-storage integration while reserving dedicated quotas for local Bumiputera developers to foster inclusive industry growth. The first package, open to all qualified developers, covers 2.2GW of solar PV and 1.1GW of co-located BESS. The second package, exclusive to Bumiputera firms in Peninsular Malaysia, includes 300MW solar PV with 150MW BESS. The third package, also tailored for small Bumiputera companies, offers 150MW standalone solar PV capacity to encourage new entrants into the energy sector.


The tender has set clear project scale thresholds and bidding timelines. Bids for the two solar-storage integrated packages range from 60MW to 500MW, with the bidding window open from July 27 to August 7, 2026. For the standalone solar package, eligible project sizes range from 10MW to 30MW, and bidding will run from August 17 to August 28, 2026.


To optimise national power grid planning and transmission efficiency, the government will prioritise project development in high electricity demand growth areas, particularly southern Peninsular Malaysia. Additionally, projects adopting domestically produced solar PV modules will receive preferential treatment. All successful LSS6 projects are required to achieve full commercial operation by the end of 2029.


A core objective of the LSS6 initiative is to enhance Malaysia’s power grid stability, flexibility and reliability via large-scale solar and energy storage deployment. According to industry think tank Ember, Malaysia’s installed solar capacity stood at just over 3GW by the end of 2025, and the new tender will substantially scale up the country’s renewable and energy storage footprint.


The rising demand for co-located solar and BESS solutions in Malaysia is further evidenced by a landmark USD 6 billion solar-storage project backed by the World Bank, which features 4GW solar PV and 5.12GWh BESS capacity and serves as a key part of the pan-Southeast Asian power grid initiative.


Economically, the LSS6 tender is projected to attract MYR13–15 billion (USD3.2–3.7 billion) in private investment and create up to 20,000 job opportunities throughout the project development and construction phase, delivering robust economic and industrial benefits alongside clean energy transition progress.