08/07/2026 09:51 PM

AI-Enabled Grid Should Drive Malaysia’s Energy Transition - Industry Expert

KUALA LUMPUR, July 8 (Bernama) -- Malaysia’s energy transition will depend not only on expanding generation capacity but also on its ability to build a smarter, more integrated and more resilient power grid, an industry expert said.

Schneider Electric Malaysia country president Eugene Quah said the grid would become increasingly dynamic as more renewable energy is integrated into the system, making digitalisation and artificial intelligence (AI) critical to ensuring its resilience.

He said utilities today often have access to large volumes of data from substations, devices, meters, asset systems, and control platforms, and AI-enabled analytics can help turn that data into earlier warnings, better forecasts, and faster operational decisions.

“When data is integrated with AI-enabled analytics, utilities can reduce blind spots, restore power faster, lower technical losses, prioritise maintenance before failures occur, and make better use of existing grid capacity before new infrastructure is built,” he said in a statement today.

In line with this, Quah said these capabilities are already being deployed in several markets.

“This is already visible in markets such as Australia, where Schneider Electric’s advanced distribution management system (ADMS) and fault location, isolation, and service restoration capabilities helped SA Power Networks restore power to most affected customers within one minute during extreme weather,” he said.

Quah noted that as of March 2026, there were about 138 data centre applications in Malaysia, with 38 commissioned ahead of schedule through a green-lane pathway.

He said that by 2033 or 2034, data centres could add around six gigawatts (GW) of additional demand, compared with Peninsular Malaysia’s current maximum demand of about 21 GW.

“That level of demand is significant. The conversation cannot stop at connection speed.

“For data centres, AI-enabled grid planning, digital twins, and monitoring tools can help operators simulate power, cooling, and load conditions before deployment, reducing design risk, improving deployment accuracy, and supporting higher energy efficiency,” he said, adding that the same applies to renewable energy.

Quah opined that digital grid optimisation can help reduce technical losses, improve asset utilisation, and support lower-emission operations, as seen in the Italian multinational manufacturer and distributor of electricity and gas, Enel, which uses network reconfiguration to cut technical losses by 75,000 tonnes of carbon dioxide per year. 

He said battery energy storage, advanced grid technologies, and interconnection projects will play key roles, yet the technologies will deliver the greatest value when underpinned by robust digital foundations.

“This transformation (grid resilience) requires collective effort. Utilities, policymakers, technology providers, investors, and energy users all play a role.

“If Malaysia aims to scale up renewable energy, attract high-value digital investments, strengthen industrial competitiveness, and achieve its net-zero ambition, grid resilience must be treated as a national priority,” he said. 

Quah noted that Malaysia has set clear goals to increase renewable energy integration to 40 per cent by 2035 and achieve net zero by 2050.

“The country has already progressed from large-scale solar (LSS) 1 to LSS 5+, with about 5.2 GW of large-scale solar integration committed so far.

“Grid readiness is also accelerating, with 48 nodes identified to support nearly eight GW of solar integration,” he added.

-- BERNAMA

 

 

 

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