EV Chargers License Requirement: Malaysia Mandates Compliance by 31st March 2023

The Energy Commission (ST) has made it mandatory for all charge point operators (CPOs) overseeing the development of electric vehicle (EV) charging infrastructure in Malaysia to obtain a valid Electric Vehicle Charging System (EVCS) license by March 31, 2023. This requirement applies not only to new EV charging sites but also to existing public EV chargers in the country.

According to ST, the EVCS installation license is crucial to ensure uniform and safe charging systems nationwide. This regulation aligns with the Electricity Supply Act 1990 (Amendment 2015) [Act A1501], specifically Section 9(1)(b), which dictates the issuance of licenses to CPOs engaged in commercial electricity supply activities, varying in tenure based on installation location.

The licensing process overseen by ST is primarily focused on safety and technical aspects, excluding regulatory economic policy considerations. Operators need to submit applications, paying a processing fee of RM100 per application. The license fee, calculated at RM0.44 per kW (minimum RM100), carries a tenure of 10 years, subject to annual fee payments.

Failure to acquire a valid EVCS license while conducting EVCS installations is deemed an offense, liable to prosecution under Section 35(5) of the Electricity Supply Act 1990 [Act 447].

Beyond regulatory compliance, the EVCS license empowers EV charging operators to implement kWh-based pricing, ensuring fairer and more transparent billing for consumers. This model allows for charging based on actual electricity consumption, varying according to the state of charge and maximum input of respective EVs, eliminating the previous time-based charging structure.

For instance, at X Park Sunway Serene, the first to adopt kWh-based pricing, 350kW DC chargers are priced at RM1.20 per kWh, while 180kW DC chargers cost RM1.00 per kWh. Slower AC chargers are available at RM0.55 per kWh. Similarly, at the Bangi Golf Club EV hub, Kempower dynamic power sharing and dedicated 120kW DC chargers are both priced at RM1.00 per kWh, with AC chargers at RM0.55 per kWh. Petronas Bandar Baru Ayer Hitam also follows suit, offering DC charging at RM1.00 per kWh and AC charging at RM0.55 per kWh.

In essence, the EVCS license mandate not only ensures standardized and secure charging systems but also heralds a fairer charging regime benefiting EV owners by billing based on actual electricity usage rather than mere parking time.

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