Sabah launches Southeast Asia’s largest battery energy storage system - The Sun Malaysia
Published December 12, 2025
Sabah Unveils Southeast Asia’s Largest Battery Energy Storage System
Sabah has officially inaugurated the region's largest battery energy storage system, marking a significant milestone in the advancement of renewable energy infrastructure in Southeast Asia. This state-of-the-art facility, located in the state capital of Kota Kinabalu, is designed to enhance the reliability and efficiency of the electricity supply across the region.
The battery energy storage system (BESS) has a capacity of 100 megawatts (MW) and is equipped with advanced lithium-ion technology. This facility is expected to play a crucial role in stabilizing the power grid, particularly during peak demand periods and in mitigating the effects of intermittent renewable energy sources such as solar and wind.
Project Overview
The project, developed by Sabah Electricity Sdn Bhd (SESB) in collaboration with several international partners, is part of a broader strategy to transition Sabah's energy landscape towards more sustainable sources. The BESS will not only support the integration of renewable energy but also provide ancillary services to enhance grid stability.
With an investment of approximately RM 300 million (about USD 72 million), the facility is expected to significantly reduce the reliance on fossil fuel-based power generation, contributing to the state's goal of achieving a cleaner energy mix. The BESS can store excess energy generated during low-demand periods and release it back into the grid when demand surges, thus optimizing the overall energy supply.
Significance for Renewable Energy in Sabah
The launch of this battery energy storage system aligns with Malaysia's commitment to increasing the share of renewable energy in its overall energy mix. The government aims to achieve a target of 20% renewable energy by 2025, and projects like the BESS in Sabah are pivotal in meeting this objective.
In addition to enhancing grid reliability, the BESS is expected to provide economic benefits by reducing operational costs associated with energy generation. The facility will also create job opportunities in the region, contributing to local economic development.
Technological Features
The BESS utilizes cutting-edge lithium-ion battery technology, which is known for its efficiency and longevity. This technology allows for rapid charging and discharging, making it ideal for balancing supply and demand in real-time. The system is designed to operate with minimal environmental impact, adhering to strict sustainability standards.
Furthermore, the facility is equipped with advanced monitoring and control systems that enable operators to manage the energy storage and discharge processes effectively. This functionality not only ensures optimal performance but also enhances the overall resilience of the electricity grid.
Future Prospects
The successful implementation of the BESS in Sabah sets a precedent for future energy projects in Malaysia and the wider Southeast Asian region. As countries increasingly prioritize renewable energy, the lessons learned from this project could inform similar initiatives across the region.
In addition to the current project, Sabah is exploring further investments in renewable energy technologies, including solar and wind power. The integration of these technologies with energy storage solutions is expected to create a more robust and sustainable energy ecosystem.
Government Support and Policy Framework
The Malaysian government has been proactive in supporting renewable energy initiatives through various policies and incentives. The Renewable Energy Act and the Feed-in Tariff (FiT) mechanism are examples of frameworks designed to encourage investment in clean energy technologies.
These policies not only promote the development of renewable energy projects but also facilitate the growth of energy storage systems, which are essential for managing the variability of renewable energy sources. The government’s commitment to sustainability is further reflected in its participation in international agreements aimed at reducing carbon emissions and combating climate change.
Conclusion
The launch of Southeast Asia’s largest battery energy storage system in Sabah represents a significant advancement in the region’s renewable energy landscape. With its capacity to enhance grid stability and support the integration of renewable energy, the BESS is poised to play a crucial role in Sabah’s energy transition.
As the region moves towards a more sustainable energy future, this project serves as a model for similar initiatives, demonstrating the potential of innovative energy solutions to meet the growing demand for clean and reliable electricity.
With continued investment and government support, the future of renewable energy in Sabah and the broader Southeast Asian region looks promising, paving the way for a cleaner and more sustainable energy landscape.
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