- Renewables
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- Malaysia
GOODYEAR Malaysia Bhd has allocated RM8.2 million or 30% of its total capital expenditure this year for the installation of 6,680 solar panels at its tyre manufacturing plant in Shah Alam, Selangor.
The project will be Malaysia’s largest rooftop solar photovoltaic (PV) project recorded under the net energy metering scheme.
Goodyear manufacturing operations Asia Pacific director Ramon Le said the installation at its sole tyre manufacturing plant in Malaysia was part of efforts taken to improve its financials and operations, and to power up and reduce its carbon footprint.
“We expect to see savings of around US$400,000 (RM1.6 million) per year. We also expect to see the return on investment in five years and 17% savings in electric consumption everyday.
“With this technology in place, Goodyear is set to reduce its spending on electricity while also significantly reducing the amount of greenhouse gas emissions,” he told the media at the launch of Goodyear Solar Power System in Shah Alam yesterday.
According to Le, the solar panel system is capable of producing 2.5MW of power, and it is connected to six low voltage substations located within the plant.
The power generated from the panels will help run the manufacturing plant, office and warehouse buildings.
“The panels are estimated to reduce 1.98 million kg of carbon emission per year across 25 years,” Le added.
He said the solar panels installation was in line with Goodyear’s global mission to drive sustainability and reduce environmental impact.
He said to drive more sustainability efforts, Goodyear started a programme called “Better Future” at the corporate level several years ago.
Through this programme, the tyre maker has identified more than 600 energy-efficient projects that focus on environmental protection.
“For Malaysia, we have invested nearly RM23.47 million into the plant as part of our energy and sustainability efforts since 2015. Through this, we have been able to eliminate almost 17% carbon emission by end-2018,” he said.
Le said the solar panels allowed the company to significantly reduce the amount of externally sourced electricity usage by the plant.
“We are still purchasing electricity from Tenaga Nasional Bhd, but once this system is fully optimised, we expect to have excess electricity which will be channelled back to the grid,” he said.
Minister of Energy, Science, Technology, Environment and Climate Change Yeo Bee Yin who officiated the event, said Goodyear’s PV system is exemplary of a rising tide of corporates who have strong commitment to meet their environmental, social and governance obligations.
She said there is a huge technical potential for rooftop solar PV applications given that Peninsular Malaysia has 4.1 million buildings.
Solar PV systems will help consumers save electricity bills and be part of the solution to climate change. The solar PV market can also help spawn the economy, specifically it drives employment in this sector, she added.
A report by the International Renewable Energy Agency with data provided by the Sustainable Energy Development Authority Malaysia, stated that Malaysia was Asean region’s biggest solar PV employer with a total of more than 54,300 people working in the industry last year — up from 40,300 in 2017.
This employment is inclusive of the manufacturing sector, of which Malaysia is among the top three PV producers in the world.
Besides Malaysia, Goodyear has tyre manufacturing plants in Thailand, Indonesia, China and India among other countries.