Malaysia to Make Battery Storage Mandatory in the Next Large-Scale Solar Bidding Round (LSS6)

In a move that fundamentally reshapes the economics of large-scale solar development in Malaysia, the government has confirmed that battery energy storage systems (BESS) will be a mandatory requirement for all projects bidding under the upcoming sixth Large Scale Solar (LSS6) programme. The announcement was made by Malaysia’s Deputy Minister of Energy Transition and Water Transformation, signalling a clear shift in national energy policy from solar-only to solar-plus-storage as the preferred utility-scale model.

The LSS6 round is expected to open for bidding in 2026, with a total allocation of approximately 2GW — making it one of the largest renewable energy tenders Malaysia has ever launched. By embedding storage as a condition of participation rather than an optional add-on, the government is directly responding to grid stability concerns that have grown alongside the rapid expansion of intermittent solar generation.

For the energy storage industry, this is a landmark development. It transforms BESS from a niche complement into a core component of every major solar project pipeline in Malaysia. Developers, financiers, and technology suppliers who move quickly to build LSS6-ready capabilities will be best positioned to capture value in what is set to become the country’s most consequential renewable energy procurement cycle to date.