Summary:
A commercial solar installation in Malaysia follows a defined approval and grid-connection process governed by SEDA and TNB. Understanding this process helps you reduce electricity costs and achieve predictable returns over a 20–25 year operating life.
From Roof to Grid: Commercial Solar Setup in Malaysia
Commercial buildings in Malaysia can install grid-connected solar PV systems through a regulated process that links rooftop generation directly to the Tenaga Nasional Berhad (TNB) grid. If you own or manage commercial property, knowing how system size, export limits, approval timelines, and financial returns are determined will help you make confident decisions.
Clarity on energy assessments, regulatory approvals, and grid connection steps is essential to ensure your system delivers optimal performance and financial benefits.
Step-by-Step Commercial Solar Installation
A commercial solar installation involves multiple phases to ensure safety, compliance, and performance alignment. Each stage has specific tasks, timelines, and responsible parties.
| Phase | Key Activities | Duration | Deliverables / Approvals |
| Assessment | Roof check and energy analysis | 2–4 weeks | Feasibility report |
| Design | Panel, inverter selection | 1–2 weeks | Design & approvals |
| Procurement & Mounting | Equipment purchase & installation | 2–3 weeks | Installed system |
| Commissioning | Performance & safety tests | 1 week | Test reports |
| Grid Approval | Submit documents for TNB approval | 2–4 weeks | Connection permit |
| Activation | System goes live | Immediate | Operational system |
The first step is a thorough assessment of your roof and energy needs to design an effective system.
Assessing Roof Space, Energy Load & Local Regulations
Proper assessment ensures your system size matches your roof and energy needs, while complying with SEDA solar guidelines under the Net Energy Metering framework.
| Factor | Details | Impact |
| Roof & Orientation | Usable area and sunlight | Max panel capacity |
| Structure | Roof strength and safety | System durability |
| Shading | Obstructions affecting light | Energy production |
| Energy Use | Daytime electricity profile | System sizing |
| Compliance | SEDA & TNB rules | Grid approval |
Designing the System: Panels, Inverters, Wiring and Safety
A commercial system combines multiple components carefully selected and configured to ensure optimal performance and safety:
- Solar Panels:
- Certified suppliers
- Sized for roof and energy demand.
- Certified suppliers
- Inverters:
- Convert DC to AC power
- Configured to meet TNB voltage, frequency, and export limits
- Correct settings critical for grid approval.
- Convert DC to AC power
- Wiring and Safety:
- Quality cables and isolators
- Surge protection devices
- Grounding per Malaysian codes.
- Quality cables and isolators
This structured design ensures the system integrates smoothly with the grid and operates reliably over its lifespan.
Procurement, Mounting, Commissioning & Grid Connection
This phase covers equipment sourcing, installation, verification, and formal connection to the TNB grid.
| Stage | Description | Duration | Outcome |
| Procurement | Buy panels and inverters | 1–2 weeks | Equipment delivered |
| Mounting | Install mounts and wiring | 1–3 weeks | Installed system |
| Commissioning | Test safety and output | 1 week | Certification |
| Documentation | Submit to TNB | 2–4 weeks | Connection approved |
| Connection | Activate system | Immediate | Live solar system |
If you’re unsure whether your roof layout or energy profile meets TNB and SEDA requirements, request a site assessment to save you time and avoid costly redesigns. It will confirm your system’s feasibility before you apply for grid connection.
From Procurement to Grid Connection
Grid connection is governed by formal inspection and approval procedures. TNB verifies that protection devices, inverter behaviour, and system output meet interconnection standards.
Once approved, your system will operate as a grid-connected solar PV installation. Electricity generated on your roof supplies your on-site demand first. Surplus energy is exported to the grid and credited under the Net Energy Metering scheme.
This setup helps you offset electricity costs while maintaining predictable grid usage.
Cost and ROI of Commercial Solar Systems
Commercial solar installations typically require investments ranging from RM100,000 to RM500,000 depending on system size and complexity. Most businesses see a payback period between 5–8 years, or in some cases, as little as 3 years. Factors influencing ROI include your electricity consumption patterns, local tariff structures, and system efficiency.
Long-term savings arise from reduced electricity bills and the ability to export surplus energy to the grid, securing cost stability over a system lifespan exceeding 20 years. Increasing electricity tariffs make these savings progressively more valuable.
Calculating Up-Front Investment and Payback Periods
Your initial capital outlay covers the cost of solar panels (sourced from certified vendors), inverters, mounting equipment, installation labor, testing, and grid approval fees.
Pricing depends primarily on the installed capacity measured in kilowatts. Achieving an optimal payback timeline requires balancing system size against your building’s daily energy demand to avoid oversizing.
Other variables affecting returns include inverter configuration to maximise energy export within TNB limits, system reliability, and maintenance schedules.
Understanding Long-Term Savings for Local Businesses
Once the payback period is met, ongoing savings result from decreased reliance on grid electricity and the generation of export credits under the Net Energy Metering scheme administered by SEDA.
These savings offer businesses financial predictability and protection against rising electricity tariffs. Proper system design and maintenance ensure consistent output throughout the system’s 20–25 years’ operational lifespan. Understanding costs is vital, but equally important is how the installation unfolds.
Choosing a Commercial Solar Provider in Malaysia
Execution quality determines regulatory outcomes and system reliability. An EPCC provider is responsible for engineering accuracy, procurement control, construction quality, and approval coordination.
Evaluating Safety Records, Past Projects & Financing Options
You should assess providers based on their approved projects, safety compliance history, and experience with TNB solar interconnection procedures. Financing options can also influence your investment strategy and cash flow.
Providers familiar with SEDA solar guidelines reduce your regulatory risks and speed up approval.
Maintenance and Warranty for Commercial Solar
System output declines without active monitoring and maintenance oversight.
Annual Cleaning, Inspections and Performance Monitoring
Scheduled cleaning maintains panel efficiency, while inspections detect wiring, inverter, or mounting issues early.
Real-time monitoring lets you track generation and respond quickly to faults, keeping your system running efficiently.
Warranty Coverage and Scheduled Service Support
Equipment warranties cover panels and inverters, while service agreements handle inspections, testing, and fault response. This layered protection safeguards your system’s performance over time.
Need Expert Guidance? Book a Site Assessment with Northern Solar
Northern Solar operates as a full turnkey EPCC company delivering compliant commercial rooftop solar installations in Malaysia. Our team manages system design, vendor coordination, installation, regulatory submissions, and grid connection.
By working with us, you ensure your system meets TNB interconnection requirements and SEDA solar guidelines from day one, improving approval certainty and optimising system performance.
Book a site assessment today to get a clear understanding of your capacity limits, expected returns, and compliance status before making an investment.

