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Business9 min read

Solar for Factories 2026: How Manufacturing Plants Can Cut OpEx

TE
Trexon Energy
Solar Advisory
12 January 2026
Trexon Energy profile photo - Solar Advisory
· Solar Advisory

Manufacturers face thin margins. Electricity is often one of the largest costs after raw materials. Solar can reduce the share of that electricity you buy from TNB.

Illustrative Example

Illustration only, not a quotation: a 100 kWp system modelled at 3.5 peak sun hours a day generates about 127,750 kWh a year. If every kWh is used on site by a low-voltage non-domestic customer paying RM0.5068/kWh, that is about RM64,700 of electricity a year not bought from TNB, before system losses. Actual savings depend on your load profile, tariff and roof.

The AFA Factor

Since July 2025 the old ICPT surcharge has been replaced by the Automatic Fuel Adjustment (AFA), set every month from fuel prices and exchange rates (October 2026: +3.61 sen/kWh). Every kWh your solar system supplies is a kWh you do not buy from TNB, so solar reduces your exposure to these monthly changes.

Solar ATAP for Commercial Users

For commercial users, Solar ATAP allows you to: 1. Consume solar power first. 2. Export excess to offset bills at the Average System Marginal Price (SMP). 3. Non-domestic systems capped at 100% of the site's maximum demand (MD) in kWac, with a ceiling of 1,000 kWac.

PPA Options (Third-Party-Owned)

Don't want to use cashflow? A third-party-owned PPA is one option in the market: the investor builds and owns the system, and you pay a rate per kWh for the solar power generated. Trexon does not offer a PPA; our own routes are outright purchase and, for commercial and industrial customers, hire purchase through Mitsubishi HC Capital Malaysia. Commercial projects start with a booking of 20% of the system price, capped at RM20,000, credited in full to the system price. See our factory solar solutions for detailed sizing guides, or browse our commercial solar solutions if you operate a warehouse, office, or retail premises.

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Tags
#Commercial#Factory#Industry#Solar ATAP
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TE
Trexon Energy
Solar Advisory
Solar Energy Expert
Bright factory production hall with machines and skylights

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