Energy Rating Programme
Policy measure

According to van den Akker (2008), the Malaysian Industrial Energy Efficiency Improvement Project (MIEEIP) was initiated by the Government of Malaysia in 1999 to improve energy efficiency in Malaysia’s industrial sector. The implementing agency of the project was the United Nations Development Program (UNDP) on behalf of the Global Environment Facility (GEF). The Pusat Tenaga Malaysia (PTM, Energy Centre) was appointed by the Ministry of Energy, Water and Communications (MEWC) to implement the project on its behalf. Funding and support for the programme is provided by GEF, UNDP, the Government of Malaysia and the private sector.

Component 3 of the MIEEIP, the Energy Rating Programme, aims to “provide information on energy-efficient equipment and energy rating programs to increase awareness and encourage the use of energy efficient equipment in industry and set up an industrial equipment testing facility to label equipment.” (van den Akker, 2008).


An energy efficient motor rating and labelling programme has been proposed to the Energy Commission, but is thus far only being implemented on a voluntary basis (van den Akker, 2008).

With regard to thermal systems, a Boiler Best Practice guidebook was developed from course notes of best boiler practice workshops organized in 2003 and 2004/5. The guidebook highlights the technical details for operating boilers and thermal systems at maximum efficiency. The guidebook will become a useful reference for boiler operators to ensure higher efficiency of the thermal systems in industry (van den Akker, 2008).


According to van den Akker (2008), the testing facility for high-efficiency motors and boilers was requested to be put on hold due to the infancy of the regulatory policy on boiler operators.


The following outcomes were identified as a result of Component 3 of the MIEEIP (van den Akker, 2008):  

  • High Efficiency Motors: Coupled with variable speed drives, these motors entail substantial energy savings over conventional products. Prior to MIEEIP, information materials on energy efficient equipment were not widely available and no energy rating programmes had been designed or implemented. Therefore, the energy efficient motor rating and labelling programme was proposed to the Energy Commission. Currently, only about 2 percent of the motors used in Malaysian industries are high efficiency motors (HEMs). According to a survey conducted in 2005, approximately 70 percent of the electricity consumed by industries is used by motors alone. It was anticipated that once the programme was implemented and HEMs became more widely used in industries, energy savings of between 3 to 5 percent would be achieved in industries from motors alone. The added benefit of installing high efficient motors includes a longer expected lifetime, better reliability, less noise and lower operating temperatures.

  • Combustion Control: One way to optimize energy consumption for the production of heat is combustion control which regulates oxygen and monitors the air supply to oil or gas fuelled burners. Expected savings: A reduction in annual fuel oil consumption by up to 2.5 percent (EIB, 2011).

  • Variable Speed Drives: As speed control mechanisms for motors and pumps, variable speed drives respond to the demand needs of manufacturing machines: pumps, fans, blowers, hoists, cranes, machine tools and spinning machines. Regardless of horsepower or factory location, these drives can be applied to most motors and fit all types of equipment. Expected savings: Reduced electricity costs of between 10-30 percent. (EIB, 2011)

  • Insulating Pipes and Surfaces: Steam transported via pipes and values loses heat if not properly insulated. A typical industrial facility can achieve steam and heat savings of 20 percent to 60 percent by improving its overall energy performance. This includes insulating steam and condensate lines, eliminating leaks and maintaining steam traps. Expected savings: Payback periods from two months to two years are attainable for insulating previously bare pipes and surfaces (EIB, 2011).

  • Heat Exchangers: Used to recover heat energy in wastewater for reuse in process feed water, installing a heat-exchanger saves energy and may reduce water consumption. Depending on water discharge amounts and temperature, energy savings range from 5 percent to 70 percent when recovered heat is used to pre-heat water for steam production (EIB, 2011).


Van den Akker, J., 2008. Malaysian Industrial Energy Efficiency Improvement Project (MIEEIP): Final Evaluation. Available at:

EIB (Energy Information Bureau), 2011. Cases on Energy Savings in Manufacturing. Available at:,107,109,110.