Malaysia’s upcoming offshore wind project connecting Vietnam to Peninsular Malaysia is expected to generate up to 2,000 megawatts (MW) of clean energy by 2034, marking a major step in the nation’s renewable energy expansion, Deputy Prime Minister Datuk Seri Fadillah Yusof told Parliament on October 23, Bernama reports.

Of the total capacity, 700 MW will be allocated for domestic consumption, while the remaining 1,300 MW will be exported to Singapore via Malaysia’s national transmission grid, Fadillah said.

The first phase will focus on developing the 2,000 MW offshore wind farm and constructing an undersea power cable between Vietnam and Peninsular Malaysia. Completion is targeted for 2034. The second phase, to be considered after assessing demand and financial viability, will involve a broader regional connection through Cambodia, Laos and Thailand.

Fadillah added that transmission network upgrades are already underway in Peninsular Malaysia, starting from the cable landing point in Kelantan and extending through Terengganu, Pahang, Negeri Sembilan and Johor. “This project will not only enable electricity exports to Singapore but also benefit the participating states through enhanced energy reliability and investment opportunities,” he said.

The offshore wind project is part of Malaysia’s broader effort to integrate into the ASEAN Power Grid and expand its role in cross-border green energy trade. Singapore has set a target to import up to 4 GW of low-carbon electricity by 2035, and Malaysia’s project could become a key contributor.

In response to a supplementary question, Fadillah noted that ongoing green energy developments are primarily designed to serve domestic needs and are subject to factors such as commercial feasibility, technical suitability and grid readiness.

He clarified that the government has not designated fixed sites for renewable energy projects, as location choices depend on geography, land cost, grid connection distance and project viability. Collaboration between federal and state governments, he said, remains critical to ensuring smooth implementation and accelerating Malaysia’s renewable energy transition.