KUALA LUMPUR: The Energy Commission (EC) is in the process of studying the implementation of a regulatory sandbox for the energy sector.

It aims to implement the regulatory sandbox in 2027 as part of efforts to support market liberalisation while safeguarding energy security and system stability.

A dedicated unit has been established to oversee the development of the regulatory sandbox framework, which is expected to facilitate the testing of new technologies, business models and innovative solutions in a controlled environment, according to an EC official speaking on condition of anonymity.

She said the initiative would enable the EC to assess sandbox projects from a regulatory and policy framework perspective, ensuring that suitable projects can be implemented and scaled up effectively based on a set of criteria that the commission is currently developing and reviewing.

She said this at a panel discussion on "Regulatory Clarity and Energy Transition: Enabling Industrial Growth in ASEAN and Japan” at the Malaysia-Japan Legal and Business Forum 2026 held here on Thursday.

The forum was organised by RDS Partnership, a Malaysian law firm, and Anderson Mori and Tomotsune, one of Japan's largest full-service law firms. - Bernama