SUMMARY
Energy consumption has risen in Malaysia because of developing strategies and increasing rate of population. Depletion of fossil fuel resources, fluctuation in the crude oil prices, and emersion of new environmental problems due to greenhouse gasses effects of fossil fuel combustion have convinced governments to invest in development of power generation based on renewable and sustainable energy (RSE) resources. Recently, power generation from RSE resources has been taken into account in the energy mix of every country to supply the annual electricity demand. In this paper, the scenario of the energy mix of Malaysia and the role of RSE resources in power generation are studied. Major RSE sources, namely biomass and biogas, hydro‐electricity, solar energy, and wind energy, are discussed, focusing more toward the electrical energy demand for electrification. It is found that power generation based on biomass and biogas utilization, solar power generation, and hydropower has enough spaces for more development in Malaysia. Moreover, minihydropower and wind power generation could be effective for rural regions of Malaysia. Copyright © 2014 John Wiley & Sons, Ltd.