The Smart Grid Demonstration Project is part of the components of the Sustainable Cities Development Project which started in 2017 under the Global Environment Facility (GEF6) organization which was also participated by 28 cities in 11 countries around the world. GEF is a Financier has appointed the United Nations Industrial Development Organization (UNIDO) as the International Project Manager and MIGHT as the national implementing agency. The Ministry of Local Government Housing (KPKT) is the ministry that leads the Sustainable Cities Development Project, which among its scope is the Smart Grid Project while Energy Commission (ST) as a Chair of the National Smart Grid Technical Committee.

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Way back in September 2020, Malaysian Industry-Government Group for High Technology (MIGHT) in collaboration with Universiti Tenaga Nasional (UNITEN), TNB Research Sdn Bhd (TNBR) and Perbadanan Teknologi Hijau Melaka (PTHM) has organized a Smart Grid Awareness & Demonstration Project in Melaka. The purpose of this launch is to provide exposure to all stakeholders, especially the public sector, industry players and various sections of society on the importance of smart grid projects to support and realize the aspirations and slogans of the state government "Melakaku Maju Jaya Rakyat Bahagia Menggamit Dunia".

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Apart from UNITEN, TNBR and PTHM, MIGHT also collaborates with other strategic partners such as Energy Commission, SEDA Malaysia, SIRIM, SKMM, MGTC, Department of Standards Malaysia, KETSA, KPKT and the industry namely First Solar Malaysia Sdn Bhd and System Consultancy Services Pte Ltd.