In a mixing bowl, combine the rice flour, sugar, baking powder, and salt. Mix well to ensure even distribution of the dry ingredients.
Gradually add the coconut milk and water to the dry mixture, stirring until you have a smooth batter.
Fold in the shredded coconut until evenly incorporated.
Prepare a steamer by filling it with water and bringing it to a gentle boil.
Lightly grease small ramekins or a muffin tin with cooking spray or oil. Pour the batter into the prepared containers, filling them about 2/3 full.
Place the containers in the steamer, cover with a lid, and steam for about 20-25 minutes, or until a toothpick inserted into the center comes out clean.
Once cooked, remove from the steamer and let cool for a few minutes before gently removing the cakes from the containers.