• Carbon Capture
NETR will attract RM60.7b in investments
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• Carbon Capture
@ green | July-August . 2024
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Energy transition and green investments to position Malaysia as green investment hub
PRIME Minister Datuk Seri Anwar Ibrahim emphasised that the implementation of a more effective , organised , and systematic energy transition and green investment is not just a necessity but a potential game-changer .
It could elevate Malaysia ’ s image , reputation , and attractiveness as a preferred green investment destination , bringing a wave of optimism for the country ’ s future .
Under the leadership of Anwar , who chaired the National Investment Council Meeting ( MPN ) recently , the meeting played a pivotal role in assessing and agreeing on an action plan to improve the country ’ s competitive position .
This emphasis on strategic planning should reassure the audience about Malaysia ’ s economic strategies .
“ Consequently , this effort is expected to enhance Malaysia ’ s ranking in the World Competitiveness Index report published by the Institute for Management Development ,” he said in a post on X .
“ The Madani government is very optimistic and believes that Malaysia is capable of improving its competitive position and achieving sustainable economic growth for the well-being of its people .”
Prime Minister Datuk Seri Anwar Ibrahim chairs the National Investment Council Meeting ( MPN ) on Jul 15 .
Anwar , who is also the finance minister , added that several research findings related to the strategic plan were also discussed .
It aimed at increasing green investments in line with the focus of making Malaysia a green investment destination and hub in the region .
Anwar added that the effort to improve Malaysia ’ s competitive position was not just a standalone initiative . It was crucial to achieve the net zero carbon emission target as early as 2050 , as outlined in the National Energy Transition Roadmap ( NETR ) and the New Industrial Master Plan 2030 ( NIMP 2030 ).
Government considering carbon tax
THE government is considering implementing a carbon tax in the country , a move that could potentially bring significant environmental benefits and contribute to global climate change mitigation efforts .
Natural Resources and Environmental Sustainability Minister Nik Nazmi Nik Ahmad has revealed that in-depth discussions between the Finance Ministry and the World Bank are currently underway , indicating a thorough and consultative approach to the potential implementation of a carbon tax .
“ For us , the feasibility of implementing a carbon tax in the country is one of the factors being considered in drafting the current national climate change legislation ,” Nik Nazmi told the Dewan Rakyat during the question and answer session on Jul 2 .
He explained that a carbon tax could lead to a more effective pricing system , potentially higher than the current voluntary market prices .
This could mean increased costs for certain goods and services , but it also aims to encourage businesses and individuals to reduce their carbon footprint .
He said this in response to a supplementary question by Datuk Mohd Shahar Abdullah ( Barisan Nasional-Paya Besar ), who wanted to know the government ’ s intention to move towards carbon pricing similar to Singapore and measures to empower the Bursa Carbon Exchange .
Nik Nazmi added that the government is unwavering in its commitment to providing State governments with advice , technical assistance , training , research , and development in the forestry sector , all aimed at bolstering carbon trading initiatives and policies .
In December 2022 , the Bursa
Nik Nazmi
Carbon Exchange was launched as the first Shariah-compliant carbon exchange in the world .
On a similar development , Nik Nazmi said the ministry was developing a national carbon market policy . This policy aims to create a structured and regulated market for trading carbon credits , with the goal of reducing carbon emissions and promoting sustainable practices .
The ministry has already begun engagements with State governments and the private sector to facilitate its growth .
NETR will attract RM60.7b in investments
THE latest estimates on the effectiveness of the National Energy Transition Roadmap ’ s ( NETR ) flagship projects and initiatives show that the investments involved will be worth RM60.7 billion .
This is a significant increase from the initial projection of RM25 billion when the roadmap was launched on Aug 29 , 2023 .
The Economy Ministry said this was based on the March 2024 progress report , which also shows a significant increase in job opportunities .
The NETR is now projected to create 84,544 jobs ( development and post-project ) compared to the initial forecast of 23,000 jobs , a promising sign for the economy .
Furthermore , the reduction in greenhouse gas ( GHG ) emissions is now estimated at 24,264 gigagrammes of carbon dioxide equivalent ( Gg CO2eq ) per year compared with 10,000 Gg CO2eq that was initially forecast , the ministry said in a written reply posted on the Parliament website .
This was in response to Datuk Seri Shahidan Kasim ’ s ( PN-Arau ) request for a status report on the NETR and New Industrial Master Plan 2030 ( NIMP 2030 ).
The ministry reaffirmed the government ’ s commitment to a whole-of-nation approach . This approach , which encompasses the Federal government , State governments , general public , and international community , ensures unified policy planning and implementation .
It is a key strategy in balancing the energy trilemma of security , affordability , and sustainability , providing reassurance to all stakeholders .
The ministry emphasized the potential benefits of the NETR implementation . It is expected to significantly increase the contribution to the national gross domestic product , create job opportunities , enhance people ’ s socioeconomic status , and ensure energy security and environmental sustainability .
This hopeful outlook underscores the potential positive impact of the NETR . – @ green