@Green September/October 2022 | Page 9

September-October , 2022 | @ green

LOCAL NEWS

09

Promoting consistent practices

Concrete actions being taken by financial institutions to manage climate-related risks

GREATER awareness and efforts by financial institutions to strengthen their response to climate risk have led to an increased demand for practical tools and urgency to address critical gaps needed to support the transition .

The Joint Committee on Climate Change ( JC3 ) will continue to focus on the following priorities :
• Climate Change and Principle-based Taxonomy ( CCPT ) will publish and maintain a set of CCPT FAQs on application issues to promote consistent practices across financial institutions . It has developed a due-diligence questionnaire with World Wide Fund ( WWF ) Malaysia on selected CCPT guiding principles .
• Following the issuance of the TCFD Application Guide for Malaysian Financial Institutions , JC3 is now supporting Capital Markets Malaysia ( CMM ), an affiliate of the Securities Commission Malaysia , to develop an ESG Disclosure Guide ( Guide ) tailored to Malaysian Small and Medium Enterprises ( SMEs ).
• JC3 welcomed the issuance of the Sustainable and Responsible Investment-linked ( SRI-linked ) Sukuk Framework by Securities Commission
Malaysia on 30 June 2022 to facilitate companies to issue SRI-linked Sukuk to support their transition towards lowcarbon activities .
• The Data Catalogue developed by JC3 remains on track for publication by end-2022 . A brief report will accompany this on the data availability , gaps and specific recommendations to bridge data gaps . The data catalogue is a crucial deliverable of JC3 to address the data needs of the financial sector by pointing users to credible sources of critical climate data needed to support identified use cases , noting that material gaps still exist within existing data sources . Jessica Chew , Deputy Governor , Bank
Negara Malaysia and Co-Chair of JC3 , said they were encouraged by the increasing focus and concrete actions being taken by financial institutions to manage climaterelated risks .
“ Further progress will , however , critically depend on key enablers , including access to data and better disclosures . The JC3 remains committed to addressing these challenges , alongside increased efforts to scale up transition finance ,” said Chew .
JC3 will continue to engage with the relevant ministries , government agencies and corporates to identify climate and
sustainable financing needs that can be mobilised through the financial sector .
Datuk Zainal Izlan Zainal Abidin , Deputy Chief Executive , Securities Commission Malaysia and Co-Chair of JC3 , said in progressing climate action in Malaysia , it was important for the JC3 to have close engagement and collaboration with relevant stakeholders .
“ Towards this end , the JC3 has conducted a series of engagements , including a meeting with four key ministries in July to forge closer collaboration with the government ,” said Zainal .
“ Such engagements have brought greater clarity on the national plans and initiatives that both the financial sector and government can pursue and collaborate . Both parties can align their climate actions in developing an ecosystem conducive to flourishing sustainable finance .” – @ Green
( Left ) Datuk Zainal Izlan Zainal Abidin and Jessica Chew
Megat ( seated 2nd left ) with Ikhwan ( seated 2nd right ) signing the MoU together with witnesses from TNB , Mohamed Azrin Mohamed Ali , Head of Solutions , Retail Division ( seated far left ) and NUR Power Chairman , Datuk Wira Ir . Mohd Sidek Ahmad ( seated far right ). The MoU signing session was also witnessed by the Senior Division Secretary , ( Electricity Supply ) Ministry of Energy & Resources ( KeTSA ) Mareena Mahpudz ( standing 2nd right ) and Hamzah ( standing 2nd left ).

TNB and NUR Power seal Memorandum of Understanding ( MoU )

TENAGA Nasional Berhad ( TNB ) established a strategic partnership with NUR Power Sdn . Bhd . ( NUR Power ) to provide smart energy solutions and Renewable Energy ( RE ) as the primary source of future electricity for NUR Power customers in the Kulim Hi-Tech Park ( KHTP ) industrial area , Kedah and other licensed areas related to NUR Power .
A Memorandum of Understanding ( MoU ) was signed to enable the installation of a rooftop solar photovoltaic ( PV ) system , explore large-scale solar solutions , and provide commercial EV and an adequate charging ecosystem for all customers in the KHTP area .
As global demand for green energy continues to grow , NUR Power is committed to investing in solar energy solutions to increase the supply of Renewable Energy ( RE ) and moving towards Environmental , Social and Governance ( ESG ) compliance to attract foreign and
domestic investors .
Through this collaboration , TNB gains another strategic partner to implement RE initiatives with NUR Power as the exclusive electricity supplier to KHTP and other licensed areas . Customers of NUR Power would enjoy the advantage of competitive prices for rooftop solar solutions from the collaboration between TNB ’ s wholly owned subsidiary , GSPARX and NUR Power ’ s RE subsidiary , JS Solar .
The MoU was signed by TNB ’ s Chief Retail Officer Datuk Ir . Megat Jalaluddin Megat Hassan and NUR Power Managing Director Ikwan Hafiz Jamaludin at the DoubleTree Hilton Hotel , Putrajaya on Aug 26 .
Dato ’ Hamzah Hussin , Chief Executive Officer of Sustainable Energy Development Authority ( SEDA ), Malaysia , was also present .
Megat noted that the collaboration between TNB and NUR Power marked an auspicious development for the nation and TNB . It is aligned with TNB ’ s aspiration to accelerate the energy transition into green energy .
“ TNB aspires to achieve net zero carbon emissions by 2050 and one of the key initiatives to achieve this aspiration is through building key collaborations and strengthening partnerships that would help us drive the Energy Transition agenda even further . This is in line with the government ’ s agenda in relation to renewable energy capacity and green initiatives as we move towards a better , brighter future for the people of Malaysia ,” Megat added .
Ikwan Hafiz said that this collaboration aimed to improve the development of RE for energy users in KHTP through the transfer of expertise and technology between the two parties .
“ Cooperation in the RE sector by NUR Power and TNB could help realise the goal of ‘ RE Utility Transition ’ as the two energy utility suppliers in the Peninsula ,” said Ikhwan . – @ Green