� Malaysia’ s digital leap, anchored by NETR and 12MP, positions technology as a critical enabler of its green transition.

For Malaysia, where environmental stewardship is firmly embedded within national policy frameworks, digital transformation offers a promising pathway to accelerate the country’ s green agenda. Yet, as with most transformative forces, it also introduces new complexities and ethical dilemmas.

Can digital transformation truly become a vehicle for environmental harmony, or will it generate new forms of inequality and ecological strain?

INTEGRATION

Digital transformation refers to the integration of technologies such as artificial intelligence( AI), the Internet of Things( IoT), and big data analytics into social and economic systems. Its strength lies in improving efficiency, enhancing transparency, and enabling data-driven decision-making. For Malaysia’ s sustainability agenda, these qualities hold immense potential.

Through the National Energy Transition Roadmap( NETR) and the Twelfth Malaysia Plan( 12MP), the government envisions technology as a central driver of sustainable energy use and low-carbon development. The NETR outlines a clear commitment to achieving net-zero carbon emissions by 2050, with renewable energy targets of 31 per cent by 2025, 40 per cent by 2035, and 70 per cent by 2050.

These milestones represent more than numerical goals. They embody Malaysia’ s intent to balance growth with environmental responsibility

� Energy-hungry data centres, rising e-waste, and unequal access threaten to erode sustainability gains.

BY ANIS NAJIHA AHMAD and AMAL A. M. ELGHARBAWY

International Institute for Halal Research and Training( INHART) International Islamic University Malaysia( IIUM)

� Collaboration, inclusivity, and moral responsibility— guided by the principle of amanah— are vital to ensuring digital progress aligns with environmental and social harmony.

( Malaysian Investment Development Authority( MIDA), 2024).

Meanwhile, the Twelfth Malaysia Plan( 12MP) identifies digitalisation as a key enabler of national resilience and sustainability.

Under Policy Enabler 2: Accelerating Technology Adoption and Innovation, Malaysia aims to achieve full 4G coverage in populated areas, expand 5G accessibility, increase research and development( R & D) expenditure to 2.5 per cent of GDP, and enhance the contribution of e-commerce( 10.5 per cent) and the digital economy( 25.5 per cent) to national output( Kementerian Ekonomi, 2021).

Together, these frameworks provide more than strategic direction. They lay the foundation for a new wave of digital innovation that is reshaping industries and communities alike. The next challenge lies in translating these ambitions into practical solutions. The one that delivers real environmental and social outcomes.

THE PROMISE

Digital transformation is already making a tangible impact across multiple sectors in Malaysia. In the energy sector, smart grids enable real-time monitoring and adaptive distribution. In agriculture, precision technologies help farmers conserve water and fertilisers while increasing productivity. In urban areas, digital platforms enhance traffic management, waste collection, and public services.

These innovations demonstrate how technology can make sustainability actionable and measurable. They enable policymakers, businesses, and citizens to track carbon footprints, evaluate performance, and foster accountability in environmental governance. The real promise of digitalisation, therefore, lies not merely in technological advancement but in its ability to connect people, data, and decision-making toward shared sustainability goals.

At the same time, the success of these initiatives depends on how effectively they are integrated into Malaysia’ s broader socio-economic fabric. By embedding digital tools within industry practices and public systems, Malaysia is gradually transforming sustainability from a policy aspiration into a daily practice.

GREEN AGENDA

Digital transformation can support Malaysia’ s sustainability agenda in various interconnected ways:

• Smart Energy Management: IoT-based systems for energy providers( e. g.,