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Clock ticking for Malaysia to decarbonise
Free Malaysia Today
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6 weeks ago
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With climate risks rising and global momentum building around decarbonisation, Malaysia urgently needs to boost its renewable energy share.
Read More:
https://www.freemalaysiatoday.com/category/nation/2025/12/15/clock-ticking-for-malaysia-to-decarbonise
Laporan Lanjut:
https://www.freemalaysiatoday.com/category/bahasa/tempatan/2025/12/15/dekarbonisasi-masa-kian-suntuk-untuk-malaysia
Free Malaysia Today is an independent, bi-lingual news portal with a focus on Malaysian current affairs.
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00:00
Malaysia is in transition, evolving from a low-cost, low-wage economy into a higher-value,
00:07
greener one rooted in manufacturing and high-tech industries. Today, the nation is rapidly
00:14
industrializing, with new economic sectors and vast industrial parks driving unprecedented growth.
00:21
But industrialization brings heavy environmental costs,
00:25
particularly from greenhouse gas emissions that fuel global warming.
00:30
And Malaysia is already feeling the consequences.
00:33
Bob Ward, Policy and Communications Director at the LSE's Grandson Research Institute,
00:39
warns that these effects will only begin to ease once the world reaches net-zero emissions,
00:45
making the shift to clean energy and lower carbon output essential for every country.
00:50
Bob Ward, Policy and Communications Director at the LSE's Grandson Research Institute,
00:51
We have a fossil fuel industry that is driving up carbon dioxide emissions,
00:56
making the world more inhospitable, increasing the cost for households and businesses.
01:01
That can't possibly be sustainable. And we know now how to replace it with alternatives.
01:08
And that is going to be clean, cheap energy that's going to be more secure, more affordable,
01:15
more accessible. And then from that, we can develop our industries that are more dependent
01:23
on clean, green energy, move away from fossil fuels in the other parts of our economy.
01:30
Falling behind on this could harm the economy and stall progress, leading to trade barriers,
01:36
reduced market access and missed opportunities.
01:38
To address this, Malaysia's National Energy Transition Roadmap, launched in 2023,
01:45
aims to push the country towards 70% renewable energy by 2050.
01:51
A key focus is industrial parks, where emissions are concentrated and reductions can be achieved
01:57
fastest. Leading these efforts is UEM Leicester of Berhardt, a wholly-owned subsidiary of UEM
02:04
Group Berhardt, supported by its subsidiary, Neur Power Sendian Berhardt, as they work to integrate
02:10
renewable energy solutions into Malaysia's industrial zones by allocating around 1.5 billion ringgit to
02:17
decarbonize industrial parks. As part of this initiative, UEM Leicester has spearheaded the
02:23
development of a 1 gigawatt hybrid solar power plant in Sagama, Johor. UEM Leicester's managing director,
02:31
Harman Faiz Habib Mohamad, also highlighted the strategic importance of acquiring a majority stake
02:37
in Neur Power, the energy provider for Kulem Hightech Park in Kedah.
02:42
So Kulem Hightech Park is one of the biggest industrial parks in the country. It has a high
02:51
percentage of semiconductor industries in there, and that makes it very unique in that sense.
02:58
And this is a unique, basically, situation because you don't normally get an industrial park
03:07
that comes with the power source nearby. As KHTP moves towards becoming a smart,
03:14
green industrial park, it is emerging as a key hub for clean energy. Plans now include a solar plant of
03:21
up to 500 megawatt jointly developed by UEM Leicester and Neur Power. While Neur Power is also
03:28
investing in district cooling systems, battery storage solutions and low demand response technologies
03:34
to help tenants meet carbon credit requirements and sustainability goals.
03:38
With the acquisition of Neur Power, we see a lot more opportunities to go into other industrial
03:46
parks beyond Kulem. And that's where we want to go and explore. We're talking to a few industrial
03:53
parks already and trying to bring green electrons to them. KHTP represents an early step in the country's
04:01
efforts to reduce emissions, support green employment, and promote more sustainable growth.
04:07
Harman pointed out that Malaysia's growing green economy would create multiplier effects,
04:12
including high-quality jobs and a stronger middle class. As Malaysia's environmental health and economic
04:19
future depend on expanding renewable energy across its industrial sector, decarbonization is no longer
04:26
optional but vital for maintaining global competitiveness. Narmatha Raja, FMT.
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