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aws账号(www.2km.me)_Green agenda bodes well for Malaysia’s energy industry

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Asia School of Business assistant professor of business and society Dr Renato Lima de Oliveira (pic) said the 12MP was the first “green” Malaysia plan, in part because of the one-year gap between when it was originally scheduled to be tabled back in August 2020.

KUALA LUMPUR: The green agenda outlined in the 12th Malaysia Plan (12MP) bodes well for Malaysia’s energy industry as it moves in line with global transition towards clean and sustainable practices.

AmBank Research, in a report, said policies will be streamlined for the transition and these would include prioritising domestically-produced petrol and diesel, scaling up biofuel usage, developing a natural gas roadmap, promoting high-value investments in petrochemical industry, and encouraging collaboration and strategic partnerships among small and medium oil and gas operators to undertake complex projects.

“In our view, these policies support our positive outlook for the sector as the low current exploration and development activities by international oil companies are likely to lead to a global supply shortfall over the next five to 10 years unless capital expenditure rollouts accelerate substantively over the next two to three years,” it said.

Additionally, rising demand for natural gas, which is a transition fuel, and petrochemicals in tandem with a global post-pandemic economic recovery and expanding population will continue to underpin earnings momentum for the sector.

Asia School of Business assistant professor of business and society Dr Renato Lima de Oliveira (pic) said the 12MP was the first “green” Malaysia plan, in part because of the one-year gap between when it was originally scheduled to be tabled back in August 2020.12MP book

Speaking to Bernama, de Oliveira said the green growth agenda is much stronger now and the new five-year plan captured that sentiment.

“In the meantime, the European Union has pushed an ambitious carbon reduction strategy, making its stand with border-adjusted carbon taxes for the future; environmental, social, and governance (ESG) funds have grown tremendously and several companies announced net-zero targets by 2050, including Petroliam Nasional Bhd (Petronas) which did so in November last year.

“Carbon-intensive long duration assets like new coal power plants are a liability in today’s world. They should be avoided, from an environmental standpoint but also because they are losing competitiveness. So this readjustment of priorities should be very welcomed,” he pointed out.

On paper, the 12MP, tabled by Prime Minister Datuk Seri Ismail Sabri Yaakob and passed in Parliament on Oct 7, is a bold statement with climate change mitigation featuring prominently.

The country aims to be carbon neutral by 2050 at the earliest and overhaul its energy, transportation as well as land use sectors.

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