PM: Low carbon plan will expand average GDP growth by RM13b annually - MIDA | Malaysian Investment Development Authority
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PM: Low carbon plan will expand average GDP growth by RM13b annually

PM: Low carbon plan will expand average GDP growth by RM13b annually

19 Sep 2022

The holistic implementation of the National Low Carbon Aspiration 2040 Plan is expected to expand gross domestic product (GDP) growth by RM13 billion a year and generate more than 207,000 jobs.

Prime Minister Datuk Seri Ismail Sabri Yaakob said the aspiration under the National Energy Policy 2022-2040 (DTN) that was launched today will help the country achieve net zero gas house emissions in 2050 as it faces the challenges of energy transition and climate change.

The aspiration has nine targets to be achieved by 2040, among them shared mode of public transport of 50%, use of electric vehicles (EV) of 38%; use of the B30 mixed fuel for heavy vehicles as an alternative fuel as well as energy savings of 11% for industry and commercial use and 10% for residential use.

“The government is confident that the DTN is capable of ensuring that the energy sector is always ready to face future challenges.

“The sector is poised to open a new chapter, in line with global trends that have seen new sectors that are low carbon such as the use of EVs and new energy sources such as hydrogen and bio-based energy,” the premier said at the launch of the DTN here.

To achieve the vision and objective of DTN, he said, 12 strategies and 31 action plans have been identified, to be implemented in the short, medium, and long term, in parallel with the implementation of the Five-Year Malaysia Plan.

The government has also agreed to set up the National Energy Council (MTN) to oversee the implementation of the new energy policy.

“I will chair the National Energy Council to ensure that DTN initiatives are implemented effectively by the various ministries and agencies based on accountability and their respective roles,” Ismail Sabri said.

The DTN is a “living document” that will be updated every three years by the MTN in accordance with factors such as technological advances, socio-socioeconomic levels, and the balance of energy sources, he added.

“The government is now focusing on the development of EVs by offering various tax incentives to encourage activities such as assembly, production of components as well as green technology services.

“It has also set up an EV task force to develop and promote the local EV industry,” the prime minister said, adding that four areas of the sector have become the main focus, namely expanding the use of EV, developing charging infrastructure, developing talent, and attracting investments.

“Up to now, over 600 EV charging facilities have been installed nationwide and will be further enhanced via initiatives from companies such as TNB and Petronas on cooperation agreements with them,” he said.

To drive the development of hydrogen, Ismail Sabri said the government is finalising the Technology and Hydrogen Economy Roadmap.

“The government has also redistributed the renewable energy quota of 1,200 megawatts to drive the generation of green hydrogen. At present, Petronas is also working with various quarters on hydrogen generation,” he added.

Minister in the Prime Minister Department (Economy) Datuk Seri Mustapa Mohamed said the DTN is aligned with the country’s commitments toward Sustainable Development Goal 7, which is ensuring access to energy that is affordable, sustainable, and modern for all in facing the energy trilemma of ensuring supply, affordability, and sustainability.

Source: Bernama