LOW ENERGY OFFICE

(LEO), MEGTW,
PUTRAJAYA

LOW CARBON DEVELOPMENT : TOWARDS

ACHIEVING GREEN GROWTH
MINISTRY OF ENERGY,GREEN TECHNOLOGY AND WATER
WHERE ARE WE NOW
• The average atmospheric
temperature increase from
1850 to 2005 is 0.76 C.
• 4 C is foreseen to be
increased by 2100.
Source: Intergovernmental Panel on Climate Change (IPCC)
 Warming of the climate
system is unequivocal, as
is now evident from
observations of increases
in global average air and
ocean temperatures,
widespread melting of
snow and ice, and rising
global average sea level.
Most scientists agree that the warming in
recent decades has been caused primarily
by human activities that have increased the
amount of greenhouse gases in the
atmosphere.

Asia and the Pacific is facing unprecedented

threats due to its development (ESCAP, 2009)
 If everyone in the world were to
consume the same as the average US
citizen, the human population would
require three to five additional planets to
support it
(WWF, 2008)
 IMPACTS OF CLIMATE CHANGE

• Climate related catastrophes (cyclones,

drought, floods)

Scarcity of resources

• Vulnerable group (poor) will face difficulties in

adapting to climate change

• Economic recession

• Health problems (vector- borne diseases,

cardiovascular and respiratory diseases)
 The degree to which climate change will intensify depends on the
development trajectory (low carbon development OR business as
usual (BAU) high emissions scenario)

Failure to incorporate climate change mitigation and adaptation into

development policy has a great potential to undermine future
economic growth.
 WHAT THE GOVERNMENT THINKS?

Encourage win-win
policy initiatives that can
yield co-benefits
Mitigation efforts – curtail
GHG, increase carbon
sinks
Adaptation – increase
adaptive capacity,
reduce vulnerability,
build resilience
To reduce carbon emission up to 40% in
terms of emission intensity of GDP
(Gross Domestic Product) by 2020
compared with its 2005 levels
THE SOLUTION
 TOWARDS A LOW CARBON ECONOMY

Low carbon economy can be best

understood as the range of
activities which are materially
supported by the need to reduce
the release of GHG into the
atmosphere

Source : UN, Global Compact

Low carbon development should include the
use of low carbon technologies (Green
Technologies) in the multitude of sectors
and services….
 Also the introduction of green tax breaks,
2.

incentives, budget reforms as well removal of

harmful subsidies…
Greening business and the markets through
sustainable consumption and production….
 Ultimately it …means making a
difference in the way we live our lives..
STRATEGIES : TOWARDS
ACHIEVING GREEN GROWTH
NATIONAL GREEN TECHNOLOGY
POLICY

Policy Statement

Green Technology shall be

a driver to accelerate the
national economy and
promote sustainable
development.
 THE PILLARS

ENERGY
Seek to attain
energy independence &
promote efficient
utilisation

ENVIRONMENT
SOCIAL
Improve the quality
FOUR Conserve and minimise
PILLARS the impact on
of life for all
the environment

ECONOMY
Enhance the national
economic development
through the use
of technology
 THE STRATEGIC THRUST

1. Strengthen The Institutional Frameworks

2. Provide A Conducive Environment For Green

Technology Development

3. Intensify Human Capital Development In

Green Technology

4. Intensify Green Technology Research And

Innovations

5. Promotion And Public Awareness

 INSTITUTIONAL FRAMEWORK

NATIONAL GREEN TECHNOLOGY & CLIMATE CHANGE COUNCIL

• To have high level coordination among Ministries, Agencies, the private sector
and all other stakeholders.

• The council is chaired by the Honorable Prime Minister of Malaysia.

• The council (MTHPI) is supported by a Steering Committee and five (7) working
groups on (i) Industry; (ii) Research & Innovation; (iii) Human Capital; (iv)
Promotion and Public Awareness; and (v) Transportation (vi) Green
Neigbourhood & (vii) Climate Change.

• The first meeting was held on 26 January 2010 & second meeting on the 14
December 2010.
GREEN TECHNOLOGY ROADMAP – A JOURNEY TO OUR GREEN FUTURE

• The Malaysian Government is working on the Green

Technology Roadmap to guide Malaysia in
becoming a low carbon green growth economy

• For a start, the Government is conducting a

baseline study for green technology in Malaysia.

• The baseline study comprise the following sectors :

Energy, Waste Water, Building, Transportation,
Manufacturing and ICT

• This comprehensive document incorporates inputs

from various stakeholders and was completed in
Dec 2010
 FINANCIAL INSTRUMENT

GREEN TECHNOLOGY FINANCING SHEME (GTFS)

RM1.5 billion soft loan
Up to RM50.0 million for producers and RM10.0 million for users of green
technology
2% interest subsidy by the government
60% government guarantee
140 companies are expected to benefit from the scheme
GreenTech Malaysia to administrator all applications
Effective in January 2010
 THE ENERGY REVOLUTION

• We need to move towards energy revolution and low

carbon energy technologies
• Areas like Energy Efficiency (EE), Renewal Energy
(RE), Carbon Capture and Storage (CCS), Nuclear
power and new transport technologies should be given
empahsis.
• RE (i.e. Solar PV,Biomass,Wind Power,Wave
power,Hydro power)
• EE can deliver some of the largest cheapest CO2
reduction (IEA, 2009)- low hanging fruit (it delays the
need for new supply, giving time for the maturing of
low carbon technologies)
• EE is predominant in the building sector (i.e. retrofitting
of buildings)
 ENERGY EFFICIENCY IN MALAYSIA

The Malaysian Industrial Energy Efficiency

Improvement Programme (MIEEIP)

Fiscal incentives have been introduced since 2001

(i.e. pioneer status, investment tax allowance, import
duty , exemption and sales tax)

Currently finalizing the EE Master Plan

 RENEWABLE ENERGY IN MALAYSIA

In April 2010 the government approved the RE Policy and action plan
(aim – to reduce dependence on fossil fuels and electricity
generation and stimulate new growth for the country)

RE Act and Sustainable Energy Development Authority Act will be

tabled in parliament this year

The Feed in Tariff mechanism will be introduced (Allows electricity

produced from RE source to be sold to power utilities at a fixed
premium price for a specific duration)
SUSTAINABLE CITIES

GREEN TOWNSHIPS IN
PUTRAJAYA AND CYBERJAYA
To develop Putrajaya and Cyberjaya as pioneer
townships in green technology, as a showcase for
the development of other townships in the country.
 GREEN TOWNSHIPS

The development of a Green Township Framework (GTF).

The document emphasizes on the GHG Component
It will be combined with the Green Township Guideline being developed
by the Town and Country Planning Department that emphasizes on the
Livability component
The government is also developing a green township rating tool
ECO-LABELS GREEN PUBLIC PROCUREMENT

The government with SIRIM is developing criteria documents

for eco labels in Malaysia
The government is also working with SIRIM in developing a
guideline for green public procurement
Clean Low Carbon Transport

Electric Vehicles (EV)

Hybrids (increase efficiency, lower fuel consumption and lower CO2
emission
Low carbon fuels (Use of LPG and natural gas)
Biofuels (Biodiesel , bioethanol)
Hydrogen transport
KeTTHA is working with the Ministry of
Transport and the Ministry of
International Trade and Industry to
develop a infrastructure roadmap for
the use of electric vehicles in
Malaysia.
THE INTEGRATION OF
GREEN TOPICS

The government is in the

midst of integrating green
topics in the national
education system

The government is also

looking at increasing the
modules and courses related
to green technology in
institutes of higher education
in both Public and Private
GREEN JOBS
KeTTHA and MOHR are working closely in developing :
•Green Jobs Roadmap
• Occupational Analysis (OA);
• National Competency Standards (NCS); and
• National Occupational Skills Standards (NOSS).
 GREEN ICT

The Government through the Malaysian Administrative, Modernization and

Management Planning Unit, Prime Minister’s Department has introduced the
Green IT guideline for the public sector

A Green ICT Working Group is set up under the Malaysian Technical Standards
Forum Berhad:-
•To actively promote the Green ICT concept in relation to the ICT industry,
•To set up a minimum Green ICT guideline that can be used across industries; and
•To continuously seek to establish a sustainable ICT industry through eco-friendly
technology.
INTERNATIONAL GREEN TECH & ECO PRODUCTS EXHIBITION AND CONFERENCE
(IGEM)

•IGEM 2010 was held between 13-17 October 2010 at KL Convention Center
(KLCC)
•The event hosted an exhibition, conference and business matchmaking
session
•The aim of IGEM is to provide a platform for the development and
application of GT products in the country.
•502 booths were taken during the exhibition and it saw some 86,372 guests.
•A total of 1.2 billion in business transaction was achieved through IGEM 2010
•IGEM 2011 will be held between 7-10 Sept 2011 at the same venue
Challenges
 Changing mindset, attitude and habits of the public

•Lack of understanding of environmental implications and

its solutions
•Difficult to achieve a “paradigm shift”
•“Old habits die hard”
 Lack of knowledge and expertise

•Highly level technical dependence on expertise from the developed

nation
•Need more capacity building in specific areas
•Need to have an in depth understanding of green technology as a
solution and economic driver
•Need to increase R&D efforts
•Encourage local inventors and innovators
 Legislative Framework

•Inability to regulate and enforce due to the lack of a

legislative framework specifically for green technology or
green growth
•Unable to apply the “carrot and stick “ principle
•Unable to reach industries/people at all levels
 Duplication of tasks and jurisdictional implications

•Lack of coordination between agencies, ministries, NGO’s

and private entities
•Problem of “stepping on each others’ toes”
 Financial Constraint

•Inadequate financial support for the development and

application of Green Technology
•Sufficient incentives, green taxes, removal of harmful
subsidies should all be considered to foster green growth
 Political Will

•The question of whether the agenda will still

continue?
•Whether the stakeholders are serious about the low
carbon green growth agenda?
•The vision for Green Growth
 IN CONCLUSION

It is important for the government to exploit their foresight regarding this

transition to maximise its potential benefit through policies supporting the
development of the private demand for and supply of activities which
meet this agenda

Change requires investments, and the vast majority of those investments

must happen through the private sector with the government providing
adequate enabling effect
THANK YOU