Latest news with #SabahRenewableEnergyConference
Daily Express
06-05-2025
- Business
- Daily Express
Support for Sabah being No 1 in renewable energy
Published on: Tuesday, May 06, 2025 Published on: Tue, May 06, 2025 By: Larry Ralon Text Size: Arshad said Sabah has long been a key contributor to Malaysia's economy but the State's energy sector faces significant challenges that threaten its long-term sustainability. Kota Kinabalu: Malaysian Rating Corporation Berhad (MARC) remains committed to supporting Sabah's renewable energy aspirations through its expertise in credit ratings, green financing and investment facilitation, said Group Chief Executive Officer Arshad Mohamed Ismail. 'Together, let us position Sabah as Malaysia's premier renewable energy hub,' he said, at the Sabah Renewable Energy Conference (SAREC) 2025: Corridor to Transform Vision to Reality at Shangri-La Tanjung Aru Resort, recently. Arshad said Sabah has long been a key contributor to Malaysia's economy but the State's energy sector faces significant challenges that threaten its long-term sustainability. 'Electricity supply remains constrained, as reflected in Sabah's lower reserve margin compared to Peninsular Malaysia, underscoring the urgent need to expand generation capacity. 'The situation is further compounded by the State's heavy reliance on fossil fuels, with 86 per cent of power generation currently dependent on natural gas — a resource that is finite in the long term. 'Despite having an estimated 101GW of renewable energy potential, particularly in hydro, solar and biomass, only 7.3pc of Sabah's current energy mix is derived from renewable sources. This highlights the need for the State to move towards cleaner, more sustainable energy solutions.' Arshad said the launch of the Sabah Energy Roadmap and Master Plan 2040 (SE-RAMP 2040) marks a bold vision to achieve reliable, accessible, affordable and sustainable energy by 2040. With ambitious targets — 50pc renewable installed capacity by 2035, universal rural electrification by 2030 and carbon neutrality by 2050 — achieving these goals demands substantial investment and robust public-private partnerships. 'In this context, I am proud to share how MARC is uniquely positioned to support Sabah's sustainable energy goals. 'At MARC, we envision ourselves as your key partner in transforming today's challenges into tomorrow's opportunities. Our primary focus is on enabling a secure and sustainable energy future for Sabah by providing professional financial expertise to support these critical transitions,' he said. According to him, MARC is able to provide rigorous assessments of renewable energy projects. 'By meticulously rating green and sustainability-linked bonds and sukuk, we reinforce investor confidence and validate Sabah's strong AAA domestic credit profile. This robust foundation is essential to unlocking the capital required for large-scale renewable energy projects.' Pioneering in financing is at the heart of MARC's strategy, he said, adding the corporation is actively involved in rating and assessing innovative financial instruments such as Green Bonds, Sukuk and Loans, which channel investments directly into clean energy projects; Sustainability-Linked Bonds, Sukuk and Loans, where the terms of funding reward strong environmental performance; and Blended Finance Models, effectively combining public and private funds to reduce risk and optimise returns. To attract investors and drive the growth of its renewable energy sector, Arshad said Sabah must establish three key enablers. First, regulatory clarity is crucial — investors seek a stable and predictable policy environment. In this regard, the devolution of electricity and energy regulatory powers from the federal government to the Energy Commission of Sabah (ECoS) marks a significant step forward. This enables Sabah to take greater ownership of its energy resources and craft regulations that are better tailored to its specific needs and development goals. Second, infrastructure readiness plays a crucial role. The expansion of transmission lines, particularly the 275kV Southern Link, will improve grid stability and enable higher renewable energy penetration. Lastly, innovative financial instruments such as green sukuk, ESG-linked loans and blended finance models can offer alternative funding mechanisms. Arshad said Sabah's vast solar, hydro, and bioenergy resources, makes it an ideal destination for renewable energy investments. 'By aligning investment opportunities with national sustainability goals, Sabah can firmly establish itself as a leader in the green economy. 'Transitioning to renewable energy is more than an environmental commitment — it is an economic opportunity. The time to act is now.' * Follow us on Instagram and join our Telegram and/or WhatsApp channel(s) for the latest news you don't want to miss. * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
The Sun
27-04-2025
- Business
- The Sun
Sabah sets sights on becoming model for renewable energy in Asean
KOTA KINABALU: Sabah can transform into a model for renewable energy development within the Asean region with the support of financial institutions and robust regulatory framework inputs from industry experts. Sabah Chief Minister Datuk Seri Panglima Hajiji Noor said it is with utmost confidence that the government welcomes investors, entrepreneurs and partners from around the globe in establishing a symbiotic relationship that will ultimately play a vital role in shaping the state's future. 'Sabah is open for business, and throughout my tenure as the head of the administration, we have established not just a framework but also an action plan that has made significant strides in creating a business-friendly environment as a result of streamlining our policies. 'The fact that we have much more development translates directly into exciting opportunities. I believe that the untapped potential means there is still an ample market share to be captured across the supply chain of this industry,' he told delegates at the Sabah Renewable Energy Conference 2025: Corridor to Transform Vision to Reality last week. The conference was hosted by Malaysian Rating Corporation Bhd (MARC), in collaboration with Qhazanah Sabah Bhd, the strategic investment arm of the Sabah state government. The event was attended by representatives from Qhazanah Sabah, MARC, Energy Commission of Sabah, Sustainable Energy Development Authority and government officials from Sabah, Sarawak and Peninsular Malaysia. Hajiji said while there are climate shift and energy volatility, Sabah has shown resilience, where the state has adapted and collaborated closely with the federal government in its efforts to move forward. 'In every growing economy, it is a consensual understanding that energy is not a side agenda. It is the core of economic development and with the vision of reducing carbon footprint shared globally, Sabah is no exception to partake in this endeavor. 'Every school that lights up, every factory that expands, and every job that is created to support the adoption of renewable energy tells us one thing: Sabah's energy future is Malaysia's economic future. 'The government firmly shares this belief and transcends it beyond just kilowatts and carbon emissions,' he said. Hajiji said it is because of this that Sabah is increasing its efforts to proactively build a renewable energy future, capitalising on its abundant resources to build its readiness to meet the global energy landscape that is tangled in the trilemma of security, affordability and sustainability. 'I believe if we can commission the 50-megawatt Sabah Solar PV Park that is responsible for powering over 10,000 households, then we can envision a future and initiate our progress towards achieving more than 50% capacity of renewable energy share comprising multiple portfolios of renewable resources. 'However, we cannot deny that big visions would require long-term commitment that begins with establishing a framework that is personalised to Sabah's needs.' Hajiji said that this understanding led to the establishment of the Energy Commission of Sabah and the shift of regulatory autonomy from federal to Sabah. He also noted the importance of synergistic relationship, and such synergy is best achieved by promoting better alignment of Sabah's development to that of Malaysia. 'And we do this by charting our own strategic measures that are customised to suit our advantages. This establishment is our call for action towards gaining autonomy in deciding what we believe is best for us. It is a call for action that Sabah is ready to embark on a journey that will push our energy trajectory into one that position our state as one of the key drivers in contributing to Malaysia's success in reducing its carbon footprint. 'With the transfer of regulatory authority and guidance from the Sabah Energy Road Map and Masterplan, we aim to align with the goals of the National Energy Transition Roadmap by developing our own flagship projects. 'These initiatives will mark Sabah's journey towards becoming a low greenhouse gas emission state by 2050,' Hajiji said.
The Sun
27-04-2025
- Business
- The Sun
Sabah sets sights on becoming Asean's renewable energy model
KOTA KINABALU: Sabah can transform into a model for renewable energy development within the Asean region with the support of financial institutions and robust regulatory framework inputs from industry experts. Sabah Chief Minister Datuk Seri Panglima Hajiji Noor said it is with utmost confidence that the government welcomes investors, entrepreneurs and partners from around the globe in establishing a symbiotic relationship that will ultimately play a vital role in shaping the state's future. 'Sabah is open for business, and throughout my tenure as the head of the administration, we have established not just a framework but also an action plan that has made significant strides in creating a business-friendly environment as a result of streamlining our policies. 'The fact that we have much more development translates directly into exciting opportunities. I believe that the untapped potential means there is still an ample market share to be captured across the supply chain of this industry,' he told delegates at the Sabah Renewable Energy Conference 2025: Corridor to Transform Vision to Reality last week. The conference was hosted by Malaysian Rating Corporation Bhd (MARC), in collaboration with Qhazanah Sabah Bhd, the strategic investment arm of the Sabah state government. The event was attended by representatives from Qhazanah Sabah, MARC, Energy Commission of Sabah, Sustainable Energy Development Authority and government officials from Sabah, Sarawak and Peninsular Malaysia. Hajiji said while there are climate shift and energy volatility, Sabah has shown resilience, where the state has adapted and collaborated closely with the federal government in its efforts to move forward. 'In every growing economy, it is a consensual understanding that energy is not a side agenda. It is the core of economic development and with the vision of reducing carbon footprint shared globally, Sabah is no exception to partake in this endeavor. 'Every school that lights up, every factory that expands, and every job that is created to support the adoption of renewable energy tells us one thing: Sabah's energy future is Malaysia's economic future. 'The government firmly shares this belief and transcends it beyond just kilowatts and carbon emissions,' he said. Hajiji said it is because of this that Sabah is increasing its efforts to proactively build a renewable energy future, capitalising on its abundant resources to build its readiness to meet the global energy landscape that is tangled in the trilemma of security, affordability and sustainability. 'I believe if we can commission the 50-megawatt Sabah Solar PV Park that is responsible for powering over 10,000 households, then we can envision a future and initiate our progress towards achieving more than 50% capacity of renewable energy share comprising multiple portfolios of renewable resources. 'However, we cannot deny that big visions would require long-term commitment that begins with establishing a framework that is personalised to Sabah's needs.' Hajiji said that this understanding led to the establishment of the Energy Commission of Sabah and the shift of regulatory autonomy from federal to Sabah. He also noted the importance of synergistic relationship, and such synergy is best achieved by promoting better alignment of Sabah's development to that of Malaysia. 'And we do this by charting our own strategic measures that are customised to suit our advantages. This establishment is our call for action towards gaining autonomy in deciding what we believe is best for us. It is a call for action that Sabah is ready to embark on a journey that will push our energy trajectory into one that position our state as one of the key drivers in contributing to Malaysia's success in reducing its carbon footprint. 'With the transfer of regulatory authority and guidance from the Sabah Energy Road Map and Masterplan, we aim to align with the goals of the National Energy Transition Roadmap by developing our own flagship projects. 'These initiatives will mark Sabah's journey towards becoming a low greenhouse gas emission state by 2050,' Hajiji said.
Daily Express
26-04-2025
- Business
- Daily Express
Sarec 2025: Sabah's econ prospects robust
Published on: Saturday, April 26, 2025 Published on: Sat, Apr 26, 2025 By: Sisca Humphrey Text Size: Choy also pointed out that Sabah's median wage growth has outpaced the national trend — increasing from RM1,300 in 2013 to RM2,015 in 2022 — compared to the national rise from RM1,700 to RM2,424. Kota Kinabalu: Sabah's economic prospects remain robust despite global uncertainties and domestic challenges, said MARC Ratings Berhad Chief Economist Ray Choy See Yew during the Sabah Renewable Energy Conference (Sarec) 2025 here, on Thursday. Presenting on the theme 'Economic and Market Outlook for 2025 and Beyond', Choy said the outlook for the year ahead remains cautious, largely due to persistent global trade tensions. However, he assured that Malaysia's economy, driven predominantly by domestic demand, is well-positioned to weather external shocks. 'Malaysia's economy is essentially domestically driven. Approximately two-thirds of Gross Domestic Product (GDP) comes from internal demand, which offers a strong buffer against external shocks like trade wars,' he said. He also underlined the strength of Malaysia's diversified export base. While the United States (US) remains a key trade partner, no single country accounts for more than 10 percent of Malaysia's export-to-GDP ratio — a sign of the country's resilience in the face of global headwinds. 'Sabah's contribution to Malaysia's GDP, though vital, has slightly declined over the years, from 6 percent in 2013 to 5.3 percent in 2023,' he said. Despite this dip, Choy believes Sabah has substantial growth potential, especially in light of its GDP growth of just 1.3 percent in 2023 — below the national average of 3.7 percent. 'While Sabah continues to develop, there is still ample opportunity to improve and grow its economic output,' he said. He remarked that services, mining, and agriculture remain the backbone of the State economy, with ongoing diversification offering new pathways for development. Choy also pointed out that Sabah's median wage growth has outpaced the national trend — increasing from RM1,300 in 2013 to RM2,015 in 2022 — compared to the national rise from RM1,700 to RM2,424. 'Sabah's wage growth of 5 percent per annum is above the national average of 4 percent, indicating improving living standards in the State,' Choy said. While Sabah continues to lead the nation in palm oil production, challenges such as climate change and limited replanting have impacted output. 'However, palm oil continues to be a vital export, alongside petroleum products and natural gas, which together make up half of the State's total exports,' he added. Highlighting Sabah's future, Choy spoke of transformative projects set to diversify and stimulate the local economy — particularly in renewable energy, infrastructure, and agriculture. 'Key projects include Seguntor Bioenergy Sdn Bhd (RM80 million to RM120 million) and the Tadau Energy Solar Farm, Malaysia's first green sukuk-financed renewable energy initiative, valued at RM250 million. 'Renewable energy projects are central to Sabah's growth and offer exciting prospects for long-term economic stability,' he said. He also emphasised the strategic importance of major infrastructure initiatives such as the RM40 billion Pan Borneo Highway and the RM7.5 billion Sabah-Sarawak Link Road (SSLR). 'These infrastructure projects are pivotal for Sabah's future economic growth,' he said, adding that enhanced transportation networks will strengthen both local and regional development. Nationally, Choy projected a 4.4 percent GDP growth for Malaysia in this year, supported by stable inflation, steady foreign direct investment in semiconductors and data infrastructure and a resilient financial market. On the global front, he forecast 2.8 percent economic growth for the year, with inflation expected to ease. However, he warned that US tariffs and changing global trade dynamics could still pose risks — particularly for Asean economies. 'Trade war dynamics are constantly evolving and US tariffs could shift the economic landscape,' he said. Despite such challenges, he believed that Malaysia's diversified economy and Sabah's untapped potential will continue to support sustainable growth. 'Malaysia's economy benefits from diversified export markets and a resilient domestic economy,' he said. He asserted that Sabah has ample room to grow and with the right investment and policy framework, the State could play an even larger role in Malaysia's economic future. * Follow us on Instagram and join our Telegram and/or WhatsApp channel(s) for the latest news you don't want to miss. * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
Daily Express
26-04-2025
- Business
- Daily Express
Sabah's econ prospects robust: SAREC 2025
Published on: Saturday, April 26, 2025 Published on: Sat, Apr 26, 2025 By: Sisca Humphrey Text Size: Choy also pointed out that Sabah's median wage growth has outpaced the national trend — increasing from RM1,300 in 2013 to RM2,015 in 2022 — compared to the national rise from RM1,700 to RM2,424. Kota Kinabalu: Sabah's economic prospects remain robust despite global uncertainties and domestic challenges, said MARC Ratings Berhad Chief Economist Ray Choy See Yew during the Sabah Renewable Energy Conference (Sarec) 2025 here, on Thursday. Presenting on the theme 'Economic and Market Outlook for 2025 and Beyond', Choy said the outlook for the year ahead remains cautious, largely due to persistent global trade tensions. However, he assured that Malaysia's economy, driven predominantly by domestic demand, is well-positioned to weather external shocks. 'Malaysia's economy is essentially domestically driven. Approximately two-thirds of Gross Domestic Product (GDP) comes from internal demand, which offers a strong buffer against external shocks like trade wars,' he said. He also underlined the strength of Malaysia's diversified export base. While the United States (US) remains a key trade partner, no single country accounts for more than 10 percent of Malaysia's export-to-GDP ratio — a sign of the country's resilience in the face of global headwinds. 'Sabah's contribution to Malaysia's GDP, though vital, has slightly declined over the years, from 6 percent in 2013 to 5.3 percent in 2023,' he said. Despite this dip, Choy believes Sabah has substantial growth potential, especially in light of its GDP growth of just 1.3 percent in 2023 — below the national average of 3.7 percent. 'While Sabah continues to develop, there is still ample opportunity to improve and grow its economic output,' he said. He remarked that services, mining, and agriculture remain the backbone of the State economy, with ongoing diversification offering new pathways for development. Choy also pointed out that Sabah's median wage growth has outpaced the national trend — increasing from RM1,300 in 2013 to RM2,015 in 2022 — compared to the national rise from RM1,700 to RM2,424. 'Sabah's wage growth of 5 percent per annum is above the national average of 4 percent, indicating improving living standards in the State,' Choy said. While Sabah continues to lead the nation in palm oil production, challenges such as climate change and limited replanting have impacted output. 'However, palm oil continues to be a vital export, alongside petroleum products and natural gas, which together make up half of the State's total exports,' he added. Highlighting Sabah's future, Choy spoke of transformative projects set to diversify and stimulate the local economy — particularly in renewable energy, infrastructure, and agriculture. 'Key projects include Seguntor Bioenergy Sdn Bhd (RM80 million to RM120 million) and the Tadau Energy Solar Farm, Malaysia's first green sukuk-financed renewable energy initiative, valued at RM250 million. 'Renewable energy projects are central to Sabah's growth and offer exciting prospects for long-term economic stability,' he said. He also emphasised the strategic importance of major infrastructure initiatives such as the RM40 billion Pan Borneo Highway and the RM7.5 billion Sabah-Sarawak Link Road (SSLR). 'These infrastructure projects are pivotal for Sabah's future economic growth,' he said, adding that enhanced transportation networks will strengthen both local and regional development. Nationally, Choy projected a 4.4 percent GDP growth for Malaysia in this year, supported by stable inflation, steady foreign direct investment in semiconductors and data infrastructure and a resilient financial market. On the global front, he forecast 2.8 percent economic growth for the year, with inflation expected to ease. However, he warned that US tariffs and changing global trade dynamics could still pose risks — particularly for Asean economies. 'Trade war dynamics are constantly evolving and US tariffs could shift the economic landscape,' he said. Despite such challenges, he believed that Malaysia's diversified economy and Sabah's untapped potential will continue to support sustainable growth. 'Malaysia's economy benefits from diversified export markets and a resilient domestic economy,' he said. He asserted that Sabah has ample room to grow and with the right investment and policy framework, the State could play an even larger role in Malaysia's economic future. * Follow us on Instagram and join our Telegram and/or WhatsApp channel(s) for the latest news you don't want to miss. * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
