Bintulu’s Samalaju Industrial Park nets RM111.73b approved investment since 2008 launch, says Sarawak premier
BINTULU, March 5 — Premier Tan Sri Abang Johari Openg said last night that Samalaju Industrial Park, which was launched by the then prime minister Tun Abdul Ahmad Badawi in 2008, has attracted an approved investment of RM111.73 billion to date. He said RM12.07 billion out of the total has gone towards commercial production, with direct employment for 9,293 workers. “The potential is there. We have a list of companies which are going to invest in the park, with an anticipated investment of RM15.66 billion,” he said during the 10th anniversary of Sakura Ferroalloys Sdn Bhd. He said there are also a few projects that are being enhanced, one of which is the 70km-long Bintulu-Samalaju gas pipeline that is scheduled for completion at the end of next year. “The operations of these projects will increase the distribution of gas supply to users in Samalaju Industrial Park including the combined cycle gas turbine which is currently under construction. “In other words, we are upgrading the gas supply as well as power to Samalaju Industrial Park,” he said. In his speech earlier, Sakura Ferroalloys Sdn Bhd chairman BH (Tiaan) van Aswegen said the company is in the process of constructing a new sinter plant at the site. “This US$30 million plant will be commissioned in the second half of 2024 and will contribute to further improve plant efficiencies and lower the cost base,” he said. He said a feasibility study to produce a value-added refined ferro-manganese product will be concluded by mid-year. “If the study results are positive, this might lead to a further investment of around US$100 million at Sakura,” he said, adding that studies to produce by-products from current waste streams, such as slag, fumes and gas, are being pursued.
EU official praises green energy push by Malaysia’s Sarawak
Bloc commits to mobilize $10.8bn for ASEAN sustainable projects Six major ports function as crucial transhipment hubs that play integral roles in the state’s supply chain by NURUL SUHAIDI KUCHING, Malaysia — Sarawak, a resource-rich state in Malaysia with an ambitioussustainable energy agenda, is drawing interest from the European Union, but the 27-nation group’s top official in the country says the bloc needs new cooperativemechanisms for its companies to take advantage of the opportunity. “We have seen the opportunities and the vision of the state, bringing in hydrogen,sustainable transition to green energy and energy transition,” Michalis Rokas, the EUambassador to Malaysia, said in a speech at the EU-Malaysia Business Day 2024 eventheld on Feb. 14 in Kuching, the capital of Sarawak, which is located on the island ofBorneo.Malaysia is the EU’s third largest trading partner in ASEAN, while the EU is the fourthlargest destination for Malaysian exports. The EU is also the second largest source offoreign direct investment for Malaysia at 25.2 billion euros in 2022. Still, Rokas acknowledged the limited presence of European businesses in Sarawak. Tobridge this gap, he proposed a “blending” model whereby European companies wouldtake the lead in strategic investments, while the EU would provide financial supportthrough grants, guarantees and concessional loans through the European InvestmentBank (EIB). This approach aims to de-risk projects and attract private capital,accelerating Sarawak’s green ambitions.Rokas also said the potential partnership aligns with the EU’s Indo-Pacific Strategy,which emphasizes fostering partnerships with regional countries on issues like climatechange and clean energy. Sarawak’s focus on developing hydrogen production,sustainable aviation fuel, and transitioning away from fossil fuels resonates with theEU’s own sustainability goals. The EIB has been active in Southeast Asia for over three decades, financing projects invarious sectors such as energy, transport, climate action and infrastructure. In 2022, itopened a regional representative office in Jakarta to further strengthen its engagementin Indonesia, Vietnam, Cambodia, Laos and the Philippines. Nikkei Asia understandsthat the bank has been attempting to operate in Malaysia since 2020. Its application ispending government approval for a framework agreement.Rokas also said during his speech that the EU and its 15 member states with a presencein Malaysia will be working on a plan to propose a Global Gateway flagship project inSarawak.Meanwhile, the state’s deputy premier Awang Tengah Ali Hassan welcomed thepotential partnership, highlighting the existing trade relationship between Sarawak andthe EU, which stood at 2.1 billion euros in 2022. He emphasized the state’s commitmentto renewable energy, with a target of generating at least 60% of its power from cleansources by 2030. Sarawak, abundant in oil, gas and timber, is the only Malaysian state with more than70% renewables in its energy mix, mainly from hydroelectric dams. It has threeoperational large-scale hydroelectric dams, with a fourth, Baleh, under construction.The total installed capacity of the operational large-scale hydroelectric dams in Sarawakis 3,452 megawatts. Once Baleh is completed, the total capacity will increase to 4,737MW.Last year, Sarawak announced plans to sell one gigawatt of renewable energy toSingapore via a 700km undersea cable by 2032.“We seek to establish a stronger connection between Sarawak and Europe,” Awang saidat the business event. “I hope this will serve as a venue to forming new networks andposing new paths which yield fruitful outcomes towards an inclusive economy.” Headded that Sarawak’s green push has led to collaborations with global players fromSouth Korea and Japan to develop the hydrogen industry in the state.Sarawak is already embarking on two major hydrogen production projects — withJapan’s Eneos and Sumitomo Corp. on one called H2ornbill, and South Korea’sSamsung Engineering, Posco and Lotte Chemical on another dubbed H2biscus — in theport town of Bintulu, where one of the world’s largest LNG complexes is located.The Sarawak state legislative assembly building and Sarawak River in Kuching, Malaysia. (Photo by Norman Goh)4/2/24, 2:01 PM EU official praises green energy push by Malaysia’s Sarawak – Nikkei Asiahttps://asia.nikkei.com/Business/Energy/EU-official-praises-green-energy-push-by-Malaysia-s-Sarawak 5/5Get our Asia daily briefing newslettersnewsletter@nikkeiasia.com RegisterThe two projects will have the potential to produce up to 238,000 tonnes of greenhydrogen annually, generating an estimated 2.4 billion ringgit to Sarawak’s grossdomestic product by 2030, according to Abang Johari, the state’s premier during hisannual new year address in January.Sarawak also boasts, according to the premier, ASEAN’s first integrated hydrogenproduction plant and refueling station, powering hydrogen buses in Kuching since 2018and a tram on a test basis beginning last year.Also, a third hyrdogen project is based in Rembus, near Kuching, for domestic use andis expected to be fully operational in 2025, according to state-linked company SEDCEnergy and the Sarawak Economic Planning Unit. On Monday, SEDC Energy signed anagreement with Gentari, a subsidiary Malaysia’s state energy conglomerate Petronas todevelop the Sarawak H2 Hub in Bintulu, according to a statement by Gentari.Total hydrogen industry investment in Sarawak is estimated to be worth at $4.2 billion,an SEDC Energy spokesperson told Nikkei Asia.Hydrogen produced in Sarawak is known as green hydrogen — produced via electrolysisand powered by renewable electricity from hydroelectric dams. Additionally, the state ispioneering the production of crude algae oil for sustainable aviation fuel usingmicroalgae.Timothy Ong, the chief executive of the newly established state investment promotionagency InvestSarawak said at a panel session that Sarawak is not only in competitionwith other regions of Malaysia, but with countries like Vietnam, Indonesia, Thailandand Singapore as well.“Although a lot of people come to Sarawak for renewable energy, I can comfortably tellyou today that we have more demand than available supply when it comes to renewableenergy,” Ong said. He added it is important for the state to understand that investmentbenefits must trickle down to the people of Sarawak and companies and not just remainin the hands of foreign or domestic investors.
23 European Union Delegates Arrived Safely in Sarawak
Abang Johari (2nd right) at the launch of InvestSarawak while (from left) Ong, Awang Tengah and Julaihi look on. Photo: Mohd Alif Noni KUCHING: The establishment of InvestSarawak is a pivotal initiative by the Sarawak government to facilitate the ease of doing business in the state. Deputy Premier Datuk Amar Awang Tengah Ali Hasan said InvestSarawak is a one-stop centre (OSC) that aims to transform the investment landscape, increase trade and talent attraction for Sarawak. “InvestSarawak will play a key role serving as facilitator and adviser to provide invaluable local insights to all investors, both foreign and domestic. “They are also under the purview of my ministry, which is the Ministry of International Trade, Industry and Investment (MINTRED),” he said in his speech during the launching of InvestSarawak and EU Business Day 2024 networking dinner here last night (Feb 14). Invest Sarawak is the state’s investment and trade agency that will play the role of the first point of contact for all investors. In addition, it will act as the key facilitator to all investors across sectors in the development, applications and approvals for investment projects in Sarawak. Touching on the programme, Awang Tengah described it as a good effort to gather local and global thought leaders under one roof, adding that the forum held attracted over 300 participants from more than 100 companies from the European Union (EU). “Sarawak’s unique offerings and Europe’s diverse markets offer huge potentials for mutually beneficial partnerships both in investment and trade. “For the past decade, there were 19 EU investments in Sarawak, specifically from the Netherlands, Belgium and Germany, totalling RM10.66 billion in sectors such as electric and electronic (E&E), basic metal and petroleum products,” he said. Present at the launch were Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg, Deputy Premier Datuk Amar Dr Sim Kui Hian, Ambassador of the EU to Malaysia Michalis Rokas, Minister of Women, Early Childhood, Community Wellbeing Development Datuk Seri Fatimah Abdullah, Utility and Telecommunication Minister Datuk Seri Julaihi Narawi, State Secretary Datuk Amar Abu Bakar Marzuki and InvestSarawak chief executive officer Timothy Ong.
Sarawak To Allign With EU On Energy Production
Sarawak Premier Tan Sri Abang Johari Openg recently announced their cooperation with the European Union (EU) in the energy production sector to reduce the effects of climate change. The cooperation was revealed during his speech at the dinner event held in conjunction with the launch of Invest Sarawak and Business Day, that has been attended by over 400 guests, including state Cabinet ministers, business representatives and 23 delegates from the EU. Abang Johari said the cooperation will involve technological development, especially in hydrogen production. “In line with technology advancement that will reduce dependence on fossil energy, which is constantly increasing in cost, I believe that the cost for hydrogen production will become cheaper within the next five to 10 years,” he said. He said Sarawak is taking the issue of global warming seriously, adding that the state wants to help reduce carbon emissions and the impact of climate change, which resulted in the highest temperature reading last year.
Sarawak keen to work with EU in tackling climate change
Sarawak Premier Tan Sri Abang Johari Tun Openg (third left) launching InvestSarawak at the EU-Malaysia Business Day networking dinner in Kuching on Wednesday (Feb 14) night. – ZULAZHAR SHEBLEE/The Star KUCHING: Sarawak is keen to work with the European Union (EU) on mitigating climate change, says Tan Sri Abang Johari Tun Openg. The Premier said the EU had experience and technology while Sarawak’s strength was in its natural resources and renewable energy. “Although we are a small state, we feel we have the responsibility to assist in addressing climate change and reducing carbon emissions. “You are welcome to explore which areas you can collaborate with us on this and together we can help the world,” he said at the EU-Malaysia Business Day networking dinner here on Wednesday (Feb 14) night. Abang Johari said other potential areas of collaboration were in digitalisation and education. “Perhaps we can send our students to study in Europe,” he said. Abang Johari also launched InvestSarawak, the state’s investment and trade agency, at the same event. InvestSarawak will serve as a one-stop centre and first point of contact for all investors in the state. It will be the key facilitator for investors in the development, applications and approvals for investment projects in Sarawak, besides improving the ease of doing business. Deputy Premier Datuk Amar Awang Tengah Ali Hasan said InvestSarawak was a pivotal initiative which aimed to transform the investment landscape, increase trade and improve talent attraction in the state. “It will play a key role serving as facilitator and adviser to provide invaluable local insights to all investors, both foreign and domestic,” he said.
Awang Tengah receives courtesy call from Kuwait petroleum firm delegation
KUCHING (Jan 19): Deputy Premier Datuk Amar Awang Tengah Ali Hasan received a courtesy call from Kuwait Foreign Petroleum Exploration Company (KUFPEC) at his office in Wisma Sumber Alam here yesterday. According to a news release, the KUFPEC delegation was led by its country manager Mohamad Al-Sabti. Awang Tengah, who is International Trade, Industry and Investment Minister, chaired the meeting which was held to discuss investment opportunities between Sarawak and KUFPEC in oil and gas. Also present were Deputy International Trade, Industry and Investment Minister Datuk Dr Malcolm Mussen Lamoh and representatives from Petroleum Sarawak Berhad (Petros), Sarawak Energy Berhad and InvestSarawak.
Mark Carney sees ‘massive disconnect’ in green finance rhetoric
There’s plenty of money to be made by investing in the green energy transition, and financial professionals who say otherwise aren’t paying attention to the facts, according to Brookfield Asset Management Ltd. chair Mark Carney. There’s a “massive disconnect” between what some of the heavyweights of global finance are saying and the wave of money flowing into green projects, Carney, who’s a former governor of the Bank of Canada and Bank of England, said on Jan. 17 at the Bloomberg House in Davos, Switzerland. Article content Article content The comments follow a pivot in the messaging from bankers and asset managers, who have started using global summits to remind governments they’ll only back the green transition if there’s a profit to be made. It’s a mantra that’s being repeated at Davos. Speaking at a panel earlier on Wednesday, hedge fund billionaire and Bridgewater Associates founder Ray Dalio said “there’s this notion of ‘we should we should we should,’ but there’s the fact of who has the money, what is the size of it and what are their motivations.” Carney said that tracking green investment flows shows there’s enough motivation among the holders of capital to back the transition. In 2023, investors plowed 1.8 times as much into clean energy as they did into fossil fuels, according to the International Energy Agency. And the US$1.8 trillion that was spent globally on clean energy last year is expected to rise to US$4.5 trillion annually by the early 2030s, the IEA estimates. “That 1.8 trillion is going to make a very good returns,” Carney said. “Not every single investment, but the whole thing will make a very good investment elevator pitch.” Last year, many investors in traditional green assets lost money, as wind and solar producers were pummelled by higher interest rates. The S&P Global Clean Energy Index ended 2023 down more than 20 per cent, and has slipped a further 9.5 per cent in January. By comparison, the S&P 500 rose 24 per cent last year and is little changed so far in 2024. Carney said transition finance is an area in which investors stand to generate profits. “If you focus on going where the emissions are, you get paid for helping to solve climate change, and that’s now the reality,” he said. “You get paid more for doing that in the advanced world than you do in the developing, in emerging world, something we’ve got to fix with policy and finance, but because you get paid, you can do both: have a massive impact and, and make returns for your investors.” Carney, who served as governor of the Bank of England between 2013 and 2020, also commented on the U.K.’s green agenda, including a perceived retreat from climate policies by Prime Minister Rishi Sunak. “What I didn’t like — at least what it looked like to me — is that policies were being taken off the table without, certainly without replacements being put in and they were being done for purely political signalling purposes,” he said. “That’s what it appeared. And that isn’t the right environment to keep investment focused and flowing as much as it should. And it’s also, it’s just not good climate policy.” Article content Carney also touched on the outlook for the next few COP climate summits. What happens in Brazil, which will host the 30th Conference of the Parties to the United Nations Framework Convention on Climate Change in 2025, “is critical for the climate,” he said. Brazil’s ecological transformation plan “is significant in and of itself, but potentially very significant” in that “it can help create whole new financing flows around biodiversity, around nature at a scale that’s material,” he said. Carney also is United Nations Special Envoy for Climate Action and Finance and chair of Bloomberg Inc. Together with Michael R. Bloomberg, the founder of Bloomberg News parent Bloomberg LP, he co-chairs the Glasgow Financial Alliance for Net Zero.
Japan’s Sumitomo and Eneos toproduce green hydrogen in Malaysia
Hydroelectric-derived power will boost decarbonization drive TOKYO — Oil company Eneos and trading house Sumitomo Corp. will produce “green”hydrogen in Malaysia and export much of it to Japan under plans announced Monday,hoping to further diversify the supply of the fuel essential for decarbonization. The two Japanese companies have signed an agreement with SEDC Energy, a subsidiaryof the Sarawak Economic Development Corp. set up by the Malaysian state of Sarawak.They will also consider establishing a special-purpose company with the Malaysianpartner. Power from hydroelectric plants will be used to electrolyze water to produce the greenhydrogen without emitting carbon dioxide. The aim is to produce 90,000 tonnes a yearby 2030. The scale of investment will be finalized moving forward. SEDC Energy will take the lead on power procurement and hydrogen production, withEneos to provide technical support for the production. Eneos will also contributeproprietary technology for transporting the hydrogen by sea at room temperature.Sumitomo will evaluate project feasibility and financing. Hydrogen, which does not produce CO2 when burned, is essential for decarbonizationin such fields as power generation, transportation and manufacturing. But it isexpensive to produce in Japan, where renewable-energy costs are high. The Japanese government has set a goal of increasing the supply of hydrogen in Japanto 3 million tonnes per year by 2030, and Eneos and Sumitomo are working to produceand transport green hydrogen from around the world.
InvestSarawak dan Surbana Jurong tandatangani MoU perkukuh inisiatif ekonomi hijau
DUBAI, 5 Dis: InvestSarawak dan Surbana Jurong Infrastructure Pte Ltd menandatangani Memorandum Persefahaman (MoU) untuk memperkukuh inisiatif ekonomi hijau di Sarawak. MoU itu ditandatangani Ketua Eksekutif InvestSarawak, Timothy Ong Wye Ern dan Pengarah Urusan Surbana Jurong (Infrastruktur, Tenaga dan Industri) Tan Wooi Leong. Majlis yang berlangsung di Pavilion Singapura di Dubai semasa Persidangan Perubahan Iklim Pertubuhan Bangsa-Bangsa Bersatu (COP28) hari ini, disaksikan Premier Sarawak, Datuk Patinggi Tan Sri Abang Johari Tun Openg. “Daya tarikan Sarawak untuk pelaburan, khususnya dalam sektor yang mampan dan kolaborasi dalam sektor utama seperti pembuatan, pertanian komersial, pelancongan, perhutanan, perlombongan dan perkhidmatan harus ditekankan,” kata Abang Johari. Beliau turut menyatakan komitmen Sarawak untuk pertumbuhan ekonomi yang bertanggungjawab dan mampan, menggabungkan prinsip-prinsip Matlamat Pembangunan Sosial (SDG) dan Pemerintahan, Sosial, dan Alam Sekitar (ESG) ke dalam Strategi Pembangunan Pasca COVID-19 2030 (PCDS 2030). “Matlamat keseluruhan kita adalah untuk mempromosikan kemakmuran ekonomi, inklusiviti sosial dan kelestarian alam sekitar di rantau tersebut,” ujarnya. -TVS
Sarawak’s energy transition: Navigating the technological frontier for sustainable progress
DUBAI, Dec 5: The synergy between technology and resources is crucial for Sarawak’s energy goals, emphasising the strategic utilisation of technological advancements and efficient resource management. Premier of Sarawak, Datuk Patinggi Tan Sri Abang Johari Tun Openg, emphasizes the significance of this transition as he highlights Sarawak’s technological aspirations focus on hydrogen production, a crucial component in the renewable energy landscape. “It’s a question of technology – harnessing the full spectrum of available resources. For instants three years ago, 1kg of hydrogen, requires 60kw of power. “But now we are working with Petronas, in doing our research, it can come down to 38kw,” he told this to reporter when visiting the Malaysian Pavilion after witnessing a Memorandum of Understanding between InvestSarawak and Surbana Jurong Pte Ltd in conjunction with the United Nation Climate Change Conference (COP28) in Dubai. This achievement is attributed to cutting-edge technology, particularly the incorporation of a new membrane in the electrolysis process. Abang Johari expresses optimism for significant cost reductions in hydrogen production over the next five years, anticipating a decrease in power costs. This move positions hydrogen as a more economical and environmentally friendly energy source. Sarawak’s commitment to incorporating hydrogen into its energy portfolio is evident in ongoing public transport initiatives within the region. “The conversion of H2O into hydrogen and oxygen is fueling public transport, with ongoing tests of Autonomous Rail Rapid Transit (ART) and buses powered by hydrogen,” he said. This transition to hydrogen-powered transportation not only signifies a significant step towards reducing carbon emissions but also underscores Sarawak’s commitment to embracing innovative solutions for a sustainable future. In tandem with technological advancements in hydrogen production, Sarawak is diversifying its energy sources. A pioneering approach involves the utilization of wood pallets as a biomass power source, adding a new dimension to Sarawak’s energy matrix and ensuring a diversified and resilient power supply. Abang Johari added that the state is actively involved in reforestation efforts, creating carbon sinks through the replanting of forests. This dual approach, combining technological innovation and environmental conservation, positions Sarawak at the forefront of sustainable energy transitions. – TVS
