The government through its policies, will provide the necessary assistance in promoting the development of the country’s energy transition ecosystem.
The government through its policies, will provide the necessary assistance in promoting the development of the country’s energy transition ecosystem.
Natural Resources, Environment, and Climate Change Minister Nik Nazmi Nik Ahmad stated that energy transition is critical to Malaysia’s goal of becoming a carbon-neutral nation, but it must be inclusive without leaving anyone out or burdening anyone, particularly the B40 group.
“The ministry hopes efforts towards the use of renewable energy (RE) will encourage all Malaysians to use more efficient and affordable energy. In addition to lowering the cost of living, it should also protect the vulnerable groups who are often victims of climate change,” he said during a working visit to Tenaga Nasional Bhd’s (TNB) headquarters on Tuesday.
TNB said in a statement released today alongside the minister’s speech text that Nik Nazmi was briefed by its president and chief executive officer, Datuk Baharin Din, on the company’s critical role in ensuring safe, reliable, and quality electricity supply to more than 9.66 million customers in Peninsular Malaysia.
Nik Nazmi went on to say that investment in electricity infrastructure development is critical in keeping with TNB’s commitment to leading the country’s energy transition by championing RE generation and implementing the Energy Transition Plan.
Recognizing its significance, the government has approved an RM20.6 billion capital expenditure for Regulatory Period 3, which runs from February 1, 2022, to December 31, 2024, he said.
He praised TNB’s efforts to reduce carbon emissions by switching to solar energy, hydro, and generation technology using hydrogen and ammonia, calling it a good start toward addressing climate change and achieving a net zero emission cycle economy.
“The ministry recognises that the majority of TNB’s profits are used to develop the company’s main assets in order to further strengthen the country’s electricity supply system for the general public’s well-being,” Nik Nazmi added.
Meanwhile, Baharin stated that TNB, as a company concerned about climate change, took the bold step of announcing its 2050 sustainability direction aspirations and commitment to leading Malaysia’s energy transition journey. TNB has set a goal of reaching net-zero emissions by 2050.
“In addition to the net-zero carbon emission target, measures to accelerate the energy transition include expanding the RE market, strengthening the grid, and developing the electric vehicle ecosystem.”
“It transforms electricity generation and drives new growth sectors related to the energy transition, such as low-carbon mobility, energy storage, and new energy such as hydrogen,” he said.
TNB is committed to achieving a target of 8,300 megawatts of RE in 2025, followed by a 35% reduction in carbon emission intensity and a 50% reduction in coal generation capacity by 2035, in order to reach net-zero carbon emissions by 2050.