Kuala Lumpur:Malaysia's green transition requires a careful balance between reducing emissions, maintaining energy security, ensuring affordability, and protecting livelihoods, according to Deputy Prime Minister Datuk Seri Fadillah Yusof. He emphasized the importance of leaving no segment of society behind in this transition.
According to BERNAMA News Agency, Malaysia's commitment under its Third Nationally Determined Contribution (NDC 3.0) aims for an absolute reduction of 15 to 30 million tonnes of carbon dioxide equivalent by 2035 from the country's peak emissions level. This includes an unconditional reduction of up to 20 million tonnes, with an additional 10 million tonnes contingent on international support through climate finance, technology transfer, and capacity building.
Fadillah, who also serves as the Minister of Energy Transition and Water Transformation, spoke at the opening of the 17th International Greentech and Eco Products Exhibition and Conference Malaysia (IGEM) 2026, held in conjunction with the Kuala Lumpur Sustainability Summit (KLSS) 2026 at the Kuala Lumpur Convention Centre.
He stressed that the transition should create opportunities for micro, small, and medium enterprises (MSMEs), which play a crucial role in Malaysia's economy by contributing to jobs, communities, and supply chains. The government supports green investment and enterprise development through initiatives like the Green Technology Financing Scheme 5.0 and the Green Investment Tax Allowance. These measures must be supported by effective project preparation and implementation.
Fadillah noted that Malaysia's National Marginal Abatement Cost Curve indicates that about 70% of the potential emissions reduction can be achieved with negative or low abatement costs. This provides a practical basis for accelerating climate action.
Regionally, Malaysia is committed to advancing electricity connectivity via the ASEAN Power Grid, with projects such as the Lao PDR-Thailand-Malaysia-Singapore Power Integration Project and Energy Exchange Malaysia (ENEGEM) promoting clean electricity trade and energy security.
The transition requires a strong talent pipeline supported by technical and vocational education and training, university-industry collaboration, and reskilling opportunities aligned with emerging green industry needs. Digital technologies, including artificial intelligence, data analytics, and smart automation, are expected to enhance the green transition by improving grid management and energy efficiency.
Fadillah emphasized that achieving Malaysia's green ambitions necessitates a whole-of-nation approach involving the government, industry, financial institutions, research bodies, state governments, and local communities. This collective effort will ensure that green initiatives translate into investments, deployments, and tangible outcomes.
Also attending the event were Natural Resources and Environmental Sustainability Minister Datuk Seri Arthur Joseph Kurup, Housing and Local Government Minister Nga Kor Ming, and NRES Deputy Minister Syed Ibrahim Syed Noh. The IGEM 2026, themed 'Race Towards Net Zero: Action Beyond Boundaries,' is being held from October 7 to 9 in Kuala Lumpur, organized by NRES and the Malaysian Green Technology and Climate Change Corporation (MGTC).