Kuala Lumpur: The Federal and Sarawak governments are currently working to align laws on carbon capture, utilisation, and storage (CCUS), said Deputy Prime Minister Datuk Seri Fadillah Yusof. He said these discussions involve the regulations to be formulated to avoid overlaps and ensure that all matters requiring cooperation can be implemented smoothly.

According to BERNAMA News Agency, Fadillah emphasized the need to harmonise federal and state laws to address any overlaps or cooperation requirements through regulations and other mechanisms. “This will be discussed because, in carbon storage (referring to Sarawak), it undoubtedly involves cooperation between the two governments, particularly on matters that involve cross-border elements,” he noted after attending the Bubur Lambuk Distribution Programme at Surau Darul Al Amin, Kampung Samariang Jaya.

Fadillah, who is also the Minister of Energy Transition and Water Transformation, highlighted that the Carbon Capture, Utilisation and Storage Bill (CCUS Bill) 2025, which was recently passed, applies only to Peninsular Malaysia and the Federal Territory of Labuan. He clarified that Sabah and Sarawak are not included in this legislation as Sarawak has its own laws governing carbon technology and management.

The Dewan Rakyat unanimously passed the CCUS Bill 2025 last Thursday to facilitate investment expansion and national economic growth. The bill was approved following its third reading by Minister of Economy Datuk Seri Rafizi Ramli. When winding up the debate on the bill, Rafizi stated that the government would not allocate any expenditure for CCUS facilities.