Kuala Lumpur: The Sarawak government is studying the relationship model between Scotland and the United Kingdom (UK) as a reference in devising a mechanism for distributing carbon levy revenue as well as regulations between the state and federal governments. Sarawak Premier Tan Sri Abang Johari Tun Openg said it was to ensure Sarawak obtained a fair return from the state’s natural resources, including in new sectors such as the carbon capture, utilisation and storage (CCUS) system being developed in the state.

According to BERNAMA News Agency, the main question is how the carbon levy is distributed between the federal and state governments. This was highlighted by Abang Johari during a statement in London at a fireside chat session titled Sarawak’s Global Vision: Sustainability, Innovation and Strategic Partnerships. The session was part of the Sarawak Connect London 2025 Forum, conducted by the chairman of the Commonwealth Enterprise and Investment Council, Lord Jonathan Marland.

Abang Johari stated that Sarawak is now at the forefront of developing a sustainable carbon industry through the implementation of the first greenhouse gas emission reduction law in Malaysia. He emphasized that Sarawak does not want to be merely an exporter of raw materials but aims to create a complete value chain from upstream to downstream.

To achieve this goal, Sarawak is collaborating with international agencies and investors who possess expertise and technology, such as those from South Korea, Japan, and China. Additionally, Sarawak is exploring potential collaborations with European countries to expand a balanced investment network globally.

Abang Johari expressed confidence in Sarawak’s approach, stating, “We want to activate economic policies and activities based on our own strengths and I am confident that this approach is bearing fruit.”