LOW CARBON DEVELOPMENT : TOWARDS

ACHIEVING GREEN GROWTH

MINISTRY OF ENERGY,GREEN TECHNOLOGY AND WATER

LOW ENERGY OFFICE

(LEO), MEGTW,

PUTRAJAYA

WHERE ARE WE NOW

• The average atmospheric

temperature increase from 1850 to 2005 is 0.76 C.

• 4 C is foreseen to be

increased by 2100.

Source: Intergovernmental Panel on Climate Change (IPCC)

Warming of the climate

system is unequivocal, as

is now evident from

observations of increases

in global average air and

ocean temperatures,

widespread melting of

snow and ice, and rising

global average sea level.

Most scientists agree that the warming in

recent decades has been caused primarily

by human activities that have increased the

amount of greenhouse gases in the

atmosphere.

Asia and the Pacific is facing unprecedented

threats due to its development (ESCAP, 2009)

If everyone in the world were to

consume the same as the average US

citizen, the human population would

require three to five additional planets to

support it(WWF, 2008)

Scarcity of resources

• Vulnerable group (poor) will face difficulties in

adapting to climate change

• Economic recession

• Climate related catastrophes (cyclones,

drought, floods)

• Health problems (vector- borne diseases,

cardiovascular and respiratory diseases)

IMPACTS OF CLIMATE CHANGE

The degree to which climate change will intensify depends on the development trajectory (low carbon development OR business as

usual (BAU) high emissions scenario)

Failure to incorporate climate change mitigation and adaptation into development policy has a great potential to undermine future

economic growth.

Encourage win-win

policy initiatives that can

yield co-benefits

Mitigation efforts – curtail

GHG, increase carbon

sinks

Adaptation – increase

adaptive capacity,

reduce vulnerability,

build resilience

WHAT THE GOVERNMENT THINKS?

To reduce carbon emission up to 40% in

terms of emission intensity of GDP

(Gross Domestic Product) by 2020

compared with its 2005 levels

THE SOLUTION

Low carbon economy can be best

understood as the range of

activities which are materially

supported by the need to reduce

the release of GHG into the

atmosphere

Source : UN, Global Compact

TOWARDS A LOW CARBON ECONOMY

Low carbon development should include the

use of low carbon technologies (Green

Technologies) in the multitude of sectors

and services….

Also the introduction of green tax breaks, incentives, budget reforms as well removal of

harmful subsidies…

2.

Greening business and the markets through

sustainable consumption and production….

Ultimately it …means making a

difference in the way we live our lives..

STRATEGIES : TOWARDS

ACHIEVING GREEN GROWTH

Policy Statement

Green Technology shall be

a driver to accelerate the

national economy and

promote sustainable

development.

NATIONAL GREEN TECHNOLOGY

POLICY

FOUR

PILLARS

ENERGY

Seek to attain

energy independence &

promote efficient

utilisation

ENVIRONMENT

Conserve and minimise

the impact on

the environment

ECONOMY

Enhance the national

economic development

through the use

of technology

SOCIAL

Improve the quality

of life for all

THE PILLARS

THE STRATEGIC THRUST

1. Strengthen The Institutional Frameworks

2. Provide A Conducive Environment For Green

Technology Development

3. Intensify Human Capital Development In

Green Technology

4. Intensify Green Technology Research And

Innovations

5. Promotion And Public Awareness

• To have high level coordination among Ministries, Agencies, the private sector and all other stakeholders.

• The council is chaired by the Honorable Prime Minister of Malaysia.

• The council (MTHPI) is supported by a Steering Committee and five (7) working groups on (i) Industry; (ii) Research & Innovation; (iii) Human Capital; (iv) Promotion and Public Awareness; and (v) Transportation (vi) Green Neigbourhood & (vii) Climate Change.

• The first meeting was held on 26 January 2010 & second meeting on the 14 December 2010.

INSTITUTIONAL FRAMEWORK

NATIONAL GREEN TECHNOLOGY & CLIMATE CHANGE COUNCIL

• The Malaysian Government is working on the Green

Technology Roadmap to guide Malaysia in

becoming a low carbon green growth economy

• For a start, the Government is conducting a

baseline study for green technology in Malaysia.

• The baseline study comprise the following sectors :

Energy, Waste Water, Building, Transportation,

Manufacturing and ICT

• This comprehensive document incorporates inputs

from various stakeholders and was completed in

Dec 2010

GREEN TECHNOLOGY ROADMAP – A JOURNEY TO OUR GREEN FUTURE

RM1.5 billion soft loan

Up to RM50.0 million for producers and RM10.0 million for users of green

technology

2% interest subsidy by the government

60% government guarantee

140 companies are expected to benefit from the scheme

GreenTech Malaysia to administrator all applications

Effective in January 2010

FINANCIAL INSTRUMENT

GREEN TECHNOLOGY FINANCING SHEME (GTFS)

• We need to move towards energy revolution and low

carbon energy technologies

• Areas like Energy Efficiency (EE), Renewal Energy

(RE), Carbon Capture and Storage (CCS), Nuclear

power and new transport technologies should be given

empahsis.

• RE (i.e. Solar PV,Biomass,Wind Power,Wave

power,Hydro power)

• EE can deliver some of the largest cheapest CO2

reduction (IEA, 2009)- low hanging fruit (it delays the

need for new supply, giving time for the maturing of

low carbon technologies)

• EE is predominant in the building sector (i.e. retrofitting

of buildings)

THE ENERGY REVOLUTION

ENERGY EFFICIENCY IN MALAYSIA

The Malaysian Industrial Energy Efficiency

Improvement Programme (MIEEIP)

Fiscal incentives have been introduced since 2001

(i.e. pioneer status, investment tax allowance, import

duty , exemption and sales tax)

Currently finalizing the EE Master Plan

RENEWABLE ENERGY IN MALAYSIA

In April 2010 the government approved the RE Policy and action plan

(aim – to reduce dependence on fossil fuels and electricity

generation and stimulate new growth for the country)

RE Act and Sustainable Energy Development Authority Act will be tabled in parliament this year

The Feed in Tariff mechanism will be introduced (Allows electricity

produced from RE source to be sold to power utilities at a fixed

premium price for a specific duration)

GREEN TOWNSHIPS IN

PUTRAJAYA AND CYBERJAYA

To develop Putrajaya and Cyberjaya as pioneer

townships in green technology, as a showcase for

the development of other townships in the country.

SUSTAINABLE CITIES

The development of a Green Township Framework (GTF).

The document emphasizes on the GHG Component

It will be combined with the Green Township Guideline being developed by the Town and Country Planning Department that emphasizes on the

Livability component

The government is also developing a green township rating tool

GREEN TOWNSHIPS

The government with SIRIM is developing criteria documents

for eco labels in Malaysia

The government is also working with SIRIM in developing a

guideline for green public procurement

ECO-LABELS GREEN PUBLIC PROCUREMENT

Electric Vehicles (EV)

Hybrids (increase efficiency, lower fuel consumption and lower CO2

emission

Low carbon fuels (Use of LPG and natural gas)

Biofuels (Biodiesel , bioethanol)

Hydrogen transport

Clean Low Carbon Transport

KeTTHA is working with the Ministry of Transport and the Ministry of

International Trade and Industry to develop a infrastructure roadmap for

the use of electric vehicles in Malaysia.

The government is also

looking at increasing the

modules and courses related

to green technology in

institutes of higher education

in both Public and Private

THE INTEGRATION OF

GREEN TOPICS

The government is in the

midst of integrating green

topics in the national education system

KeTTHA and MOHR are working closely in developing :

•Green Jobs Roadmap

• Occupational Analysis (OA);

• National Competency Standards (NCS); and• National Occupational Skills Standards (NOSS).

GREEN JOBS

GREEN ICT

The Government through the Malaysian Administrative, Modernization and

Management Planning Unit, Prime Minister’s Department has introduced the

Green IT guideline for the public sector

A Green ICT Working Group is set up under the Malaysian Technical Standards

Forum Berhad:-

•To actively promote the Green ICT concept in relation to the ICT industry,

•To set up a minimum Green ICT guideline that can be used across industries; and

•To continuously seek to establish a sustainable ICT industry through eco-friendly

technology.

•IGEM 2010 was held between 13-17 October 2010 at KL Convention Center

(KLCC)

•The event hosted an exhibition, conference and business matchmaking

session

•The aim of IGEM is to provide a platform for the development and

application of GT products in the country.

•502 booths were taken during the exhibition and it saw some 86,372 guests.

•A total of 1.2 billion in business transaction was achieved through IGEM 2010

•IGEM 2011 will be held between 7-10 Sept 2011 at the same venue

INTERNATIONAL GREEN TECH & ECO PRODUCTS EXHIBITION AND CONFERENCE

(IGEM)

Challenges

Changing mindset, attitude and habits of the public

•Lack of understanding of environmental implications and

its solutions

•Difficult to achieve a “paradigm shift”

•“Old habits die hard”

Lack of knowledge and expertise

•Highly level technical dependence on expertise from the developed

nation

•Need more capacity building in specific areas

•Need to have an in depth understanding of green technology as a

solution and economic driver

•Need to increase R&D efforts

•Encourage local inventors and innovators

Legislative Framework

•Inability to regulate and enforce due to the lack of a

legislative framework specifically for green technology or

green growth

•Unable to apply the “carrot and stick “ principle

•Unable to reach industries/people at all levels

Duplication of tasks and jurisdictional implications

•Lack of coordination between agencies, ministries, NGO’s

and private entities

•Problem of “stepping on each others’ toes”

Financial Constraint

•Inadequate financial support for the development and

application of Green Technology

•Sufficient incentives, green taxes, removal of harmful

subsidies should all be considered to foster green growth

Political Will

•The question of whether the agenda will still

continue?

•Whether the stakeholders are serious about the low

carbon green growth agenda?

•The vision for Green Growth

It is important for the government to exploit their foresight regarding this

transition to maximise its potential benefit through policies supporting the

development of the private demand for and supply of activities which

meet this agenda

Change requires investments, and the vast majority of those investments

must happen through the private sector with the government providing

adequate enabling effect

IN CONCLUSION

THANK YOU