Dear EB reader,

At the much-anticipated launch of Malaysia's new energy transition roadmap last week, prime minister Anwar Ibrahim signalled a shift away from a "traditional fossil-fuel based economy", a marked contrast to remarks he made just two months ago at an energy conference that emphasised Malaysia's reliance on fossil gas as a transition fuel.

But up until 2025, the oil-producing country will continue to see the expansion of newly-approved gas reserves, which will reportedly threaten global progress towards the critical 1.5-degree Celsius global warming limit. Proponents argue that continued gas production is crucial to energy security and affordability, considering the growing energy needs of developing countries across Asia.

The least fossil fuel producers can do is to cut their own emissions as quickly as possible, especially when it comes to methane. Energy Defense Fund chief Fred Krupp argues that cutting methane emissions is the fastest way to slow down climate change.

Are these measures enough for Malaysia to meet its 2050 net-zero commitment? How can we ensure that our energy transition is both climate-positive and equitable? We consider these questions at the Malaysian edition of Unlocking Capital for Sustainability 2023 this Friday, 8 September at Sofitel Damansara Kuala Lumpur. Register now for complimentary tickets.

More funds needed to help protect forests and Orang Asli

Minister of natural resources, environment and climate change Nik Nazmi Nik Ahmad said he is asking the finance ministry for a bigger budget as it is getting more costly to handle and fix issues around the forests and Orang Asli community. He also promised to raise all Orang Asli issues in Parliament ahead of the Budget 2024 tabling in October to address the multiple problems faced by the Indigenous tribes in the peninsula which include encroachment, illegal logging and loss of produce.

Malaysia’s EV push to accelerate?

Sime Darby, a Malaysian conglomerate, said it is buying a majority stake in industrial group UMW Holdings for RM 3.57 billion ($768.90 million) in a deal that could spearhead the country's electric vehicle (EV) journey. The country's top asset manager Permodalan Nasional Berhad plans to merge the two holding firms and create a bigger automotive group. The move comes amid a push by the government to position Malaysia as a key player in Southeast Asia's EV landscape.

Tioman airport project scrapped

The Malaysian government agreed in principle to cancel plans to build a new airport on Tioman island. Natural resources, environment and climate change minister Nik Nazmi Nik Ahmad said that the government took note of concerns raised about how sea reclamation of marine areas could destroy coral reefs near the biodiverse island, which is a gazetted marine park.