GREEN ECONOMY AS A VEHICLE FOR ECONOMIC AND SUSTAINABLE

DEVELOPMENT

ASDIRHYME BIN ABDUL RASIB

Ministry of Energy, Green Technology & Water Malaysia

11 MAY 2015

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a) National Commitment

b) Institutional Framework

c) Policy Framework

d) Potential And Opportunities In Green Technology

e) Way Forward

PRESENTATION OUTLINE

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MALAYSIA’S COMMITMENT

As of 2013, we have managed toreduce carbon intensity by morethan 33% vis-à-vis our pledged40% carbon intensity reduction by2020.

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17 December 2009

Green Technology has been identified as a driver of the future

economy for the nation that would contribute to overall Green

Growth and Sustainable Development

“It is my dream that one day wecan live in a clean, healthy and highquality environment where cities,townships and communities arebuilt on the fundamentals of GreenTechnology”.

INSTITUTIONAL FRAMEWORK

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The establishment of theMinistry of Energy, GreenTechnology and Water(KeTTHA) in April 2009.

KeTTHA’s Low Energy Office (LEO) in Putrajaya

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Establishment of Sustainable EnergyDevelopment Authority (SEDA) in 2011

Establishment of Yayasan Hijau Malaysiain Mac 2014

Restructuring of Pusat Tenaga Malaysia(PTM) as Malaysian Green TechnologyCorporation (GrenTech Malaysia) in 2009

POLICYFRAMEWORK

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NATIONAL GREEN TECHNOLOGY POLICY (24 July 2009)

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1. Strengthen The InstitutionalFramework

2. Provide A Conducive EnvironmentFor Green TechnologyDevelopment

3. Intensify Human CapitalDevelopment In Green Technology

4. Intensify Green TechnologyResearch And Innovations

5. Promotion And Public Awareness

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The National Green Technology Policy represented a significant milestone inthe country’s pursuit of green economic development.

COMMITMENT TOWARDS GREEN GROWTH

o Inculcation of green technology in Malaysian culture

o Widespread adoption of green technology

o Significant reduction in national energy consumption

o Improvement of Malaysia’s ranking in environment ratings

o Malaysia becomes a major producer of green technology globally

o Increase public awareness and commitment

o Greater availability and recognition for green technology

o Increased FDI in green technology

o Expanding R&D on green technology towards commercialization

o Strengthening the Enabling Environment for Green Growth

o Adopting Sustainable Consumption and Production Pattern

o Ensuring Growth through Sustainable Use of Resources

o Building Resilience11 MP

10 MP

12 MP

Short term Objectives (2011 – 2015)

Medium term Objectives (2016 – 2020)

Long term Objectives (2021 – 2025 and beyond)

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Pursuing Green

Growth

PRIORITY AREAS FOR LOW CARBON GROWTH

• Green building

• Energy and water saving

• Carbonemissionreduction

• Green vehicle

• Water Treatment

• Solid Waste Management

• Biomass

• Solar PV

• Mini Hydro

• Biogas

EnergyWater & Waste Management

BuildingTransportation

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GOVERNMENT INITIATIVES ON GREEN TECHNOLOGY

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Institutional Framework

• Malaysian Green Technology

Corporation

• MTHPI

• SEDA

• Yayasan Hijau

Policies & Regulation

• National Renewable Energy

Policy and Action Plan

• Renewable Energy Act

• National Climate Change

Policy

• National Automative Policy

• 11th Malaysia Plan

Fiscal Instrument

• Green Technology Financing

Scheme (GTFS)

• Feed in tariff (FiT)

• Incentives for RE & EE

• Incentives for GBI certified

• Incentives for hybrid and EV

Promotion, Industry & Public

Awareness

• IGEM

• Green Carnival

• Green Technology Awards

• MyHIjau Youth Camp

Labeling and Certification

• Eco labeling

• Energy Efficient Rating and

Labeling Scheme

• Water Efficient Product

Labeling Scheme

• MyHIJAU Mark

Rating Tool

• Low Carbon City Framework

(LCCF) Assessment Tool

• Green Building Index

• Green RE

MyHIJAU Programme

• MyHIJAU Procurement

• MyHIJAU Mark

• MyHIJAU Directory

• MyHIJAU SME

Human Capital Development

• MGTC = Industry Lead Body

for GT

• NCS and NOSS for GT

• AEMAS

• SME Development

Programme

Green Township – Pilot

Projects• Putrajaya

• Cyberjaya

• Subang Jaya

• Petaling Jaya

• Hang Tuah Jaya

• Iskandar Malaysia

GREEN TECHNOLOGY STRATEGIES & INDICATORS

CONFIDENTIAL

Economy(enable players and provide

conducive environment

Social(GT adoption facilitated &

experience immediate impact)

Environment(experience medium-long

term impact)

Malaysia can

potentially

achieve 3 - 4% of

GDP by tapping

the growth of

regional markets

by being export

oriented

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ACHIEVEMENT IN GREEN TECHNOLOGY (2013)

CO2

61,280 JOBS

CARBON

EMISSION

REDUCTION:

11.6 million

tonnes CO2

eq/yr

CONTRIBUTION

TO GDP:

RM7.9 billion

(0.8%)

ECONOMY SOCIAL ENVIRONMENT

Note: Contribution by Energy, Transportation, Building, Waste And Water Sectors

Source: Economic Assessment Report (Sept 2014) by PwC Malaysia14

CHALLENGES

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Limited public awareness about

environmental conservation and green

growth/technology16

Lack of Green Technology products

in local market.

Scepticism and confidence in Green

Technology products.

CHALLENGES

Lack of innovative financing on Green

Technology projects - adverse risk

taking.17

Lack of Infrastructure to support

Green Technology.

Lack of local expertise throughout

value chain.

CHALLENGES

GREEN TECHNOLOGY INITIATIVES BY KeTTHA

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Sustainable

Consumption

MyHIJAU

Labelling

MyHIJAU

Directory

MyHIJAU

Procurement

MyHIJAU

Industry & SMEs

Sustainable

production

MyHIJAU PROGRAMME

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ACHIEVEMENT UNDER MyHIJAU MARK

No. of products received SIRIM

Ecolabel

478

No. of products received SPAN Water

Efficient Label Product Scheme

161

No. of products received ST Energy Rating Label

Scheme

557

Note: Statistics above is till December 2014 20

Note: Statistics above is till December 2014

No. of companies listed under

MyHIJAU Directory

156

No. of green products

460

MyHIJAU DIRECTORY

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GREEN LABELLING

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International Eco-Labeling:

MyHIJAU Mark programme has been

created to provide clarity and address

any confusion arising from the multitude

of eco-related labels offered to

businesses and consumers.

Products with the MyHIJAU Mark provide

Malaysian consumers with the certainty

that internationally recognized

environmental and ecological standards

have been met in the manufacture of

these certified products

DEVELOPMENT OF SMALL & MEDIUM INDUSTRY VIA MyHIJAU

MyHIJAU Industries & SMEs aims to create moregreen companies and local entrepreneurs whoproduce the products and services certified greenlabel via a systematic approach i.e:

• Phase 1: Awareness creation

• Phase 2: Capacity Building

• Phase 3: Certification

• Phase 4: Marketing/ Promotion

• Phase 5: Business Matching

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GOVERNMENT GREEN PROCUREMENT (GGP)

Recognising the importance ofGovernment Green Procurement (GGP),the Malaysian government has engagedin various initiatives to boost demand forgreen products and services with thetarget set at 50% of the selectedproducts and services purchased by thegovernment sector are eco-labelled bythe year 2020.

GGP process flowbased on GreenTech Malaysia’s sustainable procurement

initiatives:

GGP provides numerous benefits, among others are:• Promote local markets;• Improve environmental performance;• Contribute to economic

performance;• Expand markets for innovative

sustainable solutions;• Stimulate competition; create

markets for appropriate technology; and

• Help to develop the marketplace24

GOVERNMENT GREEN PROCUREMENT (GGP)

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PAPER CEMENT PAINT/COATING

EE LUMINAIRES/LIGHTINGS

CLEANING SERVICESICT

• Adherence to the Energy Star 5.2 or

Electronic Product Environmental

Assessment Tool (EPEAT) or ISO

14000 series;

• Packaging materials for the ICT

parts and products should be based

from recylables; and

• Take Back Policy.

GREEN ICT

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CLEANING SERVICES

• Promote the usage of locally

manufactured wash/ cleaning liquids

which have been certified by Ecolabel

(SIRIM) or other MyHIJAU Mark;

• Usage of toilet rolls/ tissues made of

recyled paper; and

• Usage of plastic bags made from

recylables.

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PROMOTE THE USAGE OF LED LIGHTINGS

• LED bulbs/ lamps saves

electricity and it is 5 times

more efficient compared to the

conventional bulbs;

• It provides up to 1 million

hours of usage.

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PROMOTE THE USAGE OF LOW VOC PAINTS

• Use paints with low volatile

organic compound (VOC);

• Low VOC paints are

environmentally friendly and

are odorless; and

• Bright paints reduces heat

absorption thus ensuring a

cool temperature of the

building.

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PROMOTE ECO-FRIENDLY PAPERS

Reduces

deforestation

Promote the usage of papers

certified by Forest Stewardship

Council (FSC)

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Low Energy OfficeLEO

Green Energy OfficeGEO

Diamond Building

4 ELEMENTS OF

LOW CARBON CITIES FRAMEWORK

Urban Environment

Urban Transportation

Urban Infrastructure

Buildings

LOW CARBON CITIES FRAMEWORK (LCCF)

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Pilot Projects:

1. Putrajaya2. Cyberjaya3. Subang Jaya4. Petaling Jaya5. Hang Tuah Jaya, Melaka6. Iskandar Malaysia

IMPLEMENTATION OF LCCF AMONG LOCAL AUTHORITIES

1. Kuantan

2. DBKL

3. Seberang Perai

4. Kota Bharu

5. Ipoh

6. Kota Kinabalu

7. Kucing Utara

8. Shah Alam

2010 2014

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RETROFITTING

Solar energy is a clean and renewable energy

source. It helps to save electricity up to 30%

and can be used for a period of 8-10 hours with

just 5 hours of charging time.

SOLAR PANELS IN BUILDINGS

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Encourages water efficiency

among the local residents .

The rain water harvested can be utilised to water

plants and for other cleaning purposes.

RAIN WATER HARVESTING SYSTEM

CONFIDENTIAL35

Harvesting rainwater has several functions:

• providing water to people and livestock

• providing water for food and cash crops

• increasing groundwater recharge

• reducing storm water discharges, urban floods

and overloading of sewage treatment plants

• reducing seawater ingress in coastal areas

WATER MANAGEMENT

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Collection of waste for composting from the bins in the residential areas

Compost can be utilised as fertilizers in local/ municipal gardens

Provide composting bins in residential areas

WASTE TO WEALTH: COMPOSTING

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ELECTRIC VEHICLE (EV)

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ELECTRIC MOBILITY BLUE PRINT

-Electric Bus

-Electric Car

-Electric Motorcycles

-Hybrid Car

No. of Electric Cars:

90

No. of Electric Bikes:

1,114

No. of EV Charging Stations:

41

No. of Hybrid Cars:

43,256

Note: Statistics above is till Mac 201538

HYBRID AND EV

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WAY FORWARD

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GREEN TECHNOLOGY MASTER PLAN

• Establish Clear Direction.Specific target for each sector (ETBWW*) and mitigation areas

• Provide Sustainable FinancingSpecialised financial vehicle for GT (i.e. Green Investment Corporation)

• Strengthen Regulatory Framework & Economic InstrumentsLeveraging existing acts, incentive and tax exemption

• Advocate Life Cycle (LC) Thinking.Initiate advocacy programmes and establish LC info-structure (LCdatabase, LC costing, LC assessment).

• Facilitate Behaviour Change.Improve availability, accessibility and affordability of green products andservices.

• Design Ecosystem in Greening Local Companies.Framework & instrument (leadership, financial, human capital &technology) to produce green products and services.

• Identify Growth Areas.Potential sectors and sub-sectors for domestic and international GTmarket.

• Introduce Enabling Process & FrameworkExample Green Procurement, Low Carbon Cities Framework (LCCF) andMyHijau Mark, Green Labelling & Standards.

Provide strategic planfor GT to be one of theengines for economicgrowth (significantcontribution to GDP)

Inculcate green cultureas lifestyles to improvequality of life

Facilitate deploymentof GT as mitigation toachieve 40% carbonintensity reduction

ROLE MAIN STRATEGIES OF GTMP

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2

3

*ETBWW-Energy, Transport, Building, Water Management and Water Management 40

Note: Contribution by Energy, Transportation, Building, Waste And Water Sectors

Source: Economic Assessment Report (Sept 2014) by PwC Malaysia

WAY FORWARD

YEAR 2020

Contribution to

GDP

– RM22.4 billion

Investment

– RM28.0 billion

YEAR 2030

Contribution to

GDP

– RM60.0 billion

Investment

– RM86.3 billion

IMPACT OF GREEN TECHNOLOGY ON ECONOMY

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Note: Contribution by Energy, Transportation, Building, Waste And Water Sectors

Source: Economic Assessment Report (Sept 2014) by PwC Malaysia

WAY FORWARD

YEAR 2020

144,590 jobs

YEAR 2030

211,500 jobs

IMPACT OF GREEN TECHNOLOGY ON SOCIAL

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26/06/2015

WAY FORWARD

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192.3 million

tonnes CO2eq/yr

119.2 million

tonnes CO2eq/yr

11.6 million

tonnes CO2eq/yr

Note: CO2 reduction in year 2020 and 2030 subject to mitigation in place for the energy, transportation,

building, waste and water sectors

2013 2020 2030

IMPACT OF GREEN TECHNOLOGY ON ENVIRONMENT

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Improved Quality of Life: Cleaner cities, reduced cost of living, creating

green jobs, comfortable homes, better air quality, healthier society, greener future, sustainable water supply……

From sun to ‘tank’ – simplified & multi-functional infrastructure,

reduced land usage

Reduce air & noise pollution Sustainable water supply Ability to generate own power

Active and healthy lifestyle &new mindset

Future green generation & innovators

ANTICIPATED OVERALL OUTCOME

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GREEN GROWTH FOR MALAYSIA

• Several important policies,legislation and promotionalactivities were put in place tofoster green growth for thenation;

• More needs to be done by allparties through strategicpartnerships andcollaborations;

• These efforts need to be longterm and consistent for us toachieve green growth andoverall Sustainability. 45

IGEM 2015

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The Ministry of Energy, Green Technology and Water, Malaysia

would also like to take this opportunity to invite all of you to:

6th International Greentech & Eco Products Exhibition and

Conference Malaysia 2015 (IGEM 2015)

9 - 12 September 2015

Kuala Lumpur Convention Centre

THANK

YOU

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