Low-carbon Economy in Malaysia
Driven by pressure from consumers, Malaysia’s pledge to achieve net-zero emissions by 2050 is placing greater focus on reducing the carbon footprint.
Companies that adopt sustainable practices gain a competitive edge and position themselves as leaders in a world where environmental responsibility is key.
Policy changes, new technology, and shifting customer expectations give Malaysia a chance to lead Southeast Asia’s low-carbon economy transition while boosting operations.
What is a low-carbon economy?
A low-carbon economy reduces dependency on fossil fuels and minimises greenhouse gas emissions, balancing environmental responsibility with sustainable growth.
This translates into:
- Shifting to renewable energy sources like solar and wind
- Improving energy efficiency in buildings and manufacturing
- Prioritising low-emission transportation options
- Designing durable, long-lasting products
- Expanding recycling and resource recovery
Why a low-carbon economy important?
Adopting low-carbon practices brings numerous benefits that go beyond delivering economic benefits.
Environmental Benefits
- Reduce greenhouse gas emissions, helping combat climate change.
- Protect ecosystems and biodiversity.
Economic Benefits
- Lower operating costs for businesses and households through renewable energy transition and energy-efficient technologies improvement.
- Create jobs and drive innovation by investing in clean energy industries.
- Stimulate economic growth in emerging sectors.
Societal Benefits
- Improve air quality and reduce pollution, leading to better public health outcomes.
- Decrease the burden on healthcare systems.
Low-carbon and Renewable Energy Economy
Renewable energy is a key driver in the transition to a low-carbon economy.
By replacing fossil fuels with cleaner energy sources such as solar, wind, hydro, and geothermal, nations can significantly cut greenhouse gas emissions.
This transition not only tackles the pressing challenge of climate change but also promotes energy independence by reducing dependence on imported coal and natural gas.
Through widespread adoption, renewable energy has the potential to create a resilient, sustainable, and environmentally-friendly economy.
The Role of a Low-carbon Circular Economy
A circular economy mirrors nature by ensuring resources are continually reused and nothing is wasted—a natural fit with low-carbon ambitions.
This approach is particularly valuable for efficient industrial processes that minimise resource use and waste.
How It Works
- Products are designed for longevity and repair.
- Waste is repurposed as new materials and products.
- Resources are shared and circulated across industries.
Examples
- Food industry turns vegetable waste into energy.
- Reclaimed plastic bottles become textiles or carpeting.
- Construction debris is repurposed for landscaping.
Path Toward a Green and Low-carbon Economy
Government action provides vital direction and support for clean economic growth.
- National Policies in Action: Carbon pricing is holding businesses accountable and driving emission cuts. Tax incentives are making clean technologies such as carbon capture and storage (CCS) more accessible. New building standards ensure structures use less energy and meet sustainability goals. Investments in public transport and EV infrastructure are supporting cleaner mobility.
- Malaysia's Green Plan: Malaysia aims to cut carbon emissions by 45% by 2030 and achieve net-zero by 2050. The country is growing green industries and creating jobs, while supporting businesses in adopting sustainable practices and transitioning to a greener economy.
- Support Measures: Grants are available to help companies adopt low-carbon solutions and transition to sustainable practices. Training programs equip employees with skills for roles in a sustainable economy. Support for research and development drives innovation in green technologies, while networks foster collaboration among organisations to advance sustainability.
Accelerating the Shift to a Sustainable
At Ajinomoto (Malaysia) Berhad (AMB), we are committed to decarbonisation through energy efficiency. We focus on optimising resources with a firm commitment to reducing emissions.
- Addressing steam leaks to prevent unnecessary energy loss.
- Recovering condensate water to improve resource efficiency.
- Monitoring and fixing compressed air leaks to enhance system performance.
- Installing high-efficiency inverter-based air conditioning for better energy performance and reduced environmental impact.
AMB’s total GHG emissions were 9,776 tCO₂e, a significant drop from previous years, with an emissions intensity of 0.24 tCO₂e per tonne of product.
