MP Calls For Green Economy Focus In Malaysia's ASEAN 2025 Chairmanship

KUALA LUMPUR, Nov 5 (Bernama) -- In view of Malaysia’s impending ASEAN chairmanship next year, the government has been urged to make the green economy as one of its main agendas.

Datuk Seri Hasni Mohammad (BN-Simpang Renggam) said Malaysia is expected to leverage its ASEAN 2025 chairmanship to strengthen sustainable initiatives, including the ASEAN Catalytic Green Finance Facility and the ASEAN Smart Green Cities.

"These initiatives are expected to have a significant impact in positioning ASEAN as a leader in green development and addressing climate change challenges in the region.

“Malaysia aspires to make ASEAN a model for global green initiatives, thereby creating a sustainable future for the next generation,” he said during the policy-level debate on the 2025 Supply Bill in the Dewan Rakyat today.

One of the areas which would benefit from the green economy is the data centre sector.

Hasni noted that with investments exceeding RM51.1 billion in 2022 and an additional RM17 billion expected this year, Johor has become a prime destination for data centres in Malaysia and is now ranked the ninth largest in the Asia-Pacific region.

"In two years, Johor successfully attracted investments for more than 50 data centres," he said.

However, during the debate, Jimmy Puah Wee Tse (PH-Tebrau) raised concerns about the environmental and energy challenges, urging action on the high energy and water consumption required in data centre operations.

Puah said that data centres consume substantial energy to power and cool their operational systems, and if not managed, the high usage rates could strain the local power grid.

He cautioned that, if left unchecked, the high energy consumption needed for to power and cool their operational systems could strain the local power grid.

In response, Hasni explained that the state government is exploring energy alternatives, such as using untreated water and increasing renewable energy utilisation via solar projects in Pengerang.

He also reiterated Prime Minister Datuk Seri Anwar Ibrahim's emphasis that Malaysia must ensure data centre investments provide added value to the public, rather than being solely an economic pursuit

The Simpang Renggam member of Parliament also highlighted the need for high-income job creation, technology sharing, and developing local expertise.

“The development of the digital ecosystem through collaboration between the Federal government and Johor state is also a priority, including artificial intelligence, cybersecurity, and digital finance to support the data centre sector," he added.

-- BERNAMA