Malaysia On Track To Turn Energy Transition Into ASEAN Economic Advantage — UEM Lestra

By Fatin Umairah Abdul Hamid

KUALA LUMPUR, Oct 17 (Bernama) -- As the energy transition becomes a competitive necessity across the ASEAN region, Malaysia already has clear policies in place to turn it into an economic advantage with the focus now shifting towards execution, said UEM Lestra Bhd.

Chief executive officer Harman Faiz Habib Muhamad said UEM Lestra is playing an active role in this direction by bringing in capital and building capabilities to kickstart initial projects.

“We come in with capital, and we're building up capability so that we can start the first few projects, for example, the Corporate Renewable Energy Supply Scheme (CRESS) which would open the path for a lot more investments in the same scheme within the country. 

“(For Malaysia) I think it's already on the right track,” he told Bernama in an interview on the sidelines of the ASEAN Energy Business Forum 2025 (AEBF-25) here.

UEM Lestra will supply electricity from its large-scale solar projects, including a one-gigawatt hybrid solar plant in Segamat under the CRESS framework, which paves the way for Malaysia’s renewable energy (RE) transition and supports the nation’s 2050 net-zero emissions goal, positioning the company as a “first mover” in the initiative.

Within the ASEAN region, he said, each member state has already taken steps to enhance its sustainability agenda, with the next crucial step being the establishment of the ASEAN Power Grid — one of the main themes highlighted at this year’s meeting.

Touching on Malaysia’s ambition to become a regional green hub, Harman Faiz said stable regulations and clear policies are crucial to realising this goal with ongoing government efforts and new RE initiatives helping to attract developers, investors and customers alike.

He said the Ministry of Energy Transition and Water Transformation (PETRA) has been actively rolling out various RE initiatives and schemes that have strengthened the policy landscape.

“I think the key takeaway from the past two days at the AEBF-25 has been the need for certainty and stability in the regulatory framework, as that would attract not just developers like us, but also customers for green energy and investors in the projects,” he said.

Harman Faiz added that knowledge sharing is equally important in driving the nation’s green ambitions, especially when building capabilities and growing businesses.

“As a Malaysian government-linked company, we are able to bring this expertise wherever we operate in any region. The value that originates from Malaysia is then shared abroad, and when it generates returns on investment, those benefits flow back to the country. 

“This is how Malaysia gains — by sharing its expertise rather than keeping it confined within its borders,” he said.

UEM Lestra is a wholly owned subsidiary and the green industry arm of UEM Group, which in turn is wholly owned by Malaysia’s sovereign wealth fund Khazanah Nasional Bhd.

-- BERNAMA