KUALA LUMPUR, Oct 11 (Bernama) -- The Malaysian Gas Association (MGA) calls for the government to prioritise the gas industry in Budget 2025 to ensure Malaysia’s sustainable transition to a low-carbon economy.
The association underscored the pivotal role of the gas industry as outlined in the National Energy Transition Roadmap (NETR).
MGA president Abdul Aziz Othman said it was reasonable for the gas industry to be accorded incentives similar to those given to the renewable energy industry, given the heightened expectation on the role and contribution of gas.
“This includes tax incentives, grants and funding that encourage continued and enhanced investments and development within the gas industry,” he said in a statement today.
Abdul Aziz added that funding is a critical element that ensures NETR targets are achieved.
He noted that there were stricter requirements and limitations on fund allocation for oil and gas-related projects, and based on the current trends in project funding/financing, the situation will get even tougher for the industry.
MGA called for an immediate government intervention to reverse the concerning pattern by encouraging financial institutions to recognise the strategic importance of gas projects and provide sufficient support to the gas industry to achieve the NETR targets, including allocation of sufficient funds to support gas-related investments and fair treatment of gas-related investments.
It also urged the government and financial institutions to recognise the strategic importance of gas projects and provide the necessary support to the industry.
“Representing over 150 members, we are committed to engaging with financial institutions to clarify requirements and ensure our members, along with other industry players, have access to allocated funding, such as the RM2 billion seed fund for the NETR-related facilities and projects.
“To achieve our ambitious NETR targets, it is imperative that the gas industry receives the same level of support and incentives as the renewable energy sector, including tax incentives, grants and funding to encourage continued investment and development,” he added.
-- BERNAMA
