Editor's Pick Of The Week
More than 48% Soft Loans under the GTFS Taken Up
(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of 1BINA.my)
The conceptualisation of green building is anticipated to be the backbone of Malaysia’s building construction and engineering activities in forthcoming years.
Energy efficiency had been a concern for building professionals, especially when considering rising energy costs, and there were existing fundamental guidelines to address energy use in buildings that had been around for the past decade or more.
Socio-economic awareness had focused on the importance of sustainable building, especially among academic and professional associations, with the launch of the new green building tool called the Green Building Index (GBI).
Green technology (GT) will be able to ensure Malaysia remains competitive in the international markets as global demand for sustainable products increase.
Green development strategies are not only for economic considerations; rather, we have a moral duty to leave behind an environment, which is as pristine as we inherited.
Malaysia’s has identified carbon mitigation efforts, which need to be undertaken quickly in line with the target set.
The initial step that will be taken is implementing energy efficiency (EE) efforts.
According to the International Energy Agency’s BLUE Map Scenario, end-use fuel and electricity efficiency itself could contribute to about 36% carbon emission reduction in 2050.
The government had also issued a strong sign of commitment to the green sector through offered incentives such as the Green Technology Financing Scheme (GTFS), which was also a key driver for the green building sector expansion.
In the 2010 budget announcement, tax incentives for buildings with GBI certificates were introduced.
GBI tax incentive, stamp duty exemption and US$467 million funding under the National Green Technology Fund were among the key factors driving the green building segment and the advancement of the building construction market in Malaysia.
In his budget speech for 2010, Prime Minister, Dato’ Seri Najib Tun Abdul Razak announced the establishment of RM1.5 billion GTFS.
GTFS is an effort to improve the supply and utilization of GT. GreenTech Malaysia appointed as the conduit for the GTFS application.
The scheme could benefit companies who are producers and users of GT.
As a sign of commitment, the Government will bear 2% of the total interest/profit rate.
In addition, the Government will provide a guarantee of 60% on the financing amount via Credit Guarantee Corporation Malaysia Berhad (CGC), with the remaining 40% financing risk to be borne by participating financial institutions (PFIs).
Until June 2012, almost RM775 million in soft loans under GTFS are still available.
Up to June this year alone, 16 projects had already been certified.
Five are on waste and water, one on transport and 10 others on energy. To date, 188 projects have been certified.
As of June, just over RM725 million has already been approved under the scheme.
What is Green Technology Financing Scheme (GTFS)
The GTFS is a special financing scheme introduced by the government to support the development of GT in Malaysia with a total financing amount of RM1.5 billion.
GTFS is a soft loan supported by government; treating the loan similar to that of normal loans, where the borrower must repay the loan to the bank throughout the tenure period.
The national GT policy has clearly defined that any product, equipment or system which lessens degrade the environment; reduces greenhouse gas emissions; safe for use and promotes a healthy and improved environment for all forms of life; conserves the use of energy and natural resources and promotes the use of renewable resources is categorised as GT.
GTFS exists to help incorporating GT elements in specific project related to the identified sectors. It includes (but is not limited to) the following:
a. Energy sector
i. Energy supply sector
Power generation and energy supply side management including co-generation by the industrial and commercial sectors
ii. Energy utilisation sector
Energy utilisation sector and demand side management programmes
b. Building sector
Construction, management, maintenance and demolition of building
c. Water and waste management sector
Management and utilization of water resources, wastewater treatment, solid wastes and sanitary landfills
d. Transportation sector
Public transportation infrastructure, “green” vehicles, and bio-fuel.
GTFS also offer other benefits include 2% subsidies interest (from the total interest rate charged).
60% on the total approved loan is Government guarantee.
Training is provided to applicants to enhance their knowledge in GT.
Government has appointed GreenTech Malaysia as the focal point to set standards and promote GT projects.
Private companies that could benefit from this scheme are Producer or User of GT products or systems.
GTFS for Producer or User category are as follows:
This scheme applicable for new and retrofitting or expansion project which incorporates GT elements, which not funded or partly funded.
The GTFS is not for ongoing projects or completed.
National Green Technology Policy
GT shall be a driver to accelerate the national economy and promote sustainable development.
1. To reduce the energy use rate at the same time increase economic growth
2. Facilitate the growth of the GT industry and enhance its contribution to the national economy
3. Increase national capability and capacity for innovation in GT development and enhance
4. Malaysia competitiveness in GT in the global arena
5. Ensure sustainability development and conserve the environment for future generation and;
6. Enhance public education and awareness in GT and encourage its widespread use
Four Pillars of National Green Technology Policy:
1. Energy : Seek to attain energy independence and promote efficient utilisation;
2. Environment : Conserve and lessen the impact on the environment;
3. Economy : Enhance the national economic development by technology; and
4. Social : Improve the quality of life for all.
National Green Technology Goals
Short-Term Goals: 10th Malaysia Plan
Increase public awareness and commitment for the adoption and application of GT through Widespread availability and recognition of GT in terms of products, appliances, equipment Increased foreign and domestic direct investment (FDIs and DDIs) in GT manufacturing Expansion of local research institutes and institutions of higher learning to expand research, development
Mid-Term Goals: 11th Malaysia Plan
· GT becomes the preferred choice in procurement of products and services
· GT has a larger local market share against other technologies, and contributes to the increased production of local GT products
· Increased Research Development and Innovation of GT by local universities and research Expansion of local SME s and SMIs on GT into the global market; and
· Expansion of GT applications
Long-Term Goals: 12th Malaysia Plan and Beyond
· Inculcation of GT in Malaysian culture;
· Widespread adoption of GT reduces overall resources consumption while sustaining national Significant reduction in national energy consumption
· Improvement of Malaysia ’s ranking in environmental ratings
· Malaysia becomes a major producer of GT in the global market; and
· Expansion of international collaborations between local universities and research institutions with GT
Government GT Initiatives
1. GT Roadmap & Electric Vehicle
2. Green Township: Putrajaya & Cyberjaya
3. Low Carbon City Framework (LCCF)
4. International GreenTech & Eco Products Exhibition & Conference Malaysia (IGEM)
5. Competency Development Centre (CDC)
6. Energy Audit Services’ (EAS)
7. Clean Development Mechanism (CDM)
8. Green Label, Green Directory, Green Procurement and Industry Development & SMEs Programme
The GTFS is crucial to the development of the GT industry in the country, which is foreseen as one of the drivers of economic growth.
Sustainability revolves on man’s consumption and the ills of the world are created by man’s unsustainable consumption.
There are a concentrated action needs us to do to save our planet and that needs are urgent.
Responsibility to save the world is not on the shoulders of governments only. Every person in the planet has their responsibilities.
Source : Green Tech Malaysia; BERNAMA and Borneo Post
Public-Private Partnership for Rural Poverty Eradication
(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of 1BINA.my)
The Government’s economic development framework continues to be based on a foundation of growth with equity.
The Government’s approach to distribution requires a fresh approach to respond to developments and changing circumstances.
The distributional policies of the Government will therefore be focused towards ensuring equality of opportunities for all.
The Government continue to stress rural development particularly for improving access to education and utilities, connectivity and upgrading rural economic activities.
Under the NKRA for rural basic infrastructure, the Government will upgrade roads as well as the supply of water and electricity in Sabah and Sarawak. Domestic integration in connectivity is critical to enable rural areas to leverage on cities as gateways for rural produce and economic opportunities so will help the poverty eradication efforts.
Government has implemented various special programmes to address poverty on a sustainable basis, especially in providing better housing and infrastructure, income generating opportunities, such as through agropolitan projects.
Agropolitan development strategies will use an integrated approach to advance rural development in agriculture, agro-based and other rural industries.
The main objective is to upgrade the income level and eradicate poverty among the rural population by providing the able-bodied poor with shares in land development projects.
This will include establishes centrally managed plantations, where poor families will be given shares of the estate.
The areas of resettlement will be provided with basic infrastructure such as roads, electricity and water, as well as social amenities such as community halls, mosques, libraries, playgrounds and business centres.
Each settler will be provided with housing and land for commercial farming, including livestock, crops or aquaculture, and participants are expected to earn a minimum monthly income.
A few support services and enablers will also be provided including capability building programmes, technology transfer for good agriculture practices, transport, marketing support and availability of consumer credit during the early stages of the project.
In the Tenth Malaysia Plan Government focus on poverty eradication shift towards the low-income segment, specifically the bottom 40%, this consists of 2.4 million households.
The strategy for the bottom 40% differs from the issue of poverty. It is not a case of dispensing assistance but ensuring that low-income households have the opportunity to enjoy better standard of living.
One of Malaysia’s long-standing development objectives is providing affordable housing for Malaysians in both rural and urban areas, with a focus on lower-income groups.
This effort play a key role in supporting successful efforts of poverty eradication.
Rimbunan Kaseh project is a Public-Private Partnership to transform rural areas to be able to keep sustainability by providing a comfortable home and infrastructure with the support of integrated modern agricultural activities.
Rimbunan Kaseh is spearheading by IRIS Corporation Bhd. To date the projects successfully implemented in Pahang and Perak.
There are two main components of the project which are IRIS Integrated Farming Methodology and IRIS Koto IBS Technology.
The company will develop low-cost housing using the “Koto” system, which is a new way to mass make energy efficient housing from the foundation right up to the roofing.
More importantly, it allows speedily execution in a construction of a single-storey landed property with a built-up of 900 square feet (83.61 square metres) can be completed within 10 days.
For the integrated farming, Iris is bundling the new farming technology into Rimbunan Kasih by introducing the AutoPot System.
IRIS Koto IBS Technology is intended to provide comfortable housing
This technology will reduce the construction period to just 60 days
Koto IBS system is a hi-speed, energy efficient, cost effective building system that is versatile enough to construct any building structure from portable mobile units, low, medium, high costs housing, factories, fire pods, high rise units and commercial units for tourism etc.
All Koto building components can be “Fully Integrated” from the foundation to the roof, with flexible design and simplified installation.
Koto building systems are manufactured on a hi-speed Processing Line to excellent tolerances.
This means it provides enough materials for up to 30 complete homes per hour from one of our processing lines.
All products have multi-purpose uses, can be fully integrated into various systems construction.
The uniquely reinforced composites are tough, ductile, easy to use, changeable, modify, (even if damaged) recycle, cost-effective, but most importantly the construction process is simplified for even the most sophisticated project without the need for highly skilled trades.
The raw base material can be “modified” to suit nearly any application or any “special needs” for any building types.
Koto surfacing offers many choices of finishes that can be applied to any surface in any weather condition or alternating temperatures.
Essentially, Koto hi-speed building products are a unique low cost formwork that comes to your site pre-finished for super fast installation that remains in-situ.
It is green, eliminates waste and those expensive human errors often found in conventional construction practices.
This project has shown it practicality and cost-effective. The Malaysian Industry-Government Group for High Technology (MIGHT) expects to replicate its high-tech self-contained initiative at 12 sites in the short to medium term.
This project provides a potential global template for addressing rural poverty and achieving environmental sustainability.
The Rimbunan Kaseh model community located on 12 hectare in Pahang, consisting of 100 affordable homes, high-tech educational, training and recreational facilities, and a creative, closed-loop agricultural system designed to provide both food and supplementary income for villagers.
The village's solar-generated power is complemented by biomass energy and mini-hydro electricity
It includes a four-level aquaculture system whereby water cascades through a series of tanks to raise, first, fish sensitive to water quality, then tilapia, then guppies and finally algae. The latter two products are used to feed the larger fish.
Filtered fish tank wastewater is then used to irrigate trees, grain fields and crops such as flowers and fresh produce, the plants grown individually in novel hydroponic devices.
The “auto-pot” is a three-piece plastic container that automatically detects soil moisture levels and waters plants precisely as required, reducing needs for costly fertilizers and pesticides as well as water.
Organic waste is composted to encourage worms and other organisms on which free-range chickens feed with the home-grown grains.
Besides access to reliable food supplies, villagers augment their monthly income by an estimated $400 to $650.
The village also equip with a community hall, resource centre, places of worship, playgrounds and educational facilities equipped with 4G Internet service supporting both e-learning and e-health services.
This project can stimulate rural growth with modern agriculture activities, balance development and economic activities between the urban and rural areas, provide income and improve living standards.
Source : Tenth Malaysia Plan; Malaysian Industry-Government Group for High Technology (MIGHT); DUN Sarawak; BERNAMA and Property Guru;
Anaerobic Digestor Plant Entry Point Project for Greater KL/ Klang Valley
(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of 1BINA.my)
The solid waste created in Malaysia is steadily increasing and the government is focusing on methods to approach the challenge.
Because of growing population and increasing consumption, the solid waste produced in Peninsular Malaysia an average of 0.8 kilogram per capita per day.
In Kuala Lumpur waste generation is about 3,000 tons a day and forecasts show that this will increase further in coming years.
Modern lifestyle has led to more chronic waste problems, convenience products need more packaging, improvident habits associated with greater wealth lead to greater quantities of waste, as showed by discarded wrappers from the fast food outlet, and the modern-day waste contains a higher proportion of non-degradable materials such as plastics.
About 95-97% of wastes collected are taken to landfill for disposals.
The remaining waste is send to small incineration plants, diverts to recyclers or reprocessors or is dump illegally.
Environmental awareness is building up within the Malaysian government as well as consumers’ minds.
The government has adopted a National Strategic Plan for Solid Waste Management with emphasis on upgrading unsanitary landfills as well as building new sanitary landfills and transfer stations with integrated material recovery facilities.
The local authority in most of the municipalities in Malaysia is responsible for the collection service of solid waste, even though some municipalities or city hall (for example Kuala Lumpur City Hall) has outsource to private companies.
The Solid Waste Management Act, 2007 will drastically change the structure of solid waste management in Malaysia and to open for developing a new business sector.
New concessions on for example domestic waste management will be introduced, recycling is expected to be highlighted, and handling of specific types of solid waste like plastic, paper are likely included.
Solid Waste Management
Solid waste management is a priority area under the 9th Malaysian Plan, as government has set up a Solid Waste Department which will be entrusted to enforce the Solid Waste Management Bill.
As the economic activity and population increases, managing solid waste is becoming a serious problem in all municipalities. Public health, air pollution, odour disturbance, hazardous gas emissions are among the common phenomena occurring in urban areas. In general, MSW disposal needs an adequate environmental control from waste collection to disposal and finally regular monitoring of disposal sites.
To manage the solid waste efficiently, four functional element interrelationships should practice well before the final disposal decision. According to, the first function element is the material generated at the source.
Materials that are no longer considered as valuable are discarded as waste, and the quantity and the characteristic of waste depends on the source.
The second function element is waste handling, separation and storage at site.
Wastes are separation before placing into the store containers. Paper, plastic, cardboard, ferrous metals, aluminium cans are some of these components.
This action is important before moving to the next point (collection).
In collection, solid waste is picked up and placed into empty containers with separate parts for recyclable materials.
Then, the collection vehicles collect the waste around the disposal centres manually before disposing into the disposal sites.
Open Dumping and Land Filling For Disposal of The Solid Waste
For many decades, all municipalities in Malaysia have practiced the open dumping and land filling for disposal of the solid waste. Landfills still cover 60 to 90% of the served areas, and are projected to cover more than 75% soon, with 80 % of the waste disposal sites having less than two years of remaining operating life.
Land filling is done almost solely through this method and open dumping is being practiced and takes place at about 50% of total landfills.
The landfills sites have five category according to the landfill stages. (i) open dumping sites, (ii) open tipping site, (iii) landfill with bund and waste disposal covered with layer of suitable cover materials, (iv) landfill equipped with pipe system for leachate recirculation and aeration, and (v) sanitary landfill.
There are 161 landfill sites available across Malaysia and only six landfills or 3.7% are in the sanitary landfills category, while 77 landfills still practice open dumping and have in an adverse impact on the environment and public health.
Implementing waste management hierarchy approach in developed country is common.
For example studies by Arner, Cooper , Clarke, Habitat, Hoorneg, and Thurgood  discussed the successful implementation of the waste management hierarchy for solid waste management.
The limitation of data and information for waste management hierarchy in Malaysia has placed a barrier for the Government to implement this approach.
On this problem, the government has plan to upgrade some of the existing landfill sites to sanitary landfills, build ten new sanitary landfills and 18 transfer stations during the Ninth Malaysia Plan.
These efforts are seen as further steps taken by the government in reaching the sustainable solid waste management in Malaysia for the short and middle term solution.
In the Seventh Malaysia Plan (1996–2000) on the other hand, the government bought seven mini-incinerators with a capacity of 5 to 20 tonnes a day to run in the resort Islands in Labuan, Tioman, Pangkor and Langkawi with a cost estimated at RM17 million.
Because of scarcity of land and high solid waste generation rate, especially in the central region of Peninsular Malaysia, the government opt to install three incinerator plants of large capacity in Kuala Lumpur, Selangor and Pahang.
Composting method is another alternative for solid waste disposal. Another potential method to handle the solid waste generation is recycling activities.
Recent studies revealed that, less than 5% of the total (almost 10,000 tonne/day) is actually separated and recycled, although many Malaysian waste has potential to be recycled.
In response to these critical phenomena, the government has take further initiative to relaunch the recycling campaign on 2nd December 2000 with a targeted 22% of waste recycled by year 2020.
Anaerobic Digestor Plant
As part of the initiatives under Entry Point Project Nine of the National Key Economic Area Greater KL/ Klang Valley, The Department of National Solid Waste Management will commence to construct an anaerobic digestor plant to treat food waste from hotels and restaurants.
The Department of National Solid Waste Management, Director General Datuk Dr. Nadzri Yahaya was quoted when was interviewed by BERNAMA in May 2012, as mention the agency is in the midst of identifying a suitable site in Kuala Lumpur and he assure that the site for the plant would be finalised by the end of the year.
The anaerobic digestor plant, to be constructed under the private financing initiative would have a minimum capacity of 50 tonnes of food waste.
The plant cost would depend on the proposal which was yet to be determined.
A food waste study, conducted by the department and concluded in November 2011, recommended the appropriate approach for food waste treatment such as a biogas facility.
Food waste is the second largest category of solid waste sent to landfills.
Anaerobic Digestion Process
Anaerobic digestion is a bacterial fermentation process that operates without free oxygen and results in a biogas containing mostly methane and carbon dioxide.
It occurs naturally in anaerobic niches such as marshes, sediments, wetlands, and the digestive tracts of ruminants and certain species of insects.
Anaerobic digestion is also the principal decomposition process occurring in landfills.
Anaerobic digestion systems are employed in many wastewater treatment facilities for sludge degradation and stabilisation, and are used in engineered anaerobic digesters to treat high-strength industrial and food processing wastewaters before discharge.
There are many instances of Anaerobic digestion applied at animal feeding operations and dairies to mitigate some of the impacts of manure and for energy production.
History of Anaerobic Digestion
Anaerobic digestion dates back as far as the 10th century, when the Assyrians used it to heat bathwater.
It was historically insignificant before reappearing in 17th century Europe, when it was determined that decaying organic matter produced flammable gases, again used to heat water.
The first full-scale application was in the 1890s when the city of Exeter, UK used it to treat wastewater.
From there, it continued to be widely used as a way to stabilise sewage sludge, as it is today.
The first systems were large, unheated and unmixed tanks with significant operational problems because of solid settling and scum formation.
These frequent system disturbances limited the adoption of the technology until the twentieth century.
Rural areas, especially in developing countries, have employed AD for centuries.
It is used as a sanitary and economic way to treat waste and produce fuel for use in heat and cooking.
Many of these facilities continue to operate in countries such as China and India, where organics dominate the waste stream.
In China, for example, organics make up 60% of the municipal solid waste in the country as a whole, and an even greater percentage in rural areas.
Most digesters are small and characterized by minimum technical automation and high levels of manual labour.
Solid Waste Anaerobic Digestion Technologies
A wide variety of engineered systems have been specifically developed for the rapid “in-vessel” digestion of solid waste and other types of organic wastes.
Each had its own special benefits and constraints.
Here the solid waste feedstock is slurried with most process water to provide a dilute (10-15 per cent dry solids) feedstock that can be fed to a mix tank digester.
There are several multistep wet digestion processes where the solid waste is slurried with water or recycled liquor and fermented by hydrolytic and fermentative bacteria to release volatile fatty acids which are then converted to biogas in a high-rate industrial wastewater anaerobic digester, usually an anaerobic filter or a sludge blanket reactor.
These systems are suitable for digesting biowaste and wet organic wastes from industries such as food processing.
This concept involves a continuously fed digestion vessel with a digest-state dry matter content of 20-40 per cent.
Both mixed and plug-flow systems are available.
Plug flow systems rely on external recycle of a proportion of the outgoing digest-state to inoculate the incoming raw feedstock.
In both cases, the requirement for only slight water additions makes the overall heat balance favourable for operation at thermophilic digestion temperatures (50-55°C).
This concept batch-loads the containment vessel with raw feedstock and inoculating it with digest-state from another reactor.
It is then sealed and left to digest naturally.
During this closure period, leachate from the base of the vessel can be re-circulated to keep an uniform moisture content and redistribute soluble substrates and methane bacteria throughout the mass of solid waste within the vessel.
When digestion is complete, the vessel is reopened, unloaded and refilled with a fresh charge of raw feedstock.
The sequencing batch concept is similar to dry batch digestion, except that leachate from the base of the vessel is exchanged between established and new batches to facilitate start up, inoculation and removal of volatile materials in the active reactor.
After the digestion process becomes established in the solid waste, the digester is uncoupled and reconnected to a fresh batch of MSW in a second vessel.
This concept is an accelerated and controlled landfill, designed to encourage the conversion of solid waste into methane.
A bioreactor landfill is typically divided into cells, and is provided with a system to collect leachate from the base of the cell. Collected leachate is pumped back up to the surface and distributed across the waste cells.
This transforms a landfill into, essentially, a large high-solids digester.
Anaerobic Digestion Benefit
Anaerobic digestion has the opportunity to be an integral part of the solution to two of the most pressing environmental concerns of urban centres: waste management and renewable energy.
Through anaerobic digestion, organics are decomposed by specialised bacteria in an oxygen-depleted environment to produce biogas and a stable solid.
Each of these products can be used for beneficial purposes to close the loop in organic waste management.
The biogas, which consists of up to 65% methane, can be combusted in a cogeneration unit and produce green energy.
The solid digest-state can be used as an organic soil amendment.
As a waste management strategy employed in over 20 countries, anaerobic digestion has been successful in reducing the volume of waste going to landfill, decreasing emissions of greenhouse gases and creating organic fertiliser, all at a profit.
Anaerobic digestion occurs naturally, without oxygen, as bacteria break down organic materials and produce biogas.
The process reduces the material and produces biogas, which can be used as an energy source.
Anaerobic digestion is particularly suited for organic waste with high moisture content such as kitchen waste and food waste, although it can be used for various types of waste streams.
Growing Interest in Using Anaerobic Digestion
Anaerobic digestion plants have been built and have been operational for many years for the treatment of mixed, municipal solid waste, for biowaste (obtained after source separated waste collection), for residual waste and for many types of industrial waste.
The technologies have been used successfully for over ten years in Europe where the industry continues to expand.
Anaerobic digestion is often the preferred biological waste treatment option in densely populated areas such as big cities or countries like Japan or Korea.
This is due to good odour production control and a reduced need for surface area.
The European market has shown a large preference for single-stage over two-stage digesters and a slight preference for dry digestion systems over wet systems.
However, the choice of AD technology depends on the composition of the waste stream, co-product markets, and other site-specific requirements.
The design of any new digester facility should be based on a thorough feasibility study, and special attention should be paid to all the treatment process, including waste collection and transportation, pre-treatment processing (i.e. pulping, grinding, and sieving), material handling, post-treatment processing (i.e. aeration and wastewater treatment), public education, and strategic sitting of the system.
Recently, anaerobic digestion has also become an important player in renewable energy production out of energy crops (e.g. corn).
The net energy yield per hectare is higher compared to producing biodiesel or bioethanol.
Also in biorefineries, anaerobic digestion could play an important role with high-value plant parts being used for green chemistry and residual vegetal matter (after processing or low-value plant parts) being treated in anaerobic digestion for producing energy and compost.
Future for Anaerobic Digestion of Solid Waste
An analysis of developing anaerobic digestion over the past 20 years shows there is now a greater diversity in applications, a wide range of types of systems and suppliers, and an increasing degree of implementation in most parts of the world especially in Europe.
A study conducted in Europe in midlast decade shows that anaerobic digestion has become a well established and accepted treatment for the organic fraction of municipal solid waste.
It become a good alternative to incineration or landfill disposal because of its lower environmental impacts.
Source : BERNAMA; Sakawi, Zaini, Municipal Solid Waste Management In Malaysia: Solution For Sustainable Waste Management, Journal of Applied Sciences in Environmental Sanitation, 6 (1): 29-38, (Mar. 2011); Tarmudi, Zamali, Abdullah. Mohd Lazim & Md Tap. Abu Osman, An Overview of Municipal Solid Wastes Generation in Malaysia, Jurnal Teknologi, 51(F) : 1–15, (Dis. 2009) Othman, Jamal, Economic Valuation Of Household Preference For Solid Waste Management In Malaysia: A Choice Modeling Approach, IJMS 14 (1), 189-212 (2007); Yahaya, Nadzri, Solid Waste Management In Malaysia -Policy Review, Issues and Strategies, (2007)
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RM1 Billion Domestic Investment Strategic Fund Will Accelerate Malaysian Companies Participate in Global Supply Chain
(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of 1BINA.my)
Prime Minister Datuk Seri Najib Tun Razak in early July 2012 announced the establishment of a RM1 billion Domestic Investment Strategic Fund.
Domestic Investment Strategic Fund is to speed up the participation of Malaysian-owned companies in the global supply chain especially in high-value added, high technology, knowledge-intensive and innovation-based industries.
The Malaysian Investment Development Authority (MIDA) manages the fund.
The package of assistance will be granted under Customised Incentive Scheme, based on the request of the companies and the merits of each case.
The fund will function to harness and leverage on outsourcing opportunities created by multinational corporations operating in Malaysia; intensify technology acquisition by Malaysia-owned companies and enable these companies to secure international standards/certifications in strategic industries.
The Fund does not offer an outright grant and is contingent on the investments of the applicant.
The Domestic Investment Strategic Fund will provide matching grants for training and R&D activities; undertaking of outsourcing activities; to comply with international standards; and for licensing or purchase of technology.
Company that are eligible to apply for the fund must incorporated under the Companies Act, 1965. New companies in the manufacturing and services sectors with Malaysian equity ownership of at least 60%. While existing companies in the manufacturing and services sectors with Malaysian equity ownership of at least 60% undertaking reinvestments (expansion or modernisation or diversification) are also eligible to apply.
Companies that producing promoted products or engaged in promoted activities in Aerospace; Medical Devices; Pharmaceuticals; Advanced Electronics; Machinery and Equipment; Renewable Energy; Services including design, R&D, testing, quality and standard certification, engineering services, technical and skills training and logistics service providers (3PL) are encourage to apply.
Source : MIDA and BERNAMA
NCIA Entering Second Phase of Strengthening Private Sector Participation in NCER
(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of 1BINA.my)
Northern Corridor Implementation Authority (NCIA) is entering the second phase of strengthening private sector participation in the regional economy starting next year (2013).
NCIA is the statutory body responsible for establishing directions, policies and strategies for the Northern Corridor Economic Region (NCER) development programs.
The NCER development encompasses the states of Perlis, Kedah, Penang and Northern Perak with a vision to achieve a world-class economic region by the year 2025.
It aims to become a sustainable economic region by a population living a balanced lifestyle with a holistic approach to business.
The reason behind NCER is increase the competitiveness of the country to help improvement in living standard of the nation.
NCER initiative is part of an overall move by the Government to promote balanced development across the different regions in Malaysia, while speeding up Malaysia’s move towards high-value, knowledge-driven economic.
Taken in combination, the programmes under the NCER initiative targets to increase the Region’s real GDP by 306%, from RM52.7 billion in 2005 to RM214.1 billion in 2025.
This would similarly increase real GDP per capita from RM8, 988 per annum in 2005 to RM24, 582 in 2025.
In employment, dramatic increases in agricultural productivity would increase the ratio of the number of hectares under cultivation in the number of workers needed.
Nevertheless, increased land being cultivated and increased manufacturing and services will more than compensate. It is anticipated that employment in the Region would increase from 2.43 million in 2005 to 4.0 million in 2025.
The NCIA has three-phased approach in its development-planning framework.
NCER development framework aims to deliver on its economic and social objectives by maximising value-add from existing industries in the Region and promoting new sources of growth.
Programmes and projects to improve human capital, infrastructure, innovation and competitiveness in the Region are projected to involve about RM177 billion of public and private sector investment from 2007 to 2025.
It is expected that one-third of the total amount will be spent by the Government, while the balance will be undertaken through Private Finance Initiatives (PFI) and private sector investment.
Within the national setting, the Northern Corridor will be Malaysia’s primary modern food zone, where staple food crops, and high-value fish, meat, fruit and vegetables will be farmed and processed for distribution domestically and for export.
The NCER within regional setting is strategically placed within the IMT-GT (Indonesia-Malaysia-Thailand Growth Triangle), and should accelerate economic links with Sumatera and Thailand, creating an economic hinterland that would enable the NCER to process, distribute and export products beyond what is farmed or produced within the 4 states.
The NCER within a Global Setting aims to become amongst the world’s top economic regions in electrical and electronics (E & E) production, as well as being a premier food production centre and tourist destination.
NCER has five (5) districts and major city setting namely: Island Corridor, Coastal Corridor, Central Corridor, Hinterland Corridor and Butterworth-Kulim-Baling-Pengkalan Hulu–Grik Corridor.
The Island Corridor comprises Langkawi and Pulau Pinang. Both will focus on premier tourism activities and distributive services by their international airports and seaports.
Medical services will also be promoted, leveraging on air connectivity to IMT-GT and other parts of the world.
The northernmost tip of the Coastal Corridor is the Padang Besar gateway to southern Thailand.
The Coastal Corridor extends through Nibong Tebal, Simpang Empat and Bagan Serai, which are predominantly agriculture-based centres.
In Kangar, education services are the major activity with links to Arau and Sintok.
The towns of Kuala Kedah and Kuala Muda are focusing on fisheries, in particular deep-sea fishing and marine food processing activities.
Coastal tourism and marine aquaculture activities will feature along the smaller fishing villages and towns.
Yan is designated as the petrochemical complex for the NCER. Initial plans are to build a petroleum refinery and storage facilities in the area.
The Central Corridor is the North-South Expressway, a highway that runs from Ipoh in the south to Bukit Kayu Hitam in the north.
The predominant activity will be the manufacturing corridor from Butterworth/Kulim to Gurun.
The E&E sub-sector and automotive assembly remain the major manufacturing activities in this zone.
Kamunting is another manufacturing cluster mainly for SME businesses involved in supplying to the large E&E companies or downstream agribusinesses.
The Hinterland Corridor starts from Kota Putra and ends in Kuala Kangsar.
The predominant activity is agriculture, ranging from commercial crops (rubber and oil palm) to fruit orchards and animal husbandry.
This corridor will host the envisaged food production zones in view of its predominant agriculture landscape.
Butterworth-Kulim-Baling-Pengkalan Hulu–Grik corridor connects the Butterworth logistics hub to the main industrial cluster in Kulim.
Major east-west roads along this corridor will be upgraded to improve east-west connectivity.
NCIA Chief Executive, Datuk Redza Rafiq was quoted as saying "The NCIA is confident of the continued interest of foreign direct investors in the region because of the complete eco-system in the Northern Corridor, namely the right business culture, the right skills, an efficient and comprehensive logistics network, and excellent facilities”
"At the same time, we want to carve out business opportunities for the local small and medium enterprises arising from the FDIs," Datuk Redza Rafiq told Bernama in an interview last week (23 June 2012).
The second phase will be achieved by sustaining an unbroken stream of foreign direct investments (FDIs) NCER, while, carving out business opportunities for local small and medium-sized enterprises.
The first phase of the NCER development started 2007 to 2012 with the focus on securing anchor investors and building priority infrastructure.
Last year, NCER attracted investments worth RM9.91 billion, of which 90.4 per cent were foreign investments mainly from the United States, Europe, and Japan in the manufacturing and agriculture sectors.
There are five (5) key trusts in NCER development that has been identified such as agriculture, manufacturing, tourism and logistics services where these areas have huge investment potential.
As for agriculture sector development in NCER, it will be revitalised to fulfil domestic demands and exports.
This will not only raise the output of agriculture, but also elevate the living standards of the farming communities, alleviating them from poverty.
NCIA will seek those with the knowledge, skills, tools and talent to help farmers deliver a better yield of high-quality agricultural products and accommodate them to modern farming methods, using biotechnology and environmentally friendly applications.
This will help produce better crops, boost production and meet global food standards.
NCIA is constantly on the lookout for ways to fine-tune aspects of NCER’s economy to retain its competitive advantage in manufacturing.
The NCER’s edge is its ability to fast track the implementation of high-end, value based manufacturing. As the national economy moves up the value chain in manufacturing, NCER aims to retain its lead in this sector by constantly reinventing itself through its ‘Centres of Excellence’ (COEs).
Tourism has been a vital role in the economic growth in NCER. NCIA plans to leverage on Penang and Langkawi’s strong grip in tourism to tap into the vast potentials and opportunities of the region’s hinterland including the natural wonders of The Royal Belum Rainforest and Bujang Valley.
NCER is strategically located within the IMT-GT and is adjacent to the Eastern Corridor.
The IMT-GT currently consists of:
· 14 provinces in Southern Thailand (Krabi, Nakhon Si Thammarat, Narathiwat, Pattani, Phattalung, Satun, Songkhla, Trang, Yala, Chumphon, Ranong, Surat Thani, Phang Nga, Phuket)
· 8 states of Peninsular Malaysia (Kedah, Kelantan, Melaka, Negeri Sembilan, Penang, Perak, Perlis and Selangor)
· 10 provinces in the island of Sumatra in Indonesia (Aceh, Bangka-Belitung, Bengkulu, Jambi, Lampung, North Sumatra, Riau, Riau Islands, South Sumatra, and West Sumatra)
The IMT-GT sub region is a classic growth triangle, characterised by many economic complementarities, geographical proximity, and close historic, cultural and linguistic ties.
With the total market more than 70 million and land area covering 602,293.9 square kilometres, the potential for growth and development for this sub region is huge.
Leveraging on this advantage, the vision is for NCER to be a major processing centre and entreport port.
NCER will tap into the produce farmed, and goods manufactured in the hinterland, which may be processed and shipped out through the Penang Port.
The Education & Human Capital Development Plan for NCER is consistent much in line with the goals of the 10th Malaysia Plan that is to put more emphasis on human capital development, to creating a skilled, efficient and morally sound workforce that can meet the demands of the 21st century.
For the second phase of NCER development, plans and programmes are being formulated.
There are attractive initiatives will be offered including the formulation of the Perlis Strategic Development Plan, the Belum-Temengor Rainforest Integrated Master Plan, a Strategic Plan to Reposition the Kulim Hi-Tech Park and an economic transformation blueprint for the Greater Kamunting region.
Source: NCER, IMT-GT and BERNAMA
 2005 GDP for Perlis, Kedah, Pulau Pinang and Perak (total state) at 1987 prices. Calculated using Malaysian GDP in 2005 at 1987 prices from “The Malaysian Economy in figures, 2006”, published by Economic Planning Unit (EPU); and the state-by-state share of GDP in the same year, p. 32 of the Third Industrial Master Plan (Data Source: EPU). Based on the Eighth Malaysia Plan forecast, the GDP at 1987 prices for the four states = RM64.2 billion
 Calculated from Northern Region GDP and Northern Region population (p. 361 of Ninth Malaysia Plan)
 Eighth Malaysia Plan forecast
 Excludes self-employment
Teraju Helps Bumiputera Companies in ECER Through Dispersing RM100 Million Fund
(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of 1BINA.my)
Bumiputera Agenda Steering Unit or Teraju will help developed Bumiputera companies in the East Corridor Economic Region (ECER) to ensure their active participation in driving the country's economy.
Thus, the government has allocated RM100 million fund for this year and next that will be channelled through the Facilitation Fund manage by Teraju.
Through this fund, it is hoped that entrepreneurs in ECER region will use the funds the best possible way to expand and bring up their businesses.
ECER covers the states of Kelantan, Terengganu and Pahang, as well as the district of Mersing in Johor.
The ECER covers an area measuring more than 66,000 sq km, more than half of Peninsular Malaysia with population about 3.9 million, which is 14.5% of the total population of Malaysia.
ECER is managed by East Coast Economic Region Development Council (ECERDC) which is chaired by the Prime Minister, Dato’ Sri Mohd Najib Tun Abdul Razak.
ECERDC is a statutory body established under an Act of Parliament, the East Coast Economic Region Development Council Act 2008 (Act 688), to drive the implementation projects and key programmes identified in the ECER Master plan.
The ECERDC is empowered to provide for the proper direction, policies and strategies in the development within ECER.
The Council is also empowered to provide for coordination between Government entities in promoting trade, investment, tourism and development within the ECER.
As outlined in the ECER Master Plan, economic growth in the Region will be propelled by the key clusters of Tourism, Oil, Gas & Petrochemical, Manufacturing, Agriculture and Education.
The cluster development approach is in synergy with the National Key Economic Areas (NKEAs) which have been identified under Malaysia’s Economic Transformation Programme (ETP).
All the projects implemented are in line with the New Economic Model (NEM) including Entry Point Projects (EPPs).
It emphasis on private investment-led initiatives and will contribute significantly to the Gross National Income (GNI).
The Region is set to prosper with an increase in population to 4.3 million and with new jobs growing by 560,000 to a projected total of 1.92 million employment opportunities.
ECER is expected to become a major trade and industrial gateway. It offers investors access to the vast, burgeoning markets of the Asia Pacific region and beyond, encompassing a vibrant market of about two billion people.
ECER can create the needed mass and demand to propel property development in the region as it can boost the property sector and property prices in long-term.
As a long-term game, the higher impact would be on industrial development in buildings and land for industrial.
Besides its distinctive, dynamic and competitive attributes, ECER has also attracted investors through its investment-friendly policies and incentives.
To enhance ECER’s appeal as an ideal investment destination, a package of attractive fiscal and non-fiscal incentives have already in place for investors who choose ECER as their base.
ECER fiscal incentives include ten years income tax exemption from the year a company derives its statutory income; five years Investment Tax Allowance (ITA) of 100 per cent on qualifying capital expenditure; import duties and sales tax exemption and customised incentives to companies based on the merit of each case.
These incentives are awarded to projects that commence operations before 31 December 2015.
Overall, ECER has identified around 189 projects worth an estimated value of RM112 billion for implementation in the Region up to 2020. Of these, 54 high-impact projects have commenced.
These include the launch of the Centres of Excellence to foster industry-academia collaborations, the development of the Kenaf industry, Kertih Polymer Park, Lanchang Permanent Food Production Park and Modern Farm, Gambang and Pasir Mas Halal Park, Pekan-Peramu Automotive Industrial Park, Kuantan Port City, Kuala Berang Goat Research & Innovation Centre, Goat Multiplier Farm in Kuala Berang, Goat Commercial Farm in Telaga Papan, Muadzam Shah Cattle Research & Innovation Centre, upgrading of the Central Spine Road, Small Office Home Office (SOHO) Programme, Mersing-Sedili Road, Bentong Mixed Industrial Park, and the Herbal & Biotechnology Park.
To help the local community improve their income and standard of living as well as accelerate rural economic growth various social development programmes also been initiated.
The Agropolitan Project in North Kelantan, South Kelantan, Besut-Setiu, Terengganu and Pekan, Pahang which is designed to eradicate hard-core poverty through various integrated agricultural and agro-based development projects.
The Government also has moved decisively to fast-track the setting up of the ECER Special Economic Zone (ECER SEZ).
The ECER SEZ acts as the national development catalyst for concentrated decentralisation of economic activities in line with the New Economic Model, which aims for a dynamic and competitive Region of growth.
First in Malaysia, SEZ is a concentrated area with many high-impact projects.
By declaring the area an SEZ and supporting it with unique privileges and exclusive incentives, it attracts local and foreign direct investments into the Region. It compensating for any fallback caused by the prevailing global economic crisis.
The ECER SEZ comprises an area the size of 25km by 140km strip that extends from Kertih, in Terengganu to Pekan, in Pahang.
It comprises new townships, international tourism sites, 4 ports, 2 airports and a knowledge innovation zone. It is the ideal stretch along the east coast for further urbanisation, given its established cities and towns.
The ECER SEZ acts as a catalyst for concentrated decentralisation of economic activities in line with the New Economic Model.
It will speed up growth, where manufacturing and commercial activities are promoted and conducted on preferential excise terms, supported by good infrastructure development as well as knowledge-based and capacity-building programmes.
ECER SEZ is the only zone of its kind in Malaysia, set to experience unprecedented growth and generate a ripple of development throughout the ECER through its significant multiplier effects.
It is now one of the larger SEZs in Asia with 390,000 hectares comprising 25,000 hectares of SEZ Focus Nodes.
ECER SEZ population expected to grow to 1.3 million and will create 220,000 new jobs, by 2020.
Its economy will move from labour-intensive industries to high-technology, knowledge-based activities and the service sector.
Though ECER SEZ forms only 6% of land mass of the entire ECER, it will have a significant impact as it will create 50% of all jobs and 80% of economic output.
The ECER SEZ is poised to become a strategic destination for investors given its position to access the vast markets of the Far East and the Asia Pacific, with a total population of 4 billion and a combined GDP of US$17 trillion.
Investment within the ECER SEZ is estimate to total RM90 billion up to 2020.
Unit Peneraju Agenda Bumiputera (Teraju) was established on 2nd February 2011 and officially announced by the Prime Minister, Dato’ Seri Najib Tun Abdul Razak on 8 February 2011.
Teraju’s goal is to create a long-term plan to strengthen Bumiputera participation in the economy.
This includes identifying various factors that inhibit the participation of Bumiputeras in “Entry Point Projects” (EPPs) as well as measures that need to be taken to achieve a more balanced Bumiputera representation in the economy.
Teraju was set-up as a Unit in the Prime Minister’s Department, reporting direct to the Prime Minister and the “Majlis Tindakan Agenda Bumiputera” (MTAB).
This Unit has also been tasked to act as the Secretariat to MTAB and the “Skim Jejak Jaya Bumiputera” (SJJB).
The setting up of Teraju to spearhead, coordinate and drive the Bumiputera agenda forms part of the country’s Transformation Plan towards becoming a high-income, developed, resilient and competitive Nation.
Teraju will carry out various initiatives, new and existing, as well as recommend measures to be taken, to increase the effectiveness of Bumiputera development programmes and initiatives.
Teraju work closely with various parties to strengthen Bumiputera development initiatives.
For this, Teraju will streamline and ensuring speedy and effective results. It includes reviewing existing Bumiputera development initiatives to strengthen Bumiputera entrepreneurship, participation in high-income jobs and develop capacity for wealth creation.
Teraju will also look in enhancing institutional effectiveness by reviewing existing institutions involved in delivering the Bumiputera agenda. It’s rationalised the functions of these institutions and ensure that mandate and skills-sets are relevant to current context.
Teraju will work with other agencies to detail out new programmes, identify and solve implementation bottlenecks, escalate to MTAB for decision making and monitor status of implementation.
Teraju also proactively will ensure clear aspirations and targets set across key focus areas of employment, entrepreneurship and wealth creation and assess impact of initiatives and refine implementation strategies.
TERAS - The High Performing Bumiputera SME (HPBS) Programme which is intended to develop the next generation of world-class Bumiputera entrepreneurs across all 12 National Key Economic Areas (NKEAs).
TERAS Programme will play a fundamental role in the Bumiputera Development Agenda, to develop Bumiputera SMEs that can grow and be competitive.
As a starting point, 1,100 Bumiputera SMEs comprising the top 100 medium Bumiputera SMEs and top 1000 small or micro companies will be identified using clearly define standard as well as an open and transparent process.
This Programme aims to increase Bumiputera SMEs’ participation in the economy by enabling SMEs to scale up, accelerate their growth and compete in the open market.
This Programme emphasis on developing quality Bumiputera SMEs that trigger various business opportunities for themselves and other Bumiputera SMEs.
It is the Government’s hope that these SMEs will meet the target of 20% contribution to Nation’s Gross Domestic Product (GDP), by the year 2020.
This involves collaboration with various Government Agencies, Government Linked Investment Companies (GLICs), Government Linked Companies (GLCs) and private sector to provide business opportunities, talent and funding.
This fund was announced by the Prime Minister at the fifth meeting of the Bumiputera Agenda Action Council, and will be for the use of qualified Bumiputera companies in the Entry Point Project (EPP) initiatives.
The fund is established to provide support for Bumiputeras Private Finance Initiatives (PFI).
It will be a catalyst for Bumiputera companies to carry out big projects with a minimum qualifying project investment value of RM20 million.
This fund will provide additional incentives for Bumiputera companies that apply for assistance under the High Performing Bumiputera Small-and-Medium Enterprises (TERAS) programme as well as other initiatives that have been launched or under plans for Bumiputera companies.
Source : ECER Annual Report 2010; TERAJU and BERNAMA
Sungai Udang LNG Regasification Terminal boost Malaysia GNI RM 8 Billion more
(By: Sharifah Nor Aini Shariff Hussain, Freelance Sub Editor of 1BINA.my)
Energy is an important factor in Malaysia's economic growth. It accounts about 20% of Gross Domestic Product (GDP).
This sector's contribution to the Gross National Income (GNI) is expected to rise from RM110 billion in 2009 to RM241 billion in 2020.
The Oil, Gas and Energy (OGE) are expected to contribute 5% annual growth from 2010 to 2020.
OGE is also part of National Key Economic Area (NKEA) which focusing on four key thrusts: sustaining oil and gas production, enhancing downstream growth, making Malaysia the number one Asian hub for oilfield services and building a sustainable energy platform for growth.
The OGE NKEA Lab in 2010 identified 12 Entry Point Projects (EPPs) as well as two business opportunity thrusts.
A significant proportion of these jobs will be highly-skilled, with an estimated 21,000 (40 per cent) for qualified professionals such as engineers and geologists.
The OGE NKEA also focusing on growing the downstream area of the sector, providing insulation against price shocks in the global commodity market.
In 2011, the Petroleum Income Tax Act (PITA) Amendment Bill was approved. Major industry players such as Shell and PETRONAS have also made significant investments into the sector.
The Malaysia Petroleum Resources Corp (MPRC) was set up to streamline cooperation between the Government and private sectors.
As part of stimulating NKEA, the Entry Point Projects (EPP) in Malaysian OGE sector aim is to rejuvenate existing fields through enhanced oil recovery (EOR).
EOR uses methods to increase of oil recovered from the underground reservoirs from 20% to 35%, to 30% to 50%.
PETRONAS has a strategy to ensure EOR techniques are deployed to extract more oil from the nation's oilfields.
It would review the Production Sharing Contract (PSC) terms and introduce new petroleum arrangements to incentivise implementing EOR techniques.
It would also attract companies with specialised EOR expertise to operate here and ensuring the most innovative methods and technologies are being disseminated and deployed to reduce capital and operating costs.
In January 2011, ExxonMobil committed to invest over RM10 billion in EOR techniques.
On 16 January, Shell and PETRONAS signed two and new PSCs for EOR projects offshore Sarawak and Sabah.
Shell has committed RM5.1 billion into projects to upgrade, expand and build its facilities across Malaysia.
As one of the EPP: Unlocking Latent Gas Demand is Malaysia’s first LNG regasification terminal off the Sungai Udang port in Melaka.
This facility is expected to commence operations this year and was built below the original budget of RM3 billion.
The rationale behind this EPP is because of the trend that shows the lack of gas supply in Peninsular Malaysia, driven by declining domestic gas production will resulted in limited additional investment from new industries, such as glass and plastics manufacturers and semiconductor wafer manufacturers, as well as preventing current industrial diesel and liquefied petroleum gas (LPG) users from switching to more competitively priced natural gas.
It is estimated there would be more than 500 million standard cubic feet per day (mmscfd) of additional latent gas demand by 2020.
To meet this growing latent gas demand, a liquefied natural gas (LNG) regasification terminal will be built to treat imported LNG. To make gas imports economically feasible, the gas will be sold at a liberalised and unsubsidised price.
This regasification terminal is expected to contributing of the increase in Malaysia GNI as it will supply gas to companies that previously did not invest in Malaysia because of lack of gas supply would.
It would provide RM8 billion GNI increase and will create 27,000 new jobs.
The operation of the terminal and transmission pipelines will generate an additional RM0.6 billion in GNI to Malaysia.
The plant, which has reached its mechanical completion, will be undergoing various testing before receiving its first LNG shipment at the end of August.
PETRONAS Gas managing director and chief executive officer Samsudin Miskon said at a media briefing (early June 2012) the company was in talks with several parties that were interested in using facility.
Samsudin said the liberalisation of the gas sector allowed any third-party to bring in gas supply for themselves or for clients.
Currently, 100% of the capacity at the LNG regasification would be taken up by PETRONAS Gas.
However, he said the company was willing to scale down the capacity for any third-party interested in using its facility.
In anticipation of third-party access, PETRONAS Gas had published the PETRONAS Gas Network Code in December 2011.
The code will govern the use of the terminal and the pipeline network to ensure discipline and fairness among users so customers are well-served.
The project was officially announced by the Prime Minister on June 10, 2010 under the 10th Malaysia Plan.
The LNG regasification terminal situated three kilometres offshore Sungai Udang, Melaka
The terminal managed by Regas Terminal (Sg Udang) Sdn Bhd, incorporated in December 2011 as a wholly owned subsidiary of PETRONAS Gas Berhad (PGB).
The facilities at Sungai Udang have a maximum capacity of 3.8 million tonnes per annum.
There will be subsea and offshore pipelines to transport the regasified LNG to the Peninsular Gas Utilisation (PGU) pipeline network, about 30 kilometres away from Sungai Udang.
The project was developed in anticipation of future increase in gas demand in the face of depleting indigenous gas reserves, as part of PETRONAS’ efforts to ensure sufficient and secure natural gas supply for Malaysia.
Its implementation has also enhanced the capability of the local players involved in the project, exposing them to new technologies and expertise that would be beneficial to their growth and developing Malaysia’s oil and gas industry.
LNG stands for Liquefied Natural Gas - natural gas in its liquid state.
Natural gas becomes LNG when it's cooled to around -160ºC at atmospheric pressure.
The transformation in state results in significant volume reduction, paving the way for the long haul transportation of larger quantities.
Regasification is a simpler process than liquefaction. The regasification process falls into the framework of what is known as “Gas Chain”.
Simply put, the LNG is heated up until it returns to a gaseous state.
In regasification terminals, the liquefied natural gas is returned to its initial, gaseous state, and then fed into transmission and distribution networks.
LNG transportation tanks are well insulated to keep the LNG temperature down below -161º, ensuring the LNG retains its liquid form.
Following transit, the LNG is pumped out of the tanks and warmed until it returns to natural gas.
Source: Pemandu; ETP ANNUAL REPORT 2011; PETRONAS; PetGas LNG regasification terminal draws interest - The company is in talks with several parties, says CEO, The Star, 1 June 2012.
Cyberjaya Will To Be Fully Developed In 15 Years
Cyberjaya is the key part of the Multimedia Super Corridor (MSC), the nation’s vision to jump-start the development of Information Communication Technology (ICT).
MSC is a 15km by 50km band extending from the Kuala Lumpur City Centre to the Kuala Lumpur International Airport (KLIA).
Cyberjaya is Malaysia's 1st model cybercity within the Multimedia Super Corridor (MSC).
Spanning 7,000 hectares, the city was launched by Tun Dr Mahathir Mohamad on July 8, 1999.
Since it initiation, Cyberjaya has since developed into a self-contained city with world-class IT infrastructure, low-density urban enterprise, and state of the art commercial, residential, enterprise and institutional developments.
Cyberjaya started as a hub designed to attract research and development initiatives but eventually became one of the primary international locations for the global shared services and outsourcing (SSO) sector.
Located to the west of Putrajaya. Cyberjaya is developed as a model intelligent city, a unique greenfield environment within which one can live, study, work and play.
One of the objectives of Cyberjaya is to create an ideal environment that be the test bed for new technologies and applications.
The city is fully equipped with wireless interactive city broadband services, fibre-optic networks and the latest technologies in information technology infrastructure and facilities.
Cyberjaya is environment-friendly and boasts the latest technology in infrastructure and facilities.
In line with this, it is the city incorporates low-density development revolving around green reserves and an excellent infrastructure.
It'll strike a balance between commercial development and residential areas with adequate recreational and public facilities in harmony with its natural surrounding including those for the physically handicapped.
Cyberjaya, with Putrajaya, are embarking as a Pioneer Townships in Green Technology as well as a showcase for developing other townships.
As for that, Cyberjaya has embarked on a district-cooling system as an initiative to lower the cost of doing business in Cyberjaya, to remain competitive and to preserve the environment.
The district-cooling can reduce electricity usage by more than 65% compared with traditional air conditioning systems.
Some RM58 million will be invested for expanding the system in the next two years.
Because of it green initiatives, Cyberjaya was selected as one of Japan's 2011 FutureCities, at its international forum on the "FutureCity Initiative" on Feb 21.
The FutureCity Initiative is one of Japan's national strategic projects, identified in its New Growth Strategy which was decided by the Japanese government in June 2010.
The purpose of the initiative is to resolve issues such as environment and ageing societies to create cities that are home to human-centred values.
Based on the initiative, the Japanese government will select several cities as the first models of FutureCities in Japan and will seek information on leading practices in sustainable city development in the world.
The Japanese government aims to create unparalleled successful cases to revitalise urban or regional areas and realise sustainable economics and societies.
The green initiative also included planting 3,000 trees on a 10 acre-land, called "Cyberjaya Urban Forest" and within the next two years, another 5,000 to 6,000 trees would be planted and by 2020 there would be 150,000 trees in the area.
More than 600 MSC-status companies are in operation here. They include SMEs involved in programming, software development, R&D and design development.
Many multinational companies like HSBC, Huawei, Dell and IBM, among others, call Cyberjaya their home, with offices and staff based in Malaysia to support their regional business presence.
These multinational corporations chose Cyberjaya for the same reasons other international investors recognise in Cyberjaya as a conducive ecosystem, sound infrastructure, attractive government incentives, Bill of Guarantees and the perfect address to live, study, work, and play in.
The number of local and international companies in Cyberjaya has reached 621 to date, double the initial number of 302 between 1998 and 2007.
Cyberview Sdn Bhd. (Cyberview), a Government owned company. Established in October 1996, Cyberview is the landowner of Cyberjaya and has been mandated to spearhead the development in Cyberjaya.
As the landowner of Cyberjaya, Cyberview's mission is to realise Cyberjaya as a global MSC Malaysia Cybercity hub and the preferred location for ICT, Multimedia and Services for innovation and operations; and to fulfill specific Government initiatives in support of the innovation economy.
Cyberview also introduce initiatives such as creating the Knowledge Workers Development Institute which facilitates ensuring knowledge workers for the industry.
As for that, Cyberview has sent recommendations to the government to allow for additional enabling tools to be
Public Housing Programmes Expected Provide Further Opportunities
The Government recognises the housing sector is a key driver of the Malaysian economy.
Before the global financial crisis the Government invested RM330 million in the 2009 Budget, allocated to Government agencies to build the Public Housing Programme.
In current economic climate, more to do to ensure that housing remains a buoyant part of the economy and affordable for Malaysians.
That is why the Government dedicated RM1.2 Billion from the RM7 Billion fiscal stimulus package to add further investment in the housing sector.
These programmes aim to increase affordability by making special funds accessible to greater cross-section of community who have capacity to service a loan but cannot get loans because of an inability to show proof of steady earnings.
These public housing programmes expected provide further opportunities for the almost 140 trades which are programmes or indirectly connected to the property and construction industries.
In his 2012 budget speech, Prime Minister, Dato Seri Mohd. Najib bin Tun Abdul Razak announced the Government intent of expanding the My First Home Scheme.
This scheme introduced in March 2011 to meet the demand for houses from those earning below RM3, 000.
The Government proposes to increase the limit of house prices from a maximum of RM220, 000 to RM400, 000. This improved scheme will be available to house buyers through joint loans of husband and wife beginning January 2012.
The Government also set up the 1Malaysia People’s Housing (PR1MA) as the sole agency to develop and keep affordable and quality houses, specifically for middle-income group.
PR1MA will play a main role in ensuring delivering the housing units are transparent and fair through an open balloting. In 2011, 1,880 houses will be built in Putrajaya and Bandar Tun Razak.
PR1MA is the developer for projects on land owned by the Government. The Government intends to develop several plots of Government-owned land around Sungai Besi and Sungai Buloh.
The Government will also identify areas around MRT, LRT and other public transport system to develop by PR1MA for housing projects.
In addition, PR1MA also welcomes the cooperation with private sector to develop similar projects.
, Several private developers responded to the Government’s call to provide affordable and quality housing.
In 2012, 7,700 houses will be built in Cyberjaya, Putra Heights, Seremban, Damansara and Bukit Raja.
House prices under PR1MA scheme are lower than market prices as the land and facilitation funds are provide to developers.
The Government will also provide 100% stamp duty exemption on loan instruments for the purchase of houses.
To protect buyers from risks of projects being delay or abandon, the Government will encourage building more houses using the build then sell.
, Islamic banks have agreed to provide shariah-compliant financing and undertake construction risks.
Instalments only begin after the house is complete. This scheme is use for houses costing RM600, 000 and below.
As for Program Perumahan Rakyat (PPR) targeted for the lower income group, Government will build 75,000 units of affordable houses nationwide under the 10MP.
In 2012, RM443 million is allocated for building 8,000 units for sale and 7,000 units to rent.
While under Rumah Mesra Rakyat (RMR) programme, those with land but without a house or live in run-down houses are eligible for financing to build a house.
RMR which is managing by Syarikat Perumahan Negara Berhad (SPNB) will continue to help the low-income group to own decent houses.
SPNB will build 10,000 units in 2012. For this, the Government will allocate RM200 million. Each house costing RM65, 000 will sell for RM45, 000 and the Government will subsidise RM20, 000.
The Government successfully rehabilitated and got the Certificate of Fitness (CF) for 82 projects involving more than 15,000 units through the Abandoned Housing Rehabilitation Programme.
Government agree to allocate a sum of RM63 million in 2012 to rehabilitate 1,270 abandoned houses a part from the RM40 million allocation for restoration and maintenance of public and private low-cost housing.
Further, to complement government efforts, GLCs and the private sectors are encourage offering houses through their corporate social responsibility (CSR) programmes.
The private sectors are encouraged to develop more affordable medium-cost housing. Further, efforts are undertake to integrate facilities that will encourage greater community development and better access for older people and people with disabilities.
Developing a Public-Private Partnership in Infrastructure Development
RM62.7 billion will use to create public-private partnerships.
To decrease role of government in business and influence the abilities of the private sector, the government will:
· Increase privatisation and public-private partnerships to improve efficiency in delivery of services and reduce the financial load on government
· Use a facilitation fund (RM20 billion) to support private sector projects with strategic value for the nation (in infrastructure, education, tourism, health, etc.)
· Achieve a proper balance between government, GLCs, and the private sector that ensures Malaysian firms can effectively regionalise and globalise
Some areas of infrastructure the government aim to progress are:
· Broadband Internet services (target of 75% household penetration by 2015)
· Physical infrastructure that increases access and connectivity (multimodal transport services, rail development, maritime infrastructure, and airport development)
· Energy sourcing and delivery (by encouraging existing industries to expand into high-value added activities and attract new investments)
· Public-private collaboration will improve to encourage industry participation in course provision and industrial attachments
The government’s Special Task Force to Facilitate Business (PEMUDAH) has already helped make Malaysia an easier place to do business through developing public-private partnerships
To help ease public-private partnerships in infrastructure development, the government will:
· Use about 40% of the total funding for the 10MP for developing soft infrastructure, compared with 22% in the Ninth Malaysia Plan, focusing on skills development and innovation rather than physical infrastructure
· Provide opportunities for private sector investment to invest in physical infrastructure alongside with the delivery of services
Promoting Inclusive Growth by Improving the Livelihoods of the Bottom 40% of Society
To improve the livelihoods of the bottom 40% of households, the government intends to:
· Increase income generation potential through education and entrepreneurship programmes
· Strengthen access to basic amenities
· Tailor programmes to target groups with specific needs such as the Bumiputera in Sabah and Sarawak as well as Orang Asli communities
To further enable an inclusive society along the 1Malaysia idea, the government plans to:
· Develop programmes to encourage the inclusion of marginalised groups (women, youth, children, the elderly, and persons with disabilities)
· Pay special attention to the family unit as a part of society that needs tailored economic support
· For specific development for rural areas, the government plans to:
· Build 72% of the 10MP’s 3,580km of total planned roads in Sabah and Sarawak
· Extend electricity coverage to rural areas using alternative systems such as mini-hydro and solar-hybrid energy systems (100% coverage in Peninsular Malaysia and 99% in Sabah and Sarawak by 2015)
· Increase rural coverage of treated water supply to 99% in Peninsular and 98% in East Malaysia by 2015
· Build 197 new clinics (156 in rural areas and 41 as community health clinics) and 50 1Malaysia clinics
· Build four new hospitals and four replacement hospitals between 2010 and 2012
· Increase the number of mobile clinics, flying doctor services, and village health promoters in rural areas
· Build 78,000 new affordable public housing units with low-cost units given to qualified individuals and families with incomes lower than RM2, 500 a month.
· Set up a Housing Maintenance Fund for residents of low-cost housing units to conduct repairs
· Poverty eradication agencies such as the Ministry of Housing and Local Government will give greater mandates to cover and help the bottom 40% of households