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Harnessing Hydrogen: Empowering Malaysia's Clean Energy Future

Published 23 August 2024

Malaysia stands at a pivotal juncture in its energy evolution, confronting the urgent need to reduce CO2 emissions and secure a sustainable future.

With 91% of its energy sourced from fossil fuels, the nation faces pressing environmental challenges. Embracing a visionary path towards net zero by 2050, Malaysia is turning to green hydrogen as a transformative force in its decarbonisation journey. 

Green hydrogen offers a compelling solution for Malaysia. When combusted with oxygen, green hydrogen only emits water vapour and heat, making it a clean energy source. With the strong renewable energy capacity in Sarawak, Sabah and Peninsular Malaysia, the country is poised to establish a robust hydrogen industry. 

By harnessing hydro and solar power through methods like electrolysis and gas reforming, Malaysia can viably pursue large-scale sustainable hydrogen production while preserving environmental integrity. 

Forging the path to green energy 

Central to Malaysia's strategy is the Hydrogen Economy Transition Roadmap (HETR), outlining a phased approach to advance technology, ensure domestic supply stability and foster export initiatives.

The roadmap forecasts substantial economic benefits, projecting up to RM400 billion in revenue by 2050 and an annual GDP contribution of RM187.89 billion from 2041 onwards. 

Recognising the global nature of hydrogen development, Malaysia emphasises international cooperation to enhance technology adoption and standardisation. Key partnerships with nations like China, Japan, South Korea, and Singapore underscore Malaysia's commitment to becoming a leading hydrogen exporter. 

These collaborations are bolstered by government-to-government initiatives, facilitating policy frameworks and incentives crucial for hydrogen innovation. Highlighting Malaysia's commitment to energy transition, notable investments include a nearly RM400 million partnership between PowerChina’s subsidiary China Hydropower and Semarak Renewable Energy in Perak. This initiative focuses on constructing floating photovoltaic power generation and a 60MW solar plant, marking a significant step towards sustainable energy practices. 

Malaysia's green energised future 

Fuelled by a focus on sustainable energy, Malaysia's future outlook on the hydrogen economy is optimistic. Investment in research and development will facilitate harnessing green hydrogen from renewable sources, while public-private partnerships will continue to bolster technological and financial capabilities. 

Aligned with national objectives, Gentari, through its subsidiary Gentari Hydrogen, has embarked on a joint venture with SEDC Energy (SEDCE) to establish a central hydrogen production hub in Bintulu, Sarawak. Motivated by our purpose to address pressing sustainable energy needs, this initiative aims to supply green hydrogen to regional projects, enhancing Malaysia's competitive edge in the global hydrogen market and reinforcing its leadership in sustainable energy solutions. 

Additionally, Gentari is actively involved in international collaborations to advance Malaysia’s decarbonisation efforts. We signed a memorandum of understanding with Asahi Kasei and JGC Holdings Corporation to pursue a front-end engineering design study, developing a 60 MW class alkaline water electrolyser for green hydrogen production. This global alliance enables us to transport cutting-edge technologies and innovative solutions to the country, accelerating Malaysia’s journey towards a sustainable energy future. 

These collaborations have highlighted Gentari’s commitment to national goals and ambitions. Leveraging our expertise and collaborative spirit, we stand ready to take the #NextStep with our customers and partners in Malaysia and the region to contribute to a cleaner, greener world. 

With a steadfast focus on innovation and collaborative partnerships, Malaysia is poised to lead in green hydrogen production, driving towards its net zero emissions goal by 2050. Through strategic investments and visionary initiatives, the country not only transforms its energy landscape but also sets a benchmark for global resilience in the face of climate challenges.

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