Malaysia is gearing up to launch its Hydrogen Economy and Technology Roadmap. The roadmap’s primary goal is to attract investments in green hydrogen production, with the ambition of positioning Malaysia as a prominent global green hydrogen export hub by 2027.
This move aligns with the National Energy Transition Roadmap (NETR) and is driven by collaborations between the federal government, state governments, and major utilities like Tenaga Nasional Bhd (TNB).
Green hydrogen, touted as a clean fuel alternative, is gaining significant attention due to its potential to revolutionize the energy landscape. Minister of Natural Resources, Environment, and Climate Change, Nik Nazmi Nik Ahmad, emphasized the economic and environmental benefits that green hydrogen could bring. The roadmap aims to unlock Malaysia’s hydrogen economy potential, leveraging its natural gas production capabilities to transition into the green hydrogen sector.
Despite its promise, the production of green hydrogen has posed challenges, mainly related to cost. Producing hydrogen using renewable energy is currently expensive, and proponents estimate it costs at least US$250 per barrel of oil equivalent. This cost disparity highlights the need for strategic investments and technological advancements to make green hydrogen production economically viable.
Key players in Malaysia’s push for green hydrogen include the national oil and gas company, Petronas, and the Sarawak state government. Sarawak’s vast hydroelectric power capacity positions it favorably for green hydrogen production. Additionally, the state has introduced its first hydrogen-powered autonomous rapid transit tram, showcasing its commitment to sustainable transport solutions.
Malaysia’s determination to become a green hydrogen export hub is reinforced by its status as a significant natural gas producer, supplying nearly half of its domestic electricity consumption and exporting to countries like Japan. The roadmap’s launch will closely follow the second phase of NETR, a pivotal agenda for Malaysia’s economic transformation through renewable energy utilization. This strategic move not only aligns with global sustainability goals but also positions Malaysia as a regional leader in green energy innovation.