UEM Lestra Invests in Industrial Decarbonisation
15 Aug 2024
UEM LESTRA Bhd, a wholly owned subsidiary and the green arm of UEM Group Bhd, has allocated RM1.5bil, which it aims to deploy in the next 24 months, to invest in decarbonising Malaysia’s industrial parks.
UEM Group managing director and UEM Lestra chairman Datuk Amran Hafiz Affifudin said that the move is part of UEM Group’s agenda to spur domestic direct investment (DDI), which will lead to job creation and attract foreign direct investment (FDI) to Malaysia.
“Operating in a sustainable industrial park is one of the top priorities for foreign investors, especially manufacturers.
“We need to ramp up our efforts to explore setting up new sustainable industrial parks and at the same time decarbonise existing ones by upgrading current infrastructure via innovative technologies and methodologies that can be integrated into existing operations.
“This could potentially involve the integration of renewable energy sources, such as solar and the implementation of other advanced energy management systems and technology to optimise consumption patterns.
“Investors are hungry for zero-emission operations. As Malaysia continues to attract significant FDI, initiatives such as the decarbonisation of industrial parks are expected to boost the local economy, drive sustainable growth and position Malaysia as a key global player,” he said.
UEM Lestra aims to be at the forefront of these efforts, driving the transition towards a sustainable economy and leading the response to climate change, in line with the country’s aspiration of achieving net zero carbon emissions by 2050.
Plans for a renewable energy (RE) industrial park are already in the works.
In July 2023, UEM Lestra, in collaboration with local and international partners, announced that it is pioneering the development of a one-gigawatt hybrid solar photovoltaic power plant integrated with the RE industrial park in Malaysia.
This project is part of a flagship initiative under the National Energy Transition Roadmap.
UEM Lestra chief executive officer Harman Faiz Habib Muhamad shares that the organisation is looking at expanding its green assets and operations through strategic partnerships, as well as via direct and active ownership.
It plans to nurture domestic green champions such as Cenergi SEA Berhad, which it acquired last year.
“Over the long term, we plan to establish a competitive green platform in key energy sectors and emerging growth areas, such as renewables and storage infrastructure, integrated energy solutions, green and electric mobility, as well as waste management and recycling,” says Harman.
“These initiatives will be funded through our overall RM7bil sustainable and responsible investment sukuk programme.
“We are committed to reducing environmental impacts through strategic clean energy efforts. Our focus on sustainability extends beyond reducing emissions to fostering a new way of thinking that prioritises circular economy models and resource efficiency for the benefit of both the economy and the environment.”
Source: The Star
