KUALA LUMPUR: Straits Energy Resources Bhd's (SER) indirect subsidiary, Straits CommNet Solutions Sdn Bhd (SCS), signed a memorandum of understanding (MoU) with Megah Port Management Sdn Bhd (MPM), a 51 per cent owned indirect subsidiary of SER, to transform the Labuan Port into a smart port.
The smart port project aligns with the government's aim to turn Labuan into a smart city by 2030, embracing innovative technologies to develop the Federal Territory and improve the quality of life of its residents.
SER expects to invest RM3.6 million into the initial two phases of the smart port project.
The first phase is expected to be completed in seven months, while the second phase will take another seven months.
The smart port project is expected to contribute positively to SER's financial performance in the financial year ending December 31, 2024 (FY24).
SER managing director Datuk Sri Ho Kam Choy said port operations are becoming increasingly complex as global trade continues to grow.
"Thanks to the power of technology, we can now develop an integrated smart port ecosystem that automates and digitises various port operations, which helps simplify as well as address complexity issues.
"With a smart port, we also reduce cost and processing time, boosting the port's productivity and efficiency.
"And importantly, we will be able to play a part in improving the environmental sustainability of shipping operations by reducing the port's carbon and greenhouse gas emissions," he said in a statement today.
SCS is a 70 per cent owned subsidiary of Straits Technology Solutions Sdn Bhd (STS), a 75 per cent owned subsidiary of SER.
The smart port project will enhance the efficiency of the infrastructure and quality of services provided at Labuan Liberty Port, which is managed and operated by MPM.
"With this investment, we are taking the first step into transforming Labuan Port into a world-class smart port, which will improve the future prosperity of Labuan.
"We look forward to working with the relevant authorities and industry partners to make this initiative a success," Ho said.
The smart port project will leverage modern technologies, including the Internet of Things (IoT) and artificial intelligence (AI), to accelerate the digital transformation of the Labuan Port.
The smart port project will be spearheaded by SCS, which is involved in the 5G and IoT markets and is part of SER's telecommunication and network services segment.