KUALA LUMPUR: UEM Lestra Berhad, a subsidiary of UEM Group Berhad, has earmarked RM1.5 billion for investment in industrial decarbonisation over the next 24 months.
UEM Group's Managing Director, Datuk Amran Hafiz Affifudin, said that this initiative is a key part of the strategy to boost domestic direct investment (DDI), create jobs, and draw foreign direct investment (FDI) to Malaysia.
Amran, who is chairman of UEM Lestra, added that operating sustainable industrial parks 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," he said in a statement.
As Malaysia continues to attract significant FDI, Amran said initiatives as such are expected to boost the local economy, drive sustainable growth, and position Malaysia as a key global player.
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 Malaysia's aspiration of achieving net zero carbon emissions by 2050.
In July 2023, UEM Lestra, in collaboration with local and international partners, planned to develop a 1 gigawatt (GW) hybrid solar photovoltaic power plant integrated with a RE industrial park in Malaysia, a project that is part of the National Energy Transition Roadmap (NETR).
In the same statement, UEM Lestra chief executive officer Harman Faiz Habib Muhamad said the company is looking at expanding its green assets and operations through strategic partnerships as well as via direct and active ownership.
He said UEM Lestra 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.
"These initiatives will be funded through our overall RM7 billion sustainable and responsible investment (SRI) sukuk programme," he added.