5 October 2022

Embracing Carbon Trading for Greener Economy in Malaysia

As development in Malaysia continues, some people have become more concerned about the environmental effects, especially since overdevelopment can aggravate the effects of climate changes.

Globally, America, China, and many countries in Europe have studied using carbon trading to cut down on carbon emission more effectively. Therefore, in order to build a greener future for Malaysia, proposals for carbon trading should be considered and implemented.

Moreover, during the tabling of the Renewable Energy (Amendment) Bill 2022 and the Sustainable Energy Development Authority (Amendment) Bill 2022 recently, many MPs were actively contributing their ideas and supporting efforts for a greener environment, showing that there is a united drive towards achieving carbon neutrality in Malaysia.

Amongst these, some suggested a complete reliance on renewable energy to reduce carbon emission. However, this may not be the best solution if we consider balancing both economic development and cutting down carbon emission.

Many economists have also weighed in on this issue, and proposed the use of carbon trading to transform the financial system, which not only meets the target of cutting down carbon emission, but also creates a new economic system structure. Besides that, this will prevent the existing industries from being replaced immediately and sustaining heavy losses.

Historically, climate change has wielded a destructive force which can decimate populations. Hence, we must not be complacent and instead work constructively together towards reversing the effects of greenhouse pollution before it is too late.

The National Green Technology Policy (NGTP) launched in 2009 and the New Economic Model introduced in 2010 were important public policies to kick start the development of green technology in Malaysia.

As Malaysia continues to work towards reducing greenhouse emission by 45% by 2030, carbon trading will help provide a pathway for this plan, and help build Malaysia holistically as a sustainable and green nation.

-MCA online-