The Tree, The Sky, The Sun: Malaysia’s Carbon-Neutral Future

How can Malaysia achieve carbon-neutrality? What are the key focus areas?

The Tree, The Sky, The Sun illustrates a technically possible but challenging pathway for Malaysia to achieve a carbon-neutral energy system by 2065. Developed by Shell Malaysia in consultation with key local stakeholders, this aspirational story calls for fundamental changes to Malaysia’s energy system, at a pace which will be challenging for any nation to meet.

Malaysia’s ambition to become a developed country and provide a better quality of life for its growing population has the potential to increase the country’s greenhouse gas emissions. But today, the country has a chance to deliver economic growth that is environmentally sustainable by relying on low-carbon sources of energy, adopting new technologies, and preserving and restoring the country’s natural carbon sinks – its forests. While Malaysia starts from a position of strength with its natural advantages of 'tree' and 'sun', the pace of change will need to accelerate.

The pathway described by The Tree, The Sky, The Sun highlights five critical levers that are likely to have the greatest influence on moderating carbon emissions in Malaysia.

1. the introduction and gradual increase of a carbon price;
2. an emphasis on energy efficiency;
3. a greater push for electrification;
4. a more widespread use of renewables, especially solar energy;
5. an increase in forest acreage.

By recognising and understanding the important levers in this journey, we hope that this story sparks discussion and adds to the national conversation about the energy transition.