November 15, 2011

National Green Technology Policy

Green Technology Definition

Green Technology is the development and application of products, equipment and systems used to conserve the natural environment and resources, which minimises and reduces the negative impact of human activities.

Green Technology Criteria

Green Technology refers to products, equipment or systems which satisfy the following criteria:
•    It minimises the degradation of the environment;
•    It has zero or low green house gas (GHG) emission;
•    It is safe for use and promotes healthy and improved environment for all forms of life;
•    It conserves the use of energy and natural resources; and
•    It promotes the use of renewable resources.

National Green Technology Policy Objectives

The National Green Technology Policy embodies elements of economic, environment and social policies, as reflected in the 5 objectives as follows:
  • To minimise growth of energy consumption while enhancing economic development;
  • To facilitate the growth of the Green Technology industry and enhance its contribution to the national economy;
  • To increase national capability and capacity for innovation in Green Technology development and enhance Malaysia’s competitiveness in Green Technology in the global arena;
  • To ensure sustainable development and conserve the environment for future generations; and
  • To enhance public education and awareness on Green Technology and encourage its widespread use.
4 Pillars of National Green Technology Policy

•    Energy - Seek to attain energy independence and promote efficient utilization;
•    Environment - Conserve and minimize the impact on the environment;
•    Economy - Enhance the national economic development through the use of technology; and
•    Social - Improve the quality of life for all.

National Green Technology Policy Main Areas

Significant progress and major improvement in the following four (4) key areas:

i)    Energy Sector - Application of Green Technology in power generation and in the energy supply side management, including co-generation by the industrial and commercial sectors. Application of Green Technology in all energy utilization sectors and in demand side management programmes.
ii)    Buildings Sector - Adoption of Green Technology in the construction, management, maintenance and demolition of buildings.
  iii)    Water and Waste Water Management Sector - Adoption of Green Technology in the construction, management, maintenance and demolition of buildings.
iv)    Transportation Sector - Incorporation of Green Technology in the transportation infrastructure and vehicles, in particular, biofuels and public road transport.

National Green Technology Policy Strategic Thrust

i) Strategic Thrust 1

Strengthen the institutional frameworks - In nurturing the adoption and growth of Green Technology, it is critical to have strong institutional arrangements to promote Green Technology applications through:
  • Formation of a Green Technology Council chaired by Y.A.B Prime Minister or Y.A.B. Deputy Prime Minister for high-level coordination among Government Ministries, agencies, the private sector and key stakeholders for effective implementation of the Green Technology Policy;
  • Establishment of a Cabinet Committee on Green Technology chaired by Y.A.B Prime Minister or Deputy Prime Minister;
  • Establishment of the Malaysia Green Technology Agency for the effective coordination and implementation of Green Technology initiatives and programmes;
  • Review and establish legal mechanisms to foster an accelerated growth of Green Technologies in line with National Objectives and Goals; and
  • Enhancement of institutional clarity so that all agencies are aware of their respective roles and responsibilities.
 ii) Strategic Thrust 2

Provide Conducive Environment for Green Technology Development - The growth of the Green Technology industry, either in manufacturing or service sectors, is critical towards fulfilling the objectives of the Green Technology Policy. This industry would supply the Green Technology to the local and global markets, create jobs and contribute towards the national economy. This could be achieved through:
  • Introduction and implementation of innovative economic instruments, supported by the necessary monetary and fiscal measures to foster an accelerated growth of Green Technology in line with the National objectives and goals;
  • Strengthening the understanding of local players in Green Technology industries and their value chain, including the supporting industries through various industries’ enhancement programmes;
  • Promotion of foreign direct investments (FDIs) on Green Technology which foster domestic direct investment (DDIs) and local industry participation and development;
  • Establishment of strategic Green Technology hubs throughout Malaysia, expanding from the core value chain to the upstream and downstream of the industry; and
  • Establishment of Green Technology funding mechanism.
 iii) Strategic Thrust 3

Intensify Human Capital Development in Green Technology - Skilled, qualified, competent and productive human resources are crucial to Green Technology development. This could be achieved through:
  • Design and enhancement of training and education programmes to improve human resource capacity related to Green Technology;
  • Provision of financial and fiscal incentives for students to pursue Green Technology disciplines at undergraduate and postgraduate levels;
  • Implementation of retraining programme and apprenticeship scheme to enhance competency of semi-skilled labour to meet the demands of the Green Technology industry;
  • Formulation of grading and certification mechanism for competent personnel in Green Technology; and
  • Exploitation of brain gain programmes to strengthen local expertise in Green Technology.
 iv. Strategic Thrust 4

Intensify Green Technology Research and Innovations - Research, Development, Innovation and Commercialization (RDIC) is very crucial in creating new technologies, techniques and applications which would be able to reduce the cost of Green Technology and promote its usage. Research, Development and Innovations (RDI) could be enhanced through:
  • Provision of financial grants or assistance to public and private sector in RDIC;
  • Implementation of Green Technology foresight;
  • Establishment of an effective coordinating agency for RDI and Centre of Excellence or new research institute for Green Technology development;
  • Enhancement of smart partnerships between the Government, industries and research institutions; and
  • Establishment of strong linkages between local research institutions and regional and international centres of excellence in Green Technology RDI.
 v) Strategic Thrust 5

Promotion and Public Awareness - Effective promotion and public awareness are two of the main factors that would affect the success of Green Technology development. This is particulary significant as such adoption requires the change of mindset of the public through various approaches including:
  • Effective, continuous promotion, education and information dissemination through comprehensive roll-out programmes to increase public awareness on Green Technology;
  • Effective involvement of media, non-governmental organizations and individual stakeholders in promoting Green Technology;
  • Inculcation of a culture that appreciates Green Technology among students at all levels through the development of effective syllabus in the education systems;
  • Demonstration programmes of effective Green Technology applications; and
  • Adoption of Green Technology in all Government facilities and Government-linked entities.
National Green Technology Policy Goals

The National goals of the Green Technology Policy is to provide direction and motivation for Malaysians to continuously enjoy good quality living and a healthy environment.  The short-term, mid-term and long term goals of National Green Technology Policy are as follows:

i)     Short-term Goals (10th Malaysia Plan)
  • Increase public awareness and commitment for the adoption and application of Green Technology through advocacy programmes;
  • Widespread availability and recognition of Green Technology term of products, appliances, equipment and systems in the local market through standards, rating and labelling programmes;
  • Increased foreign and domestic direct investments (FDIs and DDIs) in Green Technology manufacturing and services sectors; and
  • Expansion of local research institutes and institution of higher learning to expand Research, Development and Innovation activities on Green Technology towards commercialization through appropriate mechanisms.
 ii)     Mid-term Goals (11th Malaysia Plan)
  • Green Technology becomes the preferred choice in procurement of products and services;
  • Green Technology has a larger local market share against other technologies, and contributes to the adoption of Green Technology in regional markets;
  • Increased production of local Green Technology products;
  •  Increased Research Development and Innovation of Green Technology by local universities and research institutions and are commercialised in collaboration with the local industry and multi-national companies;
  • Expansion of local SMEs and SMIs on Green Technology into the global market; and
  • Expansion of Green Technology applications to most economic sectors.
 iii)    Long-term Goals (12th Malaysia Plan and beyond)
  • Inculcation of Green Technology in Malaysian culture; Widespread adoption of Green Technology reduces overall resource consumption while sustaining national economic growth;
  • Significant reduction in national energy consumption;
  • Improvement of Malaysia’s ranking in environmental ratings;
  • Malaysia becomes a major producer of Green Technology in the global market; and
  • Expansion of international collaborations between local universities and research institutions with Green Technology industries.

For more info, please contact:

Ministry Of Energy, Green Technology and Water
Block E4/5, Government Complex Parcel E,
Federal Government Administrative Centre,
62668 Putrajaya, Malaysia
Tel: 03-8883 6000
Fax: 03-8889 3930

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