By Shikin Louis
KUCHING, June 15: The newly-launched SWG Green Complex and Decarbon Hub must look beyond conventional manufacturing and focus on producing “green steel” if it wants to remain competitive in increasingly carbon-regulated global markets, says Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg.
He said industries in Sarawak can no longer rely solely on access to green energy, stressing that the entire production process must also meet environmental standards to ensure products are truly sustainable.
He cited steel manufacturing as an example, saying that even if energy inputs are green, the production process itself must also be environmentally compliant.
“That is something SWG needs to look into. It is not only about having green energy — the process must also be green in order to produce green steel.
“Once your product becomes green steel, you command premium prices, and the market is yours,” he said during the launch of the SWG Green Industrial Complex and Decarbon Hub at Demak Laut Industrial Park here today.
Abang Johari, who is also Minister for Energy and Environmental Sustainability Sarawak, further said industries that adopt green manufacturing processes will be better positioned to access financing from financial institutions, as global lenders increasingly prioritise sustainability-linked investments.
He said financial institutions are now aligning their funding decisions with environmental, social and governance (ESG) requirements, making it easier for compliant industries to secure support.
“Financial institutions will give loans to industries that are compatible with the movement throughout the world today,” he added.
Abang Johari also warned that industries failing to comply with green standards risk being penalised under international carbon regulations, including levies imposed by the European Union (EU).
“As you know, the European Union is imposing levies. If your product is not green, there is a penalty. But if your product is certified green, you don’t have to pay that levy,” he pointed out.
Also present were Deputy Premier Datuk Amar Dr Sim Kui Hian; Deputy Minister for Energy and Environmental Sustainability as well as Demak Laut assemblyman Datuk Dr Hazland Abang Hipni; Deputy Minister for Utility (Sarawak Energy and PETROS) Datuk Ibrahim Baki; SWG Energy Group chairman Dato Sri Abang Abdul Karim Tun Abang Openg; and deputy chairman Alex Pang. — DayakDaily
