By Karen Bong
KUCHING, May 29: Sarawak is in the midst of finalising its Carbon Plan and Carbon Levy framework with technical expertise from the World Bank to establish a well-regulated, investor-friendly carbon market so as to ensure the region remains a premier destination for carbon market investments.
Premier of Sarawak Datuk Patinggi Tan Sri Abang Johari Tun Openg emphasised that the Carbon Plan is pivotal to offer a detailed implementation framework designed to catalyse carbon trading and foster a vibrant carbon market.
“At its core, the Plan focuses on establishing a market that balances supply and demand, incentivises emissions reduction, and attracts green investments to Sarawak,” he said during his keynote address at the Asia Carbon Conference (ACC) 2025, held at the Borneo Convention Centre Kuching (BCCK) today.
Abang Johari also highlighted ongoing efforts to reinforce forest carbon initiatives through innovative nature-based solutions.
So far, Sarawak has issued seven permits for forestry carbon studies and granted one license for a nature-based project, with six more permits currently being processed.
To boost investor confidence, he highlighted that Sarawak is actively reviewing its statutory fee structure for carbon projects to improve overall project investability.
“From the supply perspective, Sarawak is in the process of finalising its Carbon Levy framework, leveraging technical expertise from the World Bank to accurately price carbon emissions and encourage responsible environmental practices,” he said.
The Premier further welcomed the global progress made on carbon markets, particularly the recent agreement on Article 6 of the Paris Agreement, which sets rules for credible climate project crediting.
“The adoption of standards for baseline methodologies and leakage accounting will enhance the integrity and credibility of carbon credits on a global scale. This is precisely the kind of international framework that will bolster Sarawak’s efforts and allow us to participate more effectively in the global carbon market, attracting investment and facilitating the transfer of mitigation outcomes,” he elaborated.
He reiterated Sarawak’s commitment to align initiatives with these standards to ensure transparency and verifiability in our climate action.
“This transformative journey is underpinned by the Sarawak Net Zero Strategy and Carbon Plan, which together serve as a strategic guide driving our ambition to achieve net-zero carbon emissions by 2050,” he said.
Abang Johari emphasised that the Sarawak Net Zero Strategy outlines the overarching vision and strategic pathways to decarbonise key emitting sectors. It seeks to decouple economic growth from emissions while setting ambitious yet realistic sectoral emissions reduction targets, backed by strong accountability mechanisms.
Looking forward, he announced that Sarawak aims to publish a comprehensive Greenhouse Gas (GHG) Inventory report by 2027 to monitor emissions against its carbon budget—demonstrating its commitment to a science-based and measurable climate strategy.
Among the distinguished guests present were Minister of Tourism, Creative Industry and Performing Arts Dato Sri Abdul Karim Rahman Hamzah, Sarawak Secretary Datuk Amar Mohamad Abu Bakar Marzuki, Deputy Minister of Energy and Environmental Sustainability Datuk Dr Hazland Abang Hipni, and EVP Asia of Argus Media and ACC 2025 organiser Jamie Balderston. — DayakDaily
