MyHIJAU Programme. NOOR AKMAR SHAH Vice President Industrial Processes and Biodiversity Malaysian Green Technology Corporation

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1 MyHIJAU Programme NOOR AKMAR SHAH Vice President Industrial Processes and Biodiversity Malaysian Green Technology Corporation

2 OUTLINE Introduction GreenTech Malaysia Green Technology Policy MyHIJAU Label /Logo MyHIJAU Procurement 28/6/13 2

3 ABOUT GREENTECH MALAYSIA Transformation 12 MAY 1998 Technology and Research Centre in the Energy Sector focussing on EE and RE. 7 APRIL 2010 Green Technology implementation as the strategic engine for Malaysia s economic growth. 3

4 ABOUT GREENTECH MALAYSIA Purpose: To catalyse green technology deployment as a strategic engine for Malaysia s economic growth Goal: Establish Malaysia as a world hub for Green Technologies Focus Area 1: Awareness and Promotion Programmes Focus Area 2: Competency and Capacity Development programmes Focus Area 3: Market Enhancement and Infrastructure Development programmes Focus Area 4: Industry Development and Technology Transfer Programme Focus Area 5: Policies and Financing Mechanism Programmes Impact of Green Technology adoptions and deployment: Environment: Reduction of carbon emission; Economy: Increase in GNI/GDP and investments; Social: Increase in high income jobs and knowledge workers; Energy: Reduction of fossil-fuelled power and increase in renewable power. 28/6/13 Copyright Reserved GreenTech Malaysia 4

5 CREATING THE RIGHT CONDITIONS Green technology success is depending on the blend of policies that combines the carrot and the stick POLICY GREEN TECHNOLOGY REGULATORY FRAMEWORK INCENTIVES 3/12/2013 Copyright Reserved GreenTech Malaysia 5

6 GREEN TECHNOLOGY DEVELOPMENT Environmental Quality Act National Energy Policy National Environmental Policy 2002 COP15, 2009: Malaysia pledged to reduce carbon emission intensity of up to 40% by 2020 compared to 2005 levels Ministry of Energy, Green Technology & Water RM1.5 billion Green Technology Financing Scheme ( ) Renewable Energy Act Green Technology Financing Scheme extended to 2015 with additional RM2 billion 2012 National Depletion Policy 1980 Four Fuel Diversification Policy 1981 Fifth Fuel Policy 2002 National Green Technology Policy 2009 Malaysian Green Technology Corporation National Climate Change Policy 2010 National Renewable Energy Policy 2010 Sustainable Energy Development Authority Feed in Tariff Mechanism 28/6/13 Copyright Reserved GreenTech Malaysia 6

7 NATIONAL GREEN TECHNOLOGY POLICY The development and application of products, equipment and systems used to conserve the natural environment and resources, which minimizes and reduces the negative impact of human activities. GREEN TECHNOLOGY shall be a driver to accelerate the national economy and promote sustainable development. ENERGY Seek to attain energy independence & promote efficient utilization ENVIRONMENT Conserve and minimise the impact on the environment ECONOMY Enhance the national economic development through the use of technology SOCIAL Improve the quality of life for all 3/12/2013 Copyright Reserved GreenTech Malaysia

8 MyHIJAU PROGRAMME This programme was established in early 2012 as the support mechanism for the green technology implementation in Malaysia in line with Malaysia s Green Technology Policy. Through this programme, demand for green product, systems and services will be created among the public and private sectors The MyHIJAU programme was presented and approved during Green Technology & Climate Change Council (GTCCC) meeting chaired by Datuk Sri Mohd Najib B Abdul Razak in October The MyHIJAU programme consists of four sub-programmes namely, MyHIJAU Directory, MyHIJAU Labelling/Logo, MyHIJAU Industry and SME MyHIJAU Procurement.

9 OBJECTIVES OF MyHIJAU PROGRAMME To coordinate and consolidate government initiatives in green products and services development; To elevate awareness and knowledge in conserving environmental thorough sustainable consumption and production ( SCP ); To develop guidelines and procedures for the industries in producing green products and services; and To develop capacity, skill and expert for better implementation of green technology in industry.

10 MyHIJAU PROGRAMME Sustainable Consumption MyHIJAU Procurement MyHIJAU Directory Sustainable Production MyHIJAU Labelling MyHIJAU Industry & SMEs

11 MyHIJAU LABELLING / LOGO PROGRAMME

12 INTRODUCTION This programme was established to enhance the current green products and services through standards compliance especially that related to environment. With that industries can refer to any schemes that already joined the MyHIJAU Labelling/ logo programme. The MyHIJAU labelling / logo programme is currently having 3 schemes: SIRIM Eco Lable scheme Energy Efficiency Rating Label scheme Water Efficiency Products Labelling scheme. All these schemes are complying with National Green Technology Policy criteria.

13 MYHIJAU LABELLING / LOGO Recognition of Products/Services through Green Product Certification/Rating SPECIFICATIONS / CRITERIA OF GREEN PRODUCTS

14 MYHIJAU LABELLING / LOGO Recognition of Products/Services through Green Product Certification/Rating MyHIJAU Labelling Programme GREEN LABELING SCHEMES DESCRIPTION LOGO SIRIM Eco Label Scheme MyHIJAU Labelling Energy Rating Label Scheme Type 1 Eco label based on 3 rd party verification Energy efficiency rating 1-5 SCHEME OWNER/CERTIFICATION BODY SIRIM QAS Suruhanjaya Tenaga (ST) Water Efficient Products Labelling Scheme Water efficiency rating 1-3 Suruhanjaya Perkhidmatan Air Negara (SPAN)

15 SIRIM ECO LABEL SCHEME NO. PCD CODE PRODUCT CRITERIA NO. OF COMPANIES NO. OF MODELS 1 ECO 03 Biodegradable Cleaning Agents ECO 04 Recycled Paper ECO 05 Bio-fibre Composite Construction Material ECO 08 Fabric Care Product ECO 14 Recycled Rubber Products ECO 19 Paints ECO 20 Clay Roof Tiles ECO 21 Fibre Cement ECO 22 Ceramic Tiles ECO 23 Masonry Units ECO 28 Paper Printed Material ECO 29 Cement ECO 31 Flat Glass Products ECO 32 Coated Flat Steel Products ECO 33 Concrete Roofing Tiles ECO 35 Carpet 1 3 TOTAL

16 ENERGY EFFICIENCY LABEL SCHEME NO. PRODUCT NO. OF COMPANIES (BRAND) 3 STAR 4 STAR 5 STAR TOTAL 1 Television Domestic Fan Air Cond Domestic Freezer TOTAL ,142 1,255

17 MYHIJAU LABELLING / LOGO GREENTAG ENDORSEMENT PROGRAM Temporary endorsement (3 years) for products and services which comply to a minimum environmental criteria. Applicant/company to participate in GreenTAG Entrepreneur Coaching Program & get certification by end of period Aim to increase number of certified green products in the market Who are eligible? Malaysian owned companies Comply to the environmental criteria Other benefits: Free listing in MyHIJAU Directory

18 LONG TERM GOAL product standards - 50 licenses to companies products with green label product standard/criteria licenses to companies product with green label - 23 product standards - 14 licenses to companies - 16 products with green label Sumber: PEMANDU, 2011

19 MARKET SURVEY ON GREEN PRODUCT AND SERVICES The survey was conducted by GreenTECH Malaysia in the early of 2013 within the areas of Klang Valley and covered certain respondents e.g Government, private businesses and public. Research Aim: To establish the extent of Malaysian end-user/consumer preference to the green products that have been develop Research Objectives: To undertake a desk top study on the extent other countries have progressed in developing and marketing their green products To undertake a market survey on the preferences of Malaysian consumers and end-users to procure the green products and services developed.

20 SCOPE OF RESEARCH PRODUCT GROUP PARAMETERS ANALYSIS/REPORT INQUIRY (SURVEY) Agriculture & Landscape Construction Office Supplies Consumer Product Preference Measure Price Product acceptance Supply Chain Market readiness Institutional readiness Respondent groups Government Private Agencies Public A. Preference by Product Group Agriculture & Landscape Construction Office supplies Consumer products B. Preference by Respondent groups Government Private Agencies Public C. End Use Concern if they are force to buy

21 PRODUCT SELECTIONS Fertilisers and compost Composting Equipment 5 PRODUCT CATEGORIES Construction, Recycling & Waste, Water & Commercial and Industrial Seeds Organic Composting Mix Indoor Plants Concrete Ceramics Metals 5 PRODUCT CATEGORIES Agriculture and Landscape Products & Services Wiring and Cabling Electrical Fittings

22 PRODUCT SELECTIONS Writing paper, printing paper, files, packaging & mail Ink & Toners 5 PRODUCT CATEGORIES Consumer Products Pens, Pencils & Ink Computer & computer accessories Printers Office Supplies, Print & Paper Groceries Fruits Mineral Water Laundry Products Cotton Clothes 5 PRODUCT CATEGORIES

23 MAIN FINDING Cost of green products are expensive CHALLENGES TO PROCURE GREEN PRODUCT Supply of green products are very limited Difficult to get access to green products Not enough green products in the market Lack of knowledge and information on green products

24 RECOMMENDATIONS FROM STUDY Comparison between the list of products / services that have highly demand with list of Eco-Label products. Determine the type of products and services that need to be addressed to get the eco-label

25 MyHIJAU PROCUREMENT

26 GGP & GpP Government Green Procurement (GGP) - Government sector Green Private Purchasing (GpP) - Private sector

27 INTERNATIONAL DEFINITIONS OF GREEN PROCUREMENT The approach by which public authorities integrate environmental criteria into all stages of their procurement process... (EU, 2005) (known as Green Public Procurement; GPP) systematically integrate environmental preferably principles into buying decisions (USA EPA, 1999) (known as Environmental Preferable Purchasing; EPP)

28 GOVERNMENT GREEN PROCUREMENT Acquisition of products, services and work in the public sector that takes into account environmental criteria and standards to conserve the natural environment and resources, which minimises and reduces the negative impacts of human activities (Introduction to GGP KeTTHA, 2012)

29 GOVERNMENT COMMITMENT Federal government annual budget Priority to environment-friendly products and services in government procurement

30 IMPLEMENTATION Technical specifications Award criteria Requirements for technical and professional ability Contract conditions Functional specifications Selection of bidders and others...

31 GOVERNMENT PROCUREMENT Government has huge purchasing power (Malaysia 12-15% of GDP) Using market forces to stimulate greener products and services with competitive prices Role model for business and general consumers

32 WHICH COUNTRIES IMPLEMENTING GGP? Executive Order 1301 EUROPE Green Public Procurement (27 countries) CHINA Government Green Procurement KOREA Green Procurement Policy California Environmentally Preferable Purchasing JAPAN Green Purchasing Law (214 products) City of San Jose Environmentally Preferable Procurement Policy County of Sacramento Environmental Purchasing Policy Nevada County Green Procurement and Sustainable Practices Policy INDIA Green Government Procurement AUSTRALIA Green Public Procurement THAILAND Green Public Procurement NEW ZEALAND Green Public Procurement 32

33 BENEFITS OF GGP Achieve financial savings Achieve environmental and health goals Drive local innovation and support the local economy Improve public image and increase legitimacy Foster the uptake of green products and services

34 PRODUCT CERTIFICATION SCHEME MyHijau Label (2012) - to coordinate all green labels in Malaysia GreenTAG Endorsement Scheme (2012) - to encourage industries apply for international environmental label

35 GGP ACTIVITIES Identify product groups Establish LCC Further GGP initiatives Review rules and regulations Communication campaign Capacity building Monitoring and evaluation Long-term action plan

36 Catalysing green technology deployment as a new engine for economic growth M a l a y s i a n G r e e n Te c h n o l o g y C o r p o r a t i o n N o. 2, J a l a n 9 / 1 0, P e r s i a r a n U s a h a w a n, S e k s y e n 9, B a n d a r B a r u B a n g i, S e l a n g o r D a r u l E h s a n, M A L AY S I A T: F : / E : i n f o ( a ) g r e e n t e c h m a l a y s i a. m y w w w. g r e e n t e c h m a l a y s i a. m y