THE GREEN TECHNOLOGY POLICY: WHERE ARE WE GOING?
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1 THE GREEN TECHNOLOGY POLICY: WHERE ARE WE GOING? MOHD ROSLI BIN HJ.ABDULLAH SENIOR UNDERSECRETARY GREEN TECHNOLOGY SECTOR MINISTRY OF ENERGY GREEN TECHNOLOGY AND WATER 20 th June 2011, INTAN BUKIT KIARA KUALA LUMPUR 1
2 Contents Definition of Green Technology Why Green Technology Government Initiatives for GT The Way Forward Roles of Government Agencies
3 WHAT IS GREEN TECHNOLOGY? Development & Application Products, Equipments & Systems To Conserve Environment & Resources To Minimise & Reduce Negative Impact Of Human Activities
4 GREEN TECHNOLOGY Minimises degradation to the environment Promotes the use of renewable resources GREEN TECHNOLOGY Has zero or low GHG emission Conserves the use of energy and natural resources Safe for use and promotes healthy & improved environment for all forms of life
5 MAIN SECTORS FOR GT Energy Building Water & Waste Management Transportation
6 SOME EXAMPLES OF GREEN TECHNOLOGY Biofuels Electric Vehicles Solar Power Hydro Power Wind Power
7 Related Fields in Green Technology ENERGY SECTOR - Energy Supply Sector (i) Power Generation and Co-Generation (ii) Renewable Energy - Solar PV, thermal, hydrogen, biomass, fuel cell, wind, geothermal, microhydro etc (iii) Management of Energy Supply - Energy Utilisation Sector (i) Energy Efficiency (ii) Management of Energy Demand BUILDING SECTOR (i) Design of Green Building (ii) Construction of Green Building (iii) Management and Maintenance of Building (iv) Conservation and Demolition of Building
8 Related Fields in Green Technology WATER AND WASTE MANAGEMENT SECTOR (i) Managemant and Utilization of Water Resources (ii) Waste Water and Solid Waste Management TRANSPORTATION SECTOR (i) Hybrid and Electric Vehicle Technology, engine efficiency (ii) Public Transportation, green logistics (iii) Alternative Fuels - LNG, biodiesel, bioethanol, fuel cell, hydrogen, solar INFORMATION AND COMMUNICATION TECHNOLOGY SECTOR (i) Green IT, smart grid GENERAL (i) Environment Management, carbon management (ii) Green manufacturing (iii) Life Cycle Assessment (iv) Green Township Planning and Development (v) green tourism (vi) green agriculture practices
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10 Why Green Technology? Green Technology Business Opportunity
11 Green Business WORLDWIDE US$120.0 billion invested in renewable energy worldwide in double the equivalent 2006 investment figure of $63.0 billion. investment in wind power, solar PV, and biofuels.
12 Why Green Technology? Sales in Green Products In Europe Euro 10.3 bil. Euro 56 bil. Euro 114 bil Sales of Green Building Products in the US US$80 bil. US$157 bil.
13 Why Green Technology? Green Technology Business Opportunity Market Demand
14 Why Green Technology? As developed countries turned green, our products will be subjected to : - compliance to green rules and regulations; - green taxes; - market and customers preferences to green products; and - trade barriers
15 Why Green Technology? Green Technology Business Opportunity Market Demand Cost of Doing Business
16 Crude Oil Price
17 Why Green Technology? Green Technology Business Opportunity Environmental Responsibility Market Demand Cost of Doing Business
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21 Why Green Technology? QUALITY OF LIFE Due To Negative Impacts From Development Loss of income from polluted resources Rivers, beaches and etc. Health costs for individual and government Asthma, water contamination, food contamination and etc. Loss of ecosystem services E.g. healthy mangroves act as natural nurseries for the fisheries industry and protection from coastal erosion Clean-up costs for government Cleaning up of rivers, cleaning up of illegal dumping of hazardous waste
22 HUMAN ACTIVITIES CLIMATE CHANGE GREEN TECHNOLOGY Why Green Technology?
23 International Commitment
24 PM s Pledge at COP15 United Nations Framework for Climate Change Convention 2009, Copenhagen To reduce carbon emission up to 40% in terms of emission intensity of Gross Domestic Product (GDP) by 2020 compared with its 2005 levels
25 Government Initiatives TENTH MALAYSIA PLAN Developing Climate Resilient Growth Strategy Climate adaptation: Protecting the Nation from the Risks of Climate Change Climate Mitigation: Reducing Malaysia s Carbon Footprint Restructuring Solid Waste Management Creating Stronger Incentives for Investment in Renewable Energy Promoting Energy Efficiency to Encourage Productive Use of Energy Ensuring Equitable and Sustainable Utilization of Resources Enhancing Conservation of Nation s Ecological Assets
26 Government Initiatives Strengthening the Instituitional Framework MINISTRY OF ENERGY, GREEN TECHNOLOGY AND WATER (KeTTHA) Low Energy Office (LEO) Ministry of Energy, Green Technology & Water (KeTTHA), Putrajaya Establishment Ministry of Energy, Green Technology & Water and GreenTech Malaysia
27 Government Initiatives ROLE OF KeTTHA focal point and lead agency for GT no legal jurisdictions to encroach into other stakeholders territories as a facilitator to promote GT, to create awareness on the need for GT and for the overall coordination for GT development responsibility for developing GT is under the respective stakeholders, including states and local governments
28 Government Initiatives Strengthening the Instituitional Framework NATIONAL GREEN TECHNOLOGY POLICY Policy Statement Green Technology shall be a driver to accelerate the national economy and promote sustainable development.
29 Government Initiatives NATIONAL GREEN TECHNOLOGY POLICY ENERGY SOCIAL FOUR PILLARS ENVIRONMENT ECONOMY
30 OBJECTIVES Government Initiatives NATIONAL GREEN TECHNOLOGY POLICY To reduce energy usage rate while increasing economic growth To facilitate growth of GT industry and enhance its contribution to national economy To increase capability and capacity for innovation in GT and enhance competitiveness in global arena To ensure sustainable development and conserve the environment for future generations To enhance public education and awareness on GT and encourage its widespread use
31 STRATEGIC THRUSTS 1. Strengthen The Institutional Frameworks Government Initiatives NATIONAL GREEN TECHNOLOGY POLICY 2. Provide A Conducive Environment For Green Technology Development 3. Intensify Human Capital Development In Green Technology 4. Intensify Green Technology Research And Innovations 5. Promotion And Public Awareness
32 Government Initiatives Strengthening the Instituitional Framework NATIONAL GREEN TECHNOLOGY & CLIMATE CHANGE COUNCIL high level coordination among Ministries, Agencies, private sector and other stakeholders chaired by the PM supported by Steering Committee and eight working groups
33 Government Initiatives Providing conducive environment for Green Technology Development GREEN TECHNOLOGY FINANCING RM1.5 billion soft loan SCHEME (GTFS) RM50 million for producers and RM10.0 million for users of GT 2% interest subsidy by the government 60% government guarantee 140 companie to benefit GreenTech Malaysia to administrator applications
34 Government Initiatives Providing conducive environment for Green Technology Development ECO LABELING & GREEN PROCUREMENT KeTTHA is working with SIRIM to develop standards, certifications & labeling mechanisms KeTTHA is working with Ministry of Finance (MOF) to develop a mechanism for Green Procurement Examples of Eco-Labeling: EU Korea Australia Hong Kong Canada
35 Government Initiatives Providing conducive environment for Green Technology Development GREEN TOWNSHIPS PROGRAMME SUSTAINABLE CITIES GREEN TOWNSHIPS IN PUTRAJAYA AND CYBERJAYA To develop Putrajaya and Cyberjaya as pioneer townships in green technology, as a showcase for the development of other townships in the country.
36 Low Carbon Cities Framework and Assessment System (LCCF) development of Low Carbon Cities Framework and Assessment System (LCCF) emphasizes on GHG Component & assessment system to calculate carbon output from township development complement the Green Township Guideline developed by Department of Town & Country Planning (Livability component)
37 Performance Criteria for GHG Reductions for Cities Performance Criteria for GHG Reductions for Cities GHG COMPONENTS Urban Transportation Urban Environment Urban Infrastructure Individual Buildings Transport Mode Green Transport Infrastructure Clean Vehicles Traffic Management Clean Automobile Natural Environment - Site Selection, Built Environment -Urban design Socio- Economic Environment- Community lifestyles Waste Activities Construction Materials Site Selection Energy LED Induction Light Solar Telecommunication Water Residential Commercial Institutional Industrial
38 Government Initiatives Providing conducive environment for Green Technology Development ELECTRIC VEHICLES KeTTHA is working with MITI to develop the manufacturing and use of electric vehicles in the country
39 Development of a Roadmap for the Deployment of EV for Malaysia Methodology Phase 1 : Basic Checklist for the development of EV (completed) Phase 2 : Pilot project (Fleet Test) (June 2011 Dec 2012) Phase 3 : National Road Map for EV Development (2012) SEKTOR TEKNOLOGI HIJAU
40 Pilot Project : PROTON Fleet Test Putrajaya & Cyberjaya 150 Hybrid Exora 50 EV Saga SEKTOR TEKNOLOGI HIJAU
41 Government Initiatives Intensifying human capital development in green technology INTEGRATION OF GREEN TOPICS IN EDUCATION SYSTEM Facilitate the development and integration of green topics/courses into the education syllabus and skills training curriculum In collaboration with Ministry of Education, Ministry of Higher Education and Ministry of Human Resources
42 Government Initiatives Intensifying human capital development in green technology GREEN JOBS KeTTHA is working to integrate green topics into curriculum of skills training institutes with several govt agencies namely: Ministry of Human Resources (MOHR); Ministry of Youth & Sports; Ministry of Tourism (Eco-tourism); and Ministry of Rural and Regional Development. KeTTHA and MOHR have developed the GT components for : Occupational Analysis (OA); National Competency Standards (NCS); and National Occupational Skills Standards (NOSS).
43 Government Initiatives GREEN JOBS Energy Industry (Renewable Energy and Energy Efficiency) Water Industry Environment Management (Pollution and Waste) JOB CREATION Manufacturing Industry Government/Agency/GLC Lecturers/ Academic Professionals Consultants in Fields of Energy, Environment, Audit, Engineering and etc NGOs
44 Government Initiatives PROMOTION AND PUBLIC AWARENESS PROMOTION VIA EVENTS Exhibition. Talks on GT and Awareness GT Competition (Greentition) CSR Programmes at Schools Promotional Programmes Roadshows, GREEN CARNIVALS PROMOTION VIA MEDIA TV, Radio, Online, News Print and Bus Advertising GREEN TECHNOLOGY DIRECTORY & PORTAL
45 Government Initiatives Promotion and Public Awareness INTERNATIONAL GREENTECH AND ECO PRODUCTS EXHIBITION AND CONFERENCE MALAYSIA (IGEM) 2011 Date 7 10 Sept 2011 Venue Kuala Lumpur Convention Center Exhibition Conference/Seminar Cooperation between local and foreign universities Workshops Documentaries / Videos Business Matching Sessions Business Networking
46 IGEM Exhibitors 502 booths, 277 companies (93 foreign companies, 61 Malaysia-based foreign companies and 123 local companies) more than 80,000 visitors approximately RM 1.2 billion in value of business leads 92 international and national GT experts as speakers and more than 600 participants in the 3-day conference
47 OTHER INITIATIVES
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49 KEY CHALLENGES 49
50 Policies are in place KEY GAPS Holistic regulatory framework i.e.act, rules, regulation s has yet to be in place Infrastructure to support adoption is lacking Initiatives are already planned under RMK-10, ETP Infrastructure Ineffective implementation framework misaligned agency roles and responsibilities Regulatory Framework Financial Incentives Incentives are in place Penetration is low Limited options for funding for different stages (e.g. tax incentives for consumer, commercialization funding) Areas of Assessment Local companies are initiating R&D activities Weak linkages between companies and research institutions R&D infra are in place R&D expenditure is still considered low (national level) Innovation Awareness & Adoption Human Capital Programs addressing awareness are in place Desired adoption levels are not present Skills gap related to GT Learning institutions are gearing up Unclear definition of green collar workers and green jobs
51 Green Technology Development Model 51 4 different models adopted by countries in embracing green technology Innovation Edge Emphasis on technology development and R&D activities Churning and commercializing GT products & services Greater allocation & spending on R&D Preparing for the future Adoption Edge Greater adoption of GT among both citizens and businesses Emphasis on regulatory framework that focus on increase in adoption through incentives and enforcement Targets significant results in carbon emission reduction Production Edge Focus on producing GT products and services for internal and external demand Usually have the capacity in terms of technology, abundance of raw materials and resources Platform Edge Focus on developing support services for green technologies (e.g. carbon trading, certification, consulting, funding etc.) Lacks foundation to excel in other possible models
52 BENCHMARKING 52 There are 4 significant models on how a country embracing green technology Innovation + Adoption Edge Massive R&D activities on renewable energy Production & Innovation Edge Through green growth strategy Innovation + Platform Edge R&D. Global leader for Carbon Trading, Green Marketing Production Edge Massive capacity for production of renewable energy Production + Platform Edge Development of various standards e.g. Energy Star Program, LEED
53 Future Strategic Directions Vision Leveraging on GT to Achieve Sustainable Development and Contribute to High Income Economy beyond Focusing on adoption edge in beginning allow drastic reduction of resources intensity. Long term effect towards achieving desired outcome Production edge in medium term is supported by strong existing manufacturing and services sector Innovation edge key to sustainable development Adoption Edge Production Edge Innovation Edge
54 Vision & Strategic Framework Vision Leveraging on Green Technology to Achieve Sustainable Development and Contribute to High Income Economy
55 Strategic Intent by Sector Sector Energy Intent To focus predominantly on adoption and some production Water & Waste Management To enhance adoption of water conservation and waste recycling and moving forward to production Building To design, build and deliver buildings that are totally localized ICT To focus predominantly on adoption the towards production to platform Manufacturing To focus predominantly on adoption and production particularly in basic industries Transport To focus predominantly on adoption and innovation
56 OUTCOMES Key Focus Areas Economy Environment Social Carbon Footprint Tracking Green Industry as an Economic Sector Water Footprint Tracking Green Culture as Lifestyle Energy Intensity Reduction Natural Resources Management Efficiency Green Jobs creation Global Standing Environmental Performance Index Ranking Improvement Innovation Green Technology and Climate Change Centre of Excellence Key Focus Enablers Human Capital as core enablers Infrastructure to support the implementation Financial incentives to increase adoption and encourage the industry development Holistic Regulatory Framework: Carbon Taxes/ Cap and Trade Marketing & Branding Support
57 The Baseline Study and The Green Technology Master Plan The Baseline Study on GT has been completed. The Green Technology Master Plan to guide Malaysia into becoming a Low Carbon Green Growth will be undertaken this year.
58 The Way Forward Expansion of international collaborations between local universities Continuation of existing programmes on a wider scale More active promotion on publicity, educational and awareness Increase in financial and fiscal incentives Establishment of legislation and legal mechanism Increased expertise/skills/competency
59 The Way Forward GT the preferred choice in the procurement of products and services Increased R & D and innovation by local universities and are commercialised Expansion of local SMEs/SMIs in GT into the global market Widespread adoption of GT to reduce the overall consumption of resources Significant reduction in national energy consumption Inculcation of GT in Malaysian culture
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61 Roles of Government Agencies i. To support the National GT Policy and implement the strategic thrusts ii. To promote GT industries iii.to plan for green development and green townships iv.to encourage green buildings
62 Roles of Government Agencies v. To act as a role model for conserving the environment vi. To implement continuous education and awareness on GT vii. To practise green policy in management/organisation viii. To promote green lifestyle
63 Green Technology Sector Ministry of Energy, Green Technology and Water Level 3, Block E4/5, Parcel E Federal Government Administrative Centre PUTRAJAYA Tel: Fax: webmaster@kettha.gov.my Website: THANK YOU!
64 Definition of Green Technology 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
65 Statement Of Purpose To conceive a concise list of recommendations that is to be an integral part of the roadmap for the deployment of electric vehicle for Malaysia Statement of Vision A checklist that outlines the basic foundation of the roadmap for the deployment of electric vehicle for Malaysia SEKTOR TEKNOLOGI HIJAU
66 Key Areas for Deployment & Development of EV Masterplan SEKTOR TEKNOLOGI HIJAU
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69 Strategic Action Plan for Deployment & Development of EV Masterplan 1. Formation of the EV Steering Committee 2. Establishing Standards for Electric Vehicle Supply Equipment (Socket-to-Socket) 3. Regulation for Governing EV Charging Infrastructure Provider 4. Regulation Governing the Roadworthiness of Electric Vehicle 5. Incentives for EV Charging Infrastructure Provider 6. Incentives for EV Owners and Users 7. Ensuring Grid, Supply and Utility Readiness 8. Pilot Demonstration Projects 9. Public Awareness and Education 10. Research and Development into EV technology SEKTOR TEKNOLOGI HIJAU
70 Electric Vehicle Market Demand Global Electric Vehicle Market Highlights Quebec, Canada Zenn Motor Company plans to release a fastcharging electric car in fall 2009 California, US Google and PG&E Doing research in vehicle-to-grid Technology; state regulations key In driving PHEV research Chile Electric utilities selling electric scooters, bikes and cars Detroit, US GM plans to begin selling plug-inhybrids in late 2010 United Kingdom 250 vehicle charging stations being installed throughout London; funding from EDF France EDF and Toyota partnering to build public charging network Spain Plans to have 1 million electric cars on the road by 2014 South Africa Norway Think Global begin selling EV in Europe in 2009; the company plans to lease the battery Denmark Construction of public charging and battery swapping stations The South African cabinet has approved the establishment of an inter-ministerial Committee to investigate the commercialization of local designed EV that is due to be on the road by 2010 Australia China Trials of battery-powered buses; electric production cars, battery technology Government working with AGL energy, Macquarie Capital for installing charging points Korea Japan Development of super-highcapacity lithium ion batteries Trials of first battery-powered tram; Toyota developing PHEVs; TEPCO building 200 charging stations throughout Tokyo SEKTOR TEKNOLOGI HIJAU
71 Foreign Government Initiatives & Supports towards EV/HEV United States Of America Introduction of the Advanced Technology Vehicle Manufacturing Program with allocation of USD25 billion under the Program to produce fuelefficient vehicles including hybrid and electric vehicles. Europe United Kingdom The Government provided funding through EDF (energy company) to install 250 charging stations throughout London Spain The Spanish government has pledged 590 million to promote and develop a market for electric cars. The fund includes incentives for electric car buyers of a 20% subsidy up to the value of 6,000. Germany The Federal Ministry for the Environment is supporting the Fleet test: electric drive vehicles program by funding 700 million for research and development of electric vehicles and related infrastructure. Asia Korea Ministry of Knowledge Economy (MKE) will allocate nearly 400 billion won (RM1.1 billion) for the development of source technologies required to build electric cars China Chinese Ministry of Finance allocated USD1.5 billion for a two year pilot programme for electric vehicles (EVs) and plug-in hybrid electric vehicles (PHEVs) in five major cities Japan Public financial assistance for low carbon industries, strengthen automobile fuel efficiency standards. SEKTOR TEKNOLOGI HIJAU
72 Incentives to Consumers for Adoption of EV/HEV in European Countries SEKTOR TEKNOLOGI HIJAU
73 Regional Electric and Hybrid Vehicle Development Singapore EV Test-Bed Programme will run for three years, from 2010 to 2012 and involve key industry players to examine infrastructure requirements and new business models. The test-bed is open to all auto manufacturers and technology companies interested in shaping the future of electric transport. SD20 million has been set aside as part of this programme to support infrastructure development and test-bed electric vehicles. The first batch of up to 50 EVs (i MiEV) will arrive end 2010, Nissan Leaf later end Thailand Mid-term plan mooted by the Ministry of Industry to produce pure electric vehicle (EV) on the roads before Thailand is currently the base for the mass-produced hybrid-powered Toyota Camry SEKTOR TEKNOLOGI HIJAU
74 Government Initiatives for Hybrid/EV NAP Malaysia Government has pledged to reduce greenhouse gases by 40% of year 2005 levels by the year 2020 during the UN Climate Change Summit, Copenhagen in 2009 Several incentives available for manufacturing/assembly of HEV/Evs to encourage foreign OEMs to assemble and sell HEV/EVs in the domestic market. PROTON need to position itself to be ready for increased foreign competition Opportunity loss to the nation if we are not ready with the entry of foreign OEMs to capture the domestic HEV/EVs market Government will develop Putrajaya and Cyberjaya as pioneer townships in Green Technology, as a showcase for the development of other townships. Allocation of RM1.5 billion dedicated funding for adoption of green technology through GTFS 100% import and excise duties exemption for hybrid and electric cars from 1 Jan to 31 Dec 2011 Foreign carmakers (OEMs) in Malaysia benefit from BOTH OEM s home government s financial assistance AND Malaysia s (host government) incentives. SEKTOR TEKNOLOGI HIJAU
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