MALAYSIA IN 2014 GLOBAL EPI MALAYSIA IN 2014 GLOBAL EPI

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2 18 ENVIRONMENTAL PERFORMANCE INDEX FOR MALAYSIA 2014

3 19 The 2014 Global EPI The 2014 global EPI ( was released during World Economic Forum on 22 nd January The EPI is constructed through the calculation and aggregation of 20 indicators reflecting national-level environmental data. These indicators are combined into nine policy categories, each of which fits under one of two overarching objectives: Environmental Health and Ecosystem Vitality. The 2014 global EPI framework is shown in Figure 4, while details of the indicators are given in Table 3. The global EPI is released every two years since After five iterations, it is obvious that the global EPI framework lacks stability in terms of the policy category and the indicators. The number of policy categories, indicators and countries included in the global EPI vary from year to year as shown in Table 4. The 2014 global EPI ranks how well countries perform on high-priority environmental issues in two broad policy areas: protection of human health from environmental harm and protection of ecosystems. Within these two policy objectives the EPI scores country performance in nine policy categories comprising 20 indicators. The policy categories are Health Impacts, Air Quality, Water & Sanitation, Water Resources, Agriculture, Forests, Fisheries, Biodiversity & Habitat and Climate & Energy. Indicators in the global EPI measure how close countries are to meeting internationally established targets or, in the absence of agreed targets, how they compare relative to the best performing countries. In 2014 global EPI, a total of 178 countries were included in the Index that represents 99 percent of global population, 98 percent of the world s total land area, and 97 percent of global GDP. Malaysia s Performance in 2014 Global EPI Malaysia s ranking performance has been up and down since the release of pilot global EPI in 2006 while the score consistently showed a sliding trend (Figure 5). In 2014 global EPI, Malaysia was ranked 51 out of 178 countries in the world which shows a sliding from rank 25 out of 132 countries in 2012 EPI. Top performing country for 2006 was New Zealand and Iceland in 2010 EPI. Switzerland was the top performing country in 2008, 2012 and 2014 EPI.

4 20 ENVIRONMENTAL PERFORMANCE INDEX FOR MALAYSIA 2014 Figure 4 The 2014 EPI framework

5 21 Table Global EPI Framework Objective Policy Category Indicator Environmental Health Ecosystem Vitality Air Pollution Water and Sanitation Unit of Measurement Household Air Quality % 0 Target Indicator - Long Name Percentage of the population using solid fuels as primary cooking fuel Air Pollution - Average Exposure to PM 2.5 % 0 Population weighted exposure to PM 2.5 (three- year average) Air Pollution - PM 2.5 Exceedance µg/m 3 10 Access to Drinking Water % 100 Average proportion of the population whose exposure is above the WHO thresholds Percentage of population with access to improved drinking water source Access to Sanitation % 100 Percentage of population with access to improved sanitation Health Impacts Child Mortality probability 0 Probability of dying between a child s first and fifth birthdays (between age 1 and 5) Water Resources Wastewater Treatment % 100 Percentage of wastewater treatment Agriculture Biodiversity and Habitat Agricultural Subsidies NRA (nominal rate of assistant) POPs Regulation points 25 Terrestrial Protected Areas (National Biome Weights) Terrestrial Protected Areas (Global Biome Weights) 0 % 17 % 17 Subsidies are expressed in price of their product in the domestic market (plus any direct output subsidy) less its price at the border, expressed as a percentage of the border price Stockholm Convention and implementation status of restriction or banning of the dirty dozen POPs Percentage of biome area that is protected, weighted by domestic biome area Percentage of biome area that is protected, weighted by global biome area Marine Protected Areas % 10 Marine protected areas as a percent of EEZ Critical Habitat Protection % 100 Percent of sites protected Forestry Change in Forest Cover % 0 Fisheries Climate and Energy Coastal Shelf Fishing Pressure tonnes/sq.km 0 Fish Stocks % 0 Trend in Carbon Intensity unitless Change in Trend of Carbon Intensity unitless 95 th percentile 95 th percentile Forest loss - Forest gain in > 50% tree cover, as compared to 2000 levels. Catch in metric tons from trawling and dredging gears (mostly bottom trawls) divided by EEZ area Percentage of fishing stocks overexploited and collapsed from EEZ Change in CO 2 emissions per unit GDP from Change in the Rate of Change in CO 2 emissions per unit GDP from ; Access to Electricity % 100 Percent of population with access to electricity. CO 2 Emissions per kwh unitless 95 th percentile Trend in CO 2 emissions from electricity and heat production

6 22 ENVIRONMENTAL PERFORMANCE INDEX FOR MALAYSIA 2014 Table 4 Variation in the number of policy categories, indicators and countries inclusion in the global EPI Framework Components Global EPI Objectives Policy Categories Indicators Countries/Provinces Included Figure 5 Trend of Malaysia s performance in global EPI Table 5 displays Malaysia s score and rank among the top 60 performers in in global EPI, while Table 6 displays Malaysia s ranking among Asia and ASEAN countries since 2010.

7 23 Table 5 Malaysia s score and rank among the top 60 performers in 2010, 2012 and 2014 global EPI Rank Country Score Country Score Country Score 1 Iceland 93.5 Switzerland Switzerland Switzerland 89.1 Latvia Luxembourg Costa Rica 86.4 Norway Australia Sweden 86.0 Luxembourg Singapore Norway 81.1 Costa Rica Czech Republic Mauritius 80.6 France Germany France 78.2 Austria Spain Austria 78.1 Italy Austria Cuba 78.1 United Kingdom Sweden Colombia 76.8 Sweden Norway Malta 76.3 Germany Netherlands Finland 74.7 Slovakia United Kingdom Slovakia 74.5 Iceland Denmark United Kingdom 74.2 New Zealand Iceland New Zealand 73.4 Albania Slovenia Chile 73.3 Netherlands New Zealand Germany 73.2 Lithuania Portugal Italy 73.1 Czech Republic Finland Portugal 73.0 Finland Ireland Japan 72.5 Croatia Estonia Latvia 72.5 Denmark Slovakia Czech Republic 71.6 Poland Italy Albania 71.4 Japan Greece Panama 71.4 Belgium Canada Spain 70.6 Malaysia United Arab Emirates Belize 69.9 Brunei Darussalam Japan Antigua and Barbuda 69.8 Colombia France Singapore 69.6 Slovenia Hungary Serbia and Montenegro 69.4 Taiwan Chile Ecuador 69.3 Brazil Poland Peru 69.3 Ecuador Serbia Denmark 69.2 Spain Belarus Hungary 69.1 Greece United States of America El Salvador 69.1 Thailand Malta Croatia 68.7 Nicaragua Saudi Arabia Dominican Republic 68.4 Ireland Belgium Lithuania 68.3 Canada Brunei Darussalam (cont.)

8 24 ENVIRONMENTAL PERFORMANCE INDEX FOR MALAYSIA 2014 (...cont.) Rank Country Score Country Score Country Score 38 Nepal 68.2 Nepal Cyprus Suriname 68.2 Panama Israel Bhutan 68.0 Gabon Latvia Luxembourg 67.8 Portugal Bulgaria Algeria 67.4 Philippines Kuwait Mexico 67.3 South Korea South Korea Ireland 67.1 Cyprus Qatar Romania 67.0 Hungary Croatia Canada 66.4 Uruguay Taiwan Netherlands 66.4 Georgia Tonga Maldives 65.9 Australia Armenia Fiji 65.9 United States of America Lithuania Philippines 65.7 Argentina Egypt Australia 65.7 Cuba Malaysia Morocco 65.6 Singapore Tunisia Belarus 65.4 Bulgaria Ecuador Malaysia 65.0 Estonia Costa Rica Slovenia 65.0 Sri Lanka Jamaica Syria 64.6 Venezuela Mauritius Estonia 63.8 Zambia Venezuela Sri Lanka 63.7 Chile Panama Georgia 63.6 Cambodia Kiribati Paraguay 63.5 Egypt Jordan Table 6 Malaysia s ranking among Asia and ASEAN countries since 2010, 2012 and 2014 EPI Global Rank Country Score Country Score Country Score 1 Japan 72.5 Japan 71.4 Singapore Singapore 69.6 Malaysia United Arab Emirates Nepal 68.2 Brunei Darussalam Japan Bhutan 68.0 Taiwan Saudi Arabia Philippines 65.7 Thailand Brunei Darussalam Malaysia 65.0 Nepal Kuwait Syria 64.6 Philippines South Korea Sri Lanka 63.7 South Korea Qatar Singapore Taiwan Sri Lanka Malaysia 59.31

9 25 Figure 6 shows Malaysia s profile based on the nine policy categories or core issues addressed by the 2014 global EPI. Malaysia performs well with scores of higher than 90% in Biodiversity & Habitat, Health Impacts and Air Quality. Based on the global EPI report Malaysia needs to focus on Water Resources, Fisheries, Forests and Climate & Energy issues where performances are lagging behind. Figure 6 Malaysia s profile in 2014 global EPI Table 7 shows Malaysia s performance in terms of indicators score and rank in the 2014 global EPI. Malaysia performs well with score of 100 and ranked 1 st in Household Air Quality, Terrestrial Protected Areas (National Biome Weights), Terrestrial Protected Areas (Global Biome Weights) and Critical Habitat Protection. However, our performance lagged in Air Pollution - Average Exposure to PM 2.5 (score ranked 118), Air Pollution - PM 2.5 Exceedance (75.5, ranked 121), Wastewater Treatment (score 8.6, ranked 94), Agricultural Subsidies (score 35.4, ranked 124), Change in Forest Cover (score 1.68, ranked 129), Coastal Shelf Fishing Pressure (score 13.7, ranked 89), Trend in Carbon Intensity (score 37.6, ranked 100) and Trend in CO 2 Emissions per kwh (score 32.7, ranked 101).

10 26 ENVIRONMENTAL PERFORMANCE INDEX FOR MALAYSIA 2014 Table global EPI indicators score and rank for Malaysia Policy Issue Indicator Indicator - Long name Score Rank ENVIRONMENTAL HEALTH OBJECTIVE (Protection of Human Health from Environmental Harm) Health Impacts Air Quality Water and Sanitation Child Mortality Household Air Quality Probability of dying between a child s first and fifth birthdays (between age 1 and 5) Percentage of the population using solid fuels as primary cooking fuel. Air Pollution - Average Population weighted exposure to PM 2.5 Exposure to PM 2.5 (three- year average) Air Pollution - PM 2.5 Exceedance Access to Drinking Water Access to Sanitation Proportion of the population whose exposure is above WHO thresholds (10, 15, 25, 35 micrograms/m 3 ) Percentage of population with access to improved drinking water source Percentage of population with access to improved sanitation ECOSYSTEM VITALITY OBJECTIVE (Protection of Ecosystems) Water Resources Agriculture Forests Fisheries Biodiversity and Habitat Wastewater Treatment Agricultural Subsidies Pesticide Regulation Change in Forest Cover Coastal Shelf Fishing Pressure Fish Stocks Terrestrial Protected Areas (National Biome Weights) Terrestrial Protected Areas (Global Biome Weights) Marine Protected Areas Critical Habitat Protection Wastewater treatment level weighted by connection to wastewater treatment rate. Subsidies are expressed in price of their product in the domestic market (plus any direct output subsidy) less its price at the border, expressed as a percentage of the border price (adjusting for transport costs and quality differences). Scoring of whether countries have signed on to the Stockholm Convention and allow, restrict, or ban the dirty dozen POPs that are common agricultural pesticides. Forest loss - Forest gain in > 50% tree cover, as compared to 2000 levels. Catch in metric tons from trawling and dredging gears (mostly bottom trawls) divided by EEZ area Percentage of fishing stocks overexploited and collapsed from EEZ Percentage of terrestrial biome area that is protected, weighted by domestic biome area Percentage of terrestrial biome area that is protected, weighted by global biome area Marine protected areas as a percent of EEZ Percent of critical habitat sites as designed by the Alliance for Zero Extinction protected (cont.)

11 27 (...cont.) Policy Issue Indicator Indicator - Long name Score Rank Climate and Energy *Not used for calculation of EPI score Note: Colour code Trend in Carbon Intensity Change in Trend in Carbon Intensity Trend in CO 2 Emissions per kwh Access to Electricity Change in CO 2 emissions per unit GDP from 1990 to 2010 Change in Trend of CO 2 emissions per unit GDP from 1990 to 2000; 2000 to 2010 Change in CO 2 emissions from electricity and heat production Percent of population with access to electricity Good performance based on score 100% and rank 1 Fair performance based on either score (20% 95%) or rank (34 97 of 178 countries in the world) Poor performance based on either score (1.68% 96.1%) or rank ( of 178 countries in the world) Policy Category and Indicators Variation in the Global EPI Throughout the years, the global EPI has undergone constant improvement in terms of Policy category (or issues) addressed and the indicators selection. Table 8 shows variation of policy category addressed by the global EPI from 2006 to Three main issues consistently considered to measure protection of human health from environmental harm are the Environmental Health (health impacts on children), air quality effects on human and water effects on human including sanitation. More issues are addressed under protection of ecosystems than human health impacts of the environment. Generally, these are air pollution (effects on ecosystem), water quality (effects on ecosystem), Biodiversity & Habitat, Forests, Fisheries, Agriculture and Climate Change & Energy. Interestingly, air pollution effects on ecosystem was dropped in the 2014 EPI due to reasons related to data quality ENVIRONMENTAL HEALTH OBJECTIVE (Protection of Human Health from Environmental Harm) Environmental health Table 8 Variation of policy category addressed in the global EPIs Environmental burden of disease Air pollution effect on health Environmental burden of disease Air pollution effects on human Environmental health Air quality effects on human Health impacts Air quality (cont.)

12 28 ENVIRONMENTAL PERFORMANCE INDEX FOR MALAYSIA 2014 (...cont.) Water effect on health ECOSYSTEM VITALITY (Protection of Ecosystems) Air quality Water resources Biodiversity & Habitat Productive natural resources Air Pollution (Ecosystem) Water (Ecosystem) Biodiversity & Habitat Water effects on human Air pollution effects on ecosystems Water effects on ecosystems Biodiversity & Habitat Water effects on human Air pollution effects on ecosystem Water resources effects on ecosystem Biodiversity & Habitat Water and sanitation Forest Forest Forest Forest Water resources Biodiversity & Habitat Fisheries Fisheries Fisheries Fisheries Agriculture Agriculture Agriculture Agriculture Sustainable energy Climate change Climate Change Climate change & Energy Climate and Energy Table 9 shows the matrix of indicators selected throughout the global EPI series from 2006 to Selection of an indicator to represent a policy category or issue is highly dependent on the data availability and data quality. Malaysia s ranking is partially affected by the introduction of new indicators such as PM 2.5 and replacement of Water Quality indicator with Wastewater Treatment. The table also indicates the relevant government agencies where such data for the indicators, if available, could be collected and managed.

13 29 Table 9 Indicators selection matrix in global EPI and stakeholders agencies Policy Issue Indicator CODE Stakeholders Agencies ENVIRONMENTAL HEALTH OBJECTIVE (Protection of Human Health from Environmental Harm) Health Impacts Air Quality Water & Sanitation Child mortality CHMORT DOS/MOH Environmental burden of disease (DALYs) DALY MOH Indoor Air Pollution INDOOR DOE Urban Particulates PM10 DOE Particulate matter PM25 DOE Adequate Sanitation ACSAT MOH/KKLW/DOA Access to drinking water WATSUP MOH/KKLW/DOA ECOSYSTEM VITALITY (Protection of Ecosystems) Water resources Agriculture Forest Fisheries Biodiversity & Habitat Wastewater Treatment WASTEXCN DOE/SPAN/KeTTHA (Water sector) Water quality WATQI DOE/JPS/BSASH Water stress WATSTR DOE Pesticide regulation AGPEST MOH/ KKLW/DOA Agricultural Subsidies AGSUB MOH Forest cover change FORCOV Forest loss FORLOSS FRIM Trawling intensity EEZTD DOF Growing stock change FORGRO DOF Fishing stocks overexploited FSOC DOF Marine Trophic Index MTI DOF Coastal shelf fishing pressure TCEEZ DOF Critical habitat protection AZE DOF Marine Protected Areas MPAEEZ Terrestrial Protected Areas PACOV FDPM/SFD/DFS Agensi Remote Sensing Malaysia (MACRES)/MACGDI (NRE)/FRIM DMPM/NOD/JUPEM/Pusat Hidrografi Negara

14 30 ENVIRONMENTAL PERFORMANCE INDEX FOR MALAYSIA 2014 Policy Issue Indicator CODE Stakeholders Agencies CO 2 per capita CO2CAP KeTTHA (energy sector) CO 2 per GDP CO2GDP KeTTHA (energy sector) Climate Change & Energy Air pollution effects on ecosystems Trend in Carbon Intensity CO2GDPd1 KeTTHA (energy sector) Change of Trend in Carbon Intensity CO2GDPd2 KeTTHA (energy sector) CO 2 emissions per electricity generation CO2KWH KeTTHA (energy sector) Greenhouse gas emissions per capita GHGCAP KeTTHA (energy sector) /SEDA/EC/TNB Industrial greenhouse gas emissions intensity GHGIND KeTTHA (energy sector) /SEDA/EC/TNB Renewable Energy RENPC KeTTHA (energy sector) /SEDA/EC/TNB Non-methane volatile organic NMVOC DOE Nitrogen oxides emissions per populated land area NOX DOE Ecosystem ozone OZONE DOE Sulfur dioxide emissions SO2 DOE Sulfur dioxide emissions per capita SO2CAP DOE Sulfur dioxide emissions per GDP SO2GDP DOE Note: Total number of indicators in 2006 EPI (16), 2008 EPI (25), 2010 EPI (25), 2012 EPI (22) and 2014 EPI (20). Less prominent indicators are not included in this tabulation.

15 31 Generally, global EPI utilises data from international agencies. It is therefore important that the respective stakeholders to continuously update the relevant data to those agencies with consideration of possible use for environmental performance indicator development which can be used to rank countries. Climate and Energy Policy Category - CO 2 Emission per kwh Due to heavy dependence on fossil fuel for energy source and transportation, Malaysia s performance in this policy issue has always been lagging behind in the global EPI (Table 10). Furthermore, Malaysia s performance is also affected by progress made by other countries. For example, Malaysia performed better in previous global EPIs but was overtaken by another country (Australia) in 2014 EPI (Figure 7). Table 10 Climate change & energy score and rank for Malaysia in global EPI Year Score Rank Figure 7 Relative trends of indicator CO 2 emission per kwh for Malaysia, South Korea and Australia in the global EPI

16 32 ENVIRONMENTAL PERFORMANCE INDEX FOR MALAYSIA 2014 Air Quality Policy Category - PM 2.5 Air quality may severely affect human health. In particular exposure to fine particulates (PM 2.5 ) is important because of health effects of this pollutant. In 2012 global EPI, Malaysia scored 94.6 and ranked 105. A greater attention is given to PM 2.5 issue where two indicators are included: Population weighted exposure to PM 2.5 (three- year average) (score 96.1, ranked 118), Air Pollution - PM 2.5 Exceedance Proportion of the population whose exposure is above WHO thresholds (10, 15, 25, 35 micrograms/m3), score 75.5, ranked 121. Unfortunately, Malaysia still relies on PM 10 since PM 2.5 data are not yet available. Forest Policy Category Forest Cover Change Our performance in Forest Cover Change Indicator is given in Table 11. This indicator measures the percent change in forest cover between 2000 and 2012 in areas with greater than 50 percent tree cover. It factors in areas of deforestation (forest loss), reforestation (forest restoration or replanting) and afforestation (conversion of bare or cultivated land into forest). Malaysia scored 78.2 in 2010, in 2012 and 1.68 in 2014, thus ranked 115 in 2010, 98 in 2012 and 129 in 2014 respectively. While Malaysia data are consistently reported to FAO Forest Resource Assessment country statistics, global EPI used Satellite-derived estimates according to Hansen et al. (2013) [8] which contributes to discrepancy in the EPI results for this country. Table 11 Malaysia s score and rank on Forest Cover Change in global EPI Year Score NA NA Rank NA NA Water Resource Policy Category - Wastewater Treatment This indicator measures the percentage of collected wastewater that is treated. Wastewater from industrial or household sources can contain a variety of contaminants that are detrimental to both human and ecosystem health. Wastewater treatment is a measure of the percentage of wastewater treated before being released back into ecosystems. The percentage of wastewater treated represents a measure of largely urban waste collection and treatment, since few rural areas are connected to sewage systems. This indicator is newly introduced and Malaysia s score and rank are 8.6 and 94 respectively. In Malaysia, domestic wastewater treatment largely involves sewerage treatment system under the purview of National Water Services Commission (SPAN), while industrial wastewater is monitored by the Department of Environment (DOE). Considering the potential impacts of untreated wastewater to the water resources and the environment, there is a need for coordination between

17 33 agencies to prepare country level official statistical data reports on total volume of wastewater generation and the percentage of the wastewater that is treated. Agriculture Policy Category - Agricultural Subsidies In 2012 global EPI, Malaysia scored 100 and ranked 29 in this indicator, but slipped to rank 124 with a score of 35.4 in 2014 EPI (Table 12). This could be one of the factors that pulled Malaysia down in the global 2014 EPI ranking compared to the 2012 EPI. Table 12 Agriculture Subsidies score and rank for Malaysia in global EPI Year Score Rank Fisheries Policy Category - Coastal Shelf Fishing Pressure and Fish Stocks Fish is one of major protein sources for the population. Malaysia s performance in this category is a reflection of challenges that the fishing industry faces to strike a balance between enhancing socio-economy of fishermen on one hand and ensuring sustainability of the industry on the other. Malaysia scores 13.7% (ranked 89) in Coastal Shelf Fishing Pressure indicator (Table 13) and scores 21.5% (ranked 18) in Fish Stocks indicator (Table 14). Table 13 Coastal Shelf Fishing Pressure score and rank for Malaysia in global EPIs Year Score Rank Table 14 Fish Stocks score and rank for Malaysia in global EPI Year Score Rank 7 18

18 34 ENVIRONMENTAL PERFORMANCE INDEX FOR MALAYSIA 2014 Global EPI Indicators Weightage EPI methodology allows for aggregation of indicators by incorporating policy category weight assignment. Hence, the final scores of the objective and index level are affected by the weight assigned to each policy category. Table 15 shows comparison of the policy category weight assignment for the global 2012 EPI and global 2014 EPI. The results indicate that Malaysia s rank slightly improved in Health Impacts, Forestry and Climate Change and Energy but drastically reduced in policy categories of Water Resources, Agriculture and Fisheries. Table 15 Weight assignment comparison between Policy Categories in global 2012 EPI and 2014 EPI and Malaysia s ranking 2012 EPI 2014 EPI Policy Category Weight Score Rank Environmental burden of disease Air pollution (effects on humans) Water (effects on humans) Air Pollution (effects on ecosystem) Water (effects on ecosystem) Policy Category Weight Score Rank Change Health Impacts Air Quality Biodiversity & Habitat Water and Sanitation Water Resources Biodiversity and Habitat Agriculture Agriculture Forestry Forests Fisheries Fisheries Climate Change Climate and Energy *Note: weights for the 2014 EPI are estimated from the 2014 EPI framework of Figure 4.

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