Malaysia considers REI for coal phase-out, examines Vietnam's JETP deal


Malaysia is actively contemplating about the implementation of request for information (RFI) mechanisms for coal carbon reduction and potential early coal phase-out, demonstrating a forward-looking approach to climate change mitigation and environmental sustainability.

Minister of Natural Resources, Environment, and Climate Change, Nik Nazmi, who participated in France’s coal transition accelerator event during the United Nations Framework Convention on Climate Change (UNFCCC) 28th Conference of Parties (COP28) in Dubai on November 2, emphasized the substantial challenges encountered by Malaysia and other developing countries.

Nik Nazmi at the soft launch of the Malaysia Pavilion for COP28. (Photo: Nik Nazmi)

“Among the options, the country has explored to reduce carbon emissions from existing coal facilities include co-firing, mothballing, or early retirement, on top of making a significant reduction in fossil fuel subsidies for electricity,” he said.

At the event, Nik Nazmi also conveyed Malaysia’s interest in learning about the Just Energy Transition Partnership (JETP) deal, which the Vietnamese government has subscribed to, in unlocking financing and support for sustainable energy transition, and which Malaysia can emulate.

While Malaysia acknowledges the potential to have increased coal elimination ambition, he stressed the importance of technical, capacity and support from international community and developed nations.

In a statement released on November 3, he said these challenges spanning energy, economic, social, and environmental domains, especially for countries relying on recently constructed coal powered plants.

“Despite this, the minister emphasized Malaysia’s unwavering policy against constructing and developing new coal plants while calling for the necessity of establishing a reliable, cost-effective, and sustainable energy system in response to these challenges.”

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