PETALING JAYA: The Natural Resources and Environmental Sustainability Ministry has welcomed Budget 2026’s RM2.38bil allocation, calling it a boost for Malaysia’s green and low-carbon agenda.
The ministry said the increased allocation would further strengthen efforts to protect the nation’s natural treasures, enhance governance of natural resources, and drive sustainable and inclusive economic growth.
“A total of RM2.38bil has been allocated for 2026, marking a 5.3% increase compared to 2025.
“This includes RM1.49bil for operating expenditure (up 5.9%) and RM891.27mil for development expenditure (up 3.62% from last year).
“To strengthen flora and fauna protection, RM250mil has been allocated under the Ecological Fiscal Transfer fund to support states in conserving the environment, including RM50mil that will be channelled as revenue to state governments,” it said in a statement.
The ministry added that RM80mil has also been set aside to support 2,500 community rangers, comprising over 1,000 Orang Asli and nearly 700 veterans.
“They will be equipped with patrol gear to enhance their ability to protect endangered habitats such as those of the Malayan tiger, orang utan and banteng,” it said.
The ministry noted that the government is also promoting the use of green technology by expanding the Green Investment Tax Allowance for Self-Use to 100% for those using locally made green technology products certified by the MyHIJAU Mark.
“The Green Technology Financing Scheme (GTFS 5.0) will remain open until Dec 31, 2026, with a financing value of RM1bil, including government guarantees of up to 80% for the waste management sector and 60% for other sectors.
“Starting next year, a Carbon Tax will also be introduced, initially targeting the iron, steel and energy sectors.
“Its implementation mechanism will be aligned with the National Carbon Market Policy and the upcoming Climate Change Bill,” it said.
The ministry said the expansion of the personal income tax relief of RM2,500 to cover the purchase of food waste shredders also encourages sustainable living.
“In the tourism sector, more than RM700mil has been allocated to boost the industry, including RM25mil for the conservation of Unesco sites, and Langkawi will continue to be developed as a premier geopark destination,” it added.
It added that the RM10mil allocated for the mapping of rare earth resources was also part of efforts to strengthen resource management and green economic development.
“Overall, the allocations announced reflect the government’s commitment to driving balanced national development alongside environmental preservation for the well-being of future generations.
“They also reinforce the ministry's efforts to ensure that the nation’s economic prosperity moves in tandem with environmental sustainability for the benefit of the people and generations to come,” it said.
