KUALA LUMPUR: Malaysia’s clean energy transition will define the nation's competitiveness for the next 50 years, says Deputy Prime Minister Datuk Seri Fadillah Yusof.
He said that as the South-East Asian region now drives more than half of the global energy demand, it is high time to get our act together or answer to future generations for complacency.
The Energy Transition and Water Transformation Minister said that by 2030, the region's electricity consumption would equal that of Japan and South Korea combined.
"The choices we make today, be it in policy, in technology, in investment, in cooperation... will shape not only industries, but livelihoods and legacies," he said in his speech while launching Race to Zero 2026 at the Clean Energy Transition Asia (CETA) Summit 2025 here on Thursday (Dec 11).
"Race to Zero 2026 is a nationwide movement across five states. A movement to build capabilities. To connect businesses. To unlock projects. To create momentum.
“Malaysia’s commitments are clear: to achieve net-zero (carbon emissions) by 2050 and a 45% reduction in carbon intensity by 2030. But commitments alone don’t move nations – momentum does.
"That is why we are here. Not merely to exchange technical ideas, but because we know the energy transition is a trust we must honour so our children inherit a world brighter than the one we stand in," he said.
Fadillah added that for Asean countries to achieve energy transition responsibly, the grouping would need US$200bil to US$300bil (RM821bil to RM1.23 trillion) in annual clean energy investments.
"The Energy Transition and Water Transformation Ministry (Petra) is crafting a future-ready ecosystem that is secure, low-carbon, flexible and interconnected.
"Malaysia’s goal is ambitious: 70% renewable capacity by 2050. Solar will grow fivefold. Grid-scale battery systems will stabilise our future grids. Over 1GW of storage is already moving under the National Energy Transition Roadmap.
"As an anchor nation in the Asean Power Grid, we are shaping a regional energy corridor where electrons flow freely across nations – lowering costs, improving stability, and elevating competitiveness.
"This is precisely what energy transition must do: expand opportunities, create new industries, and ensure prosperity is shared.
"Malaysia’s first 50MW renewable energy export to Singapore is more than a technical achievement; it is proof of capability, trust and regional readiness.
"We are preparing to add up to 2GW of new renewable energy capacity annually, creating jobs, building supply chains, and shaping green industrial clusters," he said.
He said that with Malaysia at the heart of the Asean system for renewable energy – with five existing interconnections and more being developed – Asean aims for full regional interconnection by 2045.
"Malaysia will play the role of balancing hub, transit nation and anchor for multilateral power trading.
"Investors today seek four things, namely policy clarity, regulatory stability, competitive tariffs, and access to clean energy at scale. Petra is delivering all four consistently," he added.
The three-day summit brings together leaders, investors and policymakers in Asia’s clean energy ecosystem.
At the same event, Malaysian Photovoltaic and Solar Energy Industry Association advisor Datuk Davis Chong said that the aim is to make solar energy a mainstream energy source one day.
"Solar is now one of the fastest-growing energy sectors in Malaysia, and the country is recognised as one of Asia’s most promising clean-energy leaders.
"Yet, this clean energy transition must involve all states, not isolated locations," he noted.
