Sarawak is transforming its economy and is prioritizing the environment to ensure sustainable growth.
In October last year, the state unveiled an ambitious blueprint that seeks to transform Malaysia’s largest state into an inclusive green economy.
The state has since announced a series of major investments and initiatives aimed at further growing the economy. In November, it acquired a 31.25% stake in Affin Bank, the ninth largest in the country. In December, the state government announced it was investing RM100 billion ($23.5 billion) through 2030 to fund major infrastructure projects, including an international airport and a seaport. Early this year, the state government acquired budget airline MASwings for an undisclosed amount, giving Sarawak its own flag carrier. Also this year, the state is expected to take over Bintulu Port from the federal government, a move seen to support future economic growth.
With the sustainability plan in place, Sarawak now has a blueprint to grow at a sustainable pace while enhancing its growing reputation as an economic powerhouse. The Sarawak Sustainability Blueprint 2030 encompasses strategies and action plans that address economic, environmental, and social dimensions of sustainability and covers sectors from energy and agriculture to circular economy and social equity. The strategies are supported by action plans that deploy digital technology, financing, policies, and capacity-building.
“As stewards of this land, we are safeguarding Sarawak’s rich biodiversity, scaling conservation, and advancing carbon capture and storage to support hard-to-abate industries. Beyond that, Sarawak is also reimagining its approach to tourism, exploring community-based tourism models that respect and preserve our natural ecosystem. This multi-pronged strategy to sustainability is vital to us achieving our sustainability goals of economic growth and prosperity, environmental stewardship, and healthy, resilient, and inclusive community,” said Sarawak Premiere Tan Sri Abang Hj Abdul Rahman Zohari in the blueprint’s foreword.
Here are the framework’s 10 strategic thrusts.
- Energy transition
Sarawak plans to diversify energy systems, scale alternative low-carbon solutions, spur sustainable end-use energy consumption, upgrade grid capabilities, and position the state as a regional green energy powerhouse.
The goal is to maintain at least 60% renewable capacity mix by 2030 and increase hydro capacity to 4,800 megawatts from 3,500 megawatts, while targeting 1,500 megawatts of solar capacity.
- Sustainable agriculture and food security
Shifting to sustainable agriculture can help the state weather volatile commodity prices and high input costs as well as increase yields and accessing premium markets that value sustainability. This will involve facilitating adoption of modern farming and fishery technologies vehicles and transport modes, promoting sustainable land and water management practices, transitioning to low-emission, energy-efficient technologies and renewable sources, promoting circularity, and supporting smallholders in adopting sustainable practices.
Transforming Sarawak's agriculture entails ensuring 80% application of Good Agricultural Practices by 2030. The state also targets 100% Malaysian Sustainable Palm Oil certification of smallholder farmers by 2030.
- Sustainable mobility
To support a green economy, the state aims to transition to low-emission vehicles and transport modes (land, marine, air); promote adoption of alternative fuel; transition to low-emission, energy-efficient technologies and renewable sources of transportation hubs; and increase access and usage of public transportation.
With the switch to sustainable mobility options, the state seeks to reduce carbon dioxide emissions by 15% by 2030. It also targets a 25% reduction in emissions from port operations.
- Circular economy
Sarawak will promote sustainable consumption, encourage waste segregation and recycling, enhance waste treatment infrastructure and processes, improve resource recovery and circulation, and promote sustainable design.
Transitioning to a circular economy model entails reducing single-use plastics by all local authorities by 2030. The plan also involves increasing recycling programs by 10%, boosting plastic recycling rates by 20% within 5 years, reducing food waste by 5% by 2030, and recovering 90% of valuable e-waste materials by 2040. The state also plans to double e-waste collection rates within 5 years, reduce municipal waste sent to landfills/open dumpsites to 5% or less of total waste generated by 2035, and develop five centralized sewerage systems for major cities and five septic sludge treatment plants for smaller towns by 2030.
- Sustainable manufacturing
Sustainable manufacturing will help reduce potential carbon tax liabilities, lower operational costs, and unlock new revenue streams from markets and consumers that prioritize sustainable products. The manufacturing sector includes industries such as food processing, wood and wood products, petrochemicals, and electronics. Key exports include steel and oil and gas products.
To shift to green manufacturing, the state plans to transition to low-emission, energy-efficient technologies and renewable sources; promote adoption of emerging technologies; shift to green infrastructure; promote circularity; and establish responsible supply chain and operations.
- Sustainable mining
Sarawak is abundant in nonradioactive rare earth elements, which are vital components of clean technologies and renewable energy systems, and other valuable minerals, such as high-quality silica sand and bauxite, which are essential materials for industries.
Sustainable mining will enhance cost efficiency; ensure regulatory compliance; attract environmental, social, and governance-focused investment; and help meet the growing market demand for responsibly sourced materials. The state seeks to promote the transition to low-emission, energy-efficient technologies and renewable sources; circularity and water conservation; and responsible mining operations.
- Sustainable stewardship of natural assets
Sarawak's economy is closely tied to its natural resources, with key sectors like timber, agriculture, and fisheries supporting growth and local livelihoods. To ensure the protection of natural assets, the state will boost terrestrial and marine conservation and restoration efforts, strengthen sustainable land and marine resource management, enhance the output of forest products, strengthen social forestry and urban ecosystems, and improve water management.
The goal is to designate 1 million hectares (ha) as totally protected areas by 2025, certify 3 million ha of long-term forest timber license area, constitute 50,000 ha of permanent forest in 2025, maintain 56% of forest cover, and develop 10,000 ha of bamboo plantations by 2030. It also seeks to develop 1,640 ha of community plantations by 2030 and restore up to 10% of the forest resources ecosystem and at least 5 degraded sites, among others.
- Sustainable cities
To ensure its cities are resilient, the state will accelerate transition to green buildings, promote sustainable construction practices, and implement sustainable urban design.
The goal is to have 25 buildings with green certification by 2030, incorporate green features in all new government buildings from 2025, ensure minimum 10% green areas in new developments, use at least 50% local products in government building construction, and mandate green features in new developments.
- Inclusive social equity
Under the 10-point strategy, the state aims to ensure universal access to essential needs, build inclusive communities, improve senior care and services, foster skills growth and increase employment opportunities, increase accessibility and affordability of healthcare, and improve access to quality education and lifelong learning.
By 2030, the state aims to increase home ownership to 75%, achieve 60% self-sufficiency in paddy production, and register 1,000 older persons in daycare centers. It also seeks to achieve 30% women participation in the labor force, ensure 30% of the workforce is skilled, and keep unemployment at 3%. The state also targets 20% enrollment in technical and vocational education and training courses by 2025 and 60% enrollment in science, technology, engineering, and mathematics courses by 2030. It aims to provide free tertiary education by 2026.
- Integrated tourism development
To ensure tourism’s growth, the state plans to enhance cultural experiences and promote local arts, prioritize ecotourism and geotourism, empower indigenous and local communities, advocate sustainable event practices, and position Sarawak as a premier health tourism destination.
By 2030, it aims to generate $1.4 million annually from ecotourism services, increase ecotourism stays to 7.5 days from 5.5, post a 30% increase in community-based tourism, and achieve a 9% annual growth rate of health visitors, targeting the Kalimantan cities of Balikpapan and Palangkaraya as markets.