ESG

KUALA LUMPUR: UOA Development Bhd (UOA) has entered into a strategic partnership with Alliance Bank Malaysia Berhad through the signing of a Memorandum of Understanding (MoU) to launch the Alliance Green Properties Financing for its latest commercial development, Duo Tower in Bangsar South. The initiative aims to promote the ownership of green-certified properties and support the broader vision of sustainable urban development. Duo Tower is the first commercial project to formalise an MoU under this green financing scheme, signalling a significant step forward in driving environmentally responsible real estate investments. As the newest addition to Bangsar South, Duo Tower features two sleek, biophilic-designed corporate towers rising over 30 storeys. Conceptualised by the township’s master developer, the project integrates sustainable features with modern aesthetics, reflecting a next-generation approach to workplace environments. This green financing solution is aligned with Alliance Bank’s Acceler8 strategy, which focuses on expanding property financing offerings to the consumer market. Under this scheme, eligible borrowers can benefit from preferential financing rates, making eco-conscious property ownership more attractive and attainable. “Duo Tower sets a precedent for green commercial development, and this collaboration with Alliance Bank highlights our mutual commitment to shaping a more sustainable urban landscape,” said a UOA spokesperson. For Alliance Bank, the partnership supports its broader ESG agenda, with the consumer banking division actively driving green property financing solutions and supporting the development of energy-efficient, ESG-certified residential and commercial projects. Beyond property ownership, the bank also sees this collaboration as a means to channel investments into wider community sustainability initiatives, including rainwater harvesting systems, green communal spaces, and affordable housing schemes with environmental features. For further details on this partnership, visit www.duotower.com.my or www.alliancebank.com.my.

The Malaysia Forest Fund (MFF) and Gold Standard have entered into a strategic partnership through the signing of a Memorandum of Understanding (MoU), marking a significant milestone in Malaysia’s efforts to enhance the integrity and global alignment of its forestry carbon initiatives. Held at the MFF headquarters in Putrajaya, the MoU exchange ceremony signifies a collaborative commitment to strengthen MFF’s institutional capabilities and support the development of a robust, high-quality national carbon credit framework. The agreement aims to align Malaysia’s Forest Carbon Offset (FCO) programme and Forest Conservation Certificate (FCC) with internationally recognised benchmarks under the Gold Standard for the Global Goals (GS4GG). Through this collaboration, Gold Standard will provide technical guidance and policy support to enhance MFF’s readiness and facilitate the implementation of high-integrity forestry projects. Key areas of focus include exploring alignment with international certification standards, raising awareness of Gold Standard’s procedures and infrastructure—particularly in relation to Article 6 of the Paris Agreement—and rolling out capacity-building activities such as targeted training sessions and stakeholder engagements. Dato’ Mohamed Shah Redza bin Hussein, Chief Executive Officer of MFF, emphasised the importance of the partnership in elevating the credibility of Malaysian forestry carbon projects on the global stage. “This MoU reflects our collective ambition to raise the standards of forestry carbon projects in Malaysia. We are honoured to partner with Gold Standard, whose reputation and rigour will significantly enhance our ability to deliver projects that are not only impactful but also credible in the eyes of the international market,” he said. He further highlighted the need for continued support from both federal and state governments, noting the MoU as a demonstration of shared commitment to environmental sustainability and Malaysia’s proactive role in global climate action. Margaret Kim, CEO of Gold Standard, also welcomed the collaboration. “Gold Standard is committed to supporting high-integrity carbon pricing mechanisms across a range of markets and compliance regimes. As Asian markets scale their climate ambitions, we are especially pleased to partner with Malaysia, whose leadership is helping to shape a credible and effective ASEAN carbon market,” she said. The partnership reinforces Malaysia’s aspiration to be a regional leader in sustainable forestry and carbon finance, and to position its forestry sector as a key contributor to national and international climate objectives.

KUALA LUMPUR: Airbus and the Aerospace Malaysia Innovation Centre (AMIC) have entered into a strategic research and technology partnership aimed at enhancing the supply chain for Sustainable Aviation Fuel (SAF) across the Asia-Pacific region. This collaboration underscores both organisations’ commitment to accelerating the deployment of SAF by identifying key opportunities, addressing supply chain bottlenecks, and improving production scalability – all critical components in supporting the aviation sector’s decarbonisation goals. Focusing on ASEAN member states and selected Asia-Pacific economies, the joint initiative will involve comprehensive data collection and analysis to assess regional feedstock availability and production potential. Research will centre on SAF pathways approved under the ICAO-CORSIA framework, while also evaluating new, promising feedstock candidates for long-term viability. “This cooperation reflects AMIC’s strategic role in fostering high-impact innovation within the aviation ecosystem. By targeting supply chain optimisation, this research aims to unlock new economic opportunities while aligning with global sustainability imperatives,” said Dr Zakri Abdul Hamid, Chairman of AMIC. “Airbus is committed to building a robust global SAF ecosystem, and the Asia-Pacific region is central to that vision. Through this partnership with AMIC, we are deepening our engagement in Malaysia and investing in research that lays the foundation for a locally-driven, future-ready SAF industry. This initiative demonstrates how industry collaboration can translate sustainability ambitions into tangible outcomes,” said Julie Kitcher, Chief Sustainability Officer, Airbus. This initiative marks a significant step toward positioning Asia-Pacific as a key contributor in the global SAF value chain. By leveraging regional strengths in feedstock diversity and innovation capabilities, the collaboration aims to deliver scalable and sustainable solutions for aviation fuel production. Established in 2011, AMIC is a public-private partnership driving aerospace innovation in Malaysia. Its research agenda is aligned with national and industry priorities, including sustainable aviation, digital transformation, and next-generation aerostructures. SAF remains one of the most effective levers in reducing aviation’s environmental impact, offering up to an 80% reduction in lifecycle carbon emissions compared to traditional jet fuel. Today, all Airbus aircraft are certified to fly with up to 50% SAF, with the company targeting 100% SAF capability across its fleet by 2030.

KUALA LUMPUR: Over the first two days of the National Climate Governance Summit 2025 (NCGS2025), global leaders, policymakers, and industry experts gathered at Sasana Kijang to chart a transformative path for sustainable finance and climate governance in Malaysia and across the ASEAN region. Organised by Climate Governance Malaysia (CGM), the summit spotlighted innovative financial instruments, forward-looking regulatory frameworks, and inclusive governance practices as critical enablers of a low-carbon economy. Transition Finance: A Cornerstone for Climate Ambition The opening sessions of NCGS2025 set a decisive tone, positioning transition finance as the cornerstone of Malaysia’s and ASEAN’s sustainable economic transformation. Keynote speakers and panellists emphasised the urgency of mobilising innovative financial mechanisms that enable both public and private sectors to accelerate the shift toward a low-carbon future. Transition finance was framed not merely as a financial tool, but as a structural driver of climate ambition and long-term economic resilience. Datuk Nor Azimah Abdul Aziz, Chief Executive Officer of the Companies Commission of Malaysia (SSM), highlighted Malaysia’s ASEAN chairmanship under the theme of “inclusive sustainability”, saying it reflects the nation’s commitment to advancing regional climate action. “While the government continues to spearhead strategic policies, this responsibility cannot rest solely on policymakers. Cross-sector collaboration is crucial to secure a resilient and sustainable future for Malaysia and ASEAN,” she said. Redefining Climate Governance A recurring theme throughout the summit was the urgent need to evolve climate governance beyond traditional corporate boundaries. Delegates called for robust accountability frameworks and stronger board-level engagement to ensure climate action is embedded in core governance and decision-making. Dato’ Mohammad Faiz Azmi, Executive Chairman of the Securities Commission Malaysia, addressed the challenges of financing essential but less commercially attractive projects such as seawalls and water systems. “While transition finance often focuses on projects with strong returns, we must innovate with blended finance tools to bridge the gap—leveraging public, private, and community capital,” he said. “A just and orderly transition demands collaboration. Only by making transition finance the foundation of our economy can we secure a sustainable and resilient future.” Sustainability as Strategic Necessity The summit also underscored that sustainability is no longer a peripheral initiative, but a central business imperative. Companies were urged to embed climate strategies within their business models—not as a compliance obligation, but as a competitive advantage in an increasingly net-zero-aligned global economy. Dato’ Henry Barlow, Chair of the Board of Directors at Climate Governance Malaysia, echoed this sentiment in his Day 2 remarks. “Sustainability must be woven into the core of business strategy to ensure long-term resilience. Investors are now demanding transparent decarbonisation roadmaps. Companies that fail to adapt risk irrelevance,” he said. “The question is no longer whether to transition, but how to do so in a way that is financially viable and strategically sound.” From Strategy to Implementation As NCGS2025 moves into its next phase—featuring specialised workshops and technical masterclasses—the focus shifts from strategy to implementation. These sessions aim to equip participants with practical tools and actionable frameworks to turn climate pledges into measurable progress. By bridging high-level dialogue with real-world solutions, the summit reinforces its role as a key platform for regional collaboration and climate resilience—empowering stakeholders across all sectors to deliver on the promise of sustainable finance and equitable governance.

KOTA BHARU: Agrobank is empowering the asnaf and B40 communities to improve their livelihoods through agro-based ventures under its Hijrah Asnaf programme, which focuses on agriculture, aquaculture, and downstream products. Since its launch in 2021, the initiative has benefited 457 participants across Malaysia—including in Perlis, Kelantan, Terengganu, Sabah, and the Klang Valley—with an additional 466 participants expected to join this year. Agrobank president and CEO Datuk Tengku Ahmad Badli Shah Raja Hussin said the programme reflects the bank’s commitment to both sustainable agricultural development and socioeconomic upliftment. “Participants are trained in modern farming techniques and relevant technologies. The programme not only increases household income but also stimulates employment in local communities,” he said. Support Tailored to Needs Support provided under Hijrah Asnaf is customised based on land size, project duration, and the nature of the venture—whether in crops, livestock, or aquaculture. Training is conducted through Agrobank’s Centre of Excellence (ACE) and supported by government agencies such as the Department of Agriculture. Success on the Ground Among the programme’s success stories is Zamri Mat Hassan, 54, a watermelon farmer in Tok Bali, Pasir Puteh. Since joining in 2023, Zamri has doubled his yield to 20,000 kilogrammes per season on his 0.8-hectare plot. “Demand has surged. Customers now come from Kuala Lumpur, Johor, Selangor—even Singapore,” he said. Meanwhile, Amaran Ibrahim, 55, credits the programme for increasing his understanding of critical farming factors such as soil type, irrigation, and fertiliser usage. “This has not only helped sustain my livelihood but has deepened my knowledge in agriculture,” he shared. Diversifying Livelihoods For P. Muhomed Ibrahim Muhomed Shariff, 64, the programme offered a lifeline. Previously growing vegetables for income, he now cultivates 40,000–50,000 shrimp seedlings every three months in Port Dickson, Negeri Sembilan. “I had no experience in aquaculture before this. Now I have regular customers from Kuala Lumpur and Perak. Agrobank helped me build a more secure future,” he said. As the programme expands, Agrobank continues to position agriculture as a viable pathway to economic resilience, particularly for vulnerable communities.