Malaysia and Japan have reaffirmed their shared commitment to a sustainable and low-carbon future by signing seven Memoranda of Understanding (MoUs) during the 3rd Asia Zero Emission Community (AZEC) Ministerial Meeting, held in Kuala Lumpur. The agreements aim to accelerate joint decarbonization initiatives, focusing on biofuels, transition financing, and carbon capture and storage (CCS), in line with both nations’ energy transition strategies.
The meeting, co-chaired and jointly hosted by Malaysia and Japan, served as a vital platform to strengthen regional collaboration on clean energy, sustainability, and climate action. Discussions centered on three key pillars — ensuring a just and equitable transition toward a low-carbon economy, advancing clean transportation and green aviation fuel, and promoting transition finance to support Malaysia’s ambitious energy roadmap.
Malaysia’s Minister of Science, Technology and Innovation (MOSTI), Chang Lih Kang, highlighted the significance of the collaboration, noting that it marks a critical step in achieving Malaysia’s energy security and resilience goals.
“Definitely, cooperation for energy security, affordability, and sustainability is strengthened, which is in line with the energy resilience we aim for in Malaysia,” he said.
The event also saw the participation of prominent regional leaders, including Muto Yoji, Japan’s Minister of Economy, Trade and Industry (METI), and Sharon S. Garin, the Philippine Department of Energy Secretary, emphasizing AZEC’s growing role in fostering cross-border cooperation across Asia.
Among the seven agreements, one of the most notable was the joint operation framework for Carbon Capture and Storage (CCS) between the Government of Malaysia and Japan’s METI, which will facilitate knowledge-sharing, investment, and the development of large-scale carbon storage solutions in Malaysia. Another significant MoU involves a collaboration between members of the Malaysia Rubber Council and a Japanese cloud technology provider, aimed at integrating advanced digital systems to improve operational efficiency and sustainability practices in the Malaysian rubber sector.
Minister Chang further emphasized that Malaysia views net-zero emissions not only as a policy goal but as a lifestyle transformation, underpinned by innovation and affordability. He noted that Malaysia’s participation in AZEC aligns with the ASEAN Vision 2045 and the country’s MADANI principles, which advocate balanced progress across economic, environmental, and social pillars. 
Malaysia’s National Energy Transition Roadmap (NETR), introduced in 2023, charts a clear path toward achieving 70% renewable energy capacity by 2050, supported by major investments in solar, hydro, green hydrogen, and digital energy grids. Under the 13th Malaysia Plan, the country aims to achieve a 35% renewable energy share by 2030, reflecting a steady and structured transition.
To support this shift, Malaysia has introduced several landmark policy measures. The Energy Efficiency and Conservation Act (EECA) 2024 promotes energy-efficient consumption across industrial, commercial, and residential sectors, while the upcoming Carbon Capture, Utilisation and Storage (CCUS) Act 2025 will establish a comprehensive regulatory framework for developing a regional CCS hub. These efforts collectively underscore Malaysia’s readiness to position itself as a leader in sustainable energy and green technology within Southeast Asia.
Through the strengthened partnership under AZEC, Malaysia and Japan aim to accelerate regional decarbonization and establish a collaborative model for green growth. The newly signed MoUs not only reflect shared environmental goals but also signal the deepening of bilateral ties — setting the stage for a more integrated, cleaner, and sustainable energy future across the region.
