UK PACT backs low-carbon transition in Malaysia with £1.4 million in support

11 Aug 2021

The UK PACT (Partnering for Accelerated Climate Transitions) programme has today announced five new innovative climate action projects in Malaysia totalling £1.4m. These are capacity-building projects that will enable low-carbon and nature preservation transition plans. The organisations implementing the projects and their partners will support and work with key beneficiaries at national, state and local levels to help them develop knowledge and expertise in the following priority areas:

  • In the green finance sector, a project led by WWF will work to support data-driven decision-making, incorporating considerations of climate and environmental risks.
  • In the energy sector, a project delivered by Forever Sabah will contribute to clean energy transitions and the development of off-grid community renewable energy sources in the state of Sabah, working with the state government and indigenous communities.
  • In the nature sector, a project implemented by Rimba will support the raising of revenue for the state of Terengganu through nature-based carbon finance and offsets through forest and biodiversity conservation.
  • In the low-carbon planning sector, UK PACT will be supporting two projects. A project led by Eco-Ideal will work on the integration of carbon emissions data in city land-use planning in the state of Johor. A project led by PwC Consulting will focus on the green economy for the state of Sarawak, leading to the creation of green jobs.

Welcoming the portfolio, UK Energy and Climate Change Minister and International Adaption and Resilience COP26 Champion Anne-Marie Trevelyan said:

“Climate change is a global challenge, but we need to ensure the voices and experiences of those countries on the frontline are being heard now so we can respond effectively in the future. Our new £1.4 million investment into Malaysia will do just that, helping the nation propel forward in new green technology and clean energy projects, while at the same time expanding its economy, empowering communities, and preserving its priceless ecosystems”.


British High Commissioner to Malaysia, His Excellency Charles Hay MVO, said:

“Malaysia is one of the most eco-diverse countries in the world. We want to support Malaysia’s transition to a low carbon economy and reduction of emissions in line with the Paris Agreement, and to preserve natural resources for future generations. Through UK PACT, we look forward to working with Malaysia to help develop capabilities in the areas of green finance, energy, nature and low carbon planning, in line with Malaysia’s Nationally Determined Contribution.”

The project portfolio is well placed to support both a green, clean and resilient recovery in Malaysia and the aims of COP26 to accelerate action towards the goals of the Paris Agreement and the UN Framework Convention on climate change.

UK PACT is a £70m flagship programme funded by the UK’s Department for Business, Energy and Industrial Strategy (BEIS). Through its grants, UK PACT aims to support and help build the capacity and capability of key public, private and civil society institutions to reduce emissions and foster inclusive economic growth in partner countries, including Malaysia. All five projects were chosen through an open, competitive call for proposals, receiving between £100,000 and £350,000 each. Find out more about the portfolio on our website.



Beneficiaries of the projects, organisations leading the implementation of the Malaysia-UK PACT portfolio and their consortium partners:


Beneficiary Lead implementing partner Consortium partner(s) Project description
PLANMalaysia (Department of Town and Country Planning)
Eco-Ideal Consulting Sdn Bhd
Infostrike Sdn. Bhd. The “Low Carbon City Planning System” project involves the development of a web-based portal system that will integrate both land use and carbon emissions data in a geodatabase to enable land use planners to assess carbon reduction potential from low carbon initiatives during land use planning.
Sabah State Ministry of Rural Development (Sabah KPLB); Sabah Electricity Sdn Bhd (SESB); Institute of Development Studies (Sabah); Sabah State Economic Planning Unit (UPEN) Forever Sabah Tobpinai Ningkokoton Koburuon Kampung (Tonibung)/CREATE (Center for Renewable Energy & Appropriate Technology);
PACOS Trust (Partners of Community Organisations in Sabah);
Green Empowerment
The “Sabah Renewable Energy Rural Electrification Roadmap” project aims to improve access to affordable, reliable and sustainable energy for the state of Sabah through the development of a roadmap that will assess the viability of solar and micro-hydro power for remote villages currently not connected to the grid.
Sarawak State Economic Planning Unit (UPEN); Sarawak State Ministry of Urban Development, Environment and Natural Resources (MUDeNR)
PwC Consulting Associates (M) Sdn Bhd
Swinburne University The “Green economy policy for Sarawak” project will develop a green economy policy framework for the state of Sarawak. This will enable the Sarawak government to adopt and implement the policies and regulations needed to support a well-functioning carbon trading scheme for the state, which has the largest forest cover in Malaysia.
Terengganu State Economic Planning Unit; Terengganu State Forestry Department; Terengganu State Park Management Council; Terengganu Federal Development Authority (KETENGAH)
Nature-Based Solutions The “Hutanomics: Developing frameworks to enable private sector investments into nature-based climate solutions in Terengganu” project will help the Terengganu State government restore and conserve its forests through green finance mechanisms such as carbon credits and forest conservation offsets.
Bank Negara Malaysia (BNM) (Central Bank of Malaysia); Joint Committee on Climate Change (JC3) (co-chaired by BNM and Securities Commission Malaysia)
2-Degrees Investing Initiative (2DII)
The “Harnessing Green Finance through Climate-related Risk Management and Opportunities in Malaysia” project will contribute to Malaysia’s carbon emissions reduction by supporting investments in low-carbon sectors, building capacity of financial regulators and institutions, and strengthening the integration of climate-related risks and opportunities into policies, decision-making processes and financial product innovations.