Govt, financial community support crucial for sustainable energy supply

KUALA LUMPUR: Continuous support from the government and financial community is necessary to empower PETRONAS' endeavours in ensuring a sustainable energy supply in Malaysia.

This is according to Mohamed Firouz Asnan, Senior Vice President of Malaysia Petroleum Management (MPM) Upstream Business PETRONAS during a panel session at the Energy Asia conference 2023 held at the Kuala Lumpur Convention Centre.

He emphasised the significant role of the financial community in providing support through loans to facilitate the implementation of sustainable energy supply in the country.

Consistent development was also identified as a crucial factor in boosting investor confidence.

Despite an increase in global investments in oil and gas exploration in 2021 and 2022, Mohamed Firouz noted that revenues remained low compared to the peak in 2014.

This was attributed to climate concerns, shareholder pressure, and the risks associated with stranded assets, which resulted in weakened prices and investments in the exploration and production (E&P) sector.

Additionally, the global energy transition efforts have led to a shift in investor focus and resource supply.

Both National Oil Companies (NOCs) and International Oil Companies (IOCs) have also redirected their attention to new low-carbon growth segments.

The Energy Asia conference, which took place from June 26 to 28, served as a platform for policymakers, industry leaders, and energy professionals to engage in thought leadership discussions and showcase cutting-edge technology and solutions.

Commenting further on the matter of sustainability, Tengku Muhammad Taufik, President and Group CEO of PETRONAS and Dr Atul Arya, Chief Energy Strategist of S&P Global Commodity Insights discuss the role of policies, financing, innovation, digital transformation and collaborating to support a just energy transition on Agenda AWANI: