Strong collaboration needed with Malaysia in green transition, says Swedish ambassador

KUALA LUMPUR: Stronger collaboration between Malaysia and Sweden is crucial amid global economic and geopolitical shifts, says a Swedish official.

Sweden’s Ambassador to Malaysia, Niklas Wiberg, said both nations must work together to remain competitive and resilient in a world where “structures we have taken for granted are being redefined.”

“In this new phase of the world order and the challenges we are facing, it is important that we form collaborations and team up with our Malaysian counterparts,” he said at the ‘Pioneer the Possible – Innovation-Led Green and Digital Transition by Malaysia and Sweden’ event in Kuala Lumpur.

He noted that as countries turn inward and trade structures evolve, partnerships will be key to driving sustainable growth and energy transition.

The two-day event, which began on November 12, brought together Malaysian officials, Swedish companies and industry leaders for discussions on green innovation, financing mechanisms and digital solutions to accelerate climate action.

While Sweden has diversified away from fossil fuels, Malaysia remains in transition, aiming to halve coal power generation by 2030 and achieve net zero by 2050.

Under Malaysia’s ASEAN chairmanship, member states signed the enhanced Memorandum of Understanding (MoU) on the ASEAN Power Grid (APG) during the ASEAN Ministers on Energy Meeting last month.

The ASEAN Development Bank and World Bank Group also launched a new financing initiative pledging at least USD 10 billion to support cross-border green power infrastructure across Southeast Asia.

Speaking during a panel on accelerating energy efficiency for industrial and grid transformation, Energy Commission Malaysia CEO Siti Safinah Salleh said progress on the APG will depend on each country’s economic readiness and regulatory conditions.

“At the end of the day, financing can close the gap, but project proponents themselves must understand the economics of the project,” she said.

She added that bilateral projects must take shape before broader regional mechanisms can follow.

Malaysia has also taken steps to boost electric vehicle (EV) adoption, currently standing at six percent nationwide.

Proton launched the country’s first EV in December 2024, amassing over 10,000 bookings for its latest eMas 5 model to date, while Perodua is set to unveil an EV meeting national requirements by the end of the month.

The Low Carbon Mobility Blueprint (LCMB) 2021-2030 has outlined a target of installing 10,000 EV charging stations nationwide by 2025. As of September 30, a total of 5,149 units have been installed.

Noshasliza Mohd Mokhtar, Senior Director of the Climate Action Group under Malaysia Green Technology and Climate Change Corporation, highlighted the need to address bottlenecks slowing the rollout of charging infrastructure, particularly in rural areas.

“Regulatory processes is another area, there is a complex approval process because certain local authorities have different requirements,” she said at a later panel on advancing the transition to safe and green mobility. “The National EV Taskforce is looking at how to reduce the bureaucracy and resolve this issue.”