Malaysia and the UAE collaborate to establish a 10 GW renewable energy capacity in Malaysia by 2025

The recent collaboration between Malaysia and the UAE has set a major goal for the renewable energy sector. It has been reported that both countries plan to establish a combined renewable energy capacity of 10GW in Malaysia by the year 2025. The foundation for this ambitious endeavor was laid when the Malaysian Investment Development Authority (Mida) joined hands with Abu Dhabi Future Energy, commonly known as Masdar. The collaboration is geared towards a joint project that is valued at approximately $8 billion, as shared by Malaysian prime minister Anwar Ibrahim on 5 October.

Furthermore, Malaysia, renowned as the world's fourth-largest LNG producer, has set clear targets for its renewable energy sector. The country aspires to reach a renewable energy capacity of 12.9GW, or 31%, by 2025. This objective then increases to 18GW, or 40%, by the year 2035. To put this into perspective, in 2021, the country had already managed to attain a renewable energy capacity of 8.45GW, accounting for 23% of its total installed power generation. Additionally, Malaysia's energy transition roadmap, released at the end of August, showcased the nation's vision for the future. It emphasized the aim to have 70% of its total installed energy capacity coming from renewable sources by 2050. By this time, Malaysia also aims to achieve the significant milestone of net zero emissions.

This collaboration also signifies a strategic move for Masdar, aligning with its expansive vision to augment its global renewable generation portfolio to an impressive 100GW by 2030. It's worth noting that this isn't the first instance of cooperation between Malaysia and the UAE. The two nations have previously explored mutual prospects in Abu Dhabi's oil and gas sector. This earlier partnership included potential synergies in low-carbon initiatives, involving state-owned entities like Malaysia's Petronas and Abu Dhabi's Adnoc.

According to the article by Procurement Resource, Malaysia and the UAE are partnering to achieve 10GW renewable energy capacity in Malaysia by 2025 through a $8 billion collaboration between the Malaysian Investment Development Authority and Abu Dhabi Future Energy (Masdar). Malaysia aims for 31% renewable capacity by 2025, increasing to 70% by 2050, with a net-zero emissions target. This partnership aligns with Masdar's global goal of 100GW renewable energy by 2030. The two nations have previously collaborated in Abu Dhabi's energy sector.