Diversifying through bio-economy

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State to work with federal government in tapping its vast potential in bio-mass industry

(From left) Nancy, Uggah, Ahmad and others take an interest at one of the displays at the exhibition area. — Photo by Chimon Upon

KUCHING: The state government wants to diversify Sarawak’s economy through bio-economy, with biomass as an integral part of the transition.

Chief Minister Datuk Patinggi Abang Johari Tun Openg said for this to be realised, a detailed roadmap and action plan would be implemented by a Federal-State Taskforce led by the State Planning Unit.

He said Sarawak could host 10 biofuels or biochemical plants in various stages of the development, mobilising 6 million dry tonnes out of the 19 million dry tonnes of biomass at four specific clusters in Bintulu, Miri, Tanjung Manis and Kuching in next 10 to 15 years.

“We understand that capturing this opportunity is by no means easy but we are in the best position to realise our potential and support Malaysia’s National Biomass Strategy 2020 (NBS2020) aspiration.

“Sarawak is a big land mass, so the state government, in collaboration with the federal government, must continue to improve the industrial infrastructure, transportation networks and logistics to meet the demands of the new growing industries like biomass and all businesses alike,” he stated in his text of speech read by Deputy Chief Minister Datuk Amar Douglas Uggah, who represented him at the official opening of International Biomass Conference (IBCM)  2017 at Borneo Convention Centre Kuching here yesterday.

Abang Johari said the Sarawak Biomass Industry Development Plan (SBIDP) which was launched by Prime Minister Datuk Seri Najib Tun Razak in 2016, was an initiative under the NBS2020 driven by the State Planning Unit under the Chief Minister’s Department.

He added that NBS2020 in 2013 highlighted Sarawak as one of the potential states that could help realise the goal of making Malaysia a regional premier biomass processing hub.

From there, the state government started working with Agensi Inovasi Malaysia to understand the realistic biomass opportunity for Sarawak through a feasibility study led by a steering committee made up of relevant state government representatives and chaired by the director of State Planning Unit.

“The assessment shows that Sarawak has tremendous potential to leverage its biomass toward generating RM4.8 billion to the gross national income, 30,000 jobs and RM18 billion in investment opportunities throughout the biomass value chain.

“This is Sarawak’s unique opportunity to become the leader and potentially Asia’s first integrated biomass cluster, or BioHub, as we have other existing bio-resources that could be integrated to compliment and exemplify the concept of a sharing economy,” he said.

He also said with the introduction of the state’s Digital Economy initiatives, the SBIDP would be strengthened through holistic approach towards digitalisation.

“The greening of Sarawak’s industrialisation efforts is therefore a paradigm shift for us, as we have traditionally been mere exporters of raw natural resources namely timber, oil and gas and crude palm oil.

“We are confident that a realistic and well-executed biomass industry development can contribute towards Sarawak becoming a high-income state with balanced development across the state,” he added.

He also noted the participation of the Dutch and South Korean governments in the IBCM 2017, showcasing and bringing companies and sharing knowledge to work together and develop this industry for Sarawak.

“I would encourage all local Sarawakian companies and stakeholders to start thinking out of the box to help us move out of the paradox and move us into a new era of competitiveness that is highly localised but with global standards. I welcome all interested parties to be with us in this journey,” he said.

About 1,000 people attended the IBCM 2017, which also heard welcoming remarks from Deputy Minister of International Trade and Industry Datuk Ahmad Maslan and a special address by Minister in the Prime Minister’s Department Datuk Seri Nancy Shukri.

Ambassador and head of the European Union delegation to Malaysia Maria Castillo Fernandez, Republic of Korea’s ambassador to Malaysia Dr Yu Hyun-seok and the Netherlands ambassador (designate) to Malaysia Karin Mössenlecher were also present at the event.