France to help Sarawak attain high income economy

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Christopher Penot

Christopher Penot

FRENCH ambassador to Malaysia  Christophe Penot has been heading the French mission in Malaysia for the past 16 months.

Before his present posting, the envoy from Paris was Deputy Head of the French missions in Japan and Canada.

As France’s point-man in Malaysia, his primary role is to further improve the already good ties between his country and Malaysia, and seek more opportunities in Malaysia for his countrymen and vice versa.

France, well-known for its aeronautic and urban transport industry, is ready to share its latest technologies with Sarawak which hopes to leapfrog to a high income economy by 2030.

Through the production of green power, there are countless opportunities for France and Sarawak to work closely together to ensure a green environment amid development, and ultimately, a win-win situation for both sides.

The Borneo Post interviewed Penot at a local hotel during his recent visit to Kuching touching on a wide spectrum of subjects.

 

Q: How do you find Malaysia so far?

A: I’m enjoying it very much because it is a very interesting job to be an ambassador in Malaysia. First of all, the country is developing very fast — already at the intermediate level and will soon join the high income club. There are plenty of business and partnership opportunities.

The main thrust of my job is clearly economy. Malaysia and France have enjoyed a very warm and stable political relationship. We have been a main supplier of the Malaysian Armed Forces for the past 10 years.

This is very important and I’m spending a lot of time handling it. Our Defence Minister comes to Malaysia at least once a year. He was here last September and November. Your Defence Minister (Datuk (Seri) Hishamuddin Hussein also travels to France very often.

 

Who have you visited so far?

I paid a courtesy call on the Head of State (Pehin Sri Tun Abdul Taib Mahmud) and visited the State Planning Unit (SPU) this morning. I had requested a second meeting with the Chief Minister (Datuk Patinggi Tan Sri Adenan Satem) to discuss general issues such as our interests in Sarawak’s projects.

As France’s ambassador to Malaysia, I’m interested in Sarawak which is very important in the Malaysian equation, being the largest state. So, on balance, what happen in Sarawak tend to have political implications at the federal level.

Of course, Sarawak has great economic potential. What I find interesting here is the social balance among the races. This is extremely significant in the Malaysian context. I think Sarawak is very special.

I will try to get more French companies to invest in development projects in Sarawak. I believe opportunities abound in the State because of its economic potential and friendly business environment. Some of French companies are aware of this but others may not be.

After my meeting with you, I will visit Swinburne University to see the latest development on a joint research project between a French company and the University.

 

Any specific projects you want to discuss with the Chief Minister?

No. I just want to express my own as well as the collective interests of French companies in Sarawak’s development projects, especially in hydroelectricity, infrastructures and potentially other areas like biomass, health and agribusiness.

I think there are ample opportunities here to explore.

French companies are not looking only at contracts. They also need to create values at the local level which is what our companies are now doing in Malaysia — by associating with their local partners, transferring know-how and technologies, funding research and development programmes or even offering training to impart high technical skills. This is to ensure the local workforce also benefit from the projects we are given.

 

What’s your take on the presence of French companies in Malaysia?

We already have a number of companies here. For example, a French group is going to build another hotel in Miri.

Another group — Alstom — is providing turbines for your hydroelectric projects. Applications of tenders are on-going. A number of companies are also bidding for construction projects. Then, there is our traditional involvement in the oil and gas industry. We have about 270 companies in Malaysia.

I’m not sure if French companies in Peninsular Malaysia know about the opportunities presented by Sarawak. Maybe it’s a good time for us to organise a seminar with the help of SPU or other agencies to try and attract more French investments. It would be good for French companies to share their expertise and experience.

 

How do you see the relationship between Malaysia and France?

It’s getting stronger. If you co-operate in defence equipment and exchange of intelligence or strategies, it means you are building a lot of trust and confidence as partners. This is what have achieved.

The Malaysian government creates a very business-friendly environment which is recognised by all international agencies. Malaysia has become a very attractive place for foreign companies, not only from France. The competition is keen but France has been developing new technologies quite rapidly in the past decade.

 

What are the areas both countries are focusing on?

Primarily aeronautics because of Airbus. It’s extremely strong in Malaysia — both with Malaysian Airlines and AirAsia. The latter is almost 100 per cent Airbus. This creates a lot of momentum around the industry such as in aircraft maintenance, setting up of a research centre and production of aircraft parts.

A most significant French investment in Malaysia was launched last year in Negri Sembilan in the form of a carbon brake production plant which supplies not only Malaysia but also Indonesia and Thailand. Overall, Malaysia has become the regional hub for aeronautics.

So this is a very strong area of investment, co-operation and partnership for us. Then, we have energy, transport and oil and gas although the petroleum sector is not doing well due to falling prices. But we still have big and small companies trying to survive in this difficult environment. Malaysia will remain a big centre for that.

In the transport sector, there are new urban transport projects, especially in Kuala Lumpur — MRT, MRT 2 and MRT 3 as well as the high speed train between Malaysia and Singapore. Many French companies are bidding for them.

The fourth area maybe health. We have one French company — Sanofi — which has developed a vaccine against Dengue. The vaccine has been introduced in some countries like Mexico, for instance. It’s not in Malaysia yet. We still have tests on different sections of the population but I’m hopeful it will be introduced here soon.

In the energy field, hydro is very important. As a follow-up to Cop21 (Conference of Parties) in Paris, we are looking closely at what we can do for renewable energy in Malaysia.

We can also work closely to explore the ‘sustainable city concept’ which includes transport, low energy consumption, waste and water managements. We have developed some good expertise in France and are trying to introduce the concept to some cities in Malaysia. Penang and Johor Bahru have expressed interests. And yes, we also like to include Kuching.

 

What are the areas of expertise Malaysia can learn from France?

Climate change is where we can provide some good advice. In COP21 last December, the major issue discussed was the reduction of carbon emission in Southeast Asia. If we don’t do anything, our planet will get very warm with consequences that will affect mankind in a drastic way.

We cannot prevent global warming altogether but we should and must contain the rise in temperature to around 1° C — certainly below 2° C compared with the pre-industrial figure.

For that, we need to reduce carbon emission. We are interested in working with Malaysia on that — not only adopting carbon friendly-technologies but also creating awareness among the people.

Everyone must contribute to make it work. Maybe the first step is for France or even the whole of EU to help Malaysia raise awareness so that everyone adopts a more reasonable and environment-friendly approach to consumption and wastage. It’s a long term effort, involving education and awareness campaigns.

 

Why is EU interested in creating carbon emission awareness in Malaysia? Is it because of our oil palm industry? Is oil palm considered environment-friendly in Europe?

There is no scientific evidence to show oil palm contributes to carbon emission. Seriously, there’s no conclusive scientific evidence. I know some people, especially in Europe, who say oil palm contributes to deforestation and therefore, carbon problems, but there is no scientific evidence.

With the help of European producers, Malaysia has embarked on a programme of sustainable palm oil with certification. The long-term aim is for Malaysian palm oil to be certified — and therefore, sustainable. So there is no reason why we should say oil palm is responsible for global warming.

It’s very true there are anti-palm oil lobbies in Europe where palm oil is said to be bad and linked to deforestation and bad health. Again, there is no scientific proof. I’m not taking sides but just looking at scientific reports.

The anti-palm oil lobbyists in Europe have used palm oil to create some buzz around the product being detrimental to health and the environment. European governments have not taken this stand. When our Prime Minister (Manuel Valls) came here in 2013, he made it clear to the Malaysian authorities the French government would not support any additional tax on palm oil or any unreasonable tax on the palm oil industry that would harm Malaysian and Indonesian production.

Consumers may be convinced by (anti-palm oil rumours) but European governments are not supporting this approach. There were several attempts by French parliamentarians to impose tax on palm oil but so far, it has always been defeated by the government.

We now have a new challenge though. While enacting a new law on restoration of nature and environment, one senator in the High Chamber in Paris tabled an amendment to impose an additional tax on palm oil. It was not supported by the government.

Now the bill goes back to the National Assembly for second reading. I don’t know what will happen to the amendment as it is not approved at this stage. The government has not changed its position. But it’s still an issue.

If I may make a recommendation to the Malaysian and Indonesian governments, it’s that they should intensify their lobbying in Paris and other European capitals. Palm oil has a good case. If you read the scientific evidence and consider sustainable production, the case is good. So lobbying has to be made. It’s very important.

People continue to be swayed by rumours on palm oil but there is no good scientific evidence. You never know who is behind the rumour but I would recommend some strong lobbying because the case (for palm oil) is quite good.

You need to convince health-conscious French consumers who are very particular about their food. We have one very good and respected research institute in France, specialising in agriculture research (CIRAD). They have made very positive reports on palm oil — much more so than the rumours we hear in some European capitals.

And CIRAD are involved in sustainable palm oil production activities in Malaysia. They are highly respected and can help. They are serious scientific people not paid by the industry. They are French and there is no evidence why their reports should not be used.

 

What is the perception of Malaysia among French people?

Very positive. Quite a number of French people come here as tourists, including Sarawak. They know about the (Petronas) Twin Tower. Actually, everybody knows the Twin Tower. When I tell the people in France I work in Malaysia, I tell them about the Twin Tower which is the icon of Malaysia. But generally, the people of France have very a good impression of Malaysia.

 

Is language a barrier between the two countries?

No, I don’t think so. We are now more like other countries. I don’t remember any problem. More French people are also coming here due to the present weak Ringgit. But it will not last.

 

Is the acquisition of weaponry and defence assets such as the two Scorpene submarines from France a good deal?

If you talk about the submarines, it’s obvious you have to create a submarine force from nothing, so to speak — such as crew and maintenance team who have to go through the whole lifespan of the submarine which is a very special ship.

In the beginning, you have to provide the training and transfer the know-how. Then some people from France also need to be stationed here. But the idea is for Malaysia to eventually take over.

This is what we have achieved with your submarine force which is now doing very well. We have some French people here for the maintenance, and the training is almost finished.

Recently, we had a joint exercise off the Sabah coast, involving a French warship and the Malaysian submarines. It worked out very well. Comments from the French Navy personnel aboard the warship were very positive.

There is a lot of transfer of technologies and the Malaysian government is very strict with that. It wants submarines but it also wants the required technologies. I think the Malaysian government is right to add value for the country with the purchase. With the association of Malaysian partners, the submarine project is not solely that of a French company but rather a partnership with a Malaysian company.

 

What are your comments on allegations that the two French-made submarines with the Malaysian Navy cannot dive?

This is completely false. They are at sea and working very well. I go there very often. I can tell you the Malaysian Navy is doing extremely well. Even our Defence Minister Jean-Yves Le Drian is surprised with the high level achieved by the Malaysia Navy in the building the submarine force.

Malaysians are running the show now. We are there, of course, but the Malaysian Navy is in the driver’s seat. What you hear — all the negative comments about the submarines — are false.

 

Have we been short-changed in any way, especially if the manuals and signage inside the submarines are in French?

Not short-changed … no, don’t worry, they are in English. For this purpose, we provide them with English-speaking trainers.

 

What are your comments on the IS threat and their recent attacks in Paris?

It seems we are being targeted. So there is a need for us to create a network with friendly countries to track down this new threat. The French government is well aware of it. We need to exchange information on terrorism and how to tackle it together.

As ambassador, my task is to ensure we are safe here as we have been targeted in Paris. The same with our embassies in Bangkok and everywhere. The January attacks in Jakarta have made us very conscious of the necessity to protect ourselves against terror.

This is one area I have to work closely with my colleagues from the other embassies and the Malaysian authorities to ensure we have information on the nature of the risk. So, from time to time, we do need police protection. But I’m confident the Malaysian authorities are taking the threat very seriously and doing the necessary to thwart any terrorist attacks.

 

French society has been known to be friendly towards immigrants but what is the reason(s) for the attacks from terrorists?

Some of them are brought up in France while others in Belgium. They hate our values but don’t represent Islam or the immigrants in France. It’s just a few — they don’t represent the rest of the people. But the question is what are we going to do with immigration, given our open border system established 20 years ago.

There are no easy answers because we have abolished our internal borders. Maybe we don’t have adequate enforcement at the external borders. For example, travelling from Syria to Turkey, terrorists will choose the weakest point along the external borders of Europe which could be Bulgaria where they are able move freely to France or Spain to carry out attacks.

So we need to look into that. We have re-established our external borders for the time being. What we need to do is reinforcing our cooperation and exchange of intelligence-data with other European countries on the status of travellers. This could be an answer but the real solution is tackling the problem of youth.

Why do they choose to become terrorists? They have been brought to France and Belgium. We are friendly societies — they go to school and suddenly become radicals and fight in Iraq and Syria and return to kill people. This is a big question — we are asking ourselves what’s happening?

You need to understand why the people you educate can become terrorists and turn against you and start killing people and their countrymen, their own brothers and sisters. It’s a very difficult question.

Why is IS propaganda so successful? You know, most of the French Muslims involved in recent terrorist acts, are very interesting cases, considering they are all third generation immigrants. Their parents were born in France. Their grandparents came and brought with them their cultures, religious beliefs and so on.

Later, their children became integrated with some abandoning their religions and cultures. But some from the third generation reacted in the wrong way by embracing a wrong ideology, thinking it’s not Islam.

There is generational conflict and economic issue in France as unemployment is quite widespread in the immigrant communities. They are more likely to drop out of school, posing all sorts of socio-economic challenges, and looking for the answers will take a long time because the issue is so huge.

 

How has the French government tackled the Syrian refugee issue?

We grant political asylum to people persecuted for political and religious reasons such as those fleeing war zones as in the case of Syria. But we don’t automatically grant them citizenship.

We give some of them political asylum but have to send others away, especially economic migrants. We cannot accept them as we are facing harsh economic conditions and high unemployment. That’s why the French government has not been able to accept them.

The question is when will the war in Syria end? It can take a long time and get very complicated. The problem is we (western nations) didn’t see the ominous signs early enough to have tackled the Syrian refugee issue differently. It’s a very difficult situation — the scale is very big. The war has gotten very bad. There are many sides which won’t hesitate to target civilians. They are either IS or the Syrian regime. The situation now is probably worse than Afghanistan during the time of the Russians.

 

Is Malaysia helping your country combat IS?

Mutual cooperation in this regard means exchanging information. All of us are vulnerable to terrorist attacks. I think Malaysia also wants cooperation from France, UK and other countries to fight terrorism. We need to monitor the Internet and look into cyber security.

 

Finally, have halal foods from Sarawak the potential to penetrate the market in France which has a sizeable Muslim community, and eventually other EU markets?

Generally, Sarawak interests us because there is potential for us to explore. We already know the need for hydro and infrastructural projects. There is plenty of potential but it’s also very competitive. Some French companies are already here and don’t need a French ambassador to help them.

Of course, we like to see potential in areas such as biomass and health. I didn’t raise any specific issues with the CM. There is a possibility though for us to look into the potential of halal foods, and France could be a launching pad for such products to penetrate Europe.