The urgency of managing carbon emissions cannot be overstated. The Paris Agreement, adopted by 196 countries in 2015, aims to limit global warming to well below 2°C, with efforts to cap it at 1.5°C. This international treaty underscores the critical need for immediate and sustained action to reduce greenhouse gas emissions.
Malaysia has committed to achieving net-zero emissions by 2050, aligning with the goals of the Paris Agreement. As part of its Nationally Determined Contribution (NDC), Malaysia aims to reduce its economy-wide carbon intensity by 45% by 2030 compared to 2005 level. This ambitious target is part of the country’s broader strategy to combat climate change and promote sustainable development. The National Energy Transition Roadmap (NETR) is a pivotal component of this strategy. Launched in 2023, the NETR outlines a comprehensive plan to transition from fossil fuels to renewable energy sources, aiming for 70% renewable energy by 2050. This roadmap not only addresses climate change but also enhances energy security and economic resilience.
Our Commitment Towards Carbon Emission Intensity reduction
In support of Malaysia’s net-zero ambitions, we are committed to achieving net-zero emissions by 2050. This commitment is part of our broader sustainability pathway, which was announced in 2021. We aim to reduce our annual carbon emission intensity by 5% each year from 2024 and steadfast in our commitment to achieve a 35% emission intensity reduction by 2035 and net zero by 2050.
To achieve these targets, our efforts focus on reducing carbon emission intensity (tCO₂e/MWh) through our Carbon Management Strategy and Renewable Energy (RE) Capacity Expansion. Together, these initiatives enable us to reduce emission intensity from our operations and set the stage for long-term sustainability by integrating renewable energy and innovative carbon management technologies.
Figure 1: TNB Strategy to Reduce Carbon Emission Intensity
Our Carbon Management Strategy focuses on reducing, capturing, and offsetting carbon emissions (tCO₂e) from TNB’s operations. We will continue to expand our renewable energy (RE) capacity both domestically and internationally. Domestically, this will be achieved through the development or acquisition of RE assets by TNB Power Generation Sdn. Bhd. (Genco) and TNB Renewable Sdn. Bhd. (TRe). Internationally, Vantage RE and Sparks Renewable will spearhead these efforts.
From Vision to Reality: Translating Strategy into Concrete Actions
Anchoring to the Carbon Management Strategy and Renewable Energy (RE) Capacity Expansion, we are actively reducing emission intensity and expected to make significant progress to achieve Net Zero by 2050 through concrete actions. The following are the details summarizing the expected reduction in carbon emission intensity (in percentage) by 2050, compared to 2024:
Figure 2: Expected reduction in carbon emission intensity (in percentage) by 2050
Carbon Management Strategy: Reduce, Capture, Off-Set
1. Reduce Carbon Emissions
In our relentless pursuit of a sustainable future, we are committed to achieving 18.25% reduction in emission intensity by 2050. This ambitious goal will be realized through a series of targeted measures, including:
• Enhancing Power Plant Efficiency: Implementing coal blending, periodic boiler cleaning, and compressor washing.
• Leveraging Advanced Technology: Monitoring plant efficiency through Digital Twin technology.
• Transitioning Energy Sources: Early retirement of coal power plants and switching from coal to gas as a transition fuel.
• Innovative Co-Firing Solutions: Co-firing of coal power plants with biomass and gas power plants with hydrogen.
Each of these initiatives represents a crucial step towards reducing our carbon footprint and fostering a cleaner, greener planet.
2. Capture Carbon Emission
We are set to achieve a 29.63% reduction in emission intensity by 2050 through the implementation of advanced carbon capture and utilization (CCU) technologies. Our carbon capture and utilization strategy include:
• Carbon Capture: Development of bio-carbon capture (e.g., microalgae) or chemical carbon capture system to absorb and capture CO₂ efficiently.
• Carbon Utilization: Development of CO₂ utilization system through biological and hydrogenation pathways.
We embark on “Project Dragon” as a step to realize the potential of carbon capture technologies in our effort to reduce carbon emission intensity. Initiated in June 2024, the project aims to assess the technical and economic viability of integrating carbon capture and utilization (CCU) technology at our 2000MW Jimah East Power (JEP) coal power plant. The goal is to successfully implement and operate a pilot carbon capture and utilization system at the site, capable of capturing up to 5,000 kg of CO₂ annually for utilization through either biological or hydrogenation pathways.
Figure 3: Conceptual Solution for Carbon Capture and Utilization
This comprehensive approach ensures that captured carbon is effectively managed and repurposed. By integrating these innovative CCU technologies, we are not only reducing our carbon footprint but also paving the way for a cleaner, more sustainable industrial landscape.
Off-Set Carbon Emission
In our pursuit of net-zero emissions, we invest in nature-based carbon offset initiatives like reforestation to tackle hard-to-abate emissions. These efforts help absorb and store carbon dioxide, contributing to a more sustainable future. We target to plant 40,000 trees annually, covering around 89 acres and sequestering about 1,600 tCO₂e. In 2023, we launched the My Brighter Green Programme to commemorate TNB’s 74th Anniversary and planted a total of 78,100 trees at 42 designated areas across the country, approximately equivalent to 174 acres and approximately 3,100 tCO₂e sequestered.
Figure 4: Outcome of the My Brighter Green Programme
We will continue to explore and invest in both nature-based and technology-based carbon offset initiatives for the remaining hard-to-abate emissions (5.65% of emission intensity by 2050). Our commitment towards these efforts are crucial in addressing our carbon footprint and ensuring a sustainable future for generations to come.
Increasing Renewable Energy Capacity
In our ambitious drive towards sustainability, we are significantly increasing our renewable energy capacity both domestically and internationally. We aim to secure up to 5GW of RE capacity in Malaysia under various programs including Large Scale Solar 5 (LSS5), Corporate Renewable Energy Supply Scheme (CRESS) and Corporate Green Power Programme (CGPP). This bold initiative is projected to achieve a remarkable 46.47% reduction in emission intensity by 2050.
Figure 5: Key Renewable Energy Projects by 2026
These projects represent our unwavering commitment to expanding renewable energy sources and reducing our carbon footprint. By harnessing the power of the sun and innovative hybrid technologies, we are paving the way for a cleaner, greener future.
For each of the above strategy, granular year-by-year initiatives have been identified to reduce carbon emission intensity to achieve set targets, as depicted in the following graph.
Figure 6: Emission intensity reduction initiatives
Visualising Our Progress Towards Net Zero Emission by 2050
Following an extensive target review process, the TNB Sustainability and Energy Transition Committee (SETC), chaired by President / Chief Executive Officer (CEO) of TNB had approved the Carbon Emission Strategy and RE Capacity Expansion. With both strategies in place, we are on a promising path to meet our long-term sustainability goals. Our immediate target is to reduce carbon emission intensity by 5% annually and we can achieve beyond our 35% carbon emission intensity reduction target by 2035 and net zero by 2050.
Our emission intensity projection illustrates our confidences in achieving the emission intensity reduction targets. With concrete actions, we are confident to meet set targets.
Figure 7: TNB Emission Intensity Projection 2024 to 2050
In conclusion, our Carbon Management Strategy and RE Capacity Expansion is not just a roadmap but a commitment to a sustainable future. By systematically reducing carbon emissions and expanding renewable energy sources, we are taking decisive steps towards achieving our Net Zero emissions target by 2050. This journey requires continuous innovation, collaboration, and dedication. Together, we can create a cleaner, greener world for future generations.
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