Yesterday’s announcement of the Twelfth Malaysia Plan (12MP) has bought up many familiar as well as new themes especially regarding the country gearing towards a sustainable environment. In the 12MP, the government will prioritise low-carbon, clean and resilient development that touches many aspects of our beloved automobiles.

While the government acknowledges the fact that citizens are still heavily reliant on private vehicles, even in greater Klang Valley when the majority of the new mass rapid transit systems are built, there are plans to further encourage the production of green vehicles.

UMW Toyota is investing RM270 million to produce hybrid models in Klang, with the Toyota Corolla Cross Hybrid its first model.

In the 12MP, incentives provided to local manufacturers to produce vehicles emitting low greenhouse gas, such as hybrids, plug-in hybrids (PHEV) as well as fully-electric vehicles (EV) will be reviewed. The purchase of low emission vehicles by end-users will also be reviewed and given incentives to further accelerate the usage of low emission vehicles.

There is a new automaker planning to set up an assembly plant in Malaysia. It has been announced that Porsche will start CKD as soon as next year!

One surprising mention in the 12MP is the mandatory requirement of the inclusion of energy-efficient driving techniques into driving licence and permit applications. Nothing has been elaborated as of now.

The transportation and logistics industry are also encouraged to switch to greener means, such as usage of rail freight as well as the development of a carbon impact assessment for the sector. The 12MP also proposes the introduction of carbon pricing, such as carbon tax and the Emission Trading Scheme.

Deliveries of the fully-electric BMW iX only begin next year, but there is already a queue forming! Find out why here!

The goal is for Malaysia to achieve carbon-neutrality by as early as 2050, with long-term low carbon development strategies being planned plus the enactment of a comprehensive National Energy Policy. One such large-scale directive is the end of building new coal-fired power plants in Malaysia and replaced by plants that consume natural gas.