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4.1.2 Potential for Malaysia to become a pioneering country in Hydrogen Economy
The development of the Hydrogen Roadmap in the Blueprint focussed on three major areas, namely, Hydrogen Infrastructure, Fuel Cell Applications, and Emerging Fuel Cell Technologies. The barriers of the transition to hydrogen economy were identified and assessed. The strategies and action plans were then developed to overcome the barriers by gathering insights on the challenges and barriers faced by Malaysia, formulating recommendations on how to overcome them and developing the action plan needed to achieve them.
The Hydrogen Roadmap in the Blueprint sought firstly to create and develop local hydrogen safety technical codes, standards, guidelines, regulations, policy structure, and monitoring bodies by considering existing international standards. Secondly the Roadmap sought to raise awareness and a better understanding of the hydrogen economy by the public and industry through education and training.
Thirdly, it sought to continuously work towards obtaining better financial support for investments in the hydrogen economy and making investments more attractive by reducing hydrogen and fuel cell costs and developing the business and market for the products. Fourthly, it sought to develop intensive education and training programmes for capacity building to create and increase skilled personnel and industry champions of the hydrogen economy.
It also sought to develop indigenous hydrogen and fuel cell technology through fundamental and commercial R&D to create, develop, and maintain a sustainable supply chain and infrastructure for the hydrogen economy.
4.1.2 Potential in Malaysia to become a pioneering country in Hydrogen Economy
At present, industry players started to pay attention to developing the hydrogen economy in Malaysia. Sime Darby Foundation partnered with Universiti Kebangsaan Malaysia to establish the UKM-Yayasan Sime Darby Chair Professor to carry out research in biomass gasifier technology and biohydrogen production. A total of RM 15 million endowment fund has been invested for the study. In addition, PETRONAS invested RM 8.25 million to establish UKM-Petronas Chair Professor of Sustainable Hydrogen Energy, focusing on developing electrolysers-based hydrogen technology. With these initiatives taken by the two largest companies in Malaysia, it is optimistic that other industry players will start to shift their focus to hydrogen energy.
PETRONAS can become a global hydrogen supplier by producing hydrogen from natural gas. Sarawak Energy is planning to become a hydrogen supplier by producing hydrogen from water splitting and hydro energy (Sarawak Energy, 2018).
Currently, the incentives available under MIDA for fuel cell manufacturing are as follows:
1. Investment Tax Allowance of 60% a period of 5 years for the purchase of green technology assets; or
2. Pioneer Status of 70% for a period of 5 years
