Govt initiatives meant to drive Sarawak’s economic growth

THROUGHOUT the year, the Sarawak government has shown its commitment of pursuing economic growth for the state towards achieving the advanced status by 2030 via public-private partnerships (PPPs) and a myriad of growth-centric initiatives.

In line with the Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg’s ambitious Post Covid-19 Development Strategy (PCDS) 2030, the state’s economic development has centred on environmental sustainability, food security, and attracting investment, as well as championing unity within a diverse society.

One of the achievements this year was the launch of the world’s largest mass microalgae biomass production facility, known as Chitose Carbon Capture Central (C4) Sarawak, utilising flat-panel photo-bioreactor technology at a site located next to Sejingkat Power Station in Kuching.

The microalgae project, which kicked off in 2020, is led by Japan’s Chitose Group – the primary contractor, Sarawak Energy Bhd (SEB) and Sarawak Biodiversity Centre (SBC).

It is fully funded by New Energy and Industrial Technology Development Organisation (NEDO) and managed by Japan’s Ministry of Economy, Trade, and Industry.

Microalgae biomass can be processed for various commercial applications such as jet fuel, plastic, paints, surfactants, truck fuel, proteins, feed and food products, as well as for pharmaceutical and cosmetic purposes.

The production of sustainable aviation fuel from large-scale microalgae cultivation had culminated in Abang Johari boarding a Latvian airBaltic Airbus A220-300 aircraft, partly fuelled with the fuel, to travel to Langkawi for the Langkawi International Maritime and Aerospace Exhibition in May.

To modernise a greener public transport system, the Sarawak government had implemented the Kuching Urban Transport System (KUTS) initiative, whereby the cornerstone project was the hydrogen-powered Autonomous Rapid Transit (ART) smart tram.

A milestone was achieved this year when a prototype ART hydrogen vehicle engineering run exercise was completed at Isthmus Kuching, followed by a Proof of Concept (POC) exercise in Samarahan.

The development of three ART Lines is on-going under Phase 1, and the operation of KUTS would be supported by hydrogen feeder bus service to cater for first- and last-mile connectivity.

Since swearing in to lead the Sarawak government in 2017, Abang Johari has made championing for fair treatment of the state by their federal counterparts a key priority, and in this sense, Southeast Asia’s tallest flagpole was erected in conjunction with the grand celebration of the 60th anniversary of Sarawak being a founding partner of Malaysia.

Weighting one tonne, the pole flying the Sarawakian flag stands at 99 metres, with the flag measuring 312.5 square metres. It is located between the State Legislative Assembly (DUN) Complex and Fort Margherita, overlooking the Sarawak River in Kuching.

Another historic moment was when it was revealed in Sarawak DUN in November that the takeover of the Bintulu Port should be finalised by July 2024.

Abang Johari has made taking over the port one of his administration’s key targets as part of the state’s overall port development strategies.

In addition, a memorandum of understanding (MoU) between the Sarawak government, Hornbill Skyways Sdn Bhd, and Malaysia Aviation Group (MAG) was signed on Oct 27 towards the creation of Sarawak’s own boutique airline by taking over MASwings.

The aim of setting up a boutique airline was to provide the state with greater control over route preferences and facilitate travel between remote areas in Sarawak, around the country, and in the Southeast Asia region.

Abang Johari had said that the new airline would not be profit-driven, and should stabilise the airfares for flights between Sarawak and other cities in the country.

To further spur the growth of the petrochemical industry in Sarawak, the Bintulu Additional Gas Facility-2 (BAGSF-2) came online this year to deliver gas to a new methanol plant in Bintulu. The BAGSF-2 facility would supply 160 million standard cubic feet of gas per day (MMscfd) to the state’s first mega-methanol plant.

A plan is also in the pipeline to set up an ammonia plant to produce blue ammonia in Bintulu to meet the growing global demand.

Two major hydrogen manufacturing projects, H2biscus and H2ornbill should be operational in Bintulu Petchem Industrial Park in 2027. SEDC Energy Sdn Bhd is collaborating with Japanese and South Korean multinationals to invest in the green hydrogen production facility.

The H2biscus project is expected to produce 7,000 tonnes per annum of green hydrogen for domestic use; 600,000 tonnes per annum of blue ammonia; 630,000 tonnes per annum of green ammonia; and 460,000 tonnes per annum of green methanol for export.

State-owned oil and gas company, Petroleum Sarawak Berhad (Petros), had also been issued the first licence in the state for carbon storage this year, allowing them to embark on the strategic role of being a resource manager for carbon capture, utilisation and storage (CCUS) assets in the state.

Furthermore, a feasibility study would commence soon for the laying of undersea electricity cables to supply renewable energy to Singapore from Tondong, Sarawak. An agreement had been reached for Sarawak to supply a maximum of 1,000 megawatts of electricity to Singapore.

It was previously reported that the undersea cable would cover a distance of 700 kilometres. About 80 per cent of the cable would be in Indonesian waters, and 20 per cent in Malaysian waters.

State-owned utility company, Sarawak Energy Bhd (SEB), was also working with its Indonesian partners to construct a 1,375MW Mentarang Induk Hydroelectric Project in North Kalimantan, Indonesia.

The US$2.6 billion hydroelectric dam project had its earth-breaking ceremony earlier in March, with both Abang Johari and Indonesian president Joko Widodo – or ‘Jokowi’ – attending.

On food security, Abang Johari had revealed the state’s goal of producing 240,000 tonnes of rice a year with the use of hybrid rice seeds from Vietnam.

The hybrid seeds would enable farmers to increase their yields to three seasons of rice production per year.

Paddy cultivation using the hybrid seeds is expected to take place at Lubok Punggor in Gedong, Tanjung Bijat in Sri Aman, Spaoh in Betong, and Tanjung Purun in Lundu.