The pressing threat of climate change, the drive for economic diversification, and energy security imperatives demand a bold pivot to decarbonisation. The world’s energy system must accelerate its shift from fossil fuels to low‑carbon energy—at speed and at scale.
Energy transition
What is energy transition?
Energy transition is a structural shift in energy systems, characterised by a transition towards cleaner sources of energy, increased use of renewable energy (RE), and a significant reduction in carbon emissions.1
The pressing threat of climate change has necessitated a decisive move towards decarbonisation and a move away from fossil fuels toward low-carbon sources such as RE like hydropower, solar, and bioenergy.
In Malaysia, fossil fuels still dominate the energy mix—natural gas (45%), crude oil and petroleum (27%), and coal and coke (23%).2 Energy demand is projected to grow by an average 3–4% annually through 2040, and total electricity demand is expected to double by 2050.1 With the energy sector contributing roughly 80% of national greenhouse gas (GHG) emissions, the case for accelerating energy transition is clear and urgent.
1 National Energy Transition Roadmap,
2 Energy Commission MyEnergyStats (2022)
Why is it important?
The energy transition agenda compels organisations to reassess their operations with greater scrutiny. As policies and regulations become increasingly stringent, embracing sustainability and pivoting toward cleaner energy sources become imperative. Beyond meeting environmental and social expectations, adopting a proactive approach will strengthen your organisation’s ability to adapt and succeed in an unpredictable market.
Act now to set the pace. Beginning this transition today positions your organisation as a front-runner in building a sustainable future. A rigorously defined energy transition roadmap, with tangible milestones and timelines, strengthens risk management and unlocks value that accelerates your path to net zero. Here’s what you stand to gain.
Risk mitigation
As regulations evolve, companies that proactively adopt sustainable practices are better positioned to navigate compliance challenges and avoid potential penalties.
Cost savings
Energy-efficient solutions lead to long-term cost savings through reduced energy use.
Competitive edge
In today’s world, embracing energy transition strengthens reputation and trust, drawing climate-conscious customers, investors and talent, and differentiates you in the market.
Our focus, your priority
Accelerate energy optimisation
By changing how your organisation uses energy, you can save money and build resilience—increasing productivity, improving margins, and reducing exposure to market swings and global events.
Fuels of the future
To achieve net zero by 2050, we need to go beyond electricity. We need to embrace alternatives. As sustainable aviation fuels, hydrogen, and biofuels become scalable and commercially viable, they will play an essential part in powering the transport of the future.
Rethinking systems for a greener future
Seventy percent of greenhouse-gas emissions come from energy, industrial activity, and buildings. Achieving net zero means transforming our renewable energy and power-grid infrastructure—how we plan, finance, build, operate, and decommission.
Accelerating the pace of change
Decarbonising hard-to-abate sectors is complex—and vital to get right. The chemicals industry must move quickly to embrace green energy—teaming with agriculture and manufacturing, using less hazardous chemicals, and adopting low-carbon production methods. We must move to the circular practices that protect our planet.
Green is the new gold
This is mining’s moment. The demand for critical minerals is skyrocketing. But the sector is under pressure to accelerate to low-carbon mining. Transformation costs can be controlled with targeted investment and reimagined business models. By sustainably extracting the green minerals that will be needed to power our world, the mining industry is not just transforming itself—but becoming the cornerstone of a sustainable future.
Here’s how we can help
- Market assessment: We analyse current market trends, regulatory landscapes and technological developments to help you understand the energy landscape.
- Roadmap development: We build and deliver strategic roadmaps including green growth and net zero roadmaps, as well as conducting due diligence for acquisitions, deals, M&A strategies, and sourcing, to fortify your transition goals.
- Decarbonisation strategies: We develop decarbonisation strategies and pathways by modelling emission reduction potentials that align with your climate or sustainability targets, as well as related policies and regulatory requirements.
- Redefine business models: We design and evaluate new business models aligned with your decarbonisation goals by identifying value propositions, revenue architecture, supply chain optimisation and exploring customer strategy.
- Transition partnerships: We design sector-wide commercial models to drive collaboration between different parties, balancing risk ownership and returns among stakeholders.
- Transformation and reform plan: We conduct strategic review and gap analysis of your business model, activities, and organisational structure, and develop recommendations that align with your sustainability targets.
- Financial modelling: We conduct integrated financial modelling and risk analysis to ensure the economic viability and lasting value of your transition initiatives.
- Cost-benefit analysis: We conduct in-depth analysis of cost components across the value chain to develop a holistic financial overview for commercial feasibility.
- Impact assessment: We conduct socio-economic impact analysis using economic modelling to evaluate how the evolving energy landscape will impact your business operations and households.
Explore related case studies
- Developing a roadmap for Pahang’s net zero ambitions
- Circular economy: From waste to wealth
- Mobilising electric vehicles in Southeast Asia
- Developing a climate strategy and carbon market framework for a Malaysian State Government
- Assessing Malaysia’s strategic potential for carbon capture, utilisation, and storage (CCUS) development
Developing a roadmap for Pahang’s net zero ambitions
With the 2030 Climate Pledge fast approaching, Malaysia is accelerating delivery under the NETR. Not only does this roadmap project up to RM1.85 trillion in financing necessary for energy transition initiatives, it also reaffirms the national commitment to reduce GHG intensity against GDP by 45% by 2030, using the 2005 levels as a baseline.
In line with this, the Pahang state government is committed to reaching net zero by 2030 by developing its own roadmap.
Here’s how we delivered impact:
- We established a baseline for GHG emissions to support the state government’s decarbonisation efforts, coupled with a governance framework designed for net zero implementation.
- Leveraging our global network, we opened up new financing avenues through a diversified pool of funders, broadening the financial options available.
- We developed a net zero roadmap structured around five transition pathways: energy, transport and build environment, industry, land use and nature.
Circular economy: From waste to wealth
A leading waste management company began operating port reception facilities (PRFs) in support of the 12th Malaysia Plan to advance the circular economy and bolster their presence in the marine waste sector. These facilities act as collection points for ship-generated waste.
Following that, the client planned to move further down the value chain by exploring integrated eco-recovery complex (IERC) projects to monetise collected waste.
Acknowledging the complexities of entering a new sector, the company wanted to deepen their understanding of marine waste’s challenges and opportunities.
Here's how we delivered impact:
- We ensured adaptability to accommodate varying types and volumes of waste.
- We developed diverse models to support sustainable practices and long-term viability.
- We strategically identified ports based on waste volume, infrastructure needs and regulatory support.
- We acquired specialised technology and expertise needed for efficient waste management and treatment.
- We helped the client build strategic alliances with government agencies, local communities and industry players to enhance project feasibility and impact.
Mobilising electric vehicles in Southeast Asia
In the global race towards net zero, the demand for electric vehicles (EVs) is experiencing unprecedented growth. By 2040, EVs are projected to comprise 75% of total cars sold worldwide. Malaysia, in line with this trend, targets and EV market share of 38% by 2040 in annual vehicle sales.
Against this backdrop, the client sought to expand their presence in Southeast Asia by setting up a regional manufacturing hub for EVs and deepening their engagement in the automotive supply chain.
How we delivered impact:
The client signed a multi-year contract—the first of its kind in Southeast Asia—with a leading EV manufacturer for vehicle assembly in Malaysia.
We assessed market potential and formulated revenue models for new product offerings.
The client entered a new business segment while leveraging on existing capabilities.
Developing a climate strategy and carbon market framework for a Malaysian State Government
A Malaysian State Government is committing to whole-of-economy decarbonisation and net zero by 2050, while mobilising capital for climate projects through a state carbon trading framework.
The State Government is committed to reaching net zero by delivering the state’s first climate strategy with clear interim and long-term targets and actionable pathways for implementation.
Here’s how we delivered impact:
- We developed the state’s decarbonisation strategy by modelling emission reduction potentials across priority sectors and designing decarbonisation pathways and establishing a carbon budget to guide policy and delivery.
- We developed the state’s carbon market framework by designing the carbon trading and crediting mechanics, guidelines, and strategic roadmap for Article 6 market participation.
- We developed a GHG inventory system for future measurement, review, and verification (MRV) to track progress against decarbonisation targets.
- We developed a targeted outreach and communication strategy with key messages tailored to various stakeholders.
Assessing Malaysia’s strategic potential for carbon capture, utilisation, and storage (CCUS) development
A large conglomerate sought to explore its role within Malaysia’s CCUS ecosystem—leveraging its industrial base, port infrastructure, and proximity to regional markets. Malaysia’s strategic location and industrial diversity offer potential for CCUS deployment, particularly in logistics, technology provision, and cross-border collaboration.
Understanding the transformative nature of CCUS, the client aimed to gain a deeper understanding of the challenges and opportunities in CCUS deployment.
Here’s how we delivered impact:
- We assessed the country’s carbon capture landscape by identifying high-emitting sectors such as petrochemicals, power, cement, and steel, and evaluating their readiness for carbon capture technologies.
- We mapped logistic linkages between Malaysia’s industrial zones to potential offshore storage hubs in Kuantan and Kerteh, including pipeline, shipping, and trucking options.
- We performed emissions intensity analysis to validate the feasibility of carbon capture facilities in client-nominated sites by determining the source and scale of emissions.
- We analysed policy and financial enablers, aligning with Malaysia’s CCUS Bill 2025, prospective carbon tax implementation, and national energy transition goals.
- We evaluated commercial models for carbon capture and transportation deployment, including partnerships, centralised capture facilities, and CO2 gathering hubs to support industrial decarbonisation.
- We identified potential strategic partners and stakeholders across the CCUS value chain, including technology providers, logistics operators, and industrial tenants to support pilot projects and long-term scale-up.
