As sustainability, governance, and responsible business practices continue to shape Malaysia’s future, strong collaboration and credible platforms matter more than ever.

ESG Malaysia invites professionals, practitioners, academics, and organisations to register or renew your membership and be part of a growing community committed to advancing ESG thought leadership, capacity building, and real-world impact.

🔹 Stay connected with Malaysia’s ESG ecosystem

🔹 Participate in forums, working groups, and events

🔹 Contribute to research, policy dialogue, and industry engagement

🔹 Collaborate across sectors to drive meaningful change

Morning all, I’m RAYNER OON—your friendly neighborhood compliance advisor.

I specialize in turning greenhouse gas inventories into bedtime stories

and have been known to recycle jokes just to stay compliant with NSRF standards.

My hobbies include calculating the carbon footprint of my lunch

and offsetting it with Excel formulas.

In short, I’m here to save the planet one spreadsheet at a time—

When a company borrows money to build a cleaner steel furnace, the bank will set rules, These rules are not just about paying back the loan, they also make sure the company follows through on its environmental commitments. Without these rules, the company might say it is "green" but not actually change.

Do you think banks in Malaysia should always put these rules in place when giving loans for big projects?

Has anyone here gone through this kind of process with banks before? What was your experience?

A RM200 million electric arc furnace is more than just a balance sheet asset — it’s a test of how well financing structures can balance risk and sustainability. EAFs cut emissions by up to 80% and position steelmakers for the low‑carbon transition, but banks face exposure to scrap supply volatility, price swings, and regulatory scrutiny under CCPT. That’s why covenants on debt ratios, cash flow coverage, supply contracts, and emissions reporting are critical. Done right, they turn a risky loan into a sustainable partnership that protects both lenders and steelmakers in the ESG era.

The ESG initiatives during Engineering, Procurement, Construction, Installation & Commissioning (EPCIC) must align with globally recognised frameworks and standards, including:

• ISO 14001 (Environmental Management Systems)

• ISO 45001 (Occupational Health & Safety)

• ISO 9001 (Quality)

• ISO 26000 (Social Responsibility)

• UN Sustainable Development Goals (SDGs)

Having been involved in the Renewable Energy sector , I felt it would be timely to share a few observations, particularly in light of the growing focus on carbon management and energy transition across many countries.

With Malaysia’s recent announcement of a carbon tax, it is important for SMEs and corporates to understand the most cost-effective and credible pathway for managing their carbon exposure and avoiding unnecessary costs.

In this context, it is useful to clarify the growing interest in SELCO RECs. Since the beginning of this year, Malaysian MNCs, corporate buyers, and SMEs have shown increasing curiosity about SELCO RECs. However, some confusion remains because the term SELCO is also used in the Energy Commission’s guidelines to refer to self-consumption electricity, which simply means renewable energy generated and used onsite.

In the REC market, however, SELCO RECs carry a more specific meaning: they represent the environmental attributes of renewable…