Kota Kinabalu: The Sabah Government will not permit unvetted carbon projects to be rushed to market or traded on speculation, Chief Minister Datuk Seri Hajiji Noor said.
His speech was delivered by Deputy Chief Minister and State Finance Minister Datuk Seri Masidi Manjun at the Sabah Carbon Market Forum at the Hilton Kota Kinabalu on Thursday.
Hajiji warned that poorly designed projects, overstated climate claims, undervalued resources, and the exclusion of native communities would erode investor confidence in Sabah's carbon credits.
He highlighted that laws such as the Sabah Climate Change and Carbon Governance Enactment 2025 legally recognise the State Government’s ownership of carbon rights and set clear rules for project approvals and credit trading.
Sabah possesses Malaysia’s first nature-based verified carbon credit initiative through the 83,381-hectare Kuamut Rainforest Conservation Project, which is expected to yield approximately 800,000 tonnes of carbon dioxide emission reductions.
Meanwhile, Natural Resources and Environmental Sustainability Minister Datuk Seri Arthur Joseph Kurup affirmed that Sabah retains full constitutional jurisdiction over its carbon projects and revenue collection.
Arthur said Putrajaya’s role under the National Carbon Market Policy is to act as an institutional enabler and sovereign umbrella to global markets under the Paris Agreement, rather than to centralise control or encroach upon state rights.
The forum, hosted by the Sabah Government and organised by Bursa Carbon Exchange alongside the Malaysia Carbon Market Association, gathered over 100 industry stakeholders to explore financing and development frameworks.
