KUALA LUMPUR: Sarawak is targeting to increase its hydropower capacity from the current 5.9 gigawatts (GW) to 10GW by 2030, before reaching 15GW by 2035, as the state steps up efforts to expand its renewable energy capacity.
Deputy Energy and Environmental Sustainability minister Datuk Dr Hazland Abang Hipni said a mix of energy sources would support the targets, with hydropower remaining a key component of Sarawak’s energy development strategy.
He said Sarawak’s vast landmass, almost equivalent in size to Peninsular Malaysia, is a major advantage in its efforts to develop renewable energy, particularly hydropower.
About 62% of the state was covered by forests, while its extensive river network, comprising more than 300 rivers, provided significant potential for hydropower generation, he added.
“The development of Sarawak’s hydropower resources was rooted in a vision laid out by the state’s early leaders more than 45 years ago, when an Australian consultancy firm was engaged to conduct surveys and assess the state’s hydropower potential.
“The study resulted in a master plan that remains in use today, identifying sites for four major hydroelectric dams across Sarawak,” he told delegates at Clean Energy Transition Asia (CETA) 2026 here yesterday.
Hazland presented his paper entitled “The Battery of Asia: Turning the Sarawak Energy Transition Policy into Regional Power, Hydrogen and Investment”.
He said the first of these projects was the Batang Ai Hydroelectric Dam, which was completed and commissioned in 1985.
Located about 200km from Kuching, the dam has an installed capacity of approximately 108 megawatts (MW).
Hazland said Sarawak has also embarked on a 50-megawatt (MW) floating solar project at the Batang Ai dam, which is already in place, with plans to expand it by a further 150MW.
He said the state had continued to expand its hydropower capacity over the past 45 years, with several more dams subsequently developed, including the Bakun and Murum dams, while the Baleh dam is currently under construction.
Sarawak’s total power generation capacity now stands at about 5.9 gigawatts (GW), with hydropower accounting for approximately 60% of the total.
“This is the reason we can aspire to become the Battery of Asia,” he said.
On hydrogen, he said Sarawak had slowed down its ambitions to scale up production amid changing global conditions, although the state remained committed to developing the sector, particularly for domestic consumption.
“Due to global developments and other factors, we have had to slow down the pace of hydrogen production. However, we remain focused on developing hydrogen for domestic use in Sarawak,” he added.
Hazland said Sarawak estimated that its energy-related initiatives could attract between RM580 billion and RM700 billion in investment by 2050, as the state seeks to expand its energy mix and develop higher-value industries.
He said the state is encouraging more investment in solar power, run-of-river hydropower, and hydrogen, alongside emerging sectors such as green ammonia and green methanol, as well as the petrochemical industry.
“We have done our own calculations and believe we can attract investments of between RM580 billion and RM700 billion by 2050 through various energy sources and related industries.”
He said Sarawak had also secured an investment commitment worth US$1 billion for a petrochemical plant that would produce polyethylene and monoethylene using liquefied natural gas (LNG) and captured carbon dioxide from Samalaju.
The products could serve as feedstock for more than 2,000 downstream applications, including the manufacture of bottles, diapers, spacesuits and fire-resistant jackets.
Hazland said Sarawak was keen to attract more downstream investments to strengthen its industrial base and generate greater value from its natural resources.
He also highlighted the development of the industrial zone in Bintulu, which he said had been recognised as one of the world’s transitioning industrial clusters under a World Economic Forum (WEF) initiative.
Moving on, Hazland said Sarawak has also begun exporting electricity to neighbouring markets as part of its efforts to strengthen regional energy security and support the development of the Asean Power Grid.
The state has supplied 100 megawatts (MW) of electricity to West Kalimantan since 2016, while a further 50MW has recently been exported to Sabah.
He said demand from Sabah was growing, with the state expected to increase its hydropower supply to meet the additional requirements.
Sarawak has also signed an agreement to supply hydropower to Brunei, with exports expected to begin next year, he added.
Beyond Brunei, the state is looking to extend its electricity exports to the Philippines and subsequently Singapore.
On Singapore, Hazland said the necessary agreements for the proposed power supply project had been signed, including the technical and power purchase agreements.
