KUCHING: The federal government is receptive to Sabah and Sarawak receiving a fair share of revenue generated from carbon trading, says Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg.
He said discussions between the federal and Sarawak governments on the matter had been positive.
“We had a conference with the Prime Minister last week, and I must say he is quite receptive to the views of the states, including Sabah and Sarawak.
“If the federal government wants to impose a carbon tax, it must be fair to the owners of the assets that produce oxygen,” he said in his speech during the 21st Malaysian Forestry Conference (MFC) 2026 held here on Monday (Jul 13).
Abang Johari said Sarawak is working closely with the World Bank to develop a credible framework for measuring and valuing carbon emissions, noting that there was currently no universally accepted standard for carbon trading.
“There is no definite measurement for carbon trading today. We have to work together with the World Bank to ensure there is a credible formula to value carbon emissions and determine the appropriate carbon price,” he said.
He added that while some carbon markets relied on existing standards, Sarawak preferred to be guided by internationally recognised methodologies supported by the World Bank.
Abang Johari said Sarawak’s forest policies were aligned with the objectives of the Paris Agreement, adding that the state was well positioned in the global climate agenda due to its vast forest cover.
“As far as Sarawak is concerned, we are carbon negative. We have more oxygen than carbon. That is why our forest policies must be formulated in such a way that we can continue meeting the targets under the Paris Agreement,” he said.
He stressed that while timber remained an important resource, Sarawak must diversify its revenue sources without compromising forest conservation.
“We have to find replacements for timber revenue while ensuring our forests continue producing the oxygen that humanity needs. Without forests, we will all be in trouble,” he said.
Abang Johari also highlighted the Environment (Reduction of Greenhouse Gases Emission) Ordinance 2023, which provides the legal framework to regulate the state’s economic activities related to greenhouse gas emissions.
He said the legislation, together with close cooperation between the Federal and state governments, would ensure that Sarawak’s natural resources were managed sustainably while supporting the country’s climate commitments.
