SARAWAK must accelerate the development of carbon capture, utilisation and storage (CCUS) or risk losing investors to other regions, including Peninsular Malaysia.
Serembu state assemblyman, Datuk Miro Simuh, highlighted that the state sits on over 3 trillion tonnes of potential carbon dioxide (CO₂) storage capacity in offshore geological formations, a significant competitive advantage that must be leveraged promptly.
“Petroleum Sarawak Bhd (PETROS), as the resource manager for carbon storage development, has already secured foreign partners to develop these sites.
“Efforts should be made to support PETROS in conducting studies on abandoned petroleum sites to establish secure locations for safe and permanent CO₂ sequestration.
“Any delay in implementing CCUS projects in Sarawak could drive potential investors and clients from Singapore, Japan, Korea, Australia, or elsewhere to seek alternatives, including Peninsular Malaysia, which now has its own legislation,” he said.
He said this when debating the Supply (2026) Bill, 2025 at the State Legislative Assembly (DUN) sitting today.
He also noted that while the federal Carbon Capture Utilisation and Storage Act 2025, passed earlier this year, applies only to Peninsular Malaysia and Labuan, Sarawak currently regulates onshore, offshore, and even transboundary CO₂ storage through its Land (Carbon Storage) Rules 2023.
He added that deploying carbon capture and storage technologies for CO₂-rich gas could unlock the economic potential of Sarawak’s vast offshore natural gas reserves, which remain largely untapped due to high CO₂ content.
As such, Miro called on the relevant ministry to take this matter seriously and explore new revenue streams for Sarawak’s future.
“This gas, once harnessed, will allow Sarawak to establish a Low Carbon Gas Hub in Kuching and drive economic growth for the state.
“Hence, it is imperative to accelerate the development of carbon storage sites, particularly offshore.
