KUALA LUMPUR (Aug 11): Malaysia is committed to saving US$21.5 billion (RM85.24 billion) in utility cost under the renewed 10-year National Energy Efficiency Policy and Action Plan (NEEAP 2.0), according to the Ministry of Economy.

Its minister Akmal Nasrullah Mohd Nasir, who officiated the launch of NEEAP 2.0, said the plan, which will run until 2035, aims to reduce national energy demand by 11.6%. This reduction is equivalent to achieving cumulative energy savings of 815,382 terajoules against business-as-usual projections. The 10-year action plan focuses on four strategic thrusts, the implementation of the energy efficiency plan, workforce reskilling and upskilling, sustainable funding mechanisms, and private-sector initiatives and investments.

Key initiatives cover energy efficiency across the industrial, building and domestic sectors, alongside wider adoption of digital technologies and smart energy-management systems. The policy and action plan was designed and aligned with key national frameworks such as the National Energy Policy 2022–2040, the National Energy Transition Roadmap (NETR), the New Industrial Master Plan 2030 (NIMP 2030), and the 12th and 13th Malaysia Plans.

The plan was developed with input from a wide range of stakeholders, including ministries, government agencies, industry associations, major industry players, experts, and other related groups.

“Our [government] approach remains disciplined, secure sufficient and reliable energy, support a competitive and lower-carbon economy, and ensure that the benefits and costs of the transition are shared fairly,” Akmal noted.

The plan was launched during the 7th International Sustainable Energy Summit (ISES) 2026 held at the Kuala Lumpur Convention Centre.

Also present at the launch were Deputy Energy Transition and Water Transformation Minister Datuk Seri Abdul Rahman Mohamad and Sustainable Energy Development Authority chairman Tan Sri Dr Wan Ahmad Dahlan.

The measures are also expected to help Malaysia avoid 26,108 kilotonnes of carbon dioxide equivalent in greenhouse gas emissions by 2035.

The previous plan, NEEAP 1.0 which ran from 2016 to 2025, delivered electricity savings of 60,886 gigawatt-hours, significantly exceeding its initial target of 52,233 gigawatt-hours. This also translates into greenhouse gas reduction totalling 35.6 million tonnes and savings of approximately RM16.1 billion.