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[Herald Interview] Malaysia's carbon capture project will benefit Korean companies: new envoy

July 23, 2024 - 16:50 By Sanjay Kumar
Malaysia’s newly Ambassador to Korea, Mohd Zamruni Khalid(left) speaks in an interview with The Korea Herald at the Malaysian Embassy in Seoul. (Sanjay Kumar/ The Korea Herald)

Malaysia’s newly appointed ambassador to Korea, Mohd Zamruni Khalid, suggested Korean companies jointly operate with Malaysia on carbon capture and storage (CCS) projects in a recent interview with The Korea Herald.

Urging his country's potential for hydrogen energy exports, the ambassador said that Korea should take advantage of a legal framework on CCS which is likely to be ready by the end of this year.

He said that hydrogen energy exports to Korea will positively impact other green technologies because producing hydrogen in the state of Sarawak using hydroelectric power is a clean energy initiative unique to Malaysia in the region.

"Malaysia is the only country in the region that has the capability of doing this,” Khalid said, adding that the country has depleted oil fields that can be repurposed for CO2 storage.

“We are already in negotiation with some Korean companies regarding CCS and hydrogen energy projects,” said Khalid.

According to Khalid, Korean companies can export carbon dioxide to Malaysia, where it can be sequestered in these fields, turning them into carbon sinks, where the atmosphere's carbon can be absorbed.

“This process, known as carbon capture, utilization and storage (CCUS), allows us to utilize some CO2 before storing the rest. While there will be charges for this, it is still under negotiation,” he added.

“Malaysia wants to focus on high technology, as industries requiring extensive manpower are less competitive for us," he said, introducing the New Industrial Master Plan 2030 (NIMP 2030) and the New Energy Transition Roadmap (NETR), launched under the MADANI Economy Framework, as central to Malaysia's sustainable development and economic resilience.

Malaysia’s newly Ambassador to Korea, Dato' Mohd Zamruni Khalid speaks in an interview with The Korea Herald at the Malaysian Embassy in Seoul. (Lee Sang-sub/The Korea Herald).

The policies prioritize innovation, inclusivity and sustainability to drive Malaysia's industrial evolution and economic agenda to achieve carbon neutrality and net-zero emissions by 2050, supporting global climate actions and promoting green and low-carbon development worldwide.

“We aim to position Malaysia as a hub for renewable energy," he said of the country's central location among the ASEAN member nations.

"We are in discussions with companies like Samsung ENA, KNOK (Korea National Oil Corporation), Lotte Chemical and SK Energy about exploring these opportunities,” said.

Economic diplomacy

When asked about key priorities during his tenure, Khalid said that he wants to conduct high-level visits, as well as boost people-to-people ties and economic diplomacy.

“South Korea is a very important partner for ASEAN and this should continue,” he said.

According to Khalid, ASEAN and Korea are celebrating the 35th anniversary of dialogue relations this year with an expected elevation to a Comprehensive Strategic Partnership (CSP). Malaysia will also chair ASEAN in 2025.

These factors will result in the release of many currently embargoed documents. The implementation of agreements from the commemorative summit will mostly begin next year, making Malaysia's upcoming chair role significant.

“We encourage more bilateral visits. The king and prime minister of Malaysia were supposed to visit Korea last year, and we hope these visits can materialize this year,” he said.

ASEAN and Korea established sectoral dialogue relations in November 1989, and Korea became a full dialogue partner in July 1991. To enhance the partnership, Korea introduced its New Southern Policy in 2017, based on the three pillars of people, prosperity and peace.

In 2022, President Yoon Suk Yeol launched the Korea-ASEAN Solidarity Initiative (KASI), as part of Korea's Indo-Pacific Strategy to deepen cooperation across trade, economy, security and emerging areas.

According to embassy data, total bilateral trade between the two nations exceeded $10 billion in 2004, reached $20 billion in 2021 and $25 billion in 2023.

He said that despite a slight dip in trade over the past two years, Malaysia is anticipating a rebound this year.

“The minister of foreign affairs tasked me with promoting economic development," said the ambassador.

Malaysia’s newly Ambassador to Korea, Dato' Mohd Zamruni Khalid speaks in an interview with The Korea Herald at the Malaysian Embassy in Seoul. (Lee Sang-sub/The Korea Herald).

"With the completion of the Malaysia-Korea Free Trade Agreement (MKFTA), I think the total trade between Malaysia and Korea is going to jump a lot,” he said, hoping the agreement to be finalized soon.

Meanwhile, Khalid also highlighted growing tourism between Malaysia and Korea.

“We are gearing up and preparing ourselves for Visit Malaysia Year 2026,” he said.

Malaysia welcomed 400,853 Korean tourists in 2023 and 259,872 Malaysians visited Korea in the same year, according to the Malaysian Embassy in Seoul.

Malaysia aims to attract 574,000 in 2024 with improved air connectivity and promotions, said the embassy.

Profile

Dato' Mohd Zamruni Khalid, a career diplomat, began his role as Malaysia's ambassador to South Korea in April 2024. Previously, he was the Malaysian ambassador to France and has served as the director-general of the Institute of Diplomacy and Foreign Relations (IDFR) in Malaysia. His past roles include ambassador to Vietnam (2016-2019) and consul general in New York (2008-2011).