Net Zero Transition Plan

Power generation is fundamental to daily life and a key driver of economic growth. In Malaysia, the energy sector is responsible for 78.5% of national GHG emissions as of 2019. Fossil fuels remain the largest contributor to Malaysia’s energy supply and has a significant influence shaping the country’s energy landscape. As of 2025, renewable energy contributed to 27% of the National Energy Grid Installed Capacity, with the remaining 73% contributed by Gas, Coal, Oil, and others. Attaining Malaysia’s Net Zero by 2050 commitment will require substantial decarbonisation efforts within the Power Generation sector. This also means facilitating a balance for the energy trilemma of security, affordability, and sustainability.

Recognising its critical role, AmBank Group will support the transition of the power sector from a traditional fossil fuel-based energy mix to a renewable energy mix. Aligning with Malaysia’s National Energy Transition Roadmap (NETR), the Group is committed to provide financing to:

• Existing customers with CFPPs who showcase a clear transition plan and manage its phase out by retiring and/ or repurposing with cleaner alternative sources of energy.
• Assist new and existing customers in fossil-fuel based energy sources transition towards low-carbon and renewable energy sources.

We will encourage our customers to develop and implement comprehensive transition plans and set net zero targets with clear, time-bound milestones. The Group will prioritise allocation of capital to finance renewable energy projects. Furthermore, as the Malaysian government is committed to exit coal by 2045, we will not finance new greenfield coal-fired power plants (CFPPs).