KUCHING, May 22: Developing a hydrogen economy in Sarawak poses several challenges as it is a relatively new energy source compared to established industries.
Sarawak Deputy Minister for Energy and Environmental Sustainability Datuk Dr Hazland Abang Hipni said the state’s economy currently relies heavily on oil and gas, making it challenging for hydrogen to gain traction.
He said investors may be more inclined toward established industries that offer quicker returns, compared to the emerging hydrogen sector.
“Developing hydrogen infrastructure involves substantial upfront investment. In contrast, established industries can often rely on existing infrastructure, allowing for faster returns.
“Furthermore, hydrogen production, especially clean hydrogen, requires specialised technical skills that Sarawak is still developing. Establishing a workforce with these skills will require substantial investment in training programmes and educational initiatives, which will take time to produce results,” he said during the question-and-answer session at the Sarawak State Assembly sitting today.
He was responding to a question from Miro Simuh (GPS-Serembu) regarding challenges in developing a hydrogen economy and its immediate economic returns.
Meanwhile, Dr Hazland acknowledged that developing a hydrogen economy requires substantial initial investments but expressed confidence that these efforts will build a strong and resilient foundation for Sarawak’s future role as a key player in the hydrogen sector.
“Although immediate economic returns may be modest, these strategic investments are expected to yield substantial long-term benefits as global demand for clean hydrogen rises, reinforcing Sarawak’s commitment to environmental sustainability and clean energy.
Dr Hazland added that the global market for clean hydrogen, valued at USD 1.41 billion in 2021, is projected to grow to USD 5.95 billion by 2030, primarily driven by increasing demand for clean energy solutions in sectors such as marine and aviation fuel. – TVS
