Malaysia Debt Ventures Berhad (MDV), a subsidiary of the Minister of Finance and an agency under the purview of the Ministry of Science, Technology and Innovation (MOSTI) of Malaysia, is targeting total approvals of MYR 300 million ($71.06 million) in financing for energy transition projects under the National Energy Transition Facility (NETF) by the end of 2025.

The firm said in a statement on Thursday that this target includes an estimation of MYR 70 million ($16.58 million) in targeted incentives aimed at enhancing the overall bankability of projects through mechanisms such as rebates and credit enhancements, based on its assessment.

The identified projects under the energy transition levers such as renewable energy (RE), energy efficiency (EE), biogas/biomass, and green mobility, which are central to Malaysia’s decarbonization agenda.

Introduced under Budget 2025 by the Ministry of Economy, the NETF forms a key component of the National Energy Transition Roadmap (NETR).

MDV has been appointed as one of the implementing agencies under this initiative, with a mandate to manage up to MYR 200 million ($47.37 million) in NETF funding, to provide incentives that strengthen project viability and accelerate Malaysia’s effort towards achieving a sustainable and inclusive energy system.

“The MYR 200 million ($47.37 million) allocation under the NETF enables MDV to support between MYR 500 million ($118.43 million) and MYR 700 million ($165.8 million) worth of financing related to projects aligned with the NETF,

“This multiplier effect enhances our ability to drive green technology development and accelerate energy transition efforts in Malaysia,” MDV’s Chief Executive Officer Rizal Fauzi said.

“MDV has been supporting the green technology sector with dedicated financing solutions since 2010, and we remain focused on deploying funds efficiently to bridge financing gaps for green technology players and high-potential energy transition projects and accelerating Malaysia’s clean energy transformation,” he added.

Through this initiative, MDV is looking to support between 20 and 30 eligible companies or projects over a two-year period (2025-2026), depending on the financing amount per project.

To date, MDV has approved MYR 122.65 million ($29.05 million) in financing, which includes RM40.09 million in targeted incentives for six technology-based companies.

MDV’s NETF program is open to all Malaysian technology companies undertaking projects aligned with the six Energy Transition Levers, including emerging or nascent sectors such as hydrogen and carbon capture, utilization and storage (CCUS).

The firm will prioritize high-impact initiatives demonstrating technological innovation, commercial viability, and scalability, ensuring alignment with Malaysia’s net-zero ambitions.

The program features several incentive models to enhance project viability, which will be determined based on the project’s eligibility and requirements.

“MDV’s role under the NETF is to ensure that financial support translates into tangible progress across Malaysia’s evolving energy transition landscape,

“By leveraging our expertise and working closely with stakeholders, we aim to deliver meaningful impact in advancing the Nation’s energy transition agenda,” Rizal said.

“We encourage eligible companies with qualifying energy transition projects to take full advantage of this initiative to scale up their operations and bring their projects to commercial realisation,” he concluded.

As a dedicated technology financier, MDV has consistently supported Malaysia’s green technology sector through initiatives such as the Green Technology Financing Scheme (GTFS) and providing targeted financing for Energy Performance Contracting (EPC).

To date, MDV has extended financing amounting to MYR 2.13 billion ($500 million) to support the growth and development of Malaysia’s green technology sector.

The NETF enables MDV to further build on this track record by facilitating more robust investments in next-generation energy-related technologies and accelerating the country’s transition to a low-carbon economy through strategic financing solutions.

#MalaysiaNETF #GreenFinance #EnergyTransition #RenewableEnergy #Decarbonization