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JET-BHR IN 
PENINSULAR 
MALAYSIA

Towards a just energy transition with
business and human rights principles

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Why this matters now

Malaysia stands at a crucial crossroads in its energy transition journey.
We face a critical challenge: how to transform our energy systems without perpetuating historical injustices or creating new ones. The timing is critical to ensure our energy transition not only reduces emissions but also protects and empowers rakyat. This is not just about switching energy sources; it's about dismantling systems of exploitation and ensuring the benefits of clean energy reach everyone, not just those with power and capital.

About this report

This report examines Malaysia's energy transition through the lens of business and human rights, guided by the UN Guiding Principles on Business and Human Rights (UNGPs) and ILO's Guidelines for a Just Transition.
 
Through research and engagement with stakeholders across government, business, civil society, and affected communities in Peninsular Malaysia, we identify gaps and provide actionable recommendations to protect workers, Indigenous peoples, women, and vulnerable communities.
 
Our goal is to ensure Malaysia's energy transition not only achieves its climate targets but does so in a way that is just, inclusive, and equitable for all.

Image by Nuno Marques

Critical Insights:
What's At Stake

Image by Zbynek Burival

"The economy must be reimagined beyond traditional GDP growth and quantitative targets. The challenge is moving away from a profit-centric view to a long-term perspective"

Energy &
Economy

Malaysia's energy landscape stands at a critical juncture, with fossil fuels dominating nearly 96% of our primary energy supply. While the National Energy Transition Roadmap sets an ambitious target of 70% renewable energy capacity by 2050 and plans to implement carbon tax by 2026, fundamental concerns remain.

As one environmental policy advocate notes: "The economy must be reimagined beyond traditional GDP growth and quantitative targets. The challenge is moving away from a profit-centric view to a long-term perspective."

Labour &

Safety

The transition to renewable energy promises significant job creation, with projections reaching 310,000 jobs by 2050.
 
However, serious concerns about worker safety and rights are emerging. These challenges extend beyond safety to fundamental labor rights.

Image by Etienne Girardet

"For rooftop solar installers, there are situations during heat waves where workers had to work in 'shoe-melting temperatures,'"

"If your sector has a high risk for forced labour, and your transition is not properly mapped, you are going to go from the frying pan into the fire."

Image by Zbynek Burival

"There is also no visibility for women in the STEM field due to the perception of their inability to work in this field,"

"It is difficult to report discrimination because most of the time, the perpetrator will just gaslight women by saying there is no proof of discrimination"

Gender &

Inclusion

The energy transition reflects broader gender disparities in Malaysian society. Women's labor force participation remains significantly lower at 56.2% compared to 83% for men, while their representation in parliament stands at just 15%. These systemic barriers are particularly evident in the energy sector.

The challenges women face are deeply rooted in workplace culture: "It is difficult to report discrimination because most of the time, the perpetrator will just gaslight women by saying there is no proof of discrimination," shares a women's rights advocate.

Read more from the report

Report Roadmap

This roadmap provides a structured guide to achieving a just energy transition through the lens of Business and Human Rights. Following the UN Guiding Principles' three pillars - Protect, Respect, and Remedy - we break down complex policy areas into clear, actionable recommendations for both government and business stakeholders.

The roadmap shows how different sectors, from state institutions to corporate entities, can contribute to ensuring a just and inclusive transition for all Malaysians.

Curated and designed by Aroe Ajoeni

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