Malaysia launches investment fund for clean energy projects

Fund has capital of US$100 million.

Malaysia and the Asian Energy Investments Pte Ltd. based in Japan have launched the venture capital fund to invest in clean energy projects in Southeast Asia.

Malaysian fund management company Putra Eco Ventures, Inc. will channel the fund’s investments into small and medium-sized companies, and into technologies such as wind, solar and tidal energy.

The fund will also help discover cheaper biodiesel feedstocks for Malaysian biodiesel plants that have limited their operations because they rely on expensive crude palm oil. Malaysia’s Prime Minister Najib Razak announced the launch of the fund this week at a meeting of sustainable development experts in San Francisco in the USA.

Razak said Malaysia hopes to further transform itself into a knowledge-based, innovation-driven economy that is environmentally friendly while aiming to join the ranks of developed nations. Malaysia aims to reduce its carbon emissions by 40% by 2020 from 2005 levels and increase its renewable energy capacity to 4,000 megawatts by 2030.