GreenTech Malaysia wants eco-conscious businesses to know they have resources in their corner, by creating a business environment where green projects, products and services can thrive.
Incentivising Green Innovation
Rolled out on 25 October 2013 as part of Budget 2014, the Green Technology Tax Incentive is an initiative to encourage the purchasing and selling of green technologies. The Government will grant Investment Tax Allowance (ITA) for purchasing green technology equipment/assets and an Income Tax Exemption (ITE) for providing green technology services. Apart from increasing the number of buyers and sellers of green technology, such incentives seek to increase investments in green technology on a project basis either for business purposes or personal consumption.
Based on the Malaysia Investment Performance Report by the Malaysian Investment Development Authority (MIDA) in 2018, a total of 242 projects were approved for both GITA and GITE, adding up to a total investment value of RM3.29 billion.
GITA for Projects
175 Renewable Energy projects were approved with a total investment of RM3.0 billion, while 53 Energy Efficiency projects were approved grossing a total investment value of RM139.1 million. Solar had the highest number of projects recorded under GITA for Projects, compared to other types of renewable energy. This is due to various Government schemes such as the Large-Scale Solar programme and the Net Energy Metering (NEM) programme.