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Malaysian Reserve
2 days ago
- Business
- Malaysian Reserve
ECRL: Remapping the nation's growth engine
It would reshape Malaysia's logistics corridors, attract new investment and rebalance regional development by HIDAYATH HISHAM & SUFEA SALEHUDDIN THE East Coast Rail Link (ECRL) is shaping up to be more than just a railway. Beyond connecting the east coast to Selangor, the project is being positioned as a force of national growth — one that could reshape Malaysia's logistics corridors, attract new investments and rebalance regional development. As of June, the 665km alignment has reached 82.45% completion, according to Transport Minister Anthony Loke. Yet, experts say the railway's true success will hinge on more than construction milestones. (graphic: TMR) Coordinated Strategy, High-impact Zones Investor activity along the ECRL corridor is gaining tangible momentum, backed by confirmed projects and rising interest, particularly in Pahang and across the East Coast Economic Region (ECER), according to the Malaysian Investment Development Authority (MIDA). 'This growing momentum is the result of deliberate strategy, strong inter-agency collaboration at both federal and state levels, and tangible infrastructural progress,' MIDA said in a written statement to The Malaysian Reserve (TMR). MIDA said the project remains on track to reach 90% completion by year-end, with full operations expected in 2027. The progress has catalysed logistics expansion, industrial development and rising land values. It has established a dedicated task force with the ECER Development Council (ECERDC) and China Communications Construction Co Ltd (CCCC) to promote and facilitate Economic Accelerator Projects (EAPs) along the corridor. These include transit-oriented developments (TODs), industrial parks and logistics hubs in key areas. Nearly RM20 billion has been invested in Kuantan and the Malaysia-China Kuantan Industrial Park (MCKIP), focusing mainly in high-value manufacturing, processing and logistics. The Malaysia-China Kuantan International Logistics Park (MCKILP) is expected to bring in up to RM17.61 billion in foreign direct investment (FDI) and create 20,000 jobs in industries like light and medium manufacturing, warehousing, housing, petrochemicals, steel, palm oil processing, e-commerce and marine engineering. Most investment is focused in high-tech manufacturing, logistics and transport, tourism, hospitality and commercial services. MIDA said it supports these sectors through investor facilitation, feasibility guidance and close engagement with local and state authorities. 'While initial investments have focused on developed areas like MCKIP, the broader ECRL corridor is envisioned to enable balanced development, expanding opportunities to less-developed areas in Terengganu, Kelantan and central Pahang.' Sector Priorities, Catalytic Zones MIDA is focusing on key industries like logistics, green technology, and agro-based sectors near transit-oriented developments (TODs). The ECRL aims to boost east-west trade and speed up industrial growth. Economic Accelerator Projects (EAPs) are open to all investors and concentrate development within a 15km radius or 30-minute drive of ECRL stations. The main focus areas are Kuantan Port City for logistics and manufacturing and central Pahang towns such as Temerloh and Bentong for industrial parks and TODs. Other sites include Kuala Terengganu, Cherating, Kota Sultan Ahmad Shah (Kota- SAS) and Bandar Permaisuri, all under a broader Integrated Land Use Master Plan (ILUMP). 'A new international airport will be developed in the Cherating area. The Cherating Station, currently passenger-only, is planned by the Pahang state to add cargo facilities to support the growing aerospace industry nearby,' MIDA said. KotaSAS, meanwhile, is being developed as a new township and administrative capital for the state government. It currently serves passengers only. Incentives, Promotion and Long-term Positioning MIDA globally promotes key zones like Kuantan Port City under the Belt and Road Initiative (BRI) and offers full support to investors, including site scouting, licensing, land access, incentives and utilities. It coordinates closely with agencies like the Town and Country Planning Department (PLANMalaysia) and state governments to ensure infrastructure and talent readiness. Under the BRI, MIDA promotes the ECRL as a key advantage for investors, linking Port Klang and Kuantan Port to enhance trade by avoiding congested sea routes. Incentive Framework Boosts Enabling Environment The agency said the ECRL is a major incentive, offering strong connections between Malaysia's east and west coasts. It is also collaborating with government agencies to develop competitive incentive packages for EAPs. The government plans to launch a New Investment Incentive Framework in the third quarter of 2025 (3Q25), aimed at encouraging high-value activities and reducing economic differences between regions. 'ECRL aims to boost economic growth, create jobs and support balanced regional development, but its success relies on fair benefit distribution and effective integration with local economies.' ECRL achieves another milestone with the record-breaking breakthrough of the 16.4km Genting Tunnel. Loke (centre) says the completed tunnel is expected to be the longest railway tunnel in South-East Asia Railway History Hints at ECRL's Future Impact Monash University Malaysia senior economics lecturer and Honours/Postgraduate Diploma director Dr Audrey Siah pointed to early railway stations like Taiping in Perak, helped form industrial clusters and boosted nearby towns such as Matang. Citing her co-authored study Colonial Origins of Agglomeration, she said the ECRL could create similar economic ripple effects as past railway developments. 'It is essential to address this potential backwash effect, where areas with stations attract economic resources such as labour, capital and trade, at the expense of areas without stations,' she told TMR. Smaller towns like Kuala Lipis, Jerantut, Kuala Krai and Gua Musang could be developed into feeder points for ECRL-linked logistics. For example, the timber and wood products manufacturing and the agro-based food processing industries in Mentakab, Pahang, could flourish due to its access to cities and ports on the West Coast. Siah said improved connectivity will reduce logistics costs, boost investor confidence and make the East Coast more attractive for sectors such as agriculture, manufacturing and export logistics. While ECRL's strategic link between Kuantan Port and Port Klang may appeal to Chinese investors, deeper BRI integration must not sideline local firms. 'If foreign firms dominate business operations and supply chains, Malaysia risks missing critical opportunities for SME participation and local capacity building. 'Another potential risk is an eventual influx of cheaper Chinese goods and services, which could undercut — and ultimately stunt — the growth of Malaysian SMEs in competing sectors,' Siah said. Still, she believes the benefits outweigh the risks. 'To fully benefit from the ECRL, SMEs should position themselves near key stations or industrial hubs along the rail corridor to take advantage of improved connectivity and reduced transportation costs. 'These efforts, part of the ECRL-EAP, offer significant opportunities for SMEs to participate in and benefit from the broader economic transformation,' she added. To benefit from ECRL, SMEs should set up near key stations or industrial hubs along the rail line, says Siah (Source: Kuantan's Strategic Anchor The Kuantan segment of the ECRL stands out as a strategic linchpin in Malaysia's east-west connectivity. Universiti Malaya (UM) Department of Finance, Faculty of Business and Economics Assoc Prof Dr Mohd Edil Abd Sukor believes the corridor's development hinges on how well its infrastructure is integrated with freight logistics and industrial nodes — particularly Kuantan Port and MCKIP. He said Kuantan Port City 1 and 2, and Cherating are strategically positioned to drive regional growth by enhancing mobility, boosting tourism and strengthening Kuantan's role as a key logistics hub linked to Kuantan Port and MCKIP. While the ECRL's capital cost remains significant, Mohd Edil said the long-term returns can be realised if economic activity is stimulated around key freight corridors. Freight operations at Kuantan Port City 2, in particular, are projected to be a major revenue source. 'Over time, the multiplier effects on employment, local businesses and real estate are expected to support a positive return on investment,' he told TMR. But for this to materialise, he said the infrastructure must be closely linked to surrounding industrial activity, with clear freight incentives, efficient customs procedures and strong intermodal planning. Balancing Development, Managing Fiscal Risk Beyond the East Coast, Mohd Edil sees the ECRL as an opportunity to address Malaysia's persistent east-west economic imbalance. By connecting less-developed states to key urban markets, the rail line could attract capital into logistics, tourism and manufacturing in areas long neglected by mainstream investment flows. Improved logistics connectivity lowers the cost of moving goods, widens access to urban markets and increases investor confidence. For governments, this can translate into higher tax revenue, while firms benefit from reduced entry barriers. Over time, Mohd Edil expects private investment to cluster around stations such as Kuantan Port City 2 — particularly in sectors with existing momentum such as heavy industry, warehousing and real estate. However, he warns of key macroeconomic risks. 'One of the primary risks is its heavy reliance on foreign loans, particularly from a Chinese bank serving as the project's main financier. This exposes Malaysia to currency exchange risk, especially if the ringgit depreciates against the yuan or US dollar,' he said. Even if the loan terms are favourable — such as longer maturities and relatively low interest rates — Malaysia remains vulnerable if revenue projections underperform or freight traffic fails to materialise at scale. In such a case, debt servicing could strain public finances. Mohd Edil urged policymakers to manage currency and operational risks through efficiency, industrial integration and robust oversight to ensure that project benefits are delivered on the ground. Mohd Edil sees the ECRL as an opportunity to address Malaysia's persistent east-west economic imbalance (Pic courtesy of Mohd Edil Abd Sukor) Financial Inclusion, Regional Capital Market Spillovers Beyond infrastructure and logistics, ECRL could unlock broader financial participation in rural areas. 'As commerce and mobility increase, financial institutions may be more inclined to expand their branch networks or digital outreach in these areas, especially in underserved towns, improving access to credit and savings facilities for local entrepreneurs, smallholders and informal businesses,' Mohd Edil added. This shift could stimulate asset ownership, financial literacy and broader participation in Malaysia's formal economy, especially in areas like Jerantut, Kuala Lipis and interior Kelantan. At the national level, ECRL also provides opportunities for capital markets. As a BRI flagship, the project signals Malaysia's readiness to support large-scale infrastructure finance — including sukuk issuances, public-private partnerships and cross-border deals — making it a platform to attract international investors into BRI-linked projects. With the right incentives, ECRL could trigger financial innovation, ranging from syndicated infrastructure bonds to new financing models via Labuan, Sabah. Building Rail Talent Through Local Upskilling ECRL's operation phase is expected to create about 1,800 jobs. In May, Loke said ECRL Operation Sdn Bhd, a joint venture (JV) between Malaysia Rail Link Sdn Bhd and CCCC, will manage the workforce, with operations scheduled starting in January 2027. He said at least 80% of the workers will be Malaysians in technical and operational roles. To meet this demand, the government is expanding the Program Latihan Kemahiran Industri ECRL (PLKI-ECRL) to include operations and maintenance (O&M) training. Launched in 2017, the programme is entering its next phase, targeting 3,200 local talents specifically for O&M roles. This year, 210 Malaysians will undergo a one-year intensive programme in Liuzhou, China, with the first 102 trainees having departed in May. Trainees will be prepared for roles including assistant station attendant, signalling technician, assistant train driver, overhead line technician, and emu maintenance technician. Loke also guaranteed employment for all PLKI-ECRL upon completion of the programme. 'The effort to develop the capability and competence of our local youth is a priority, so that Malaysia will not have to depend on foreign expertise in the long term,' he said. CCCC has contributed RM12 million to support the training programme, which forms part of its investment in developing a sustainable and localised rail workforce. From freight logistics and financial inclusion to SME development and industrial spill-overs, the ECRL's impact will depend on how well it is integrated into the real economy — and whether the gains it promises reach surrounding communities. This article first appeared in The Malaysian Reserve weekly print edition
Malaysian Reserve
20-07-2025
- Business
- Malaysian Reserve
Alam Flora expands reusable bag campaign to Temerloh's Pekan Sehari
By SUFEA SALEHUDDIN ALAM Flora Sdn Bhd has extended its reusable bag campaign to Temerloh, Pahang, marking the initiative's second rollout after a successful debut in Putrajaya earlier this year. The campaign held today at Pekan Sehari, Malaysia's longest and largest Sunday market, the campaign is part of the company's ongoing effort to curb single-use plastics and encourage more sustainable consumer behaviour. It also coincides with the 50th anniversary of its parent company, Malakoff Corporation Bhd. Alam Flora COO Mohamad Muhazni Mohd Zain said the campaign aims to instil the habit of bringing reusable bags, especially in high-traffic community spaces. 'We invite the public to embrace the practice of bringing reusable bags as a simple yet impactful step towards a cleaner and healthier environment,' he said at the event. The 2.1km riverside market was selected for its strategic potential as a behavioural touchpoint, drawing thousands of visitors from across the country. 'Pekan Sehari Temerloh draws people from all walks of life nationwide. It's an ideal location to communicate sustainability messages effectively and inclusively,' Muhazni said. At the event, Alam Flora distributed 300 reusable bags to shoppers, joined by Temerloh Municipal Council president Rizal Mustafa and SWCorp Pahang director Zaidi Tuah. Muhazni said while many still depend on plastic bags, exposure to alternatives can spark change. The campaign encourages market-goers to take ownership of their choices. Reusable bags, for instance, reduce litter, prevent clogged drains, and protect local wildlife—making neighbourhoods safer, more beautiful, and more liveable for all. 'It's even better if customers can politely refuse plastic from sellers and request items to be packed directly into their reusable bags — or at least use paper wrapping,' he said. He also pointed to the company's earlier efforts, including a 'bring your own tiffin' campaign during the Ramadan Festival, as part of the same long-term push to change the way people consume. Muhazni stressed that the campaign is not a commercial move, but a public service rooted in education and shared accountability. 'This is not about profit — it's about awareness. We're not doing this to make money, but to educate. 'When people understand the environmental impact, they're more likely to act,' he added. He said Alam Flora's role goes far beyond waste collection. It involves empowering the public through consistent engagement and grassroots education—because real progress begins with informed communities. The campaign, he said, is grounded in the belief that people make better choices when they understand the consequences. Alam Flora is also working closely with local councils and enforcement bodies, including SWCorp, to ensure the programme is carried out systematically and has the structure to grow across regions. 'God willing, this will grow into a sustainable programme — not just a one-off,' Muhazni said. The initiative is part of Malakoff's Environmental Solutions business pillar, which champions long-term waste management and environmental stewardship. It also supports the United Nations Sustainable Development Goal 11, which aims to make cities inclusive, safe, resilient, and sustainable. Ultimately, Alam Flora hopes the campaign will shift not only daily shopping habits, but also mindsets, encouraging Malaysians to rethink packaging, waste, and their role in preserving the environment for future generations.
Malaysian Reserve
10-07-2025
- Business
- Malaysian Reserve
MyTV unveils enhanced Mana-Mana Premium subscriptions with new channels, pricing tiers
by SUFEA SALEHUDDIN MYTV Broadcasting Sdn Bhd has launched its enhanced Premium subscription offerings for the MyTV Mana-Mana streaming platform, reinforcing its presence in Malaysia's digital content market with a broader range of exclusive features and pricing tiers. Although the paid plans were first introduced in May with minimal publicity, the latest announcement marks a formal relaunch, now accompanied by exclusive content and structural upgrades for all user categories. Under the revised model, MyTV Mana-Mana now offers two ad-free subscription tiers — Basic and Premium. The Basic plan is priced at RM6.90 per month, RM19.90 quarterly, or RM74.90 annually. The Premium plan, which includes the full suite of features, is available at RM9.90 per month, RM28.90 quarterly, or RM106.90 annually. Basic subscribers will gain access to all content offered under the free plan, along with four additional channels — Rock Action, Rock Entertainment, KCM and Global Trekker. The number of devices allowed for simultaneous streaming has also increased from three to four. Premium subscribers will enjoy all Basic content, plus access to Premium video-on-demand (VOD) titles, five additional channels — SPOTV Now, Aniplus, One, ZooMoo and Drama Channel — and exclusive MyTV Original productions covering both films and TV series. The Euronews channel, previously part of the Premium offering, is no longer included. MyTV confirmed that the free plan will remain accessible to all users without a subscription. However, the number of live TV channels has been slightly reduced from 23 to 22. The VOD library has now expanded to over 2,000 titles, while access to 22 live radio stations remains unchanged. Free-tier users are limited to single-device access and will continue to encounter advertisements during content playback. The platform's refreshed offerings reflect MyTV's broader strategy to grow its user base through content diversification and improved value propositions, amid increasing competition in Malaysia's streaming landscape. At the launch ceremony on Wednesday, themed 'Unlocked: The Full MYTV Mana-Mana Experience,' MyTV Group CEO Mohamad Helmi Harith said the initiative reaffirmed the company's commitment to delivering high-quality content to all segments of society. 'Today marks a significant milestone for MYTV Mana-Mana. All of this success stems from strong cooperation and exceptional synergy with our industry partners,' he said. Acting COO Syaffandi Shahrom added that the new offering is not just about content, but also about embracing creativity and inclusivity. 'Premium entertainment doesn't have to come with a premium price. We developed MYTV Mana-Mana Premium for families, students, and individuals — whether watching on a phone, tablet, or big screen. Our hope is for people in both urban and rural areas to enjoy the content we deliver,' he said. Beyond live TV and on-demand access, Premium subscribers will also enjoy locally produced exclusives under the MYTV Originals label, featuring blockbuster films, local and international dramas, children's animation, Korean and Indonesian programmes, sports coverage and informative documentaries — all on a single platform. To date, the free version of MYTV Mana-Mana has recorded over 800,000 downloads, reflecting strong demand for accessible, mobile-friendly entertainment. In a move to further expand its digital ecosystem, MyTV also announced strategic partnerships with PRISM+, FoodPanda and MPH Bookstores. Helmi said the collaborations are designed to create a new digital lifestyle experience by integrating content, community and commerce. 'This fusion of cinema and lifestyle will expand our reach and create added value for users. We're excited to share more details about these partnerships soon,' he said.
Malaysian Reserve
24-06-2025
- Business
- Malaysian Reserve
Air Selangor outlines multi-source water strategy to support Selangor's growing data centre demand
by SUFEA SALEHUDDIN PENGURUSAN Air Selangor Sdn Bhd (Air Selangor) is prepared to meet the rising water needs of Selangor's data centre developments with a multi-source supply strategy that balances potable, reclaimed and reused water — depending on each operator's sustainability goals and technical requirements. Its CEO Adam Saffian Ghazali said the utility is coordinating closely with developers to accommodate a projected demand of 250 million litres per day (MLD) from data centre projects across the state. 'This is what data centres want from us — they want potable water. Our 34 water treatment plants have a combined design capacity of 6,300 MLD and we are currently producing around 5,300 MLD. That gives us a buffer of 1,000 MLD,' he said at the Air Selangor Sustainability Report 2024 press conference on Tuesday. While reserve capacity is in place, he noted that distribution connectivity remains a key factor in ensuring direct supply to each data centre site. In addition to treated water, Air Selangor is offering tailored solutions through its specialised subsidiaries — particularly for clients pursuing environmental, social and governance (ESG) targets or green building certifications. 'For data centres that do not require potable water, we can provide reclaimed water through our subsidiary, Central Water Reclamation, which is 60% owned by Air Selangor and 40% by Indah Water Konsortium Sdn Bhd (IWK),' Adam said. This option applies to facilities located near existing IWK plants, where treated effluent can be repurified and redistributed. For industrial zones, Air Selangor is also offering reused water solutions sourced from Industrial Effluent Treatment Systems (IETS), managed by a newly incorporated entity called I-Destari under Menteri Besar Selangor Inc (MBI Selangor). 'So if a data centre wants affordable potable water, they can get it from Air Selangor. If they want reclaimed water, they can work with Central Water Reclamation and if they want reused water, we can supply it through I-Destari,' he explained. Adam added that the final decision often hinges on the operator's environmental commitments and whether they are aiming to qualify for internationally recognised sustainability credits. 'If they need credits overseas, I think they will go towards reclaimed or reused water,' he said. On another note, Air Selangor plans to replace 300km of ageing pipes annually until 2034, with the figure rising to 400km thereafter — part of its long-term effort to curb water loss and improve supply reliability across Selangor, Kuala Lumpur and Putrajaya. Adam said this long-term programme is part of the company's strategy to improve supply reliability, as outlined in its 2024 Sustainability Report, which showed that 69% of the year's RM690 million capital expenditure (capex) was channelled to non-revenue water (NRW) reduction initiatives. He said the 13.9% decline in capex from RM800 million in 2023 reflected the absence of large-scale water treatment plant construction this year, allowing a greater portion of funds to be directed towards mitigating pipe bursts and NRW. However, Air Selangor expects a shift in spending priorities from 2025 onward, as construction of the Rasau Phase 2 Water Treatment Plant moves forward. The tender process is currently underway and is expected to close in the coming months, although extensions have been requested by bidders. 'Once we award the Rasau Package 2, I would presume that construction of the water treatment plant will form a major percentage of our capex — at least for 2025, 2026 and 2027,' Adam said. The plant is expected to significantly boost water production capacity, supporting Selangor's rising demand and improving overall supply resilience. Adam added that Air Selangor's capital allocation will continue to follow operational priorities, striking a balance between network maintenance and long-term infrastructure growth.
Malaysian Reserve
23-05-2025
- Business
- Malaysian Reserve
Govt's AI training drive to include all workforce segments, says Gobind
by SUFEA SALEHUDDIN THE government's artificial intelligence (AI) reskilling and upskilling initiatives will not be limited to fresh graduates or young talent, but will also include existing workers whose jobs are at risk of technological disruption, said Digital Minister Gobind Singh Deo (picture). He said the multi-layered approach to talent development reflects Malaysia's whole-of-nation strategy in preparing for the widespread impact of AI and digitalisation on the labour market. 'This is not focused on just one group. We're looking at various layers — from students in schools to those already working — because technology will affect jobs across the board,' Gobind said at the memorandum of understanding (MOU) exchange ceremony between TalentCorp and MyDigital today. While much of the government's digital literacy campaigns and early AI awareness efforts have been directed at students through curricular improvements, Gobind stressed that current employees will be a central focus of the government's training agenda. 'People who are already currently employed are the ones whose jobs will be impacted by technology. We must ensure they are trained to pivot when the time comes,' he said. The government's strategy, he explained, involves encouraging upskilling and reskilling while workers are still in their existing roles, allowing them to transition smoothly when technological shifts alter job requirements. 'This is what we aim to achieve — training while working, so that when change happens, these workers are not left behind,' Gobind said. The Digital Ministry is working closely with the National AI Office (NIO) and other stakeholders to map training needs and consolidate data from public and private providers, ensuring alignment with real industry demands. According to Gobind, this includes short- and long-term training programmes with various certifications under initiatives such as MyMahir and the National Training Week 2025, which aim to offer one million upskilling opportunities with a focus on IR4.0 and AI. He said the collaborative effort also involves accrediting training modules with digital badges and reaching sectors such as agriculture and manufacturing, where the impact of automation is expected to be significant. 'This is why we need input from all sectors — academia, industry, associations and AI experts to make sure the system we build is inclusive and future-ready,' he noted.
