Latest news with #Theseira
The Star
5 days ago
- Business
- The Star
How viable are green investments in Malaysia
AS sustainability gains further traction in the world, it is inevitable that ESG-related investments will take the forefront. According to EY Global Climate Change and Sustainability Services leader Matthew Bell, this is due to the growing support for the concept of stakeholder capitalism—not shareholder, as well as the recognition of the importance of creating long-term value. To find out where such investments stand in Malaysia, or even within the Asean region, and how they, and green bonds, can deliver genuine impact and not become just a branding exercise, StarESG reached out to Climate Governance Malaysia (CGM) council chairman Dr Gary Theseira for his views. How has the demand for ESG-linked investments evolved in the past five years, and what's driving this shift? Theseira: ESG-linked investments have grown in the past five years and are expected to continue growing as institutional investors, driven by regulatory pressures, stakeholder demands and a strategic shift toward long-term value creation, are playing a catalytic role in channelling capital into sustainable assets at unprecedented rates. Leading the shift are institutional investors such as asset managers (like BlackRock, Vanguard), pension funds (GPIF, CalPERS), insurance companies (Allianz, Swiss Re), sovereign wealth funds (NBIM, ADIA) and development banks (IFC, EIB). What do you think is the most misunderstood aspect of green finance in Malaysia today? Dr Gary Theseira serves as the Climate Governance Malaysia (CGM) Council chairman and was recently appointed to the Sustainability Committee of the Malaysian Ratings Corporation (MARC) Solutions. An Adjunct Associate Professor at the Asia School of Business (ASB), he also sits on the board of the Centre for Environment, Technology and Development Malaysia (CETDEM) and serves the Joint Committee on Climate Change (JC3) in the Review Committee of the Climate Data Catalogue (DC). Theseira: Green finance is, itself, a broad concept encompassing green loans, green bonds and green investments, among others. These are commonly understood as having environmental benefits as their defining characteristic. Included, therefore, are climate benefits, and by definition, more recent concepts such as Climate Transition Finance. This is an area of ongoing definition, and so it is not surprising that there exist a number of areas of confusion resulting from differing opinions between progressive developed economies and more practical developing economies. A common assumption is that green finance necessarily excludes any form of fossil fuel use. However, many currently acknowledge that climate transition may involve, firstly, shifting from coal to a transition fuel such as natural gas, before moving to low-emission fuels such as biomass or biogas. Another widely held assumption is that green investments are invariably lower yielding than conventional investments due to higher capital, operating and compliance costs. While it is true that many ESG-labelled funds have struggled to keep pace with sector averages, a small proportion (around 5.4%) have consistently delivered strong, risk adjusted returns over one, three and five-year timeframes. How does Malaysia compare to other Asean neighbours in green financing progress? Theseira: A healthy and vibrant Green Finance ecosystem must necessarily be underpinned by robust governance and transparent disclosure frameworks. In terms of the former, Malaysia's adoption of Taxonomies for loans and investments, which has helped initiate the evolving Asean Taxonomy (now in its third version, with version four under development by independent assurance and risk management provider Det Norske Veritas) is clearly an area in which Malaysia is exercising leadership. In terms of the latter, Malaysia was recently recognised by the IFRS Foundation for its commitment to sustainability reporting. In its recently issued Jurisdictional Profile, Malaysia is acknowledged as adopting the ISSB Standards with limited transition (an acknowledgement of the global standing of Malaysia's National Sustainability Reporting Framework, NSRF), representing the only jurisdiction in the Asean region to have done so. In addition, Malaysia's Simplified ESG Disclosure Guide (SEDG) has also provided input into the Asean SEDGE or ASEDGE for SMEs in Supply Chains. Finally, Malaysia's adoption of the Maqasid Al-Shariah Guidance for Islamic Capital Markets further underscores Malaysia's commitment to enhance the role of Islamic Capital Markets in facilitating equitable growth and building and promoting a sustainable and inclusive green stakeholder economy. Are there gaps in Malaysia's financial policy or regulatory environment that need addressing? Theseira: With the announcement that Sabah has adopted state-level climate legislation (Sarawak passed climate legislation in 2023), Peninsular Malaysia remains the only territory without climate legislation. Even as the various taxonomies govern the range of investments and selectively promote the financing of climate-positive economic activities, and the NSRF and SEDG drive respectively, the mandatory disclosure by large corporations and voluntary reporting by SMEs—these efforts by themselves are not sufficient. Only a legal framework of emissions allowances (caps)—with incentives for deep cuts and consequences for excessive emissions, such as a carbon tax or a carbon exchange—will gradually but effectively, drive national emissions toward net zero. We understand that such a climate change act is under development and will be tabled in Parliament in the not-too-distant future. Also needed is the sectoral and industry-specific data for benchmarking and threshold setting. We anticipate that the work done by the Joint Committee on Climate Change (JC3)—in particular, subcommittee 5—on data gaps, to develop and maintain the National Climate Data Catalogue, will deliver the needed data in a timely manner. Beyond carbon footprints, what underrated ESG metrics should investors prioritise? Theseira: Exposure and vulnerability to climate hazards should be areas of primary concern, as should risks associated with transition, including carbon border adjustments and regulations or legislation governing imports. Water consumption by industries and liquid effluents and waste are an often-overlooked factor, but this vital information is a mainstay of environmental impact reporting, even under the SEDG. Impacts on nature and biodiversity are also moving to the fore, as recommended disclosures under the Task Force for Nature-related Financial Disclosures (T D) receive increasing attention. Social and governance-related issues surrounding human rights, health and safety, anti-corruption, conflict-of-interest, gender and mental health issues should also receive due attention. How do we ensure that ESG investments and green bonds in Malaysia deliver genuine impact and not just a branding exercise? Theseira: It is not always easy to verify impact as economic ecosystems are large and complex, with numerous interlinkages. Nevertheless, some instrument types (for example, sustainability linked bonds) that link performance (as determined by KPI achievement) to payments, may provide project-level verification of impact. At a national scale, the level of achievement of national goals or targets (as driven, for example, by renewable energy bonds) may also serve as an indicator of impact. Whatever the scale, however, a robust governance framework built around mandatory disclosure of key data will translate into greater transparency and certainty of the measured indicators and enhanced confidence of the impacts. How would technology impact ESG finance in Malaysia? Theseira: Although there has been significant hype surrounding technologies such as fintech and blockchain, ultimately, they serve as tools or platforms that might possibly improve the speed or efficiency of tasks we already undertake using existing financial frameworks and accounting mechanisms. I believe the real game-changer is artificial intelligence (AI), and that there could be both negative as well as positive impacts arising from its use. I fully expect that cyber-criminals are already using AI to enhance the believability of scams, frauds and phishing schemes; something that deserves constant vigilance and tight scrutiny. On the other hand, I see AI being used to refine and localise global circulation models and to improve extreme event prediction while providing more accurate early warning to vulnerable populations. How do SMEs fit in the green finance ecosystem, and how can they be better supported? Theseira: I believe Malaysian SMEs are moving very rapidly up the learning curve. Small businesses ranging from palm oil smallholders in Johor to seaweed farmers in Tawau are already using e-payment systems and familiarising themselves with the SEDG. In this regard, they are the first link in a data chain that runs from them to the public-listed companies (PLCs) and multinational corporations (MNCs) they supply. The PLCs and MNCs will use this data to fulfil part of their NSRF compliance. From there the data chain moves to the financial institutions (banks, insurers and re-insurers) that provide the PLCs and MNCs with capital and operating loans and investments. The data are then used by the financial institutions to prepare their climate risk management and scenario analysis as well as their climate stress tests, which they ultimately submit to the Central Bank, whose remit is to safeguard our sovereign rating. With this understanding, PLCs and MNCs are reaching out to the SMEs in their supply chains, offering training and capacity building, often supported by financial institutions willing to help finance these activities, their investment in return for comprehensive and timely data. However, it is also important not to forget the many SMEs that are not part of a supply chain but rather sell directly to consumers. The Madani principle of leaving no one behind should be invoked to ensure that all businesses, large and small, have a role to play in helping the nation transition to net zero and beyond.
Business Times
14-07-2025
- Automotive
- Business Times
Are COEs broken? How to fix Singapore's car quota system
Certificate of Entitlement (COE) prices are sky-high, tempers are running hotter, and Singapore's transport policy is once again in the spotlight. In this episode of TransportBT by The Business Times, host Derryn Wong is joined by associate professor Walter Theseira of the Singapore University of Social Sciences. Together, they take a hard look at the logic, politics and pain points behind the COE) system. If you've ever questioned whether the system still works and who it really works for—this one's worth your time. Why listen? Because we need more than hot takes Prof Theseira doesn't just comment on COE headlines. He advised the Land Transport Authority, contributed to international transport studies, and spent years researching Singapore's car ownership model. If anyone can make sense of this, it's him. Because the Acting Transport Minister's comments stirred real debate From private hire cars to system efficiency, Mr Jeffrey Siow's remarks raised eyebrows. Wong and Prof Theseira dig into what was said, what was really meant, and what the public response tells us. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Because the public isn't just reacting to prices—it's reacting to fairness This episode doesn't shy away from the emotional undertow. The duo examines how public sentiment is shaped by perceived inequality and whether the system can regain trust. Because big ideas deserve airtime Prof Theseira floats bold suggestions, including phasing out COEs altogether and replacing upfront costs with pay-as-you-drive models. They won't all land, but they're designed to provoke smarter conversations. Because transport policy affects everyone Whether you drive, ride, rent or wait endlessly for a Grab, this episode helps you understand the trade-offs shaping your daily journey. TransportBT is a podcast of BT Correspondents by The Business Times. Join Derryn Wong every month as he breaks down the headlines and the policy moves behind them for you. Listen now at . Got feedback or an idea for a future episode? Drop us a line at btpodcasts@ --- Written and hosted by: Derryn Wong (derrynwong@ With Walter Theseira, Associate Professor of Economics, Singapore University of Social Sciences Edited by: Emily Liu & Claressa Monteiro Produced by: Derryn Wong, Emily Liu & Howie Lim A podcast by BT Podcasts, The Business Times, SPH Media Share your thoughts with us at btpodcasts@ . --- Follow BT Correspondents: Channel: Amazon: Apple Podcasts: Spotify: YouTube Music: Do note: This podcast is meant to provide general information only. SPH Media accepts no liability for loss arising from any reliance on the podcast or use of third party's products and services. Please consult professional advisors for independent advice. Discover more BT podcast series: BT Money Hacks at: BT Mark To Market at: WealthBT at: PropertyBT at: BT Podcasts at: BT Market Focus at: BT Branded Podcasts at:
The Star
24-06-2025
- General
- The Star
Honouring the rich history of Melaka's Praya Lane
THE narrow but historically rich Praya Lane in Bandar Hilir, Melaka, once the heart of the local Portuguese community, is set to regain its vibrancy with a large-scale celebration of the Pesta De San Juang (Feast of St John) planned next year. Melaka Portuguese Eurasian Heritage Arts and Cultural Society chairman Martin Theseira said the festival will be given a new lease of life in conjunction with Visit Malaysia 2026 (VM2026), aiming to attract both local and international visitors. 'The depth of cultural vibrancy that once defined Praya Lane will be revived through a series of initiatives. 'Next year, we aim to get residents to light their homes with candles during the feast, as was once the custom," he said in an interview on Tuesday (June 24). On Monday (June 23), Theseira held a gathering at an 80-year-old traditional Portuguese house along the lane. The building has been transformed into a community archive, a repository of oral histories contributed by past and present residents. Theseira said the Pesta De San Juang, rooted in Portuguese tradition, is typically held on June 23 to honour St John the Baptist. "It has long been celebrated by the Portuguese community with bonfires, candle-lit homes, music and gatherings that reflect a blend of religious observance and cultural pride," he said. Theseira lit a traditional bonfire in symbolic remembrance of the past during the gathering, while also highlighting ongoing efforts to document the area's rich heritage. "Praya Lane is not just a narrow street – it is a living memory of the Portuguese-Eurasian identity in Melaka. "With renewed interest and community cooperation, Praya Lane is poised to be more than a heritage site. "It's expected to become a beacon of cultural preservation and celebration for generations to come," he said. Theseira also noted that the lane is home to 102-year-old Evelyn Low, believed to be the oldest surviving member of Melaka's Portuguese community. Local historian Joseph Sta Maria, who was present at the event, said Praya Lane served as the original home for the Portuguese community before the establishment of the more well-known Portuguese Settlement in Ujong Pasir in the 1930s. "Before Ujong Pasir, it was here that our ancestors lived and built their identity. 'It's only fitting that we honour this history, especially with the national spotlight on tourism next year," he added.
The Sun
28-04-2025
- Business
- The Sun
Malaysia making progress on climate governance front
PETALING JAYA: Malaysia is strengthening its climate governance and sustainability framework with a laser focus on sector-specific actions, green finance and regional colla-boration. Climate Governance Malaysia (CGM) Council chairman Dr Gary Theseira (pic) outlined how Malaysia is positioning itself as an Asean leader in environmental, social and governance (ESG) transition, underpinned by policy alignment, financial innovation, and corporate participation. 'The energy sector remains the top contributor to Malaysia's greenhouse gas (GHG) emissions, accounting for more than 79% of total emissions, according to the Initial Biennial Transparency Report 2024. 'This includes power generation and transportation, both heavily dependent on fossil fuels. To address this, Malaysia's National Energy Transition Roadmap (NETR) is crucial. It prioritises the move from fossil fuels to renewable energy sources such as hydroelectricity, solar photovoltaic (PV), and emerging technologies like biomass gasification and Ocean Thermal Energy Conversion (OTEC). 'The urgency to decarbonise the national grid goes hand in hand with the rapid electrification of transport and net-zero targets by corporations,' he told SunBiz. He pointed to the rise of 'behind-the-meter' solar PV solutions, which allow users to generate electricity on-site, easing the burden on the national grid while accelerating decarbonisation. 'However, Malaysia's climate strategy doesn't stop at emissions reduction. Equally vital is the preservation of natural carbon sinks. The Land Use, Land Use Change and Forestry (LULUCF) sector plays a pivotal role, seques-tering over 212 million tonnes of CO₂ equi-valent annually. 'Protecting forests and urban green spaces, which not only absorb carbon but also regulate temperature and humidity is important,' he stressed. Additionally, Theseira noted that small and medium-sized enterprises (SMEs) are another essential component of Malaysia's ESG journey. 'As key players in corporate value chains, their emissions data significantly influence major corporations' Scope 3 disclosures under the National Sustainability Reporting Frame-work (NSRF). 'Tools such as the Simplified ESG Disclosure Guide (SEDG) and the GHG Protocol have made it easier for SMEs to assess and report their emissions, contributing to a more transparent and accountable corporate landscape. 'Private investment in green projects remains a challenge, largely due to policy uncertainty and a lack of ecosystem support. Clear, coherent, and impactful government policies are essential to encourage long-term planning and investor confidence,' he said, adding that governments must foster resilient ecosystems and incentivise sectors aligned with climate goals to attract meaningful capital flows. To enhance the appeal of green financial instruments like sustainability-linked loans and green bonds, Theseira stressed the importance of measurable and certifiable impact, in line with government policy, further high-lighting the need for rigorous anti-greenwashing assessments to maintain investor trust, especially among retail investors increasingly concerned about ethical investments. 'Malaysia can also draw lessons from emerging markets such as China, India, and Brazil, which have successfully mobi-lised transition finance through strong policies, international collaboration, and innovative financing models. 'Malaysia should develop a clear transition roadmap, align its disclosure standards with global frameworks, and focus on 'bankable' projects such as grid upgrades and critical mineral development to attract private capital,' he remarked. Looking ahead, Theseira expressed optimism that now is the perfect moment to harmonise sustainability standards across Asean as the nation is assuming the chairmanship, enabling the region to better compete in global markets and secure its position as a trusted source of sustainable goods and services. He also expressed optimism about the National Climate Governance Summit 2025, which focuses on transition finance. 'The summit brings together regional stakeholders and global experts, offering a platform to share best practices and forge collaborative pathways toward a low-carbon future,' he said. Over the next five to 10 years, Theseira envisions Malaysia strengthening its climate governance frameworks and aligning them with global standards. 'With a Renewable Energy target of 70% by 2050 and a net-zero goal by the same year, he called for setting a national emissions peak and peaking window, a move that would signal commitment ahead of COP30 in Brazil and guide policy and industry action alike,' he said.
The Star
21-04-2025
- General
- The Star
Melaka's Portuguese community hopes for favourable outcome on status of historic Canossian Convent, says NGO chief
THE local Portuguese community remains hopeful for a favourable outcome concerning the status of the historic Canossian Convent located in Bandar Hilir, here. Save the Portuguese Community Action Committee (SPCAC) chairman Martin Theseira expressed confidence that the Melaka Chief Minister would give due consideration to the community's efforts to preserve the site, currently operating as SK Sacred Heart Canossian Convent, situated in the heart of the historic city that has provided quality education to locals for nearly a century. 'We are optimistic that Datuk Seri Ab Rauf Yusoh will take into account the long-standing contribution of the school to educational excellence and heritage,' Theseira said during an interview on Monday (April 21). He also revealed that Bandar Hilir assemblyman Leng Chau Yen had submitted a question on the matter to be addressed in the upcoming Melaka legislative assembly sitting, which is scheduled to begin on Friday (April 25) According to Theseira, Leng's question seeks clarification from the Melaka Land and Mines Office regarding the criteria used in determining land use rights and ownership, particularly for institutions that have long occupied and utilised the land for educational purposes, and that hold historical significance in the state's development. The question, he said, also calls for transparency in the Land Commissioner's discretion in evaluating applications for land ownership or extensions of land use by the Canossian Convent, acknowledging its contribution to both the education sector and Melaka's cultural heritage. "She has also enquired about the state government's plans to preserve the site, which holds deep ties to the Portuguese community and is an integral part of Melaka's identity,' he said. Last month, the High Court in Melaka dismissed a judicial review application filed by two mission organisations contesting ownership of the land on which the Sacred Heart Canossian Convent stands. Known as Lot 6, the site has served as a residence for the Canossian Sisters and an orphanage since 1905. A primary school was established there in 1929, followed by a secondary school in 1950. Theseira explained that the land was previously held under the title of the Portuguese Mission. Court documents presented by the applicants indicated that the original title deed, issued during the Dutch colonial era, had been in the possession of Catholic priest Father Alvaro Martins Corado during World War II. "However, the deed was lost following Corado's arrest and subsequent death in Japanese captivity in 1944," he added. Theseira stated that the first applicant in the case — the Mother Superior of the Daughters of Charity of the Canossian Institute (Malaya) — was legally established in 1957 to hold property belonging to the Canossian Sisters. The second applicant, he said, was the Agent of the Commission for the Administration of the Estates of the Portuguese Missions in China and Singapore (commonly known as the Portuguese Mission), which was formed under a 1910 colonial statute and claimed rightful ownership of the land in question. "The applicants had engaged in correspondence and meetings with state authorities in an attempt to secure a new title deed to replace the one that was lost,' he said, adding that SPCAC will continue to advocate for the preservation of the site, highlighting its historical and educational value.
