Insight
Malaysia offers Asia’s first CCS incentives
Report summary
Malaysia has proposed new CCS incentives in its 2023 Budget, initially for upstream projects, that provide the first concrete incentives in Asia for the carbon storage sector. The fiscal incentives are in the form of tax allowances for CCS capex spent, follow a similar format to those offered for capital-intensive projects and are slightly more generous. These incentives are urgently needed domestically to help develop Malaysia’s vast resources of high CO2 gas. We test the proposed incentives on PTTEP’s flagship Lang Lebah project.
Table of contents
- What’s happened?
- Malaysia’s essential CCS journey
- Potential impact of the new CCS tax incentives
- Will a carbon tax help?
- Conclusion
Tables and charts
This report includes 4 images and tables including:
- Malaysia undeveloped gas with CO2 contents between 8%-50% by field
- Malaysia undeveloped gas with CO2 contents between 8%-50% by commerciality
- Chart: Pre-FID CCS projects in APAC by country and project status
- Chart: Impact of the planned CCS investment incentive on Lang Lebah development
What's included
This report contains:
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