Budget 2027: Up To 100 Pct Investment Tax Allowance For Green Technology Projects

KUALA LUMPUR, Oct 9 (Bernama) -- Prime Minister Datuk Seri Anwar Ibrahim announced that tax incentives will be enhanced and extended until Dec 31, 2030, to encourage more companies to adopt green and sustainable technologies.

Anwar, who is also Finance Minister, said companies undertaking green and sustainable technology projects, electric vehicle (EV) charging stations, and those purchasing green technology assets for their own use would be eligible for investment tax allowances of up to 100 per cent.

He said the energy transition agenda must be accelerated to ensure the country’s long-term energy security, including through investments in renewable energy.

“Tenaga Nasional Bhd is investing RM15 billion to strengthen the national grid, while UEM Lestra is investing RM1 billion, including in an energy storage project at Kuala Lumpur International Airport and a 1-gigawatt hybrid energy project in Johor,” he said when tabling Budget 2027 in the Dewan Rakyat today.

Anwar said the energy transition agenda included the use of a RM1 billion Climate Fund by the Kumpulan Wang Persaraan (Diperbadankan) (KWAP) for green projects, including renewable energy and decarbonisation.

“Hot weather contributes to higher household electricity consumption. Through NUR MADANI, rebates of up to RM200 are available to buyers of energy-efficient air conditioners and refrigerators,” he said.

-- BERNAMA