KUCHING: Sarawak has stressed the importance of establishing a regulatory framework for the cross-border transport of carbon dioxide to support the development of the Carbon Capture, Utilisation and Storage (CCUS) industry, following a rise in applications from foreign companies seeking to store carbon in the state.

Sarawak Premier, Datuk Patinggi Tan Sri (Dr) Abang Abdul Rahman Zohari Tun Datuk Abang Openg, said he raised the matter while attending the National Energy Council Meeting No. 1 of 2026, chaired by Prime Minister Dato Seri Anwar Ibrahim, in Kuala Lumpur on Wednesday morning.

He said among the key issues raised was the need to establish a regulatory framework governing the cross-border transport of carbon dioxide, given that Sarawak is currently receiving applications from several companies in Japan and Singapore to store carbon in the state.

"This is because we have received applications from several companies from Japan and Singapore to store carbon in Sarawak, as we have CCUS storage areas.

"The carbon needs to be transported into Sarawak — for example, Sumitomo of Japan intends to store its carbon in Sarawak waters.

"However, at present there is no regulatory framework in place explaining how the carbon can be brought into Sarawak, so this is the new issue I raised with the Federal Government," he said.

He said this at a press conference after officiating at the Borneo International Water & Wastewater Exhibition & Conference (BIWWEC) 2026 at the Borneo Convention Centre Kuching (BCCK) on Wednesday.

Datuk Patinggi Abang Zohari added that Sarawak already has laws relating to CCUS, but coordination with the Federal Government is needed to enable the cross-border carbon transport process to be carried out in an orderly manner.

He said this coordination is important given that Sarawak has substantial carbon storage capacity and is increasingly drawing the attention of international companies.

He explained that the development of the CCUS industry has the potential to open up new economic opportunities capable of generating added value for Sarawak. -UKASnews

Prepared by: Ahmad Daniel Faiz
Photo: Shahril Haqim
Translator: Uilson Ng