Malaysia carbon tax 'a matter of time' says minister, revenue for flood adaptation fund

Malaysia's Natural Resources and Environmental Sustainability Minister Datuk Seri Arthur Joseph Kurup confirmed the government remains committed to implementing a carbon tax, calling it 'only a matter of time.' The tax will initially cover steel, cement, and energy sectors. Revenue could go into a National Adaptation Fund for flood mitigation, coastal management, and sustainable agriculture. Kurup said the rollout timeline is under review due to geopolitical and economic uncertainties in West Asia, but the policy itself is firm. He framed the tax as an incentive for green energy transition, not a penalty. The government also launched a National Carbon Market Policy in April to institutionalize carbon credits, which must first be measured, reported, and verified before trading.