Malaysia will regulate international carbon credit exports through eligibility whitelists and dynamic sales limits, according to Natural Resources and Environmental Sustainability Minister Datuk Seri Arthur Joseph Kurup. The move aims to prevent overseas transfers from undermining the country's own Nationally Determined Contribution (NDC) commitments under the Paris Agreement. The National Carbon Market Policy, launched in April 2025, is based on a national marginal abatement cost curve showing a technical potential to cut 56 million tonnes of CO2 equivalent by 2030. Around 70% of that could be achieved at under RM100 per tonne through industrial waste heat recovery, building efficiency, and small-scale renewables. Malaysia has also operationalized Article 6.4 participation and bilateral deals under Article 6.2 with Singapore and South Korea, and is preparing for mandatory CORSIA compliance from 2027. A national carbon registry with harmonized MRV is intended to prevent double counting.
