RAM Ratings has assigned a AAA/Stable rating to KLCC Property Holdings Berhad’s proposed RM5 billion Sukuk Wakalah Programme.
The Issuer is part of the KLCCP Stapled Group, under which KLCCP shares are stapled to units of KLCC Real Estate Investment Trust (KLCC REIT) on a one-to-one basis by a ‘stapling deed’. As at end-2023, the Group was the largest REIT in Malaysia by asset size (RM18.3 bil) and market capitalisation (RM12.8 bil). With contributions from Suria KLCC mall, Menara Dayabumi, Mandarin Oriental, Kuala Lumpur (MOKL) and management services, KLCCP accounted for a respective 64% and 52% of the Group’s revenue and operating profit for FY Dec 2023.
RAM said the AAA rating is premised on KLCCP’s diversified pool of prime assets, favourable lease and tenant profile, excellent financial flexibility, strong financial profile and strong linkage to its ultimate parent, Petroliam Nasional Berhad (PETRONAS). The iconic landmarks within the KLCC Development give the Issuer an edge in attracting quality tenants, allowing the assets to command above-average occupancy and rental rates. KLCCP has strong earnings visibility, stemming from the highly fixed nature of its rental earnings. These include (1) Suria KLCC mall’s largely fixed rental structure; and (2) the long-tenured triple-net leases for Menara Dayabumi and Menara Maxis.
The Group’s strong linkage to PETRONAS, proven ability to raise funds through the debt and capital markets (via subsidiaries), and diversified sources of funding afford the Issuer superior financial flexibility. KLCCP’s unencumbered assets and cash reserves (excluding cash flows of MOKL and Suria KLCC) are more than adequate to cover near-term liabilities. In early-2024, KLCCP entered into a Share Purchase Agreement to acquire the remaining 40% stake in Suria KLCC from CBRE for RM1.95 bil. Even assuming the proposed acquisition will be entirely debt-funded, we still view the estimated leverage and fixed charge cover ratios, at a respective 0.34 times and 4.32 times, to be strong.
The ratings agency said it views KLCCP Stapled Group-PETRONAS linkage as close, considering the national oil company’s significant 66.94% effective stake in the Stapled Group – a 2.26% direct stake and 64.68% of indirect stake held through KLCC (Holdings) Sdn Bhd (KLCCH), the Group’s board composition and the close association between assets under the Group, KLCCH and the PETRONAS group. Support from PETRONAS is also evident in the master lease agreements for most of the Stapled Group’s office buildings (except Menara Maxis), which give PETRONAS or its nominee the right of first refusal to purchase the office buildings in PETRONAS Twin Towers and Menara 3 PETRONAS should the Stapled Group opt to dispose of them. As such, KLCCP is deemed highly likely to receive support from both KLCCH and PETRONAS in the unlikely event of financial distress.
Kenanga Investment Bank Berhad has informed Bursa that its Board wishes to seek shareholders’ approval for the proposed share buy back of up to 10% of the total issued shares of the company.
The proposal will be put forth at the forthcoming Fiftieth (50th) Annual General Meeting of which the date will be announced in due course
The company also said the Share Buy-Back Statement setting out the details of the Proposal will be despatched to the shareholders of the Company in due course.
Crescendo Corporations Berhad informed that its wholly-owned subsidiary, Panoramic Industrial Development Sdn. Bhd. has entered into a conditional Sale and Purchase Agreement with Microsoft Payments (Malaysia) Sdn. Bhd., for the disposal of land in Johor Bahru for approximately RM132.4 million.
The land measures 102,558.3 square meters or 1,103,927.3 sqf and has been disposed for RM120.00 per square foo. Crescenndo said the and is strategically located within a prime and mature industrial estate in Mukim of Pulai, District of Johor Bahru, and surrounded by a mixture of residential, commercial and industrial developments.
It also said the land can only be used for a medium industry area for the purposes of data centre and other uses in relation thereto, constructed in accordance with the plans approved by the authority.
Sapura Energy Berhad announced that its wholly owned subsidiary, Sapura Subsea Services Sdn. Bhd. has been awarded with a contract for the Provision of Pan Malaysia Underwater Services for Petronas Group of Companies and Petroleum arrangement contractors by Sarawak Shell Berhad and Sabah Shell Petroleum Company Limited. This Contract takes effect from 31st January 2024 for a period of 5 years
The contract it said was a call-out contract with agreed unit rates. The scope of work comprises of the provision of diving support vessel, Air and Saturation Diving Systems, Remotely Operated Vehicle and other related underwater services which includes subsea inspection, repair and maintenance of offshore structures, pipelines and other equipment, abandonment, intervention, subsea decommissioning and other works related to SSB’s and SSPC’s underwater facilities in Sabah and Sarawak waters.
Sapura said the contract will not have any effect on the share capital and shareholding structure of Sapura Energy. The contract, however, is expected to contribute positively to the earnings for the financial year ending 31 January 2025 and the subsequent years.
MN Holdings has secured a contract for the engineering, procurement, construction and commissioning work for a large solar scale photovoltaic plant in Kulim for RM26 million.
The Company’s wholly-owned subsidiary MN Power Transmission Sdn Bhd has accepted a Work Order from Samaiden Sdn Bhd for its appointment as a sub-contractor for the 50 mega-watt alternating current (“MWac”) LSSPV plant in Kulim.
Under the contract, MN Power will be responsible for the EPCC of a step up station interconnection facilities, NUR interconnection facilities and related peripheral system for 50 MWac LSSPV energy generating facility for Nur Renewables Sdn Bhd.
Works for the contract is for a period of 11 months from April 2024, to February 2025.
Axiata Group has announced that it has entered into a Share Purchase Agreement for the disposal of its entire 87.5% stake in EDOTCO Investments Singapore Pte. Ltd., a special purpose investment holding company for EDOTCO’s investments in Myanmar and sole shareholder of EDOTCO Myanmar Limited, for a total cash consideration of approximately USD150 million (equivalent to RM713 million as part of its divestment plans.
The group said the decision to exit Myanmar was made due to deteriorating macroeconomics and operating environments in Myanmar. Capital from the Proposed Divestment – Myanmar, aligned with Axiata’s commitment to maintaining a strong balance sheet and enhancing shareholder value, will be re-deployed to reduce debt.
However the proposed divestment is subject to amongst others, regulatory approvals and expected to be completed within 12 months from the date of the SPA and not expected to have any material effect on Axiata’s consolidated Net Assets, NA per share, gearing and consolidated earnings for the financial year ending 31 December 2024.
The announcement is made following Axiata’s earlier announcement on proposed exit from Myanmar published in Quarterly Results for the quarter ended 31 December 2023 released on 22 February 2024.
Bursa Malaysia rebounded strongly to end higher on Thursday, making a swift recovery of its losses from the previous session, supported by mostly upbeat regional markets, said an analyst.
At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) surged 16.23 points, or 1.05%, to 1,553.24 from Wednesday’s close of 1,537.01.
The benchmark index, which opened 1.97 points better at 1,538.98, moved between 1,537.25 and 1,554.33 throughout the trading session.
On the broader market, gainers thumped decliners 656 to 352, with 475 counters unchanged, 835 untraded and nine others suspended.
Turnover narrowed to 3.36 billion units valued at RM2.68 billion compared with 4.26 billion units worth RM2.87 billion on Wednesday, Bernama reported.
Nvidia and Indonesia’s telco firm PT Indosat Ooredoo Hutchison plan to build an artificial intelligence centre in Central Java in 2024, worth $200 million, the communication minister said.
Budi Arie Setiadi in a statement said the AI centre could consists of telecommunication infrastructure or a human resource centre and will be located in Surakarta city.
ndosat’s CEO has provided information of the investment plan to Surakarta mayor Gibran Rakabuming Raka, who is also Indonesia’s vice president elect and the son of the ongoing President Joko Widodo.
“Why in Surakarta? Because they are ready, have good human resources and 5G infrastructure,” he said.
Indosat and Nvidia did not immediately respond to requests for a comment.
Foreign investors pulled more than a trillion yen out of Japanese stocks last week, as some stocks went ex-dividend and expectations of currency market intervention by the Bank of Japan led to profit booking after a recent rally.
They offloaded a net 1.18 trillion yen worth of stocks during the week to March 29 – their largest weekly net disposal since Sept. 29, 2023, data from stock exchanges showed.
Overseas investors sold a net 967.32 billion yen of derivative contracts, marking the largest weekly net selling in nine weeks. They also pulled about 213 million yen out of cash equities.
Last week, the Nikkei shed about 1.3 per cent following 5.63 per cent weekly gains and a fresh life high of 41087.75 in the prior week.
U.S. banks Morgan Stanley and JP Morgan had also warned last week that Japan’s top-performing stocks were at risk of a sell-off because of overcrowded long positions in large companies.
Meanwhile, foreigners purchased long-term Japanese bonds of 842.2 billion yen on a net basis last week, in contrast to a sharp 3.89 trillion yen worth of net selling, a week ago, data from the Ministry of Finance showed. Japanese short-term debt instruments, meanwhile, witnessed 2.78 trillion yen worth of foreign outflows, the biggest weekly net selling since December 29.
Japanese investors, meanwhile, sold a net 1.66 trillion yen of long-term foreign bonds, the most in a week since Oct 2022 while exiting about 25.1 billion yen of short-term debt securities.
They also withdrew 233.6 billion yen out of overseas equities, posting a fourth weekly net selling in five weeks.
Marine & General has updated on the vessel disposals it announced in 2023 and recently 2024 where it clarified the total net disposal proceeds was RM51 million.
The disposal was for wo clean petroleum product tankers, namely JM Sutera 5 being a 17 year old tanker, and JM Sutera 7 being a 15 year old tanker.
The company said after repayment of vessel financings, shareholder’s loan, redemption of preference shares and utilisation for working capital, the balance of the proceeds amount to RM 29 million. This sum it added will provide part of the financing required for M&G’s fleet renewal and optimisation strategy to replace its aging CPP tankers.
M&G also plans to renew its fleet by investing in additional chemical and CPP tankers that meet charterers requirements and taking into account environmental considerations.
The Board said it expects the renewal and optimisation programme to take approximately 2 years. However, the actual decision on the renewal and optimisation can only be finalised after decisions are made by prospective clients.
The Parliament passed the Machinery (Repeal) Act 2022 [Act 835] on March 16, 2022, marking a significant legislative development in the realm of occupational safety and health.
In response to the enactment of this Act, the Department of Occupational Safety and Health (DOSH) has taken proactive measures to ensure a seamless transition by formulating new subsidiary legislation under the Occupational Safety and Health Act (OSHA) [Act 514].
This initiative aims to replace the outdated subsidiary legislation previously associated with the repealed Act, thereby facilitating the smooth implementation of regulatory provisions and system enhancements.
On April 2, 2024, the Minister of Human Resources, Steven Sim Chee Keong took a decisive step by signing a notice for the Date of Commencement of Acts 835 and A1648.
Additionally, the Minister endorsed two (2) notices pertaining to new subsidiary legislation, specifically the Occupational Safety and Health (Qualification Certification Plant) Regulations 2024 and the Occupational Safety and Health (Licensed Person) Order 2024.
The culmination of these efforts was the publication of all relevant legislation in the Gazette by the Attorney General’s Department on April 2, 2024. It is anticipated that these regulatory changes will take effect on June 1, 2024, signaling a new chapter in the landscape of occupational safety and health regulations.
The Ministry of Human Resources (MOHR) in a statement today (Apr 4) has reaffirmed its commitment to ensuring the well-being and safety of workers across various industries, underscoring the importance of these legislative reforms in upholding standards and protecting workers’ rights.
The Ministry of Investment, Trade, and Industry (MITI) is joining forces with the Entrepreneur and Cooperatives Development Ministry (KUSKOP) to tackle the issue of low bumiputera participation in Malaysia’s manufacturing sector.
According to MITI Minister Tengku Datuk Seri Zafrul Abdul Aziz, one of the main hurdles faced by bumiputera companies is the limited access to financing facilities, a challenge also prevalent among small and medium enterprises (SMEs).
“In response to this challenge, the New Industrial Master Plan (NIMP) 2030 includes an allocation to strengthen local companies. The Budget 2024 announcement earmarked a fund of RM200 million to implement NIMP 2030,” said Tengku Zafrul during the question and answer session in the Dewan Negara today.
Responding to a query from Senator Datuk Husain Awang regarding initiatives to expose bumiputera startup companies to alternative financing sources like equity crowdfunding, Tengku Zafrul emphasised the importance of capacity building and knowledge sharing.
“We have to share our experience and knowledge, and this is being carried out through SME Corporation and other related agencies,” he said.
Besides limited access to financing, another significant challenge highlighted by the minister is ensuring market access for bumiputera products.
Tengku Zafrul emphasised the role of the Malaysia External Trade Development Corporation (MATRADE) in facilitating the global competitiveness of local companies.
The Dewan Negara has passed the Environmental Quality (Amendment) Bill 2023, marking a significant step forward in enhancing environmental protection measures in Malaysia. This amendment seeks to modify the Environmental Quality Act 1974, aiming to address contemporary environmental challenges and strengthen regulatory enforcement.
The bill garnered majority support in the senate, with Senator Rita Sarimah Patrick Insol presiding over the proceedings. Following its second reading, seventeen senators engaged in a constructive debate, underscoring the importance of the proposed amendments.
Deputy Minister of Natural Resources and Environmental Sustainability (NRES) Datuk Seri Huang Tiong Sii, tabled the bill, outlining key amendments aimed at bolstering penalties and fines for environmental violations.
Notably, the amendments entail a minimum fine of RM5,000, a maximum fine of RM10 million, and mandatory imprisonment of up to five years for offenders.
Huang emphasised that these stricter measures aim to enhance enforcement capabilities, deter environmental pollution and criminal activities, and expedite actions against violators.
He stressed the significance of imposing higher penalties to serve as a deterrent against irresponsible behavior detrimental to the environment.
The bill’s journey commenced with its introduction in the Dewan Rakyat on November 16 last year. After undergoing rigorous deliberations and scrutiny, it passed through the lower house on March 25, before securing approval in the Dewan Negara.
This legislative development underscores the government’s commitment to safeguarding Malaysia’s natural environment and ensuring sustainable development. The Environmental Quality (Amendment) Bill 2023 reflects a proactive approach to addressing environmental concerns and upholding environmental integrity for present and future generations.
Senior finance and central bank officials from Southeast Asia and major economies met Thursday in the scenic Laotian city of Luang Prabang to discuss ways to help the region build resilience against shocks like the COVID-19 pandemic and natural disasters brought on by climate change.
The need for faster progress was dramatically apparent as the city and surrounding region were engulfed in heavy smoke from fires — some set to clear forests for crops, some ignited by record high temperatures and tinder-dry conditions. The air quality index early Thursday was nearly 300, or “very unhealthy.”
Laos and other countries in Southeast Asia have committed to seeking more sustainable ways to feed their people and power their economies. The question is where the money will come from to do that.
Green finance is among several items on the agenda of the finance meetings of the Association of Southeast Asian Nations related to countering the mounting impacts of global warming. The officials also were set for talks on an ASEAN infrastructure fund and disaster risk financing and insurance, according to the agenda provided by hosts of this week’s meetings, AP reported.
Also on the list, refining a “taxonomy” to help identify and agree on projects that support ASEAN’s sustainability agenda and align with its climate change commitments and other goals.
The 10 member nations of ASEAN — Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam — range from tiny but wealthy Brunei and Singapore to big, fast growing economies like Vietnam and Indonesia. They have pledged to cut carbon emissions to help reduce the impact of climate change but are struggling to find ways to unlock financing needed to make that transition.
ASEAN members are extremely vulnerable to extreme weather, drought and rising sea levels. Investments in clean energy need to increase by five to seven times, to more than USD200 billion a year, according to various estimates. Laos and its neighbours also are contending with a raft of other regional troubles, including human trafficking, a growing illicit drug trade and fast-growing enclaves of online scam centres run by criminal syndicates.
A landlocked country of about 7.5 million people, Laos is rich in hydroelectric power, but its economy has been shrinking in recent years and its national finances are fraught — strained by a heavy load of foreign and domestic debt, a weakening currency and inflation.
Longstanding traditions and a lack of funding to persuade farmers not to rely on crop burning — their most affordable option — mean that progress is slow. The government has set a goal of reducing the number of fires by 35% by the end of 2025. Similar burning in neighbouring Thailand, Myanmar and Cambodia leaves the region shrouded in heavy smog for weeks at a time during the spring.
Countries in the region have begun to build regional electricity grids as one step toward improving a balance between supply and demand.
A higher priority for Laos, a Communist state where annual incomes average below $2,000 a person, is weaving itself into the wider regional economy of about 660 million people. Combined, the region is the world’s fifth-largest economy at about USD3.3 trillion.
Like many countries in the region, Laos’ economy has become increasingly entwined with that of China. Those ties have deepened with the building of a USD6 billion high-speed railway that links to railways in southwest China’s Yunnan province and eventually will be connected with a line running to Bangkok and the Gulf of Thailand. The downside: debts that are a heavy drain on the country’s resources.
Along with regional financial leaders, senior officials of major international financial institutions like the International Monetary Fund and Asian Development Bank, along with delegates from Japan, China, the U.S. and other major economies, are attending the talks in Luang Prabang.
U.S. Treasury Secretary Janet Yellen is not attending the talks, but traveling to China this week, where she will meet with American business leaders and Chinese officials in south China’s Guangzhou and in Beijing.
Also, in Beijing this week were Indonesia’s President-elect Prabowo Subianto and the foreign ministers of Vietnam, Laos and East-Timor, which is aspiring to become an ASEAN member. The flurry of visits highlights rivalries for influence in the region.
YAB Perdana Menteri, Dato’ Seri Anwar Ibrahim menerima kunjungan hormat Presiden Terpilih Indonesia Prabowo Subianto di Pejabat Perdana Menteri, 4 April, 2024. - SADIQ ASYRAF/Pejabat Perdana Menteri
NO SALES; NO ARCHIVE; RESTRICTED TO EDITORIAL USE ONLY. NOTE TO EDITORS: This photos may only be used for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the pictures may require further permission. MAND
Indonesian President Prabowo arrived at Perdana Putra at 9 a.m. as part of his special one-day visit to Malaysia.
This marks his first visit to the country since being officially announced as the winner of the Indonesian Presidential Election for the term 2024-2029.
Yesterday, Prabowo and his delegation safely landed at Subang Air Base at 10:15 p.m., where they were welcomed by Defense Minister Datuk Seri Mohamed Khaled Nordin.
Meanwhile, Anwar, in a Facebook post, informed that the meeting was utilised to share experiences and exchange views on their respective careers and future directions in further strengthening Malaysia-Indonesia relations.
He mentioned that their political career journeys were quite similar, having faced various challenges before being appointed to lead their respective countries.
“The discussion was also interspersed with casual conversations, including stories from Prabowo’s time studying at Victoria Institution (VI) in Kuala Lumpur,” he added.
At the same time, Anwar extended congratulations and best wishes to Prabowo, who is set to be inaugurated as the Eighth President of Indonesia.
“May the friendship between Malaysia and Indonesia continue to be strong and reinforced for the mutual benefit in the future,” he said.
In the previous year, more than 23 million patients received treatment at Ministry of Health facilities, according to Deputy Health Minister Datuk Lukanisman Awang Sauni.
During the same period, a total of 72,078 non-citizen patients also received medical care at Ministry of Health facilities. This service provision contributed to a total healthcare service revenue collection of RM525 million last year.
“Of the total, 3.11 are non-citizens, 30 percent are citizens, and 1 percent are foreign nationals,” Datuk Lukanisman said, addressing additional questions posed by Senator Datuk Ahmad Ibrahim regarding the number of foreign patients treated in government hospitals last year and the percentage ratio of locals to foreigners seeking medical treatment.
He further disclosed that the Ministry of Health has implemented a policy requiring a deposit to be collected from foreign patients upon admission to hospitals, in line with Paragraph 14 of the Medical Fees Order (Service Charges) 2014.
Guidelines for implementing the Medical Fees Order (Service Charges) 2014 also stipulate deposit rates based on ward class and type of medical service. For instance, the deposit for medical procedures in a third-class ward is RM1,400, while for first-class wards, it is RM7,000.
Additionally, private companies have the option to arrange a bank guarantee with the Ministry of Health through an agreement under the Procedure for Applying for Facilities for Inpatient Treatment of Patients in Malaysian Ministry of Health Hospitals using Company Guarantee Letters and Bank Guarantee Provision.
Through this agreement, private companies are required to pay a bank guarantee based on the number of employees. If medical bills are not settled within the stipulated period, the bank guarantee will be deducted to settle outstanding bills.
Datuk Lukanisman further elaborated that as of February 2024, a total of 823 companies have signed bank guarantee agreements with the Ministry of Health for medical facilities for their foreign employees.
The Ministry of Health is currently reviewing the procedures for setting deposit and bank guarantee rates, as well as collection procedures, to ensure that they are sufficient to cover the medical costs of foreign nationals.
The construction industry, often criticised for its environmental footprint, is undergoing a transformative journey towards sustainability. However, amidst these challenges, researchers have been tirelessly working to identify innovative solutions and practices to promote sustainability within the industry.
In a recent exclusive interview with BusinessToday, Assoc. Prof. Sudharshan N. Raman (pic), an Associate Professor in the Civil Engineering Discipline of the School of Engineering at Monash University Malaysia shed light on innovative approaches to tackle environmental challenges while enhancing the industry’s efficiency and cost-effectiveness.
Professor Sudharshan highlighted the significant strides being made in the adoption of sustainable materials, with a particular focus on bio-based polyurethane (PU) coatings synthesised from palm kernel oil.
This material has shown promise in providing enhanced protection to concrete structures against extreme dynamic loadings such as impact and blast events.
Moreover, PU coatings indirectly contribute to the circular economy by extending the lifespan of structures, thus reducing the frequency of replacements and supporting rehabilitation efforts.
Furthermore, Professor Sudharshan shed light on the diverse applications of PU coatings in construction, ranging from adhesive and sealants to insulation materials.
These coatings offer numerous benefits, including flexibility, durability, and sustainability, making them a preferred choice for various construction applications.
Picture credit to Linden Industries
Diverse Applications and Benefits of Polyurethane (PU) Coating in Construction
According to Professor Sudharshan, Polyurethane (PU) coating finds extensive use in the construction industry across various applications due to its versatile properties. It serves as an adhesive and sealant, effectively sealing cracks and bonding different materials like concrete and timber.
Additionally, PU is favored for coatings and waterproofing applications due to its resistance against moisture, chemicals, and weathering.
It’s also widely employed as insulation material, particularly in rigid foam boards and spray foam insulation, and in furnishing applications such as faux leather upholstery and cushioning.
The advantages of using PU in construction are manifold. Its elastomeric nature allows for high elongation capacity, making it ideal for protecting structures from extreme loading events like blasts or impacts.
PU’s properties can be tailored to specific requirements by modifying its chemical composition, and it can be applied easily without vacating the entire building.
Furthermore, being derived from bio-based products, PU is sustainable and reproducible. It enhances structural protection and durability against environmental degradation.
His research indicates that PU is effective in protecting concrete, steel, and aluminum structures against various types of extreme loading, including impacts, ballistics, and blasts.
Beyond construction, PU can safeguard transportation and water infrastructure from accidents and explosions. Collaborative efforts are also exploring its potential applications in defense and military sectors.
Rethinking the Construction Industry’s Environmental Legacy
The question of whether the construction industry is solely associated with negative environmental impacts is nuanced.
“It’s a Yes and No to this question. I would not agree with that, especially considering the outstanding services that the construction industry has contributed to support all other industries.
No industry can claim that they have progressed and advanced without the support of the construction industry,” he said.
While it’s undeniable that construction activities have contributed to environmental degradation, it’s equally important to acknowledge the industry’s indispensable role in societal progress and development. The construction sector is the backbone of infrastructure development, supporting essential services and facilitating economic growth.
Without it, modern society as we know it would not exist. However, this doesn’t absolve the industry of its environmental responsibilities.
Construction activities, from material extraction to building operations, can result in habitat destruction, resource depletion, and pollution if not managed sustainably.
“And Yes, the construction industry does contribute to some negative environmental impacts, but that is mainly due to the enormous volume of construction activities that is taking place and due to the impact that the industry has on our daily life.
A lot has been done to address this issue, a lot more can be done. Researchers like I are working hard to reduce and minimise the effects of construction industry on the environment and earth,” Professor Sudharshan further added.
Key StrategiesTowards Sustainable Construction:
Here are some essential strategies derived from Professor Sudharshan’s research aimed at promoting sustainability in the construction industry:
Local Sourcing and Production: Embrace materials sourced and produced locally to minimise emissions from transportation and reduce costs.
Prioritising Low Carbon Footprint Materials: Focus on materials with lower environmental impacts to decrease emissions throughout their lifecycle.
Recycling and Upcycling: Utilise recycled and upcycled waste materials to support circular construction practices, such as using supplementary cementitious materials and recycled aggregates.
Innovative Design and Construction Techniques: Adopt advanced materials and construction methods to minimise waste, increase efficiency, and enhance productivity.
Prefabrication and Modular Construction: Implement prefabricated and modular techniques to reduce material waste and enable reuse or repurposing of elements, contributing to a sustainable building lifecycle.
End-of-Life Considerations: Develop products, materials, and processes with end-of-life considerations, promoting disassembly and recycling.
Lifecycle Analysis: Incorporate life cycle analysis during planning and design to evaluate the environmental impact of construction materials comprehensively.
Government Contribution to Promote Sustainability in Construction Industry
When asked about strategies to ensure the sustainability of the construction industry, he said, “I believe it is important to focus on the most effective and essential strategies, which are: (i) Providing incentives and credits; (ii) Regulations and industry standards; (iii) Education, training, research and development; (iv) Investments; and (v) Engagement and collaboration with Stakeholders.”
He believed these strategies play a crucial role in promoting the adoption of sustainable construction solutions and driving positive change within the industry.
Regarding the construction industry’s environmental impact, he provided a nuanced perspective, acknowledging both the industry’s contributions and its challenges. While the construction industry plays a vital role in supporting economic growth and development, it also generates negative environmental impacts due to the sheer volume of construction activities.
However, he emphasised the importance of ongoing research and innovation to mitigate these impacts and promote sustainability.
According to Sua-Iam and Makul (2015), CBA, or coal bottom ash, is a leftover material from burning coal in power plants. It’s collected at the bottom of the furnace and consists of coarse, porous, grayish particles.
About 20% of the leftover material from coal burning is CBA, while the rest is another byproduct called fly ash (FA). CBA looks similar to natural fine aggregate, with particles ranging from gravel to fine sand, but it’s coarser, more brittle, and often used as a replacement for natural sand in construction projects.
“Fly ash has been used widely as a supplementary cementitious material in concrete. It has also found promising applications in cement production, soil amelioration, and ceramic industry.
The use of supplementary cementitious materials as substitutes to cement, in the process of producing different variants of cement, will enable the reduction in the reliance of natural resources to produce clinker in cement production. This will in the long run will make the cement more sustainable.
This is the approach that we are adopting in our research to synthesise new cement variants with using coal bottom ash. However, for coal bottom ash to reach the stage of fly ash has achieved at present, more comprehensive research is required,” Professor Sudharshan said.
Repurposing the Controversial CBA
Many countries, both developed and developing, rely on coal-fired power plants for energy, producing by-products like CBA. While FA from these plants has various uses, CBA often ends up in landfills, causing environmental issues.
“A large portion of coal bottom ash are still mainly being disposed of in ash ponds and landfills, where the open disposal poses serious environmental pollution, in addition to occupying a large area of valuable land.
It also leads to environmental concerns, due to the potential leaching of contaminants from coal bottom ash into soil and water. The environmental impact can be minimised and waste can be reduced effectively if there is proper management and utilisation of CBA,” Professor Sudharshan said.
One promising avenue lies in the utilisation of coal bottom ash (CBA), a by-product of coal combustion, as an alternative aggregate and supplementary additive material to cement. Driven by the imperative to reduce waste and minimise environmental impact, researchers at Monash University Malaysia are pioneering efforts to harness CBA’s potential in construction applications.
“Our findings so far have been promising, where we are looking at developing different cement variants to meet the standards set in existing building codes. Research also has to be undertaken to minimise the potential leaching contaminants from coal bottom ash.
If these issues can be managed effectively or minimised, coal bottom ash could be an economical alternative material that can be considered in the construction industry,” he added.
Innovative Eco-Friendly Cement
One key area of focus is the development of novel cement variants with significantly reduced clinker content, incorporating up to 90% industrial by-products. “The uniqueness and novelty of this binder lies in its elimination of alkaline chemical activation process, and the absence of elevated temperature curing,” Professor Sudharshan said.
This innovative binder not only exhibits strength properties comparable to conventional cement but also boasts excellent durability performance. By integrating high-volume supplementary cementitious materials, researchers are advancing resource conservation and reducing the industry’s carbon footprint.
“Moreover, the utilisation of these vast quantities of industrial waste material not only conserves valuable natural resources but also provides a solution for recycling and reusing materials instead of resorting to landfill disposal.
Unregulated disposal of industrial by-products, as that discussed earlier, poses significant environmental pollution risks, threatens valuable land resources, and presents health and safety hazards,” he added.
Sustainable Benefits of CBA as a Cement Substitute
According to Professor Sudharshan, using CBA as a substitute for cement offers several sustainability advantages over traditional cement production.
Unlike cement, which requires the extraction of natural resources like limestone and clay, CBA is an industrial by-product obtained from coal combustion in thermal power plants.
Utilising CBA as a clinker replacement in cement production reduces the need for mining activities, thereby preserving natural resources and minimising environmental degradation associated with quarrying. “The alternative use of coal bottom ash as a clinker replacement in cement production; as an alternative aggregate material in construction; or as a sub-base material in road construction, is an effective approach to circumvent the direct disposal of coal bottom ash in the environment,” he said.
Furthermore, the incorporation of CBA in cement production helps address the challenge of waste disposal by repurposing a material that would otherwise be disposed of in landfills.
By diverting CBA from landfills and integrating it into construction materials, such as concrete or road sub-base, the environmental burden of waste management is reduced.
Additionally, using CBA as a substitute can potentially lower the overall carbon footprint of cement production, as it requires less energy-intensive processing compared to traditional cement manufacturing processes.
In preparation for the ASEAN Summit 2025, Malaysia has announced its intent to prioritise the issue of job scams as one of the key agendas.
As the chair of the upcoming summit, Malaysia aims to address the global crisis of job scams, which has escalated into a significant concern.
Home Minister Datuk Seri Saifuddin Nasution Ismail underscored Malaysia’s proactive stance on tackling this issue, highlighting the country’s pioneering move among ASEAN nations to include job scams as a prominent topic for discussion.
The decision stems from the recognition of job scams as a form of human trafficking crime, reclassified from fraud by the United Nations Office on Drugs and Crime (UNODC).
Saifuddin revealed during a Dewan Negara session that Malaysia has witnessed a surge in job scam reports, with 362 cases reported since September 2021, affecting 470 victims. Out of these victims, 331 have been successfully rescued, while 139 remain stranded in the countries implicated in the scams.
To combat this growing menace, Malaysia plans to launch joint initiatives with Malaysia Airports Berhad to raise public awareness about job scams and human trafficking.
These efforts will involve setting up counters at exit points across the country to educate travelers before departure, allowing them to verify the legitimacy of overseas opportunities and avoid falling prey to fraudulent schemes.
Saifuddin emphasised the importance of continuous vigilance and public education in combatting job scams, indicating that electronic displays at exit points will serve as a reminder to travelers to remain cautious. “At these counters, they may check beforehand before proceeding further. We will also have electronic or digital displays at the country’s exit points as a final effort to continue reminding the public,” he said.
