Tag: Sustainability

  • Design Sustainability Summits to share knowledge for all

    Design Sustainability Summits to share knowledge for all

    Sustainability discussions are always closed off to a few elite circles, but by democratising sustainability knowledge can we reach everyone out to sustainability. 

    About the author 

    Malcolm Wong Jun Xiang is an undergraduate student in Malaysia. All opinions written in this article are solely the writer’s. 

    Introduction

    If you are residing within a hotel within the bustling highways of Kuala Lumpur; there happens to be a peak hour when e-hailers and private chauffeurs gather in one spot, that’s when you know for sure a conference is happening within their venue. They can be identified by their business attire carrying backpacks and blazer suits. 

    No, they are not here for vacation, contrary to the atmosphere of relaxation fueled by refreshments of bottomless latte and food catering of Malaysian cuisine may imply. All are here to talk business. At least, only a select few. The few selected speakers get seats on stage and microphones regularly. 

    Pay attention and you may listen to the key words by ESG, Sustainability, and maybe social obligations.  In more recent summits held after July 2023, you may hear that “The era of global boiling has arrived,” says UN Chief Antonio Guterres. Anyone hearing the provocative statement may experience a brief state of shock, but urgency resides back to normal.  

    As soon as the conference ends or is in intermission, more often the networking happens, less so on the exchange and retainment of ideas. Big and ambitious ideas of sustainable practices and change management happen to be common values bringing everyone together and networking with other like-minders.  

    Exploration of Values brought them together, yet the values are not retained. Often people come out with fewer ideas than a longer list of contacts. That phenomenon is not unsurprising nor heartless by all present. These behaviors can only come from discussing climate change in a hall capable of hosting up to hundreds of people seated comfortably with air conditioning, all dressed in business attire. 

    I bring up Conway’s Law in this context: that events organized meant for the business community are the results of their own communication systems and networks. As conferences are primarily intended as platforms for industry engagement, these sustainability summits by design of the event itinerary become spaces of reflection of the professional community itself. 

    Climate Change is treated as a Business Opportunity, not as an ethical duty 

    Per my observations, most participants of climate/sustainability summits happen to be managers of the professional industry from financial services, training providers, or e-commerce.  There is the occasional undergraduate or pre-U student privileged enough to obtain an invitation to chat with who could possibly be their potential employer. 

    No doubt the one drive our passionate attendees have in common regardless of who they are is to make deals of some sort in the brief void of space and time. Look around, your mind will rack up some faces worth talking to. They’re big players, well-connected people in the industry, and certainly worth having a chit-chat with, right? If anyone has any innovative ideas, no one would be a fool to share them with anyone, except for an elevator pitch. 

    Rarely I have seen or heard any discussions on ideas shared on the subject issue outside of the hall. All are looking for connections, not solutions. And here we have our premier flaw; climate change is viewed as a profitable opportunity, never as a duty to mitigate. Environmental ramifications are treated as side effects to be mitigated lest they threaten the long-term profitability of the business. 

    Do not assume that more conferences are held on climate agendas, which means that more actions will be taken. By its present design, only more deals will be made, and many more business cards passed around. 

    This problem is not just inherent in the private sector. When our Prime Minister and Minister of Economy announced ambitious plans such as the Energy Transition Plan barely gained any traction and the Budget 2024 tabling barely gained any momentum outside professional circles. Readers gloss it over as just another mundane news. 

    While the whole nation knows about the numerous political scandals the day it happened. Does the public care about gossip? Yes, they love outrageous news, but only because they are not in a position to be involved in productive discussions. 

    Big plans are too detached from the working layman because they are always excluded from debate. What happens if they try to enter a sustainability summit? Only a few people at the top speak, and the rest follow and agree. It is also not that likely that you will get meaningful conversations unless they are connected by career descriptions have known each other before, or are in a similar network of professionals. The flow of knowledge is closed off to a restricted circle. 

    Exclusion is a matter of priority, never an evil conscious effort. Corporate Boards want action fitting in with the latest trends of net zero carbon and renewable energy, without knowing how. That decision is left up to the upper or middle management, (sometimes the engineers) unfortunately, saddled with the burden of executing and guiding company policy on sustainability from scratch at the same time. 

    Look into any Publicly Listed Company’s annual report, and you are treated with figures, charts, and incentives listed – all racking up hundreds of pages – each to signal their determination and commitment to social responsibility in ESG to the Board of Directors and Shareholders. Facts and figures in minimalist colorful charts are showcased, accompanied by explanations tied into sustainability keywords.

    Nothing wrong with these new trends, but let me pose a question: How many adopt ESG frameworks out of their sincerity to do good and give back, rather than out of a compliance necessity? 

    As a trend every firm is chasing, most sustainability incentives are structured around meeting ESG requirements (each differs depending on the frameworks and compliance) The SDGs are flocked around as a reference, but a lot have not worked beyond the concept framework to see how it matters, and if it really is beneficial for the community.

    If the climate agenda is primarily shaped by professionals with metrics and reports, there will no doubt be demand for said ‘skills’, meaning a higher salary with greater benefits.  With the utmost priority on meeting indicators, Malaysia could only produce experts to measure them, not actually develop the skills needed to innovate technological solutions to combat climate change. 

    What firms can’t do – or talk about 

    Present rhetoric on Mitigating Climate change has led us to believe that our key direction is to preserve current conditions, deemed optimal for operations: Consume less while producing more value, but less so on cleaning up the damage. 

    Climate change is neither our only threat, but just one of several manifestations. Business professionals are silent on Microplastic pollution as a potentially threatening major health crisis, and it does not go beyond simple discussions because researchers are not there to advise everyone.

    Provided the treasury is filled with enough monetary resources, you can afford to hear from consultants behind closed doors, the rest of the community is blocked off from listening by financial barriers. And the firms with a larger valuation stand a greater chance of hearing.

    It is absurd then to expect small entrepreneurs to worry about the carbon footprint of bread and butter, especially from the scarcity thereof. The people who stand the most to lose from agricultural loss, habitat loss, and deforestation will not wear blazers or dress shirts; rather everyday clothes of t-shirts, shorts, and dresses. 

    Changing the Flow of Discussion

    Everyone stresses the need for a change in mindset to address in climate crisis, but change requires creating favorable conditions for new ideas to flourish without much obstruction and any avoidance of derailment to deviant malice. 

    Conferences are a great venue for voices to be heard, by the people in the foreground, running SMEs, agriculture associations, and students, and workers at the very foreground. If we were to generate fruitful discussions, we would have to change our event design. 

    Let us change our mindsets for a bit. What if we were to not just listen to a selected few from top echelons, but from everyone who has sufficient insights no matter their position? If we switch our notions that knowledge is more valuable than connections made. We may perhaps get people from all sides involved in discussions. 

    Instead of listening to a few keynote speakers, how about we listen to everyone in the room? In my experience, the events with smaller attendance and venue size often have the best interactions and participation rate in sharing and giving their thoughts, and often most do speak up and contribute regularly other than the assigned guides on a subject matter. What they, and all contribute are their experiences and lessons learned for all to share. 

    Professor Emeritus Tan Sri Dr Zakri Abdul Hamid has noted in one of his commentaries for the New Straits Times: that several research and recommendations gather dust in libraries, even as they are publicly available online.  

    From the author’s experiences, the ones with the most insightful ideas came from professors with decades of research. They are the ones who do fieldwork and conduct experiments. They have first-hand experience with the consequences and know the science. 

    And it’s not just the professors either. Conversations must be held with all representatives of stakeholders, be it consumer associations, from the agriculture or construction industry. The engineers who are the forerunners of sustainable technology. All must be in the same room together given the opportunity to contribute their insights. 

    Should discussions occur in a mass setting where public opinion plays a role in the physical presence of other stakeholders involved, the inequality of wealth and position will be dissipated, and the chance to speak will be shared by everyone. This is the democratization of knowledge, where information and ideas flow both ways from multiple points and is heard by all. 

    In a room where few people speak and most people listen, there will always be more questions than answers. There have been eight people with microphones getting heard. It is time for hundreds more to solve problems with shared answers.  

    Climate Action is never firstly a professional business opportunity, it is first and foremost an ethical and moral duty. Values insert themselves into opportunities, never was it meant to be the opposite.  Money accumulates within a minority. Knowledge spreads to the majority.

    If we were to meet our zero carbon targets and cap the temperature increase at two degrees by 2030, it would mean democratizing knowledge on climate action and opening the flow of information to all corners of society as a social obligation. Everyone will come out with knowledge from beyond their field, as a collective effort to provide a sustainable society. 

    Writer: Malcolm Wong Jun Xiang

    Designer(s): Abdul Mustakim, Hannah Jasri, Wong Yan Qi

  • Shining a Light on Investing in Solar: Why It’s a Bright Idea for Your Portfolio

    Shining a Light on Investing in Solar: Why It’s a Bright Idea for Your Portfolio

    Introduction 

    Interest in renewable energy, such as wind and solar, has been growing since society has become more aware of climate change. However, the recent energy crisis in Europe has accelerated the adoption to some extent.  The rationale was that critical energy transportation links carrying gas to Europe, which they had heavily relied on, were reportedly damaged, although the incident was deemed to be apparent sabotage  (FLY, 2022). Furthermore, in response to a drop in demand and oil prices, as well as the G7’s intention to restrict prices on Russia’s oil exports, the OPEC+ Group (Organization of the Petroleum Exporting Countries) decided to cut output (Gramer, Rathi and Lu, 2022). 

    Thereby, energy transitions and ESG hype start kicking in as those shortages have led to energy insecurity and high costs associated with oil. The volatility and fluctuations in cost of living has made the whole situation more apparent. All of sudden, investing in renewables becomes more attractive again as ESG emphasizes on practicing clean energy and natural resource conservation in the journey of achieving net zero. 

    Sun, being associated with abundance as it shines across the globe, makes every country a potential energy producer (Johnston, 2022).  With zero-carbon features, utility-scale solar power produces between 394 and 447 MWh per acre per annum, according to the Lawrence Berkeley National Laboratory. Meanwhile, in Virginia, the primary source of electricity, natural gas, emits 679 pounds of carbon dioxide per megawatt-hour (MWh), not including other greenhouse gases (Eisenson, 2022).  Hence, an acre of solar panels producing emission-free electricity saves between 267,526 to 303,513 pounds of carbon dioxide per annum! Solar energy not only provides security and independence at the national level but also provides power that does not rely on a larger electrical grid. 

    This article aims to explore the solar industry by first determining the viability of solar relative to other renewables, then breaking down its supply chain, and ultimately discussing how to capitalise on the tremendous rise of the industry through investing. 

    To increase the adoption of solar energy, the government has implemented several policies meant to incentivise manufacturing players all the way to consumers. Jacobo (2022)  states that the US and India’s new policies in manufacturing could reduce around 17% share of China’s global solar manufacturing capacity by 2027.  In Malaysia, there is the Net Energy Metering Scheme (NEM) and Feed-in-Tariff (FiT), according to Seda (2022). The concept of NEM allows consumers to export any excess energy produced from solar PV back to the grid, which will be used to offset a portion of their electricity bill on a “one-on-one” offset basis.  On the other hand, a Feed-in-Tariff (FiT) is a policy designed to support the development of renewable energy sources by paying a fixed premium rate to producers for a specific duration. 

    The Competitive Edge of Solar vs Other Renewables

    Did you know that solar energy offsets more CO2 than forests?

    Solar energy is actually very carbon-neutral, not only because it involves no combustion but also because it captures CO2 better than forests. According to the EPA, the average acre of forest in the United States captures 1,852 pounds of carbon dioxide per annum. In contrast, an acre of solar panels in Virginia offsets roughly 144 to 166 times more carbon dioxide per annum than an acre of forest. 

    What about the carbon that is released when an acre of forest is removed? 

    According to the EPA, the average acre of forest contains 594,000 pounds of carbon dioxide. Approximately half of that amount is captured on the ground. Even if all 594,000 metric tons of carbon dioxide were released upon conversion of a forest to a solar farm, those emissions would be offset within 2-3 years of operation.

    Authority over electricity – why does Malaysia face so many blackout problems?

    Electricity costs tend to be higher during the peak periods, from 8 am to 10 pm, when demand is the highest (Aziz, 2022). Solar energy can help avoid peak electricity rates as it generates electricity internally. However, wind and hydropower still rely on the grid to deliver electricity. During a blackout, solar power stands out among other renewable sources to remove worries and inconveniences, given that energy storage powered by solar is used.

    Moreover, not only is solar energy cost-effective, but it can also yield a return on investment

    Solar-powered homes can increase the value of the property (Brill, 2022). According to the National Renewable Energy Laboratory, the value of a home increases by $20 for every dollar that a solar panel saves on electrical bills. Additionally, homes with solar panels have a four percent higher sales margin than those without, according to Zillow.

     

    Solar in comparison to other types of renewables

    Non-solar renewables Cons of non-solar renewables How solar is better
    Wind It consists of more moving parts which require larger maintenance than photovoltaic cells, the technology behind solar panels (Harrison, 2022)

    Another argument against wind power is its potential  disruptiveness given the noise generated.

    Solar power is known for its lack of noise.
    Hydro It is more costly given the employment of large dams  (Cleanmax, n.d.).

    Dams may also be more disruptive to ecosystems, given hydro plants change the natural flow of waterways, establish new lakes, and restrict water flow downstream, blocking fish migration and altering habitats.

    Solar, on the other hand, can be installed without changing the surrounding environment, either on the ground or on rooftops.
    Biomass While animal matter and agricultural crops create less waste than fuels or coal, there is still an element of pollutant gas being produced, such as carbon dioxide and nitrogen oxides (Energysage, 2022).

    Biomass is considered highly inefficient, as it converts less than 1% of energy into electricity.

    In contrast, solar can convert as much as 19% of energy into electricity  (Cleanmaz, n.d.).

    Malaysia’s solar players in the supply chain

    Malaysia has several solar-related companies that operate downstream in the supply chain, with the majority involved in the Engineering, Procurement, Construction & Commission (EPCC) sector. One of the most prominent companies in this sector is Greatech Technology Bhd, which provides Production Line System (PLS) services to First Solar, a leading American PV solar system manufacturer (Fire, 2021). Other well-known companies such as Semaiden, Cypark and Solarvest specialise in the installation of solar panels in Malaysia for residential, industrial, and large scale solar plants (LSS).

    Policies by governments across the globe to increase the adoption of solar

    Inflation Reduction Act 

    The Inflation Reduction Act, a $738 billion bill passed by Congress in 2022, will not directly alleviate inflation, but it will accelerate the transition to renewable energy in the United States (David, 2023). Over half of the budget, $391 billion, will be allocated to clean energy, so why don’t they call it the Carbon Reduction Act? Jokes aside, this will prompt growth in manufacturing and production capacity in the US as well as increasing consumer awareness. 

    As the US Inflation Reduction Bill is mainly targeted towards US-based renewable companies, it may disadvantage companies like Volksvagen that are based in Europe, causing geopolitical tensions. To address this issue, the EU is also planning to launch its own renewable energy bill (Zhao, 2023) to prevent European companies from shifting their production to the US. This friendly competition will accelerate the transition to renewable energy instead of sparking a Cold War. 

    Downside of Solar

    The generation of solar energy is limited to sunny days and interrupted during nighttime and overcast days. This can cause supply shortages, however this can be resolved as extremely sunny periods can generate excess capacity if there were low-cost ways of storing energy. As the global capacity for solar power continues to rise, industry leaders are focusing on developing adequate energy storage to deal with this problem. 

    The construction and installation of large-scale solar plants may consume a significant amount of land, and clearing land for this purpose may have long-term impacts on the habitats of native flora and fauna. However, placing solar energy systems on land with agricultural value or integrating them on farms may provide a diversity of economic and environmental benefits to farmers (Energy.gov, 2017) . Some solar power plants may also require water for cleaning and cooling, andusing large volumes of groundwater or surface water for cleaning in some arid locations may affect the ecosystems that rely on these water resources (EIA, 2020). In addition, the concentrated sunlight created on the solar power tower can be harmful to birds and insects that fly into the beam. 

    Moreover, solar technology contains many of the same hazardous materials as electronics (Johnston, 2022). The issue of disposing of hazardous waste becomes an additional challenge as solar becomes a more popular energy source. However, assuming a proper disposal solution is met, the reduced greenhouse gas emissions that solar energy offers make it an attractive substitution to fossil fuels.

    Bonus – the science behind solar

    The Manufacturing process

    The manufacturing of most solar panels starts with Polysilicon which is the main feedstock. It is processed into ingot, wafer, cell and then finally into the solar panels we see on our rooftops. The solar panels are then installed by the local solar Engineering, Procurement, Construction & Commission (EPCC) sector companies, which we will cover below. 

    Raw material comparison: Is polysilicon better than cadmium? 

    Cadmium telluride is the next most popular alternative to polysilicon with a 5% market share (Steven, 2022). With at least 80% of polysilicon production having to pass through China, fears of supply chain disruption and the US-China Trade war has shifted First Solar and other US firms to cadmium telluride. Cadmium telluride materials are used to manufacture solar panels by acting as a semiconductor to convert absorbed sunlight into electricity. An advantage of Cadmium is that it is cheaper to manufacture as it requires less materials. Furthermore, Cadmium is more flexible when it comes to volatile temperature as polysilicon can overheat and heavily deteriorate their efficiency. (Maria, 2021). That being said, it all comes down to cost and efficiency. For now, Polysilicon still has an edge of 20-25% efficiency compared to 19% for Cadmium but this may change in the future. 

    Geographical distribution

    The world heavily relies on China for the supply of key building blocks for solar panel production. According to the International Energy Agency (IEA), China currently produces 96.8% of wafers, 85.1% of cells, 79.4% of polysilicon and 74.7% of modules. This is due to China’s cost advantage, with a 10% cheaper production cost than the next country, India, and 20% lower than the United States. Apart from strong financial incentives and manufacturing support by the government, Chinese companies benefit from significantly lower electricity costs and economies of scale, which will further enhance their position as the market leader. 

    Bonus 2.0 : If you’re interested in ‘investing’ in Solar…

    Is solar a worthwhile investment?

    Here are some ideas on how you can benefit from the solar ‘boom’. The most convenient way to gain exposure to the solar industry is through Invesco Solar ETF (TAN) which tracks the MAC Global Solar Index. Essentially, all an ETF or exchange traded fund does is track the general movement of solar related counters.

    If you wish to invest specifically in solar panels, you can invest in solar modules manufacturing companies such as First Solar or Jinko Solar. First Solar has by far the largest market cap as it is a US-based company that is due to benefit directly from the tax policies. Despite the rapid growth of the solar industry, solar stocks have not been performing well because of the intense competition that erodes the margin of solar players. According to Investopedia, the price of solar panels has fallen by 70% from 2010-2020.

    At the other end of the supply chain spectrum is Daqo, which manufactures polysilicon, the main feedstock for solar panels as discussed earlier. 

    A bonus stock (not a buy call) –  Enphase Energy is a niche player that manufactures solar micro-inverters and battery energy storage and has risen 82 times in 5 years!

    References:

    Financial Literacy For Youths (2022) The Energy Crisis in Europe. Available at: https://www.flymalaysia.org/the-energy-crisis-in-europe/ (Accessed: January 4, 2023)

    Investopedia (2022) Solar Energy: Benefits & Drawbacks. Available at: https://www.investopedia.com/articles/investing/053015/pros-and-cons-solar-energy.asp (Accessed: January 5, 2023)

    Eisenson, M. (2022) Solar Panels Reduce CO2 Emissions More Per Acre Than Trees — and Much More Than Corn Ethanol. Available at: https://news.climate.columbia.edu/2022/10/26/solar-panels-reduce-co2-emissions-more-per-acre-than-trees-and-much-more-than-corn-ethanol/ (Accessed: January 6, 2023)

    Jacobo, J. T. (2022) IEA: Solar PV capacity to nearly treble globally over 2022-2027, growing by 1.5TW. Available at: https://www.pv-tech.org/iea-solar-pv-capacity-to-nearly-treble-globally-over-2022-2027-growing-by-1-5tw/ (Accessed: January 10, 2023)

    Seda (2022) Renewable Energy in Malaysia. Available at https://www.seda.gov.my/reportal/ (Accessed: January 12, 2023)

    Aziz, N. (2022) Expensive Electric Bill? Start Calculating Your Electricity Cost to Save Monies. Available at: https://loanstreet.com.my/learning-centre/how-to-calculate-tnb-electricity-consumption-cost (Accessed: January 12, 2023)

    Brill, R. (2022) Do Solar Panels Increase Your Home’s Value?Available at:https://www.forbes.com/home-improvement/solar/does-solar-increase-home-value/ (Accessed: January 14, 2023)

    Harrisons Solar (2022) Solar vs Wind Power: Which renewable energy is better? Available at:

    https://www.harrisonssolar.co.nz/article/solar-vs-wind-power-which-renewable-energy-is-better (Accessed: January 14, 2023)

    Cleanmax (n.d.) How solar energy compares to other renewable sources of energy. Available at: 

    https://www.cleanmax.com/solar-update/how-solar-energy-compares-to-other-renewable-sources-of-energy.php (Accessed: January 16, 2023)

    Energysage (2022) Biomass pros and cons. Available at: https://www.energysage.com/about-clean-energy/biomass/pros-and-cons-biomass/(Accessed: January 16, 2023)

    Value Invest Asia (2021) 9 Things To Know About Greatech Technology Berhad Before You Invest. Available at: https://valueinvestasia.com/9-things-to-know-about-greatech-technology-berhad-before-you-invest/ (Accessed: December 4, 2022)

    McRae, D. (n.d.) McRae: The Inflation Reduction Act Will Not Reduce Inflation. Available at: https://treasury.ms.gov/2022/08/19/mcrae-the-inflation-reduction-act-will-not-reduce-inflation/#:~:text=In%20fact%2C%20research%20by%20the,middle%20of%20the%20first%20decade.” (Accessed: December 5, 2022)

    Zhao, Y. (2023) EU’s counterattack against US’ Inflation Reduction Act will be powerful. Available at: https://www.globaltimes.cn/page/202302/1284788.shtml (Accessed: December 4, 2022)

    Energy.gov (n.d.) Farmer’s Guide to Going Solar. Available at: https://www.energy.gov/eere/solar/farmers-guide-going-solar (Accessed: December 6, 2022)

    EIA (2022) Solar explained- Solar energy and the environment. Available at: https://www.eia.gov/energyexplained/solar/solar-energy-and-the-environment.php (Accessed: December 8, 2022)

    Kwok, S. (2022) What Are Cadmium Telluride (CdTe) Solar Panels? How Do They Compare to Other Panels? Available at: https://solarbuy.com/solar-101/cdte-cadmium-telluride-solar-panels/ (Accessed: December 10, 2022)

    Grist (2021) A different kind of solar technology is poised to go big. Available at: https://grist.org/energy/cadmium-telluride-technology-first-solar/ (Accessed: December 12, 2022)

    IEA (n.d.) Executive summary – Solar PV Global Supply Chains – Analysis. Available at: https://www.iea.org/reports/solar-pv-global-supply-chains/executive-summary(Accessed: December 16, 2022)

     


     

    Credits:

    Researcher(s): Calvin Kwa, Calvin Lim

    Reviewer(s): Muhammad Bahari, Jennifer Ley

    Editor(s): Angellina Choo

    Designer(s): Sonia Cheong

  • The Energy Crisis in Europe

    The Energy Crisis in Europe

    1.0 Introduction

    It is no exaggeration to say that energy laid the foundations for mankind to transition into the modern era, thus making it possible to leverage various energy sources to make significant advancements in our society. The primary reason European countries have become themselves as a manufacturing powerhouse and a high welfare state is due to the cheap energy sourced from Russia (Pozsar, 2022). Russia has been ingrained as Europe’s major supplier of natural gas, oil, and coal (Di Bella et al., 2022). After petroleum-based goods, natural gas is the eurozone’s second most important energy resource. It is the most significant source of energy in the manufacturing sector, and it accounts for more than 90% of the gas consumed in the eurozone (Gunnella et al., 2022). 

    Figure 1: Energy Mix within the European Union

    Source: Eurostat 

    The eurozone is significantly reliant on imports of petroleum-based energy supplies as well as natural gas (Gunnella et al., 2022). According to the EU’s Directorate-General for Energy, the EU is the world’s largest importer of natural gas, with Russia accounting for the lion’s share (41%) of that import (Clifford, 2022). In 2021, Russia supplied two-fifths of the gas consumed in Europe (Edmond, 2022). Furthermore, Russia accounts for more than a quarter of the EU’s imported crude oil. The escalation of the war between Ukraine and Russia has created unprecedented severity in European countries, inciting an energy crisis. This also represents the root cause of inflation, hence the ECB’s and the Bank of England’s precautionary efforts to increase interest rates to curb inflation. To re-establish the points discussed, Russia bears sole responsibility for initiating the energy crisis.

    To make matters worse, critical energy transportation links (Nord Stream 1 and 2) between Western Europe and Russia had been damaged. The pipeline had previously been able to supply more than half of Germany’s annual consumption and still pass some along to its neighbours (Reed, 2022). The accident was deemed as apparent sabotage. Furthermore, in response to a drop in demand (and oil prices) and the G7’s intention to restrict prices on Russia’s oil exports, the OPEC+ group decided to reduce output by 2 million barrels per day on paper, the largest reduction in production since the start of the COVID-19 pandemic in 2020 (Gramer, Rathi and Lu, 2022). The rise in crude oil price will constitute another knockout on the European countries.

    Why is Europe so dependent on Russia for gas? 

    After 2010, Europe’s natural gas output began to fall rapidly (Clifford, 2022; Corbeau, 2022). Natural gas output in Europe fell when the North Sea gas fields, which were particularly major sources of natural gas production from the United Kingdom and the Netherlands, were exhausted (Clifford, 2022; Corbeau, 2022). Later, the Netherlands declared the shutting down of their Groningen gas resources due to earthquakes (Clifford, 2022; Corbeau, 2022). Over the same period with  environmental and political concerns, the EU has been reducing its dependence on coal and nuclear energy (Clifford, 2022). The EU has prioritised the development of renewable energy sources. However, the buildout is not proceeding quickly enough to remove foreign dependency (Clifford, 2022). Furthermore, alternative supplies such as liquified natural gas (LNG) have failed to close the growing import gap (Corbeau, 2022).

    “In terms of foreign suppliers, Russian gas was just the cheapest. Rather than diversifying suppliers, routes to import Russian gas were diversified,” Schittekatte told CNBC.

    2.0 Causes

    The Russia-Ukraine War

    Before the war and the COVID-19 pandemic, Europe was importing 40% of its natural gas from Russia. Ever since Gazprom halted the operation of Nord Stream 1, the Russian gas supply fell 89% from a year ago. This reduction in supply and the heavy reliance of European countries on Russian gas has caused energy prices to increase exponentially. (McHugh, 2022). European gas prices increased tenfold compared to their average historical values. (Kwan, 2022

    Nord Stream 1, the pipeline owned by Russia’s state-owned company, Gazprom, has been partially shut down as a result of the ongoing war between Russia and Ukraine. The shutdown was claimed to be due to the maintenance of the pipeline. But, recently Gazprom postponed the reopening of the pipeline, blaming the delay in repairs on the sanctions on Russia. (Reed, 2022)

    COVID-19 and the Global Economy

    As the global economy slowly recovered from the COVID-19 pandemic, demand for energy and power skyrocketed. As a result, power generators which had been stagnant during the pandemic could not keep up with the sudden surge in demand for energy, hence the shortage of energy. (Kwan, 2022)

    The recovery of economies was boosted by big government spending on stimulus packages. This facilitated the swift reopening of economies, thus increasing energy demand substantially. International Energy Agency (IEA) data shows that in the second quarter of 2021 in the EU, gas consumption rose by 25% (the largest year-on-year quarterly increase since 1985). The strong competition in the scarce energy market has forced prices to hike in accordance with the increasing demand. (Popkostova, 2022)

    Extreme weather

    The winter season at the start of 2022 was severely cold, causing households in Europe to demand more energy to heat up their homes. Supply chains of energy were also hindered as pipelines and energy infrastructure struggled to transport LNG to Europe under freezing cold weather. (Euronews, 2022). On top of that, countries with significant reliance on wind energy, such as Germany and the Netherlands were struck by suboptimal wind conditions. The lack of energy generated by wind turbines induced an increase in demand for gas and coal (Popkostova, 2022).

    3.0 The Impacts 

    Short Term

    As retaliation for Western sanctions on Russia, Moscow halted deliveries of natural gas and petroleum goods, which the continent has relied on for years. On October 11th, the IMF reduced its eurozone growth prediction for 2023 to 0.5%, down from 2.5% at the start of the year and forecasted a 0.3% increase in the British GDP (The Economist, 2022). Not only the European implications would be immense, but they would also produce drastic effects on a global scale. Global economic growth would be 2.6% lower in 2022 and 2% lower in 2023 (Jayanti, 2022).

    Figure 2: Severeness of gas shortages in the Europe continent

    Source: The Economist

    According to the Dutch TTF market, natural gas prices surpassed $3100 per 1000 cubic metres in mid-August, representing a 610% rise over the same period last year (Jayanti, 2022). Many power plants cannot afford to run for long at this pricing (Jayanti, 2022). As a result of growing fuel costs, baseline power rates in Europe have risen by about 300% in 2022, smashing previous records. Energy costs are already ten times higher than the five-year average (Jayanti, 2022). 

    Energy is widely relevant in our livelihood, transportation, food supply, and employment welfare. (Melimopoulos, 2022). (Melimopoulos, 2022). Therefore, potential gas and electricity shortages may cause energy-intensive businesses, such as chemical factories and heavy industries, to shut down temporarily (The Economist, 2022). In addition, millions of Europeans are already spending an unprecedented proportion of their income on energy. Analysts believe that in current circumstances, if power costs continue to grow, along with rising unemployment rates and slowing economic growth, protests and social imbalances will ensue(Melimopoulos, 2022). Countries with limited liquefied natural gas import capacity, such as Germany, and landlocked countries that formerly relied on pipeline gas from Russia, such as the Czech Republic and Slovakia, will be severely hurt (The Economist, 2022). Countries that are relying on imports to satisfy their electrical needs may be in danger if power shortages spread across borders (The Economist, 2022).

    Long Term

    The peripheral impact of a limited energy supply will exacerbate the long-term pain. Global gas supplies are predicted to be limited until 2024 (The Economist, 2022). This will seriously impact household income and subsequently, demand in the economy. Businesses may opt to limit output to lower energy prices, which will subsequently extend to other industries and nations through supply chains. The downturn in Germany, Europe’s industrial core, for example, will be felt by its suppliers in central and eastern Europe as well (The Economist, 2022). Many industry watchers have warned that the prolonged energy crisis might undermine Europe’s manufacturing sector in the long run. The shutdown and migration of European enterprises have heightened concerns about the continent’s potential deindustrialisation (Rapoza, 2022). Current shutdowns of energy-related industries will contribute to the hollowing out that has already been taking place (Rapoza, 2022). In the face of rising energy prices, European firms have been forced to restrict or cease production and relocate investments to the United States. (Rapoza, 2022)

    4.0 Conclusion and recent development 

    To compensate for the gap in Russian fossil fuels, the European Union has been filling its gas storage for months by increasing imports from Norway and Algeria as well as imports of LNG from the United States (Cooban, 2022a). Europe is now well on track to meeting its goal of weaning itself off Russian fossil fuels by 2027. According to Gas Infrastructure Europe data, stores are now nearly 94% full (Cooban, 2022b). This is significantly higher than the 80% target set by the EU for countries to achieve by November (Cooban, 2022b). Because of reduced shipments and abundant gas storage in Europe, the spot price of natural gas in west Texas has fallen below zero (McCormick, 2022). Furthermore, experts predict that Europe’s winter will be milder than usual (Mills, 2022). The La Nina effect may be beneficial to Europe as a whole because it brings warm, wet westerly winter winds, which boost renewable output and replenish parched reservoirs and rivers (Mills, 2022). Continuous news has indicated that the European continent is ready for the upcoming winter, partly through the efforts of the legislative body and partly because of favourable natural conditions. However, this does not mean that the energy crisis is being solved.he drop in the spot price of natural gas is simply an indicator that there is no incremental demand and storage capacity. Policymakers in Europe should continue to monitor the situation and be on high alert for unexpected events that might incite another crisis in the near future.

     

    References

    Bray, C. (2022) Energy crisis: How Russia-Ukraine conflict is forcing Europe to turn the clock back on climate goals this winter, South China Morning Post. Available at: https://www.scmp.com/business/china-business/article/3194386/energy-crisis-how-russia-ukraine-conflict-forcing-europe (Accessed: October 20, 2022).

    Clifford, C. (2022) Why Europe is so dependent on Russia for natural gas, CNBC. Available at: https://www.cnbc.com/2022/02/24/why-europe-depends-on-russia-for-natural-gas.html (Accessed: October 20, 2022).

    Cooban, A. (2022a) “Europe has enough energy to survive the winter. Next year might be different,” CNN, 13 October. Available at: https://www.cnn.com/2022/10/13/energy/europe-energy-crisis-winter-2023/index.html (Accessed: October 28, 2022).

    Cooban, A. (2022b) “Europe now has so much natural gas that prices just dipped below zero,” CNN, 26 October. Available at: https://www.cnn.com/2022/10/26/energy/europe-natural-gas-prices-plunge/index.html (Accessed: October 28, 2022).

    Corbeau, A. S. (2022) How deep is Europe’s dependence on Russian oil?, State of the Planet. Columbia Climate School. Available at: https://news.climate.columbia.edu/2022/03/14/qa-how-deep-is-europes-dependence-on-russian-oil/ (Accessed: October 20, 2022).

    Di Bella, G. et al. (2022) “Natural Gas in Europe: The Potential Impact of Disruptions to Supply,” Staff papers – International Monetary Fund. International Monetary Fund, (145). Available at: https://www.imf.org/en/Publications/WP/Issues/2022/07/18/Natural-Gas-in-Europe-The-Potential-Impact-of-Disruptions-to-Supply-520934#:~:text=Our%20findings%20suggest%20that%20in,by%20up%20to%206%20percent.

    Edmond, C. (2022) How much energy does the EU import from Russia?, World Economic Forum. Available at: https://www.weforum.org/agenda/2022/03/eu-energy-russia-oil-gas-import/ (Accessed: October 20, 2022).

    Euronews (2022) Why is there an energy crisis in Europe?, Euronews. Available at: https://www.euronews.com/2022/02/03/europe-s-energy-crisis-why-are-natural-gas-prices-soaring-and-how-will-it-affect-europeans (Accessed: October 20, 2022).

    Gramer, R., Rathi, A. and Lu, C. (2022) OPEC to cut oil production, dealing a blow to Biden, Foreign Policy. Available at: https://foreignpolicy.com/2022/10/05/opec-cuts-oil-production-russia-war-biden/ (Accessed: October 20, 2022).

    van Halm, I. (2022) How can the EU end its dependence on Russian gas?, Energy Monitor. Available at: https://www.energymonitor.ai/policy/how-can-the-eu-end-its-dependence-on-russian-gas (Accessed: October 20, 2022).

    Hutt, D. (2022) How the EU’s new energy plans impact Southeast Asia, Deutsche Welle. Available at: https://www.dw.com/en/how-the-eus-new-energy-plans-impact-southeast-asia/a-63256213 (Accessed: October 20, 2022).

    Jayanti, S. (2022) “Europe’s energy crisis is going to get worse. The world will bear the cost,” Time, 30 August. Available at: https://time.com/6209272/europes-energy-crisis-getting-worse/ (Accessed: October 20, 2022).

    Kwan, J. (2022) Europe’s energy crisis hits science, Science.org. Available at: https://www.science.org/content/article/europe-s-energy-crisis-hits-science#:~:text=The%20primary%20cause%20of%20the,Oxford%20Institute%20for%20Energy%20Studies (Accessed: October 20, 2022).

    McCormick, M. (2022) “West Texas gas price falls below zero as pipeline outages trap supply,” Financial Times, 25 October. Available at: https://www.ft.com/content/8fe8997d-a428-4dda-90e9-d5b4d78bd5ae (Accessed: October 28, 2022).

    McHugh, D. (2022) Europe is facing an energy crisis as Russia cuts gas. Here’s why, PBS NewsHour. Available at: https://www.pbs.org/newshour/world/europe-is-facing-an-energy-crisis-as-russia-cuts-gas-heres-why (Accessed: October 20, 2022).

    Melimopoulos, E. (2022) How bad could Europe’s energy crisis get this winter?, Al Jazeera. Available at: https://www.aljazeera.com/news/2022/10/4/how-bad-could-europes-energy-crisis-get-this-winter (Accessed: October 20, 2022).

    Mills, R. (2022) Why La Nina weather pattern may be good news for Europe this winter, The National. Available at: https://www.thenationalnews.com/business/comment/2022/10/24/why-the-la-nina-weather-pattern-may-be-good-news-for-europe-this-winter/ (Accessed: October 28, 2022).

    Popkostova, Y. (2022) Europe’s energy crisis conundrum, European Union Institute for Security Studies. Available at: https://www.iss.europa.eu/content/europes-energy-crisis-conundrum (Accessed: October 20, 2022).

    Pozsar, Z. (2022) War and Interest Rates. Available at: https://advisoranalyst.com/wp-content/uploads/2022/08/zoltan-pozsar-aug-2-war-and-interest-rates-1.pdf.

    Rapoza, K. (2022) Europe is heading for ‘deep recession’, deindustrialization, Forbes. Available at: https://www.forbes.com/sites/kenrapoza/2022/09/11/europe-is-heading-for-deep-recession-deindustrialization/?sh=635cf9444708 (Accessed: October 20, 2022).

    Reed, S. (2022) “Mysterious blasts and gas leaks: What we know about the pipeline breaks in Europe,” The New York times, 28 September. Available at: https://www.nytimes.com/2022/09/28/world/europe/nordstream-pipeline-gas-leak-explosions.html (Accessed: October 20, 2022).

    The Economist (2022) “The countries most at risk from Europe’s energy crunch,” Economist (London, England: 1843), 11 October. Available at: https://www.economist.com/graphic-detail/2022/10/11/the-countries-most-at-risk-from-europes-energy-crunch (Accessed: October 20, 2022).

    Timsit, A. and Rauhala, E. (2022) “The E.U. is preparing for blackouts this winter, amid an energy crisis,” Washington post (Washington, D.C.: 1974), 5 October. Available at: https://www.washingtonpost.com/world/2022/10/05/europe-blackouts-energy-crisis-ukraine-russia/ (Accessed: October 20, 2022).

    World Bank (2022) Global impact of war in Ukraine: Energy crisis. Available at: https://unctad.org/webflyer/global-impact-war-ukraine-energy-crisis.


    Prepared by: Jia Xin, Czyn Jien, & Eidid

    Reviewed by: Nasir Ali & Muhammad Bahari

    Edited by: Wee Marcus

  • Food Security in Malaysia

    Food Security in Malaysia

    Food security has recently become the most highlighted issue for all countries, including Malaysia, as other nations have imposed food protectionism. For instance, India’s rice export ban, which contributes to 40 percent of the rice export, has reduced the world rice supply, impacting the rice-importing countries significantly due to a surge in global rice prices (Jacob, 2022). Despite Malaysians being proud of their multicultural variety of food, many are unaware that the ingredients used to prepare them are primarily imported. In 2021, the Department of Statistics Malaysia (2022b) revealed that only 24 out of 50 selected agricultural goods have a self-sufficiency ratio, a food security measure, of less than 100 percent. These goods are vital to Malaysians since they make up our daily food consumption, such as beef (18.9%) and rice (65.0%).

     

    Source: Department of Statistics Malaysia (2022b)

     

    Food security should be a top national priority, as Malaysia is heading to become a developed nation. Based on a survey conducted in 2021 by the World Bank (2022), 17 percent of low-income families were vulnerable to food insecurity as food inflation has put pressure on their disposable income. As Malaysia is an open economy, its food price is sensitive to external factors, such as climate change and geopolitics. For example, the Russia-Ukraine conflict has indirectly raised the price of local produce because the hike in natural gas prices impacts the growing cost of imported fertilisers, which Malaysia relies on for its agriculture industry (Azman, 2022).

    As the Malaysian ringgit is susceptible to exchange rate fluctuations, food prices have been soaring significantly due to the ringgit’s recent depreciation to a 24-year low against the US dollar (Wong, 2022). In August 2022, the Department of Statistics Malaysia (2022a) stated that food inflation has risen by 7.2 percent year-on-year. The high rate was brought on by Malaysia’s position as a net food importer, as it spent RM63 billion on food imports in 2021 (Singh, 2022). Hence, the consumers have no choice but to constrain their consumption and fork out more money for groceries since local substitutes are unavailable.

     

    Source: Department of Statistics Malaysia (2022a)

     

    Furthermore, accessible and ecological foods grown in the nation will benefit everyone. Families with limited food options are more susceptible to eating disorders due to inadequate nutritional intake, leading to health deterioration (Bleich et al., 2015). More local crops are required to fill the food gap and reduce the exposure Malaysians have to toxic pesticides, which is common in imported produce. Besides, its short food miles contribute to a low carbon footprint with negligible external shock (TRVST, 2021). By entrusting more modern farmers with feeding the population and motivating youths to become agropreneurs, local food will have a chance to flourish. Given the East Coast’s abundance of fresh goods, local cities can enjoy them with modern infrastructures. Japan has illustrated this by using its shinkansen to deliver fresh oysters from Miyagi prefecture to Tokyo, potentially boosting the rural economy (NHK World News, 2020). Eventually, the agriculture industry can experience more resilient growth.

    However, the government struggled greatly to improve the nation’s food security. According to the Ministry of Agriculture and Food Industries (MAFI) (2021), farmers confront an unfavourable economic climate as the knowledge gap, limited financial assistance, and private investment prevent them from shifting to modern agriculture practices. As a result, low automation utilisation, unsustainable farming techniques, and high input costs have resulted in low production efficiency, raising production costs and lowering income. The short land lease period of 3 years and high logistic costs have deterred potential farmers without economies of scale from venturing into the industry.

    Despite the growing population, the labour shortage caused by minimal youth participation has significantly impacted crop yield. Due to the youth’s negative perception of the sector, local youth represents 15 percent of all farmers in Malaysia (Mohd Reda, 2022). Furthermore, since the centralisation of information was not prioritised, the lack of coordination and collaboration between farmers and the MAFI has resulted in data inaccuracies. Due to Malaysia’s tropical climate, high-value commodities such as durian, pineapple, and coconut may be cultivated and exported to generate higher revenue. However, poor branding makes them lose their competitiveness against neighbouring countries.

     

    To tackle the issue of food security, the Malaysian government has developed the National Agrofood Policy 2.0 (2021-2030) (Ministry of Agriculture and Food Industries, 2021). The current government sets out five core initiatives:

    1. Encourage modernisation and smart agriculture

      • Enhance research and development (R&D) and adopt technology to accelerate the process of modernisation.
      • Intensify more innovation programmes to help with agrotechnology advancement.

     

    2. Strengthen the local market and increase high-demand export-oriented output

      • Create better collaboration with the private sector to strengthen the commercialisation of high-value products.
      • Magnify the MAFI’s role in leading agricultural investments to reinforce the local market.

     

    3. Develop talent that satisfies the industry’s demand

      • Increase the effectiveness of the sector’s development officers to attract suitable young talents.
      • Promote inclusivity among the workers in the sector.

     

    4. Enhance sustainable agricultural practices and food systems

      • Reduce food waste along the value chain.
      • Increase the adoption of sustainable agricultural practices.
      • Promote the conservation of biodiversity.

     

    5. Create a conducive business environment and a robust institutional framework

      • Drive end-to-end digitalisation of the value chain.
      • Increase agrofood-related investment in infrastructure and governance.
      • Improve the financial services available to food producers.

     

    To close the gap between the demand and supply of resources within the agriculture industry, the Malaysian government should focus on the following two proposed solutions to improve food security within the country:

    1. Reverse the brain drain.

      • Malaysians’ current perception of people working in the agricultural industry is negative, as it is despised socially and culturally (Abdullah, Samah and Othman, 2012).
      • According to a survey conducted by Employment Hero in 2021, 70 percent of university graduates have planned to leave Malaysia to work elsewhere due to low wages (Bernama, 2021).
      • The government should work on policies to raise the minimum wage and hold campaigns to spread more awareness of the agriculture industry among the youth to change the qualified youth’s perception towards the sector and ensure that they can survive on the income earned.
      • TalentCorp should play an active role in bringing qualified Malaysians back from overseas, which could increase productivity in the sector due to the technological expertise brought back by the talents.

     

    2. Modernise and localise the food supply chain through the following strategies:

    Increase investment in the R&D of local food production
    • The R&D should focus on raising crop yields to boost agricultural production and elevate farmers’ income through different means.
    • Upgrading the current and future infrastructure will modernise the food supply chain and improve market access.
    • Crops can be transported quickly and reach their end customers reliably with advanced infrastructures, such as an upgrade to the East Coast Rail Line. This new infrastructure can cut down any unnecessary costs incurred along the way.
    Promote Urban Agriculture
    • Ensure food security by growing our own food (Rezai, Shamsudin and Mohamed, 2016).
    • Encourage self-sufficiency for certain daily food items in an ever-growing urban population.
    • As seen in our neighbouring country, Indonesia, urban farming has helped address food needs by providing a variety of food and combating rising food prices after the COVID-19 pandemic (Wahyuni, 2022).

     

    According to the United Nations, Malaysia has a positive annual population growth estimate of 1.2 percent from 2020 to 2025, with the population projected to increase to 33.2 million in 2022 (Murugiah, 2022). Thus, if Malaysia does not react immediately to improve its food security, it will become increasingly dependent on imports from other countries. As a result, Malaysia could face a growing trade deficit of food products and a decrease in its bargaining power on a global scale.

    In conclusion, better food security is vital to the sustainable development of a country because a country’s development is built on humans, who require a sustainable way to acquire food to survive securely. Without food security, social and emotional distress would render the nation helpless. With survival at risk, despair would overtake the nation, leaving development at the back of the nation’s mind.

    Malaysia is a blessed, strategically located country with few natural disasters and abundant natural resources. It is hoped that the Malaysian government and policymakers will do their part in driving Malaysia to become a more sustainable nation where all levels of society are cared for. Hence, Malaysia must react in time to ensure the health, stability, and prosperity of the nation and its people.

     

    References

    Abdullah, F.A., Samah, B.A. and Othman, J. (2012) ‘Inclination towards Agriculture among Rural Youth in Malaysia’, J. Basic. Appl. Sci. Res, 2(11), pp. 10892–10894. Available at: www.textroad.com (Accessed: 8 October 2022).

    Azman, N.H. (2022) Food costs rise on Russia-Ukraine war, The Malaysian Reserve. Available at: https://themalaysianreserve.com/2022/03/04/food-costs-rise-on-russia-ukraine-war/ (Accessed: 8 October 2022).

    Bernama (2021) Survey: Over 70pc young Malaysian employees would consider leaving country for better job prospects, Malay Mail. Available at: https://www.malaymail.com/news/malaysia/2021/11/16/survey-over-70pc-young-malaysian-employees-would-consider-leaving-country-f/2021262 (Accessed: 8 October 2022).

    Bleich, S.N. et al. (2015) ‘The complex relationship between diet and health’, Health Affairs, 34(11), pp. 1813–1820. Available at: https://doi.org/10.1377/HLTHAFF.2015.0606/ASSET/IMAGES/LARGE/2015.0606FIGEX3.JPEG.

    Cantor, J. et al. (2020) ‘SNAP Participants Improved Food Security And Diet After A Full-Service Supermarket Opened In An Urban Food Desert’, Health affairs (Project Hope), 39(8), pp. 1386–1394. Available at: https://doi.org/10.1377/HLTHAFF.2019.01309.

    Department of Statistics Malaysia (2022a) Consumer Price Index Malaysia August 2022, Department of Statistics Malaysia. Available at: https://www.dosm.gov.my/v1/index.php?r=column/cthemeByCat&cat=106&bul_id=dVg1Ym82M1owdDE1MkE4T01OTFFWUT09&menu_id=bThzTHQxN1ZqMVF6a2I4RkZoNDFkQT09 (Accessed: 8 October 2022).

    Department of Statistics Malaysia (2022b) Supply and Utilization Accounts Selected Agricultural Commodities, Malaysia 2017-2021, Department of Statistics Malaysia. Available at: https://www.dosm.gov.my/v1/index.php?r=column/cthemeByCat&cat=164&bul_id=MlpTUkxISFB1SFNDQ2pTWTlEOXZkZz09&menu_id=Z0VTZGU1UHBUT1VJMFlpaXRRR0xpdz09 (Accessed: 8 October 2022).

    Jacob, C. (2022) India’s rice export ban: Impact on Philippines, Indonesia, Thailand: Nomura, CNBC. Available at: https://www.cnbc.com/2022/09/19/philippines-indonesia-countries-most-vulnerable-to-indias-rice-export-ban-nomura.html (Accessed: 8 October 2022).

    Ministry of Agriculture and Food Industries (2021) Dasar Agromakanan Negara 2021-2030 (DAN 2.0), Ministry of Agriculture and Food Industries. Available at: https://parlimen.gov.my/resources/files/rsaindex/pdf/Dasar%20Agromakanan%20Negara%202021-2030%20(DAN%202.0)_compressed.pdf (Accessed: 8 October 2022).

    Mohd Reda, N. (2022) Drawing More Youths To Agriculture Can Avert Food Security Threats, Bernama. Available at: https://www.bernama.com/en/b_focus/news.php?id=2107743 (Accessed: 8 October 2022).

    Murugiah, S. (2022) Malaysia’s population set to rise to 33.2 million in 2022, The Edge Markets. Available at: https://www.theedgemarkets.com/article/malaysias-population-set-rise-332-million-2022 (Accessed: 8 October 2022).

    NHK World News (2020) Shinkansen Speeds Seafood To Tokyo, Twitter. Available at: https://twitter.com/nhkworld_news/status/1300410709558386695 (Accessed: 8 October 2022).

    Rezai, G., Shamsudin, M.N. and Mohamed, Z. (2016) ‘Urban Agriculture: A Way Forward to Food and Nutrition Security in Malaysia’, Procedia – Social and Behavioral Sciences, 216, pp. 39–45. Available at: https://doi.org/10.1016/J.SBSPRO.2015.12.006.

    Singh, R. (2022) Ringgit down, prices up, The Sun Daily. Available at: https://www.thesundaily.my/home/ringgit-down-prices-up-BH9889254 (Accessed: 8 October 2022).

    TRVST (2020) 12 Reasons to Buy Local Food, TRVST. Available at: https://www.trvst.world/waste-recycling/food-waste/12-reasons-to-buy-local-food/ (Accessed: 8 October 2022).

    Wahyuni, S. (2022) Urban farming in Indonesia addresses food needs and climate crisis, Mongabay Environmental News. Available at: https://news.mongabay.com/2022/08/urban-farming-in-indonesia-addresses-food-needs-and-climate-crisis/ (Accessed: 8 October 2022).

    Wong, M. (2022) MYR/USD: Malaysian Ringgit Drops to Lowest Level Since Asian Financial Crisis, Bloomberg. Available at: https://www.bloomberg.com/news/articles/2022-09-06/ringgit-slides-to-24-year-low-on-strong-dollar-political-risks (Accessed: 8 October 2022).

    World Bank (2022) Malaysia Economic Monitor – Catching Up : Inclusive Recovery Growth for Lagging States, Malaysia Economic Monitor: June 2022. Available at: https://openknowledge.worldbank.org/handle/10986/37531 (Accessed: 8 October 2022).


    Prepared by: Anne Ng Xin En; Muhammad Hafizuddin Hakim

    Reviewed by: Nasir Ali

    Edited by: Angellina Choo

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