Government Financial Incentives for Biomass - Biomass-SP

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Government Financial Incentives
for
Biomass Commercialisation
in
Malaysia
tang • kok • mun
Technical Coach
Biomass SP Project
Government Financial Incentives for Biomass Commercialisation in Malaysia
Presentation Outline
- Commercialisation of R&D in Malaysia
- Financial Incentives
- Commercialisation Tips for Consideration
Government Financial Incentives for Biomass Commercialisation in Malaysia
Commercialisation of R&D
- It is an endeavor fraught with
risks & failures
- Requires understanding &
innovative approaches
- Large risks = Large returns
Government Financial Incentives for Biomass Commercialisation in Malaysia
Commercialisation of Biomass R&D
Positive factors
- Abundance of biomass from agri-sector
- Abundance of knowledge & expertise
from institutional R&D activities
- Low cost & easy access to R&D knowledge,
expertise & linkages
Government Financial Incentives for Biomass Commercialisation in Malaysia
Commercialisation of Biomass R&D
Negative factors
- Gap (last mile) between R&D outputs and
commercial products
- Local market still conservative towards
local technologies & products
- Small local market; lack economics of scale
- Lack of high-value, customer-centric focus
e.g. product design, branding, quality
Government Financial Incentives for Biomass Commercialisation in Malaysia
Incentives for Biomass Commercialisation
- 9th Malaysian Plan → 10th Malaysian Plan
- New Economic Model
- New Key Economic Activities (NKEAs) to be implemented
under the 10th Malaysia Plan
- Resource-based industries such as palm oil, biofuel from
biomass, bio-degradable plastics….
- Green technology ; high-value green industries and
services
- Emphasis on small-and medium-scale enterprises (SMEs)
Government Financial Incentives for Biomass Commercialisation in Malaysia
Incentives for Biomass Commercialisation
- Key Agencies & Organisations
- Ministry of Science, Innovation & Technology (MOSTI)
- Ministry of Energy, Green Technology & Water
- Malaysian Technology Development Corporation (MTDC)
- Malaysian Biotech Corporation
- Cradle Fund
- SME Corporation
- Malaysian Industrial Development Authority (MIDA)
Government Financial Incentives for Biomass Commercialisation in Malaysia
Incentives for Biomass Commercialisation
- Key Focus of MOSTI under 10th MP
- Waste-to-wealth for palm biomass
- Food security
- Biotechnology
- Upgrading of Malaysia's cyber security
- Target higher commercialisation rate
from R&D output
Government Financial Incentives for Biomass Commercialisation in Malaysia
Direct Funding for Commercialisation Related
Activities under MOSTI
4.5
4.5
Allocation (RM Billion)
4
3.5
2.9
3
2.5
1.9
2
1.5
1.2
1
0.5
0
7th MP
8th MP
9th MP
10th MP (projn)
Government Financial Incentives for Biomass Commercialisation in Malaysia
Incentives for Commercialisation
- Ministry of Energy, Green Technology
and Water
- Renewable energy (biomass, biogas, solar etc.)
- Biofuels
- Related green technologies & services
- Green Technology Financing Scheme
- Initial funding of RM 1.5 billion
Government Financial Incentives for Biomass Commercialisation in Malaysia
Incentives for Commercialisation
- Green Technology Policy
Strategic Thrust 4 : Intensify Green Technology
Research, Development, Innovations & Commercialisation
- Provision of financial grants or assistance to public and private
sector in RDIC;
- Implementation of Green Technology foresight;
- Establishment of an effective coordinating agency for RDI and
Centre of Excellence or new research institute for Green
Technology development;
- Enhancement of smart partnerships between the Government,
industries, and research institutions; and
- Establishment of strong linkages between local research
institutions and regional and international centres of excellence
Government Financial Incentives for Biomass Commercialisation in Malaysia
Incentives for Commercialisation
- Malaysian Industrial Development Authority
(MIDA)
- Pioneer Status and/or Tax Allowance
- Promoted Industries / Activities
- Generation of renewable energy
- Engineered wood & composite products from biomass
- Utilisation of oil palm biomass for value added products
- R&D activities
- Commercialisation of R&D outputs
Government Financial Incentives for Biomass Commercialisation in Malaysia
Commercialisation Tips
Managing Different Stakeholders with
Different Priorities
Researchers
Research
Institutions
Funding
Agencies
SME
Investors &
Shareholders
Target
Customers
Government Financial Incentives for Biomass Commercialisation in Malaysia
Commercialisation Tips
Customers are interested in solutions; not
your technology….
Final solution to your customers is usually a
combination of various technologies
Government Financial Incentives for Biomass Commercialisation in Malaysia
Commercialisation Tips
Barriers to acceptance from customers
-Technical barrier
Industry standards, regulations, compatibility, integration
-Industry barrier
Vendor-customer relationship, industrial linkages
-Mental barrier
Reluctance to change, comfort zone
Question
&
Comments
Speaker’s Profile : Tang Kok Mun
Mr. Tang holds a Masters Degree in Business Administration and a Bachelor Degree
of Chemical Engineering from the University of Malaya. He started out his career in
the oil palm oil industry and currently undertakes commercialisation projects and
technical consultation work.
He is currently collaborating with a local university to commercialise one of their
R&D output in a revolutionary testing technology for the water, agricultural, food and
medical sectors.
His interest in the field of environmental and sustainable development includes clean
production, carbon footprinting and management, commercialisation of green
technologies as well as sustainable strategies development at micro and macro levels.
Among the other major works he has undertaken includes biodiesel study for a
Malaysian public listed company; technical consultancy for EU-Asia project on
sustainable management of municipal solid waste in Perak; as well as green office and
carbon audit programme for British High Commission Malaysia.
http://my.linkedin.com/in/tangkm
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