MDEC launches MDCAP to support sustainability adoption by businesses
The Malaysia Digital Climate Action Pledge (MDCAP), a corporate pledge that aims to build capacity and increase the adoption of sustainability and climate action by businesses across the digital economy, was launched on Thursday (Oct 13).
MDCAP was jointly developed by Malaysia Digital Economy Corporation (mdec), the country's lead digital economy agency, in partnership with United Nations Global Compact Network Malaysia and Brunei (UNGCMYB).
MDEC said the first cohort of MDCAP signatories consist of 28 businesses from the digital economy sector.
“These signatories will have access to resources including a climate action playbook and carbon toolkit, including a calculator, online scoresheet and reporting tool, to help them take affirmative climate action plan,” the agency said in a statement.
Signatories of MDCAP are required to undertake a minimum of two out of six commitments, which include conducting business operations in an environmentally responsible manner, through Reduce, Reuse, Recycle practices; taking action to minimise greenhouse gas (GHG) emissions by implementing energy efficiency or renewable energy or other emission-reducing measures; and implementing responsible sourcing across the supply chain.
Other commitments are defining a climate governance strategy in accordance with the mission, vision, and values of the company; encouraging stakeholder dialogue on the company sustainability practices; and sharing sustainability best practices in terms of strategies, action plans and initiatives.
MDCAP was announced by Communications and Multimedia Malaysia Minister Tan Sri Annuar Musa in conjunction with the closing of Malaysia Digital Week 2022 (MDW2022) on Thursday.
“Malaysia's digital economy reached 22.6% of gross domestic product (GDP) last year and is expected to grow beyond the initial target of 25.5% by 2025. This makes the digital economy a key catalyst for the nation's shift to more sustainable economic practices,” he said.
The minister said the role of the private sector in championing sustainable practices is crucial in achieving the nation's carbon neutrality aspirations.
“However, we recognise that some companies may find it difficult to relate sustainability to their own operations.
“Businesses, through MDCAP, will have access to a range of resources and best practices to help them act,” he said.
The pledge is aligned to the government's commitment to be a carbon-neutral nation by 2050. As outlined in the 12th Malaysia Plan (12MP), the government is aiming for a 45% reduction in GHG emissions intensity of GDP by 2030, compared to a 2005 baseline, and to achieve a 31% renewable energy mix by 2025.
MDEC chief executive officer Mahadhir Aziz noted that MDCAP is a very important step in supporting the growth acceleration of the digital economy sustainably.