Budget 2026: Prioritising Environmental Protection and Climate Action for a Sustainable Future
By Tan Sri Lee Lam Thye, Environment Protection Advocate
KOTA KINABALU: As Malaysia moves towards the presentation of Budget 2026, there is growing public expectation that the Government will strengthen its commitment to environmental protection, conservation, and climate action.
The coming budget must not only drive economic growth but also address the pressing environmental challenges that threaten our nation’s future sustainability.
Environmental protection is no longer a secondary concern — it is central to national resilience, public health, and long-term economic stability. The effects of climate change are already evident through more frequent floods, droughts, landslides, coastal erosion, and heatwaves.
These events carry a heavy social and economic cost, and demand urgent, well-funded responses.
Among the priority areas that deserve stronger fiscal attention in Budget 2026 are:
1. Flood and Disaster Mitigation:
Continuous investment in flood-control infrastructure, early warning systems, and slope stabilisation is essential to protect lives and property, particularly in vulnerable regions.
2. Forest and Biodiversity Conservation:
Funding for Ecological Fiscal Transfers (EFT) to states, wildlife corridor development, and anti-poaching efforts must be expanded to safeguard our forests and endangered species.
3. Renewable Energy and Energy Efficiency:
Greater incentives are needed to accelerate the transition to clean energy — solar, hydro, and other renewables — while promoting energy-efficient technologies in homes, industries, and transport.
4. Waste and Pollution Management:
Allocation for modern waste treatment facilities, river and marine pollution control, and better enforcement of environmental laws should be increased to combat pollution at its source.
5. Climate Adaptation and Community Resilience:
Support should be channelled to help local communities adapt to climate risks, such as rising sea levels and crop failures, and to promote sustainable livelihoods, especially in rural and coastal areas.
6. Green Technology and Innovation:
Budget 2026 should provide fiscal incentives and grants to encourage the growth of green industries and research into environmentally friendly technologies.
The Government’s pledge to achieve net-zero emissions by 2050 and its ongoing efforts under the National Energy Transition Roadmap (NETR) require consistent budgetary support to translate plans into measurable results.
A dedicated Climate Adaptation Fund and clearer climate budget tagging across ministries would also ensure greater accountability and transparency in how public money supports environmental objectives.
As climate change intensifies, the cost of inaction will far exceed the cost of prevention. Budget 2026 must, therefore, reflect a clear message: that Malaysia is serious about protecting its natural heritage, building resilience against climate threats, and securing a cleaner, greener future for generations to come.
