Every time the government tries to justify the removal of subsidy for energy related sectors, there is always two side of the story. The fact is energy resources are depleting fast with 2.3 percent consumption growth per annum globally. This is adding stress to limited resources such as fossil fuel as well as nuclear fuel. According to Energy Information Administration, in 2007 the world was consuming up to 86.4% fossil fuel as the primary energy followed by 8.5% by nuclear energy, 6.3% by hydroelectric and 0.9% by other renewable energy resources. Such high dependence on limited resources is similar to filling up the whole world’s future in a falling glass cup.

However, the core issue is that the growth of nation will cripple if we could not obtain secured energy resources. How do we ensure Energy Security in Malaysia when we are going to be net importer of energy resources way before 2020?

Firstly, utilization of energy resources must be efficient from first level of conversion until the end consumption. This is vital because, according to International Energy Agency, 48% of energy resources are wasted in its journey to meet end users. Now, that is a huge wastage. With technology we can definitely advance forward. Energy efficiency is a way forward.

Secondly, in the transition period of reaching market price, Malaysia must be able to meet the uncertain market fuel price. An Energy Price Stabilisation Fund must be formed. This will help Malaysia to cushion immediate price fluctuations. This fund is not a form of subsidy, but a cushion that can help commercial, industrial and domestic consumers to be able to cope with actual market pricing in short period of time.

Thirdly, unification of all energy related administration, policy, and enforcement under one agency. All energy resources and utilization related sectors must be placed under Ministry of Energy, Green Technology and Water for policy and administration. Subsequently, the Energy Commission must be the enforcing agency that operates independently under the ministry. Merger will reflect efficiency in all utilization sectors.

Nation without energy security will be suppressed of development.