Smart Sabah Corporation Sdn Bhd, a subsidiary of the Government of Sabah, is exploring opportunities for the state to become a hydrogen and renewable energy (RE) producer by 2025. The agency and the Malaysian Green Technology and Climate Change Corporation (MGTC) have signed an agreement to conduct a feasibility study for the development of hydrogen projects.

The key projects that will be developed in Sabah include the construction of a large-scale solar facility for hydrogen production, the development of a 3,500 MW independent green energy generator, and the development of an ocean thermal energy conversion (OTEC) system. Additional RE projects are also in the pipeline, with a total return to the state of approximately RM25 billion.

The state government has invited bids from Philippines-based and foreign investors to co-develop the planned projects. So far, Japan and South Korea-based investors have expressed interest in cooperating for the hydrogen projects.