Energy costs drive Malaysia businesses toward efficiency investments: ABB
A new study revealed that 63% of Malaysian decision-makers have already invested in energy efficiency, while a further 33% plan to do so within the next 12 months.
Energy efficiency is becoming an increasing focus for businesses in Malaysia, according to new research released by ABB.
The study, conducted in partnership with Sapio Research, surveyed 2,700 senior decision-makers across 15 countries and industries. In Malaysia, 63% of respondents said they have already invested in energy efficiency, while a further 33% plan to do so within the next 12 months.
Energy accounts for an average of 25% of operating costs in Malaysia. At the same time, 61% of companies said rising energy costs continue to threaten profitability.
Compared to global figures, Malaysia’s energy cost burden is in line with the average (25% versus 25% globally), while concern over profitability is slightly higher (61% versus 59%). The country also recorded the highest level of digital readiness among respondents, at 84%, compared to the global average of 67%.
Despite this, several barriers remain. In Malaysia, companies identified cost (54%), potential downtime and disruption (44%), and a lack of specialist resources (36%) as the main challenges to improving energy efficiency.
"Cost is no longer the main blocker for many organizations globally - it has fallen from 50 percent to 43 percent since 2022. What's holding companies back now are organizational silos, skills gaps, and a lack of usable data,” Pearl Ong, Regional Service Manager, Asia, Motion Services, ABB Malaysia Sdn Bhd.said.
The study, conducted in partnership with Sapio Research, surveyed 2,700 senior decision-makers across 15 countries and industries. In Malaysia, 63% of respondents said they have already invested in energy efficiency, while a further 33% plan to do so within the next 12 months.
Energy accounts for an average of 25% of operating costs in Malaysia. At the same time, 61% of companies said rising energy costs continue to threaten profitability.
Compared to global figures, Malaysia’s energy cost burden is in line with the average (25% versus 25% globally), while concern over profitability is slightly higher (61% versus 59%). The country also recorded the highest level of digital readiness among respondents, at 84%, compared to the global average of 67%.
Despite this, several barriers remain. In Malaysia, companies identified cost (54%), potential downtime and disruption (44%), and a lack of specialist resources (36%) as the main challenges to improving energy efficiency.
"Cost is no longer the main blocker for many organizations globally - it has fallen from 50 percent to 43 percent since 2022. What's holding companies back now are organizational silos, skills gaps, and a lack of usable data,” Pearl Ong, Regional Service Manager, Asia, Motion Services, ABB Malaysia Sdn Bhd.said.
