At the event were (from left] Seng, Socklingam, Wong, Zulkiflee, moderator Freda Liu and Quah.

KUALA LUMPUR: Schneider Electric, a leader in digital transformation of energy management and automation, on July 9, 2025 announced that its annual Green Impact Gap showed a steady trajectory in sustainable transformation among businesses in Malaysia.

The survey, in partnership with Milieu Insight, aimed to identify the intention-action gap among companies in Malaysia that undertake sustainable business practices and the investment or tangible commitment required to achieve their internal goals.

A total of 500 business leaders in Malaysia participated in the survey and the 2024 results showed steady progress in Malaysia’s sustainability efforts, with 93% of Malaysian companies reporting that they have set sustainability goals and 45% have turned those goals into actionable strategies.  With a variance of less than 5% as compared to the 2023 results, the gap is considered stable. 

Schneider Electric Malaysia country president Eugene Quah said: “In Malaysia, that future is already taking shape. The government has taken bold steps to embed sustainability into the national agenda. From the National Sustainability Reporting Framework to the mandatory ESG disclosures for listed companies, Malaysia is recognised for aligning itself with global standards such as the International Financial Reporting Standards (IFRS), ensuring transparency and accountability. This year’s results reflect a steady trajectory in Malaysia’s sustainability journey, with more work to be done for ambition to turn into action.”

The survey also identified key barriers and opportunities to narrow the gap by boosting momentum and supporting further initiatives to promote sustainable business practices. Respondents highlighted barriers such as economic uncertainties (56%), internal budget constraints (47%), poor incentives (46%), lack of priority (40%) and regulatory and policy issues (35%).

Three critical areas were identified where the real estate industry must take decisive action to drive sustainability and resilience. 

Firstly, with climate change no longer a distant threat, businesses must shift from reactive to proactive strategies. By leveraging digital tools, predictive analytics and integrated energy and sustainability management systems, organisations can monitor risks in real-time, forecast disruptions and optimise energy usage, enabling them to reduce carbon emissions, cut costs and meet rising ESG expectations. 

Secondly, energy security remains a pressing concern, highlighting the need for diversified and resilient energy strategies. Schneider Electric advocates for the adoption of renewables, microgrids and smart energy management to ensure that sustainability efforts are both impactful and future-proof. 

Thirdly, limited resources and internal resistance can hinder businesses' progress in complying with the Energy Efficiency and Conservation Act (EECA). “That is why we work closely with our partners to align strategy with action, demonstrate quick wins and embed sustainability into the core of business operations. When sustainability is treated as a strategic priority, it becomes a powerful driver of long-term value. That’s where we come in, not just with digital tools and technologies, but with support through partnerships, guidance and shared expertise,” Quah said.

In line with the survey findings, a thought-provoking panel discussion was held under the theme "Narrowing the Green IMPACT Gap: Digitalisation for Greater Energy Efficiency in Buildings". The session brought together key voices in the energy and sustainability space, including Ministry of Energy Transition and Water Transformation's Energy Sustainability Division principal assistant secretary Amutha Socklingam, Energy Commission Malaysia energy efficiency and conservation director Zulkiflee Umar, Millennium Welt Land Sdn Bhd executive director Wong Wen Chet and Schneider Electric digital energy vice president Jackson Seng. The panel explored the critical role of digitalisation in accelerating energy efficiency and offered actionable insights for building owners and industry stakeholders.

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