GAS MALAYSIA PIONEERS NATION’S NATURAL GAS DISTRIBUTION

AS MALAYSIA navigates an increasingly dynamic energy landscape, Gas Malaysia Bhd, a member of the MMC Group, continues to strengthen its position as an industry leader by providing clean, safe and cost- effective energy solutions to the nation.

Marking its 33rd anniversary, the group reflects on a legacy of achievements and commitment towards nation-building.

In an exclusive feature with TheStar, Gas Malaysia president and group chief executive officer Ahmad Hashimi Abdul Manap shared insights on Gas Malaysia’s transformative journey, its role in Malaysia’s socio-economic progress, safety focus and commitment towards operational excellence.

Contributing towards nation-building

Over three decades, Gas Malaysia has made significant contributions towards nation-building efforts by enhancing energy accessibility and reliability.

With an extensive natural gas distribution system (NGDS) network spanning close to 3,000km across Peninsular Malaysia and with Gas Malaysia’s industrial customers accounting for approximately 99% of the group’s total gas sales volume, the group has played a central role in meeting the nation’s growing energy needs.

“Natural gas is by far the cleanest and one of the most efficient fossil fuels,” said Ahmad Hashimi.

“As a clean fuel alternative, natural gas emits the least amount of carbon dioxide and other harmful emissions into the air when combusted, compared with oil, coal and diesel.

“We have encouraged many businesses to adopt this cleaner energy option.

“In the early days, we adopted proactive marketing strategies to tap into industrial gas demand.

“We targeted factories emitting black smoke and those were an indicator that they were not utilising natural gas.

“We would then visit those factories and introduce natural gas as a cleaner, more cost-effective energy solution,” he elaborated.

Growth potential

Malaysia’s natural gas industry exhibits growth potential, fuelled by rising industrial demand.

Gas Malaysia is well-positioned to seize new opportunities, backed by its extensive gas infrastructure and presence across Peninsular Malaysia.

To remain agile and forward-looking amidst these industry shifts, and in conjunction with the group’s 30th anniversary, Gas Malaysia undertook a strategic realignment exercise in 2022.

This realignment aimed to strengthen the group’s organisational foundation and long-term competitiveness.

As part of this initiative, Gas Malaysia introduced a new statement of purpose and mission statement and embraced a set of core values such as Professionalism, Reliability, Integrity, Teamwork and Innovation.

This transition was further reinforced in the following year with the launch of the GM32 Strategy.

Designed to unlock new opportunities and drive business expansion, the GM32 Strategy reflects the group’s commitment to achieving its long-term business aspirations and delivering greater value to stakeholders.

“We have in place a 10-year strategic business plan, known as the GM32 Strategy, which is focused on reinforcing Gas Malaysia’s core business, exploring new opportunities along the gas value chain and diversifying into cleaner energy solutions.

“The National Energy Transition Roadmap (NETR) emphasised the critical role of natural gas as a transitional fuel. Aligned with this aspiration, we are committed to expanding our NGDS network by an additional 800km over the next five years.

“This initiative, with an estimated investment of about RM1.2bil to RM1.4bil, reflects our continued support for the government’s agenda as outlined in the NETR,” Ahmad Hashimi elaborated.

The group’s focus on customer-centricity and operational excellence remains central to its business growth.

Backed by a competent workforce coupled with the culture transformation programme driven by the GM32 Strategy, Gas Malaysia continues to deliver value and strengthen its position.

The group is also exploring new ventures, supported by the government’s recognition of natural gas as a cleaner, reliable energy source.

Commitment towards safety and operational excellence

“Safety is at the core of Gas Malaysia’s operational philosophy. The company adheres to stringent regulatory standards to ensure safe natural gas delivery to its wide range of customers,” Ahmad Hashimi stated.

Building on this commitment, Gas Malaysia ensures that its pipelines are constructed using high-grade materials such as high-carbon steel, supported by special protective coatings and cathodic protection systems to prevent corrosion.

These pipelines are installed underground at secure depths and integrated with strategically positioned valves to enable rapid isolation during emergencies.

Most importantly, all aspects of pipeline construction and commissioning undergo rigorous evaluation and approval by the Energy Commission, ensuring full compliance with the highest levels of safety standards.

Elaborating on the robust safety and maintenance framework, Ahmad Hashimi stated, “The safety and maintenance framework reflects our proactive maintenance strategy encompassing daily patrols, scheduled inspections and a comprehensive preventive maintenance programme executed by dedicated teams stationed at our three regional offices and nine branch offices across Peninsular Malaysia.

“These operational efforts are further bolstered by our Operations Control Centre at our head office, which operates round-the-clock and utilises the Supervisory Control and Data Acquisition (Scada) system to facilitate real-time monitoring of pipeline pressure and early detection of potential leaks.

“An essential public safety measure is the integration of mercaptan, a distinctive odourant added to the gas, which allows for early leak detection through smell, thereby strengthening our ability to safeguard communities and prevent incidents.”

Gas Malaysia also places strong emphasis on community engagement and awareness to enhance pipeline safety.

Signage and markers are prominently displayed along gas pipeline routes to alert the public and contractors of the underground infrastructure.

“These initiatives are further reinforced through safety seminars and dialogues with contractors, utility companies and local authorities, aimed at fostering a collective culture of vigilance and safety as well as preventing potential pipeline damage.

“Further reinforcing our operational excellence, Gas Malaysia has consistently maintained a gas supply reliability rate of approximately 99%, establishing our steadfast commitment to quality service delivery,” Ahmad Hashimi explained.

Public safety: a shared responsibility

Gas Malaysia believes that public participation plays a crucial role in maintaining safety.

The group urges members of the public to remain vigilant and report any suspicious activities or abnormalities near its gas pipeline infrastructure.

Should such incidents be observed, the public is advised to immediately contact Gas Malaysia’s 24-hour emergency hotline at 1800-88-9119.

Driving forward with purpose

“At Gas Malaysia, we are accustomed to the evolving energy landscape and recognise natural gas as a key transition fuel under the NETR.

“Moving forward, we will remain committed towards stakeholder engagement and long-term value creation. With strong fundamentals and the support of all our stakeholders, we are well-positioned to sustain growth and meet the nation’s energy needs in years to come,” Ahmad Hashimi concluded.