Kuching Low-Carbon Hub in Tanjung Embang eyes RM300b investments, 180,000 jobs by 2035

Infographic of the proposed Kuching Low-Carbon Gas Hub at Tanjung Embang, with an inset of Utility and Telecommunication Minister Dato Sri Julaihi Narawi delivering his ministerial winding-up speech at the Sarawak Legislative Assembly sitting on Oct 19, 2026. Photo credit: UKAS livestream

By Shikin Louis

KUCHING, Oct 19: The proposed 15,000-acre Kuching Low-Carbon Gas Hub at Tanjung Embang has the potential to attract more than RM300 billion in investments and create 180,000 jobs by 2035.

Utility and Telecommunication Minister Dato Sri Julaihi Narawi said the hub was among the key initiatives under the Sarawak Gas Roadmap (SGR) to strengthen the State’s gas infrastructure and increase domestic gas utilisation.

“The Kuching Low-Carbon Hub, covering 15,000 acres, has the potential to attract investments exceeding RM300 billion and is expected to create 180,000 job opportunities by 2035,” he said during his ministerial winding-up speech at the Sarawak Legislative Assembly sitting today.

In his Sarawak Budget 2027 speech on Oct 12, Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg said development of the Kuching Low-Carbon Gas Hub at Tanjung Embang was expected to commence in 2027 under a public-private partnership model.

The hub will integrate liquefied natural gas (LNG) regasification, gas-fired power generation and low-carbon industries, supported by new logistics infrastructure.

Beyond the Kuching hub, Julaihi said several other projects are being implemented under the SGR to increase domestic gas consumption.

The 500-megawatt combined-cycle gas turbine (CCGT) power plant in Miri has reached 63 per cent physical progress and is expected to begin operations by the end of 2027, consuming 77 million standard cubic feet per day (MMscfd) of gas.

The 65km Kidurong-Samalaju Gas Pipeline has reached 96 per cent completion and is expected to be completed by the end of 2026, with a gas supply capacity of 300 MMscfd.

Meanwhile, the RM100 million Gas to Bintulu (GtB) expansion project is being implemented in phases and could benefit more than 120,000 households by 2030.

In Miri, the Gas Direct to Kitchen initiative has supplied piped natural gas to 1,214 households, with more than 3,000 households expected to benefit when the project is fully completed.

The Sarawak Virtual Pipeline System (VPS), which enables LNG from Bintulu to be transported using specialised trucks without physical pipelines, has been completed in Kuching.

The Adong Kechil West (AKW) project, which achieved first oil production in July 2026, is expected to begin gas production in 2027, with output of up to 20 MMscfd.

Julaihi said the initiatives would strengthen Sarawak’s gas infrastructure and support its target of increasing domestic gas utilisation to at least 30 per cent by 2030.

“An increase in domestic gas utilisation from 6 per cent to 7.1 per cent was contributed by the full operation of Sarawak PETCHEM Sdn Bhd’s plant in Bintulu at the end of 2025,” he said.

The methanol project has created more than 1,000 jobs for Sarawakians. — DayakDaily