MALAYSIA CAN ATTRACT TECHNOLOGY, INVESTMENTS FROM TAIWAN FOR ITS POWER SECTOR

By Manik Mehta

NEW YORK, Dec 1 (Bernama) -- Though the visiting Taiwanese business
delegation comprising companies engaged in the island's energy sector had
closely monitored developments in Malaysia's power sector -- apparently, the
arrival of Solar Cells in Malaysia had made a splash in Taiwan's industry
circles -- they were unaware of the extent of incentives the Malaysian
government would extend to them if they collaborated with Malaysian firms by
offering technology or participating with capital.

The high-powered delegation, which was led by Taiwan's Deputy Economics
Minister Dr Jung-Chiou Hwang, is currently visiting the United States to scout
for business opportunities and identify corporate partners in the energy sector
as many federal states in the US are giving priority to tapping what is
euphemized as "green energy".

Malaysia could open itself too, given its existing infrastructure in the
energy sector, one Taiwanese businessman, who had recently toured the states of
Sarawak and Penang in a "private capacity", told Bernama on the condition of
anonymity.

"I believe Malaysia would be a good partner for Taiwan for cooperation in
energy issues. The entire world is clamouring for clean and green energy which
is going to be the future trend.

"Green energy has become a sort of a battle cry in many countries of the
world. It is obvious that the industry will need new and cleaner forms of
technology to combat pollution if we are to achieve the climate change goals,"
he explained.

The Malaysian Industrial Development Authority, which promotes investments
to and from Malaysia could look at ways and means of fostering closer
cooperation with Taiwan whose energy-specialized companies are earmarking
large sums for R&D to produce innovative technology for this sector.

Malaysia could also take a leaf from Taiwan's pursuit of business by
collaborating with companies around the world.

Though the focus of his current visit was on fostering closer business ties
with US corporations, Dr Hwang was also not oblivious to opportunities available
in Asia itself, including Malaysia.

Taiwan highlighted two focal points on this visit which was geared to
promoting the island republic's interest in the energy sector. Taiwan has been
doing some pioneering work in the field of photovoltaic and electricity-powered
vehicles.

Malaysia could take cues in these futuristic fields in which the
world's automotive industry is moving.

The intention is not only to produce cleaner energy, in an attempt to reduce
carbon emission, but also to reduce dependency on oil consumption which shook
the world last year when oil prices hit the ceiling at US$150 a barrel at one
point.

In an exclusive interview with Bernama Monday, Dr Hwang observed that energy
was a "hot global subject".

"We all talk about cleaner, greener energy. President (Barack) Obama has
been emphasising energy. It's a very crucial issue both now and in the future,"
he said.

He said Taiwan was pursuing the two segments -- photovoltaic and
electric-powered vehicles -- because it had already done a lot in these areas.
These two industries are heavily based on semiconductors and LEDs.

"Our goal is to project Taiwan as a 'green island'," Dr Hwang added.

Though his visit was aimed, foremost of all, to attract investments and
technology from the United States which, he said, was strongly positioned in the
energy sector, thanks to its highly-advanced technology and pioneering R&D work,
many US federal states are also looking at Taiwan as source of investments.

Motech, Taiwan's largest solar energy cell company, is making substantial
investments in the United States.

Taiwan's prowess in R&D and -- with it -- in industrial inventions, is also
reflected in its impressive record of patents registered with the US Patent
Office according to which Taiwan has the world's fourth largest number of
patents to its credit.

Malaysia could also benefit from this attribute of Taiwan.

Dr Hwang said the Asean region was replete with energy resources.

He said the Thai Government, for example, gave some incentives to foreign
companies interested in the energy sector but he was not sure if Malaysia also
did the same.

The remarks imply that Taiwan's industry might also take a closer look
at Malaysia's energy sector if the Malaysian government could provide the right
bait in the form of incentives and other facilities.

Another major factor which makes Taiwan an attractive partner is the
availability of highly-qualified human capital whose skills in the energy sector
are also appreciated by the US industry.

Taiwan has maintained a strong presence in the Asean region with growing
trade and investments.

According to the Department of Investment Services in Taiwan's Ministry of
Economic Affairs, Taiwan's cumulative foreign direct investment in the Asean
region, as of end 2007, had amounted to US$51.172 billion.

Of this cumulative investment volume, Indonesia led the roost with a share
of US$13.518 billion, followed by second-ranking Thailand (US$12.099 billion)
and third Malaysia (US$9.856 billion).

"Malaysia's well-developed infrastructure and its abundant natural resources
make it an attractive business partner for Taiwan," a representative of the
Industrial Technology Research Institute, Taiwan's industrial think tank, said.
-- BERNAMA