Sarawak's leader has pointed to the state's rivers as an industrial advantage. Bernama reports from Sibu that Premier Abang Johari said that the abundance of river water resources gives Sarawak an advantage in developing the semiconductor and other high-tech industries. I have only seen the headline and the first sentence, so I do not know the rest of his remarks.
Semiconductor manufacturing uses large amounts of ultrapure water for cleaning and processing, and reliable water and power supply are important considerations for investors. Sarawak, with its large rivers and hydroelectric capacity, can offer both, which is part of the state's strategy to attract investment in advanced manufacturing. The state has also been investing in digital infrastructure, with a new Kuching airport task force and a smart city programme.
The comments fit with the federal government's emphasis on moving up the value chain in electronics and diversifying growth sources. Prime Minister Anwar said that a global investor has chosen Malaysia for a US$50 billion investment in the technology sector, and the EU has said that it supports Malaysia's push up the semiconductor value chain. Which projects might be located in Sarawak is not clear from the headlines I saw.
There are also challenges. Water use needs careful management to protect communities and ecosystems, and manufacturing requires skilled workers and transport links. Environmental groups often ask for transparent assessments of the effects of large industrial projects on rivers. For residents, the potential benefits are jobs and development, while the risks include pressure on resources. Watch for announcements of specific investments, for details on water and power agreements and for state policies on environmental protection. The haze that is currently affecting Serian is a reminder of the importance of environmental management.
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