Gary Theseira, director of Climate Governance Malaysia, noted that the government has thus far leaned on incentives and supportive policies, rather than legally binding emission targets, to steer the transport sector towards decarbonisation.
Current measures focus on fuel efficiency standards, electric vehicle (EV) adoption by government agencies and GLCs, and the rollout of charging infrastructure for the public, he said.
“Mobility emissions are regarded as energy-related emissions, together with electricity generation. These emissions would be governed and reported under Malaysia’s nationally determined contributions,” he told FMT, referring to the targets pledged under the Paris Agreement.
“The administration is cautious about any measures that could increase the cost of living, especially for middle- and lower-income families,” he added, pointing to sensitivities seen during the recent diesel subsidy reforms.
Theseira was commenting on a recent RimbaWatch study, which estimated that new cars registered in Malaysia last year could collectively emit 3.37 million tonnes of carbon dioxide (CO₂) each year.
The group’s study was based on government vehicle registration data showing that 825,514 petrol and diesel cars were registered in 2025.
Rahman Hussin, executive director of MY Mobility Vision, said cars have ceased to be a lifestyle choice and are now a necessity for families, given the continued inconvenience of public transportation.
He said parents cannot simply be priced out of car use as it remains the only practical way to get children to school.
“If we try to regulate emissions without solving this reality, we aren’t just fighting traffic; we are fighting the necessity of care,” he said.
Petaling Jaya MP Lee Chean Chung said most policymakers are aware that emissions- or usage-based systems are more rational, but fear public backlash, given the limited alternatives for vehicle owners.
“There is clear institutional and political hesitation within government and Parliament to adopt explicit transport emission targets, as such targets are often perceived to imply higher costs, limit vehicle age, and heighten fuel-price exposure,” he said.
Lee said this caution is also reflected in how the transport sector is treated under the proposed Climate Change Act.
While such legislation would represent a key step in climate governance, Lee said it lacks sectoral emission targets, clear modal-shift obligations and mandatory fiscal alignment, leaving too much to the discretion of individual ministries.