Malaysia has taken a major step toward verified sustainability in construction with the signing of a Memorandum of Collaboration (MoC) between CIDB Holdings Sdn Bhd, the commercial arm of the Construction Industry Development Board (CIDB) Malaysia, and CI Tech Sdn Bhd (CITECH).
The partnership establishes the nation’s first government-endorsed blockchain platform for verified carbon credits in construction – a system that promises to deliver tamper-proof, end-to-end traceability of carbon data across the industry.
“This collaboration is a game changer for Malaysia’s construction industry,” said Supian Musa, chief executive officer of CIDB Holdings. “For the first time, every player, from the smallest subcontractor to the largest developer, can produce verifiable, auditable carbon data that redefines how we measure sustainability in Malaysia.”
At the heart of the initiative is CITECH’s blockchain-powered platform, which captures and secures data on materials, transport, energy use, and waste management. The system generates cryptographically authenticated records that can be independently verified, providing transparency and accountability at every stage of construction.
“Our platform removes the barriers of cost and complexity,” said Govinda Retnavelu, chief executive officer of CITECH. “It empowers every contractor, large or small, to contribute trusted sustainability data recognised globally.”
CIDB Holdings will act as the national facilitator for rollout, leveraging its network of contractors and training centres to accelerate adoption nationwide. The initiative aligns with Malaysia’s Thirteenth Malaysia Plan (13MP), which emphasises sustainability, green growth, and digital transformation as key pillars of economic resilience.
All verified carbon data will comply with international standards such as Verra and Gold Standard, enabling the trade of carbon credits on both the Bursa Carbon Exchange (BCX) and global voluntary markets. Industry analysts estimate that the initiative could unlock between RM350 million and RM600 million in monetisable carbon credits within the next decade.
“Authenticity is the cornerstone of the carbon economy,” Govinda added. “By embedding verification at the point of data creation, our system ensures global trust and compliance from the ground up.”
Pilot projects in flagship housing and infrastructure developments will begin soon, paving the way for a National Construction Carbon Registry and standardised carbon accounting methods. Once implemented, Malaysia will become the first Southeast Asian nation to operationalise verified carbon credits in construction under a government-led framework.
“This partnership ensures no one is left behind in Malaysia’s sustainability transition,” Supian said. “Every contractor’s contribution, irrespective of their size, will now be verifiable, recognised, and valued.”
The initiative positions Malaysia as an emerging regional hub for digital carbon verification and sustainable construction technology, aligning with its broader National Energy Transition Roadmap (NETR) and ambitions to lead in green infrastructure innovation. 