KUCHING, 15 October 2026 – The Sarawak Government has issued two new Forest Carbon Licences (FCLs) to strengthen forest conservation, sustainable forest management and green economic development.
Through the Forest Department Sarawak (FDS), the licences have been granted to Lembaga Amanah Kebajikan Islam Kuala Rajang (LAKIKR) for a 4,788.2-hectare project in Tanjung Manis, Kuala Rajang, and Shin Yang Sdn. Bhd. for the 26,353-hectare Jalin Forest Carbon Area in Ulu Baram.
The LAKIKR project marks the first Forest Carbon Licence issued for a Blue Carbon project in Malaysia, highlighting the potential of Sarawak’s mangrove ecosystems to support carbon sequestration, coastal biodiversity conservation and sustainable resource management. Meanwhile, the Jalin project focuses on improving forest management and conserving forest resources.
SUPPORTING SARAWAK’S GREEN ECONOMY
These initiatives support Strategic Thrust Four of the 2027 Sarawak Budget, Protecting and Sustaining Our Natural Resources, as well as the Post COVID-19 Development Strategy 2030 (PCDS 2030).
Forest carbon projects can provide additional incentives for forest conservation and restoration, protect biodiversity and ecosystem services, attract green investment, and create opportunities for local communities.
ENSURING CARBON MARKET INTEGRITY
The issuance of a Forest Carbon Licence authorises the licence holder to develop and implement an approved project, subject to applicable legal and regulatory requirements.
However, a licence does not automatically qualify a project for carbon credit issuance or trading. Projects must fulfil the relevant carbon standard requirements, including validation and verification by a recognised Validation and Verification Body (VVB), before carbon credits can be issued.
Forest Department Sarawak will continue to strengthen forest carbon governance to ensure compliance with legal and technical requirements while safeguarding environmental and community interests.
Sarawak remains committed to balancing environmental conservation with sustainable economic growth, positioning its forests and coastal ecosystems as valuable assets in climate change mitigation and the development of a green economy.