27/01/2010 (New Straits Times), Putrajaya - In keeping with the government's commitment to develop green technology, Prime Minister Datuk Seri Najib Razak officially launched the Green Technology Financing Scheme here yesterday.

"The government will play its role, covering two per cent of the loan's interest rate and providing a guarantee of 60 per cent on financing. The remaining 40 per cent will be covered by banks," Najib said at the launch of the RM1.5 billion scheme.

He unveiled the scheme at the tabling of Budget 2010 last year.

The fund will provide soft loans to companies that supply and utilise green technology, especially those in the energy, water and waste management sector.

The participating banks include Bank Pembangunan, SME Bank, Agrobank, Bank Rakyat, EXIM Bank and Bank Simpanan Nasional.

"The launch of the green technology financing scheme is an important milestone. The investment of RM1.5 billion will encourage business investment in green technology, green construction and innovation."

He said 186 companies had submitted applications since the start of the scheme at the beginning of the year.

"I have confidence in the long term strengths and benefits of this scheme for companies that invest in green technology as well as financial institutions that see green technology as a smart, strategic investment.

"This is the role of the financing scheme - to stimulate investment and the development of Malaysia's green technology marketplace. That, in turn, will support business growth, job creation and prosperity."

Earlier yesterday, Najib chaired the first National Green Technology Council meeting.

He said the council would guide the implementation of green technology policies and the development of legal and regulatory requirements. It would also streamline and coordinate overlapping roles of various ministries in relation to green technology.

At yesterday's meeting, the council, as part of its National Green Technology Policy effort, decided to work towards making Putrajaya and Cyberjaya green centres within a short time.

Najib said the winners in the new century would only be those who succeeded in mastering green technology and sustainable energy.

"This is not an option. This is a reality all nations must face and go through. I would like to restate that the use of green technology and renewable energy are an integral part of the government's and national agendas."