Wednesday, April 3, 2013

Today's Pick (29/03/13/51/976) Five new EPPs unveiled, expected to bring in RM22bil


Five new EPPs unveiled, expected to bring in RM22bil

KUALA LUMPUR: Five new entry point projects (EPPs) that are expected to bring in RM21.68bil in incremental increase gross national income (GNI), are introduced under the second phase of the electrical and electronics (E&E) national key economic area (NKEA), coined as “E&E 2.0”.

International Trade and Industry Minister Datuk Seri Mustapa Mohamed said these new opportunities would be positioned to cushion the impact of the expected slowdown in the E&E 1.0 focus sectors.

“This focus will move the industry further up the value chain, create more high-income jobs, GNI contribution and attract more foreign direct investments into the country,” he told reporters during the launch of E&E 2.0.

The new EPPs are systems for the solar photovoltatic industry; embedded systems industry; electric vehicle component manufacturing; maintenance, repair and overhaul services via component manufacturing in the electric/ electrified railway industry and nanotechnology industry.

“Collectively, these five EPPs are projected to generate RM21.68bil in incremental GNI and 68,600 jobs within the industry by 2020,” he said.

The RM21.68bil would account for 40.6% of the RM53.4bil incremental GNI targeted for the overall E&E NKEA by 2020. Meanwhile, target for the total high and medium income jobs created was 157,000.

Last year, E&E NKEA registered RM48.5bil in GNI, which was 102% of the RM47.6bil targeted.

When the E&E NKEA was first introduced in 2010, there were only 15 projects.

Under the modernisation programme, there will be a total of 20 EPPs under the more refined NKEA which were clustered into five key areas namely manufacturing services/design, advanced materials, industrial/integrated electronics, wafer technology and advanced assembly.

“E&E 2.0 will continue the basic strategy set out in E&E 1.0, but will seek to accelerate change especially in the downstream sector.

“It will also seek to re-balance some of the priorities we established when we first launched the Economic Transformation Programme,” he said.

The ministry along with other government agencies would encourage local players to engage in higher value activities, support more design and research development work to be undertaken locally and help the industry to move to new segments that offer new business opportunities, he added.

Performance Management and Delivery Unit E&E/ Innovation director Datuk Chris Tan pointed out that the Malaysian investment Development Authority had been granted initiatives to beckon domestic investors to grow the sector.

Last year, the Government had launched a RM1bil domestic investment fund to spur participation of local champions in targeted industries.

Source: The Star

Date : 29 March 2013

Today's Pick (29/03/13/51/976) 

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