Malaysia: Malaysia's move to study the establishment of a national petroleum reserve stock reflects a broader shift in national policy as rising geoeconomic risks compel countries to place greater emphasis on energy security alongside economic resilience, according to experts.
According to BERNAMA News Agency, IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said the proposal comes at an appropriate time as the global economy enters a new phase of geoeconomic fragmentation, where economic security is becoming as important as economic efficiency. He noted that recent developments, ranging from conflicts in West Asia to trade restrictions and technology controls among major powers, have demonstrated that global supply chains can no longer be taken for granted.
'Malaysia is not necessarily late in considering a strategic petroleum reserve. Rather, it now has the opportunity to design a more forward-looking framework that reflects today's geopolitical realities instead of simply replicating models developed after the 1970s oil crisis,' he told Bernama.
Prime Minister Datuk Seri Anwar Ibrahim said recently that the government would study the need and strategies for establishing a national petroleum reserve stock as part of efforts to strengthen the country's energy security and resilience against geopolitical uncertainties and global supply crises.
Mohd Sedek emphasized that the study should be viewed as a long-term national risk management exercise rather than merely a response to current geopolitical tensions, noting that future strategic vulnerabilities could extend beyond petroleum to critical minerals, semiconductors, rare earth elements, and other strategic resources. He stressed the importance of a flexible framework, adaptable to safeguard national interests regardless of future disruptions.
Meanwhile, Malaysian geostrategist and senior fellow at the Nusantara Academy for Strategic Research (NASR) Dr Azmi Hassan highlighted the recent conflict in West Asia, particularly involving Iran, as evidence of the need for Malaysia to establish a national petroleum reserve strategy to ensure uninterrupted fuel supplies during future crises. He pointed out that while Petronas had managed domestic petroleum supplies effectively, Malaysia should develop a comprehensive national strategy beyond relying solely on the national oil company.
Cyber warfare expert and security and political analyst at the Centre for Media and Information Warfare Studies, Universiti Teknologi MARA (UiTM), Dr Noor Nirwandy Mat Noordin, added that establishing a strategic petroleum reserve could strengthen Malaysia's geopolitical standing within ASEAN. He noted that a robust domestic stockpile would enhance Malaysia's ability to respond to regional supply disruptions while reinforcing its role as a strategic maritime and economic hub, capable of supporting regional contingency planning and strengthening supply chain resilience.