KUALA LUMPUR: The government is reviewing the Mineral Development Act 1994 to enhance the management of rare earth elements (REE) nationwide, said Natural Resources and Environmental Sustainability Minister Nik Nazmi Nik Ahmad.
He said a special task force led by the Natural Resources and Environmental Sustainability Ministry (NRES) has been formed to oversee the effort, with members from the Investment, Trade and Industry Ministry, Economy Ministry, Science, Technology and Innovation Ministry and Finance Ministry (MOF).
“This task force will discuss strategies to develop the entire REE industry. Discussions with all stakeholders are ongoing to maximise the benefits for all quarters.
“We want to ensure these benefits reach all states, so we have no issues working with them. Most state governments are open to this initiative, and relevant Menteris Besar are involved in discussions,” he said when winding up the debate on the Supply Bill 2025 for NRES at the committee level in the Dewan Rakyat today.
Nik Nazmi said that Lynas Malaysia Sdn Bhd has also expressed its readiness to develop a path for processing locally sourced REE carbonate, which differs from the REE processed by the company in Australia.
“A pilot project in Kenering, Perak has been granted a temporary permit to export REE to China due to the absence of local processing facilities. However, efforts are underway to establish facilities for all stages of the REE industry,” he said.
Meanwhile, he said the Department of Wildlife and National Parks (Perhilitan), in collaboration with plantation companies, has initiated a pilot project to establish elephant foodbanks to reduce human-wildlife conflict.
“In Johor, NRES has identified 21 foodbank locations based on elephant migration patterns. The foodbanks are funded through corporate social responsibility (CSR) contributions from plantation companies,” he said, adding that one pilot project is already operational near Taman Negara Endau-Rompin.
Nik Nazmi further said that NRES plans to propose to MOF the continuation of a compensation fund for property and crop losses caused by wildlife attacks.
“As of November 2024, 246 applicants have received payments totalling RM978,000 through this fund, benefiting villagers, local communities and Orang Asli,” he said.
The Dewan Rakyat later passed the ministry’s 2025 budget allocation of RM2.27 billion with a majority voice vote after being debated by 21 Members of Parliament.
The sitting continues tomorrow.
