Malaysian activists question Petronas sponsorship of UK postgraduate sustainability programme

As Big Oil draws criticism for delaying climate action, the British government’s Chevening scholarship programme has come under scrutiny for accepting Petronas’ sponsorship. Climate advocacy group Rimbawatch is concerned Petronas will exert influence through the scholarship; the Chevening team says scholars are not subject to any obligations.

A memorandum of understanding was signed between Petronas head of human resources Farehana Hanapiah and British High Commissioner to Malaysia, Ailsa Terry.
Oil and gas giant Petronas is to jointly fund the UK government’s Chevening Scholarship for two Malaysians to take a master’s degree in sustainability studies every year. A memorandum of understanding was signed between British High Commissioner to Malaysia Ailsa Terry (left) and Petronas head of human resources Farehana Hanapiah. Image: Petronas

A higher education programme run by the British government to promote the United Kingdom overseas has been targeted by Malaysian climate activists concerned about the sponsorship by state oil and gas company Petronas of one of its scholarships for postgraduate sustainability students.

The British foreign office announced Petronas’ backing of the Chevening scholarship programme earlier this year. The oil giant, together with the foreign office, will jointly provide funding for two Malaysian students annually to pursue master’s degrees in sustainability studies in the UK. No estimates were given on how much funding Petronas has committed to. 

In an open letter to the British High Commission in Malaysia published on Tuesday, Kuala Lumpur-based climate advocacy group Rimbawatch said Petronas’ sponsorship harms the programme’s credibility, and raised questions about the influence of the oil firm over the scholarship and the scholars. 

The involvement of Petronas representatives in the selection of scholars could hinder opportunities for those involved in climate justice activism and advocacy against fossil fuels, stifling the growth of independent sustainability scholars in Malaysia working on effective solutions to the climate crisis, the letter read.

It noted that while some of Malaysia’s top sustainability professionals are alumni of the Chevening scholarship, the reputation of the programme would be affected by a fossil fuel company linked to environmental and human rights abuses sponsoring students of sustainability disciplines.

The appeal from Rimbawatch comes at a time of heightened scrutiny of the influence of fossil fuels firms over the speed of the energy transition and climate action. Earlier this month, the United Nations said that a global “backlash” against climate action was being stoked by the fossil fuel industry to persuade world leaders to delay policies to curb planet-heating greenhouse gas emissions. 

Rimbawatch’s letter highlighted Petronas’ contribution to global emissions and said the firm had greenwashed its climate credentials with weak emissions reduction targets, and has been linked to human rights controversies and threats to biodiversity. Specifically, Petronas has drawn criticism for a net zero target that omits Scope 3 emissions, which are by far the largest chunk of its carbon footprint.

In response to the letter, the British High Commission’s Malaysian Chevening team said that the decision on who is selected for the scholarship is made independently of sponsors, and scholars are not subject to any obligations, except that they must return to their home country after their studies.

The choice of Petronas as a sponsor “matches the UK’s focus on reaching net zero” and “collaborating to secure a just energy transition,” it said. The partnership would also help develop the talent pool of sustainability experts that would be key in Malaysia’s own net zero transition journey, it said.

Petronas told Eco-Business in a statement that its sponsorship of the Chevening Scholarship reflected its ambition to equip future leaders with skills to address sustainability challenges, and added that it valued the independence of the scholars.

“We believe that by providing access to world-class education, they will be empowered to bring innovative ideas and responsible practices to the forefront,” the company said.

In its open communications, Petronas has emphasised on how it wants to equip or acquire talent with technical expertise to embed sustainability into decision-making and daily operations.

Its top leadership has said that it will prioritise staff redeployment over employee layoffs amid the global shift towards cleaner energy, though its chief executive officer Tengku Muhammad Taufik holds the view that oil and gas will still make up 40 to 45 per cent of the global energy mix over the next three decades. 

The British High Commission noted that a quarter of Chevening scholars globally are sponsored by other supporting organisations. In Malaysia, they include CIMB Foundation, the philanthropic arm of Malaysian bank CIMB, and Yayasan Khazanah, a foundation set up by Malaysia’s sovereign wealth fund.

The Chevening scholarship programme has provided funding for students who can demonstrate a commitment to drive positive change in their home countries to study in the UK since 1983.

Other fossil fuels sponsors of the Chevening scholarship have included British oil and gas firm BP, Indian coal-to-ports conglomerate Adani and Petrofund, a trust fund set up by the Namibian Government to build capacity for the oil and gas sector.

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