PETALING JAYA: Straits Energy Resources Bhd’s indirect subsidiary, Straits CommNet Solutions Sdn Bhd (SCS) has signed a memorandum of understanding (MOU) with Megah Port Management Sdn Bhd (MPM), a 51% owned indirect subsidiary of Straits to transform the Labuan Port into a smart port.

SCS is a 70% owned subsidiary of Straits Technology Solutions Sdn Bhd, while Straits Technology Solutions Sdn Bhd is a 75% owned subsidiary of Straits.

In a statement, Straits Energy said the smart port project aligns with the Federal Government's aim to turn Labuan into a smart city by 2030, embracing innovative technologies to develop the Federal Territory and improve the quality of life of its residents.

“Straits expects to invest a total of RM3.6mil into the initial two phases of the smart port project. The first phase is expected to be completed in seven months, while the second phase of the project is expected to take an additional seven months. The project is expected to contribute positively to the company’s financial performance in the fiscal year ending Dec 31, 2024 (FY24),” it said in a statement.

Straits Energy managing director Datuk Seri Ho Kam Choy said: "As global trade continues to grow, port operations are becoming increasingly complex. But thanks to the power of technology, we can now develop an integrated Smart Port ecosystem that automates and digitises various port operations, which helps simplify as well as address complexity issues. With a smart port, we also reduce cost and processing time, boosting the port's productivity and efficiency. And importantly, we will be able to play a part in improving the environmental sustainability of shipping operations, by reducing the port's carbon and greenhouse gas emissions.”

“It is clear that in the future, every major port will be a smart port. With this investment, we are taking the first step into transforming Labuan Port into a world-class Smart Port, which will improve the future prosperity of Labuan. We look forward to working with the relevant authorities and industry partners to make this initiative a success,” he added.