Petronas claims first 5G private network in Malaysia

The oil company said that the private network has improved operational efficiency and safety at its RGTSU Melaka facility

Malaysian oil company Petronas claimed to have deployed the country’s 5G private network.

In a release, Petronas said that the 5G private network has been successfully deployed at its Regasification Terminal Sungai Udang (RGTSU) in Melaka.

The energy company explained that this deployment was supported by the Ministry of Communications and Digital (KKD) and the Malaysian Communications and Multimedia Commission (MCMC).

 “As we embark on this transformative journey, it’s crucial to acknowledge the integral role cutting-edge technologies play, 5G’s fast connectivity, low latency, and capacity to handle massive data flows will empower our industries to innovate, compete and excel on a global scale,” said deputy Prime Minister, Dato’ Sri Haji Fadillah Haji Yusof.

Speaking about the benefits of the 5G private network, Petronas’ senior vice president of project delivery and technology, Datuk Bacho Pilong Datuk Bacho, said that the private network at RGTSU Melaka has improved operational efficiency and safety, supporting its business and sustainability targets.

The executive said that the 5G private network will be combined with other technologies such as Internet of Things (IoT), Artificial Intelligence (AI) and automation.

MCMC is working closely with Malaysian mobile service providers to deploy 5G Standalone networks that will foster more use case development across industries in the country.

As of September 2023, Malaysia’s 5G network coverage in populated areas stands at 70.2%, with 5G subscriptions totaling 2.49 million, representing a 7.4% penetration rate.

Malaysian operators are currently offering 5G services through the 5G network owned by state agency Digital Nasional Berhad (DNB).

DNB was set up by the Malaysian government in 2021 as a special purpose vehicle to develop the country’s 5G network infrastructure, which private telecommunications firms would use to offer 5G services to their customers.

However, Malaysia’s 5G roll-out by DNB had raised concerns over pricing and transparency, as well as worries that a single state-run 5G network would result in a nationalized monopoly.

Due to these concerns, the current prime minister, Anwar Ibrahim, had previously announced an overall review of the rollout of the national 5G network due to the lack of transparency. In May, the government announced it will enable the deployment of a second 5G network in 2024, adding that a new entity will be created to manage Malaysia’s second 5G network.

Malaysia’s Communications and Digital Minister Fahmi Fadzil recently said that DNB will continue to roll out 5G network infrastructure in the country until 80% coverage is achieved by the end of this year. The Malaysian government also confirmed that DNB will be taken over by a private entity once it achieves its 5G population coverage target.

Prime Minister Anwar Ibrahim recently said that the adoption of a dual 5G network scheme by the country from 2024 would allow for more participation of Chinese vendor Huawei. He acknowledged concerns from some countries over the security of Chinese technology but said the decision to allow a second 5G network was made so that Malaysia could benefit from different technologies.

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