TOKYO -- The premier of the Malaysian state of Sarawak envisions a Singapore-like sovereign fund role for Petros, an oil and gas company owned by the region's government, as it looks to leverage its newfound autonomy to grow its economy.

Abang Johari on Thursday said Singapore is the "best model" when thinking about the future of Petroleum Sarawak, better known as Petros, as state funds Temasek and GIC "really help" the city-state's economic growth.

"Perhaps, one day," Petros could become like the two Singapore funds, the premier told Nikkei Asia in an interview during a visit to Tokyo.

Petros gained a role as the sole aggregator for domestic gas in Sarawak after an agreement with the central government in May. The Malaysian state already earns significant income from royalties on oil and gas produced within its territory, as well as from a 5% state sales tax on hydrocarbons.

"If Petros [has] the strength, the muscle, why not invest in other areas?" Johari said, stressing that this would be a "business decision, not so much a government decision."

He added, though, that if Petros "ventures into positive industries," it must give "revenue back to the government." As a company fully owned by the state, "they have to do that."

While both Temasek and GIC are not funded by income from natural resources, many resource-rich nations around the globe have utilized revenue from their hydrocarbons to grow their economies through investment funds. Most notable is Saudi Arabia's Public Investment Fund, which in recent years has taken a role in diversifying the country away from oil.

Sarawak, home to around 60% of Malaysia's gas reserves, has been seeking more control over its resources. Before the May agreement, it was locked in a years-long dispute with the central government, which was wary of granting Sarawak more clout, fearing that revenue from state-owned Petronas would dwindle as a result.

There is "no competition" between the two energy companies, Johari said. "Petros, we work together with Petronas, and for that matter, [with] all other oil companies that invest in Sarawak."

Sarawak is also becoming a key player in Southeast Asia's low-carbon energy industry, with renewables, mainly hydropower, accounting for more than 70% of the state's energy mix. Sarawak plans to quadruple its renewables generation capacity to 15 gigawatts by 2035.

The state has ambitions to become a green hydrogen hub for Asia. It has two major projects in the pipeline: H2biscus with South Korean companies and H2ornbill with Japan, eyeing exports to both countries. The premier was in Tokyo to attend a hydrogen event.

Green hydrogen is produced using renewable energy, and Sarawak has an abundance of hydropower. Hydrogen is being viewed as a cleaner energy source for the so-called hard to abate sectors such as heavy industries and transportation.

However, hydrogen projects around the world have faced delays and cancellations due to high costs and lack of demand. In Australia, the country's largest green hydrogen project was recently scrapped after its lead partner withdrew.

Johari said he was confident hydrogen would still play a role in the future energy mix. He said that while China has been pushing electric vehicles, "even China now is looking into the possibility of using hydrogen" in transportation.

"There is a view that hydrogen [development is slowing] down," he said. "But at the same time, there are also innovative technologies, particularly in public transport, [that use] hydrogen.

"I think hydrogen will still be there ... we'll still pursue the usage of hydrogen as an alternative [energy source] to mitigate carbon emissions."

Additional reporting by Norman Goh in Kuala Lumpur