Southeast Asia has the potential to become a renewable energy hub, and the Association of Southeast Asian Nations (ASEAN) has adopted a renewable energy target of 23 percent of primary energy by 2025. Technological innovations and favorable government policies are among the trends expected to drive the region’s transition to renewable energy in the coming years; however, there are still 70 million Southeast Asian citizens without access to reliable electricity. The potential for renewable energy is huge and governments are increasingly turning to solar and wind energy to address these issues.
The ASEAN Centre for Energy (ACE) and the Heads of ASEAN Power Utilities and Authorities (HAPUA) play key roles in renewable energy uptake across Southeast Asia. USAID Clean Power Asia works closely with ACE and HAPUA, including cooperation on assessing RE potential, updating generation and transmission plans including integrating additional renewable energy, assessing gaps in grid codes and regulations essential to integrating RE and promoting power trade, and mobilizing investment. USAID Clean Power Asia has been partnering with ACE on behalf of HAPUA to conduct the ASEAN Interconnection Master Plan Study (AIMS) as a basis of regional planning and development of the ASEAN Power Grid (APG).
The updated APG plan resulting from AIMS III will be used as the main reference for Southeast Asian countries to develop interconnected grid systems to facilitate increased power trade. USAID is also supporting the development of minimum requirements for promoting power trade outlined in a feasibility study of developing a voluntary multilateral power market for ASEAN, completed for HAPUA by the International Energy Agency. Developing the APG infrastructure and establishing minimum requirements for developing a power market in ASEAN will enhance energy connectivity and market integration across Southeast Asia to achieve energy security, accessibility, affordability and sustainability for all.