Kuala lumpur: ASEAN requires massive, sustained and structured capital to build solar farms, upgrade grids, install battery storage, and upskill workers, as national governments cannot bear this burden alone, said Prime Minister Datuk Seri Anwar Ibrahim. He emphasized that achieving the energy transition on a large scale would require unprecedented collaboration among the public sector, private investors, and project developers to mobilize the necessary financing.
According to BERNAMA News Agency, Prime Minister Anwar highlighted that fossil fuel resources have historically powered industrial growth and improved living standards in Malaysia and other countries. However, he pointed out the increasing vulnerabilities associated with this model due to global geopolitical tensions and supply chain disruptions, which are driving volatile prices. Speaking at the Greater Bay Area (GBA)-ASEAN Conference on Energy Transition and Integration, Anwar underscored that transitioning to clean, renewable energy sources is not just an ecological preference but a core national security imperative.
Anwar stated that the transition is crucial for strengthening Malaysia and the region's energy security and enhancing economic competitiveness. He noted that China's clean energy sector now accounts for more than a tenth of its GDP and suggested that ASEAN should pursue deeper engagement with China and other partner countries through ASEAN-led mechanisms like the ASEAN Power Grid.
He also mentioned that energy transition does not follow a linear path, nor can integration happen in isolation. Anwar pointed out that even before the current energy crunch, there was a significant focus within ASEAN on alternatives such as solar and wind energy. However, he expressed concern that nuclear power seems to be of lesser significance, despite the region's regulatory experience and technical expertise, which could contribute significantly to the ASEAN Plan of Action for Energy Cooperation's goals.
The conference, supported by the United Nations Sustainable Development Solutions Network, acted as a strategic platform for connecting Southeast Asia and China's GBA. The GBA is a Chinese government initiative that integrates 11 cities into a single economic and innovation hub. Supported by the newly launched ASEAN Chamber of Commerce in Hong Kong, Malaysia aims to leverage its RM4.3 trillion financial market, anchored by pioneering leadership in green sukuk, alongside GBA's technological expertise.
This strategic synergy aims to mitigate risks in green investments and replace vulnerable global fossil fuel supply chains with stable, deeply integrated regional alternatives across the Regional Comprehensive Economic Partnership zone. A key component of the regional strategy is the physical expansion of the ASEAN Power Grid, supported by the newly established Regional Connectivity Fund for Energy. The successful operation of the Laos-Thailand-Malaysia-Singapore Power Integration Project has already shown that cross-border clean electricity trade is a practical reality.