Kuala Lumpur: Malaysia, in its role as the ASEAN Chair for 2025, has urged member states to enhance regional cooperation to ensure a fair, secure, and inclusive energy transition. This initiative aligns with climate objectives and the region's increasing energy demands.
According to BERNAMA News Agency, Deputy Prime Minister Datuk Seri Fadillah Yusof emphasized that the region's energy future should be founded on unity, practical frameworks, and mutual benefits. In his keynote address at an energy transition meeting organized by MyDigital, Fadillah highlighted Malaysia's commitment to promoting dialogue and advancing regional frameworks for a cleaner energy future.
Fadillah, also serving as the Minister of Energy Transition and Water Transformation, noted ASEAN's energy demand is growing at a rate of three percent annually, outpacing the global average. This demand is expected to rise by over 60 percent by 2040, presenting both opportunities and challenges. He stressed the need for a managed, inclusive, and coordinated energy transition that reflects ASEAN's diversity while advancing a common vision.
He pointed out the progress made under the ASEAN Plan of Action for Energy Cooperation (APAEC) Phase II, with renewable energy now constituting 34 percent of installed electricity capacity. However, its share in total primary energy supply remains at 16 percent. He cited Vietnam's expansion of solar capacity, Indonesia's Just Energy Transition Partnership, and Thailand's adoption of a Bio-Circular-Green Economy model as examples of regional progress.
Fadillah reaffirmed Malaysia's target of achieving 70 percent renewables in installed capacity by 2050 under the National Energy Transition Roadmap (NETR). He emphasized the importance of regional integration through mechanisms like the ASEAN Power Grid (APG) to facilitate cross-border power trade.
He mentioned the Laos-Thailand-Malaysia-Singapore Power Integration Project (LTMS-PIP) as a successful example of multilateral electricity trade. Malaysia's first cross-border green electricity trade with Singapore through ENEGEM has delivered over 107 TWh of green electricity in just 148 days.
Fadillah also stressed the need to harmonize green attributes like Renewable Energy Certificates (RECs) across the region to boost investor confidence. He expressed support for an ASEAN-wide framework for green attributes that aligns with international best practices, marking it as a priority under Malaysia's ASEAN Chairmanship.
Finally, he highlighted Malaysia's plans to work through existing ASEAN platforms and new partnerships like the ASEAN-Gulf Cooperation Council and ASEAN-China dialogues. These collaborations aim to leverage expertise in utility-scale renewables and technology and financing from Gulf states and China, respectively. He concluded by emphasizing ASEAN's need to negotiate from a position of unity to attract investments and signal openness for green business.