Bali, 31 August 2023 – A landmark Memorandum of Understanding (MoU) has been forged among key players in the Southeast Asia energy sector – ASEAN Centre for Energy (ACE), Southeast Asia Energy Transition Partnership (ETP), and Clean, Affordable and Secure Energy for Southeast Asia (CASE) – during the 41st ASEAN Ministers on Energy Meeting (AMEM) and the ASEAN Energy Business Forum (AEBF) on 25 August 2023. This collaboration is set to provide a robust framework for joint efforts and expedite the seamless integration of cross-border electricity trade through the ASEAN Power Grid (APG).
Under the agreement, ACE-CASE-ETP will collectively work towards the implementation of the ASEAN Power Grid Advancement Program (APG-AP). The MoU represents a significant step towards realising the findings of the ASEAN Interconnection Master Plan (AIMS) III Study of higher integration of renewable energy sources across the ASEAN region through ASEAN Power Grid, as part of the ASEAN Plan of Action for Energy Cooperation (APAEC) Phase II: 2021-2025.
“Our new partnership with ETP and CASE is critical to support ASEAN in realising ASEAN Power Grid to expand regional multilateral electricity trading. This partnership reflects our shared commitment to a common goal – that of accelerating the integration of the ASEAN power sector and advancing energy transitions now and in the coming years,” Dr Nuki Agya Utama, Executive Director of ASEAN Centre for Energy (ACE).
Commenting on this transformative agreement, John Cotton, Senior Programme Manager of Southeast Asia Energy Transition Partnership, United Nations Office for Project Services (UNOPS), stated, “This agreement is focused on advancing the APG to an integrated system that will enable multilateral power trading to meet the ASEAN’s rising energy demand and renewable energy targets as defined in the political ambitions of the region’s energy leadership.”
Sascha Oppowa, Project Director of CASE, Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), added, “We are happy to contribute to expediting efforts within ASEAN towards cross-border cooperation of power systems and greater integration of renewable energies. Together with our partners in the APG-AP as well as like-minded stakeholders, we look forward to supporting ACE in this ambitious endeavour.”
Steering the ASEAN Power Grid Program’s impact on energy integration, the APG Advancement Program envisions a coordinated process to facilitate effective decision-making in line with emerging plans, a tangible roadmap fostering APG progress from conception to realization, as well as a comprehensive analysis spanning economic, technical, environmental, and governance dimensions. As an important first step, a pilot Multilateral Power Trade Project will accumulate experience and lead the way towards the successful delivery of APG visions.
This dynamic partnership seeks to amplify the ASEAN Power Grid Program’s influence on power sector integration, underpinned by collective determination, transparent communication, and effective collaboration.
About ASEAN Centre for Energy (ACE)
Established on 1 January 1999, the ASEAN Centre for Energy (ACE) is an intergovernmental organisation within the Association of Southeast Asian Nations’ (ASEAN) structure that represents the 10 ASEAN Member States’ (AMS) interests in the energy sector. ACE supports the implementation of the ASEAN Plan of Action for Energy Cooperation (APAEC), a blueprint for better collaboration towards upgrading energy. The Centre is guided by a Governing Council composed of Senior Officials on Energy from each AMS and a representative from the ASEAN Secretariat as an ex-officio member.
The three key roles of the ACE:
Keeping the region’s improvement, sustainable and harmless to the ecosystem is a fundamental concern of the ASEAN energy sector.
Hosted by the Ministry of Energy and Mineral Resources of Indonesia, ACE’s office is located in Jakarta, Indonesia.