Photo: © UN Climate Change - Kiara Worth
ASEAN’s energy future will be shaped by the decisions we make together today. Our region must meet rising energy demand, sustain economic growth and expand access to affordable energy, while reducing emissions and preparing for a changing climate. Delivering on these responsibilities requires closer cooperation between countries, across sectors and with our international partners.
The ASEAN Plan of Action for Energy Cooperation (APAEC) 2026–2030 provides a shared direction for this work. It brings energy security, decarbonisation and a just and inclusive energy transition into a common regional agenda. As we move into implementation, our task is to translate that direction into infrastructure, investment and institutions that deliver lasting benefits for ASEAN’s people.
Under APAEC, Programme Area No. 7 on Regional Energy Policy and Planning has an important role in this effort. By strengthening regional planning, interconnectivity, financing and cooperation with other sectors, it helps bring energy and climate priorities into the same conversation. Decisions on power systems, industrial development, transport and buildings must increasingly support shared objectives.
Climate resilience is integral to this agenda. Floods can damage power infrastructure, drought can constrain hydropower generation, and extreme heat can increase electricity demand while placing additional stress on energy systems. Infrastructure built today will operate for decades. Its ability to withstand changing conditions must therefore inform how we plan, finance and develop it.
At the ASEAN Centre for Energy (ACE), we see our responsibility clearly: to provide the evidence, support regional coordination and build the partnerships that help ASEAN Member States turn shared priorities into action.
A regional case for coordinated action
The 9th ASEAN Energy Outlook (AEO9) shows the scale of the challenge and the opportunities available. Under its Baseline Scenario, ASEAN’s final energy consumption could more than quadruple between 2025 and 2060. Under the ASEAN Coordinated Transition Scenario (ACTS), stronger efficiency and electrification could hold consumption to nearly half that baseline level, with electricity supplying 57% of final energy by 2060.
These findings carry a clear message for policymakers: the way we manage demand matters as much as the way we expand supply. More efficient buildings, industrial processes and transport systems can substantially change the region’s energy trajectory.
AEO9 also makes a strong case for regional cooperation. National policies and targets alone deliver about three-fifths of the energy-demand and emissions reductions achieved under ACTS. Coordinated electricity trade, technology deployment, efficiency and investment can take us further. ACTS nevertheless leaves emissions above today’s levels in 2060, reminding us that progress must be accompanied by continued efforts to strengthen climate ambition.
The investment requirements are substantial. AEO9 estimates that reaching ASEAN’s 2030 renewable capacity target would require around 26 GW of new renewable capacity each year—nearly four times the previous deployment rate. ACTS requires average annual investment of approximately USD 405 billion through 2060 across energy supply and demand sectors.
Mobilising finance at this scale requires credible projects, clear market arrangements and institutions capable of coordinating delivery. Regional cooperation must help create these conditions.
The ASEAN Power Grid illustrates what this means in practice. Greater connectivity can allow countries to share renewable resources, diversify electricity supply and strengthen regional energy security. Realising these benefits requires coordinated system planning, workable arrangements for cross-border trade and sustained investment. Climate risk assessment must be part of that process, helping safeguard infrastructure and the communities and economies that depend on it.
Connecting infrastructure, finance, and people
ACE is advancing energy–climate integration through the ASEAN Climate Change and Energy Project (ACCEPT), implemented in cooperation with the Norwegian Institute of International Affairs (NUPI) and supported by the Ministry of Foreign Affairs of Norway.
Its report, Advancing Clean Energy in ASEAN: Leveraging the Interlinkages between SDG7 and SDG13, examines how integrated policies, climate finance and resilience can advance affordable and clean energy alongside climate action. Through collaboration with GIZ’s ASEAN EU-German Climate Action Programme, ACCEPT has also supported ASEAN power utilities in applying climate risk assessment tools and identifying adaptation options for energy infrastructure. This work helps utilities bring climate information into operational, planning and investment decisions.
The transition must also deliver for people. Affordability, employment, education, gender equity and meaningful participation will influence both its pace and its public support. ACE’s Guide to a Just and Inclusive Energy Transition in ASEAN provides a foundation for addressing these considerations. As technologies and energy systems evolve, we must ensure that people have opportunities to develop new skills, access employment and contribute to the decisions affecting their lives.
Buildings bring many of these priorities together. Improving their energy performance can help manage electricity demand, reduce emissions and improve comfort as temperatures rise.
ACE supports this work through the Asia Low Carbon Buildings Transition (ALCBT) Project, funded by the International Climate Initiative (IKI) of the German Federal Government, and the Programme for Energy Efficiency in Buildings in ASEAN (PEEB ASEAN), funded by Agence Française de Développement (AFD).
ALCBT strengthens policy frameworks, technical capacity and investment mobilisation for low-carbon buildings. PEEB ASEAN complements these efforts through regional policy cooperation, knowledge sharing, and technical and financial support for energy-efficient buildings and passive cooling. Together, they contribute to APAEC 2026–2030’s energy efficiency objectives, including its target to reduce energy intensity by 40% by 2030.
Bringing ASEAN’s priorities to COP31
COP31 offers an opportunity to connect these regional efforts with a wider international focus on implementation. The Presidency’s Action Agenda calls for electricity to supply 35% of global final energy consumption by 2035. Its buildings ambition seeks a reduction of at least 25% in operational energy intensity by 2035, relative to 2020 levels. These priorities align closely with ASEAN’s need to advance electrification and efficiency alongside cleaner electricity supply.
The Antalya Compact for Energy Efficient Buildings further connects building performance and electrification with the finance and capacity required for implementation. For ASEAN, these discussions are relevant to the practical challenge of meeting growing demand while improving how energy is used.
Under the banner “ASEAN Energy at COP31,” ACE, led by ACCEPT, will convene three panels at the ASEAN Pavilion to bring regional experience and implementation needs into these discussions.
“Advancing the ASEAN Power Grid for Energy Security, Climate Resilience and Sustainable Investment” will examine how coordinated planning, investment and climate resilience can support cross-border infrastructure and greater renewable energy integration.
“Financing Pathways Towards Low-Carbon Building Transition in ASEAN” will explore how policy, technical solutions and financing can improve building performance, strengthen project readiness and connect investment with measurable results.
“Building a Future-Ready Energy Workforce in Southeast Asia” will consider how governments, education institutions and employers can address emerging skills needs and expand access to opportunities across the energy transition.
I will also join fellow ASEAN stakeholders in the ASEAN Pavilion opening panel, “ASEAN Contribution to UNFCCC COP31,” to bring the energy sector’s perspective to the region’s broader climate discussion.
Our purpose in these engagements is to build partnerships that respond to ASEAN’s priorities and support delivery beyond the conference. This includes cooperation that advances cross-border infrastructure, makes financing more accessible, strengthens institutional capacity and prepares our workforce for change.
ASEAN has a shared direction. We must now sustain the cooperation needed to deliver it. By bringing energy and climate planning closer together, and matching ambition with investment and institutional capacity, we can build an energy future that is secure, resilient, low-carbon and inclusive. ACE is committed to working with our Member States and partners to make that future a reality.
