ASEAN strives to enhance its competitiveness on the global stage and readiness for the transition under Carbon Neutrality Strategy. However, ASEAN will not be well-positioned to become an important part of the global net zero economy without robust human capital development—skilled, educated, and healthy individuals to drive the energy transition. Human capital has been a central ingredient in economic development, as evidenced by the Human Capital Index in ASEAN—ranging from 0.5 to 0.8—demonstrates a positive correlation with Gross Domestic Products (GDP) per capita.

Studies suggest that higher human capital affects higher energy consumption behaviour, but also consistently enhancing energy transition process. This is especially relevant as the region aims for a just and inclusive energy transition under its upcoming regional energy blueprint (ASEAN Plan of Action for Energy Cooperation: 2026-2030). If these are not convincing enough, there are also more factors to consider on why investing on human capital development must be considered as we transform the energy system.

This op-ed is published on the Bangkok Post. Read the full article here.