ASEAN’s Renewable Energy Has Huge Potential but Minimum Progress

Energy transition is a fundamental part of climate mitigation efforts. Globally, countries and regions have claimed commitment to ramp up renewable energy integration, including in Southeast Asia. The Global Energy Monitor’s latest report explores the current state of ASEAN’s renewable energy integration, specifically in solar and wind.

ASEAN’s Renewable Energy

As a region, ASEAN has an abundant renewable energy potential, particularly solar and wind. ASEAN Member States have set targets to reach 23% of renewable energy in the primary energy mix and 35% of installed renewable energy capacity by 2025. Despite the targets, the region still largely depends on fossil fuels to meet the ever-growing energy demand.

The report “A Race to the Top Southeast Asia 2024” was published by the non-governmental organization Global Energy Monitor (GEM). According to the report, ASEAN’s renewable energy operating capacity in solar and wind has grown by a fifth since 2023. Currently, the region has over 28 GW of utility-scale solar and wind operating capacity, making up 9% of ASEAN countries’ total electrical capacity.

With all renewable sources combined, ASEAN currently has 32% of installed renewable capacity. The region still needs to add 17 GW of utility-scale solar and wind capacity to reach the 35% target.

Challenges in Solar and Wind

Among the ASEAN Member States, Vietnam has the largest solar and wind operating capacity of 19,501 MW, followed by Thailand (3,133 MW) and the Philippines (3,018 MW). Meanwhile, the report stated that ASEAN currently has a total of 220 GW of prospective utility-scale solar and wind, 80% of which are located in Vietnam and the Philippines.

Despite the number, however, only 3% (6.3 GW) of the total prospective capacity is in construction. The report attributes the lack of funding as the primary cause of this under-construction. For instance, nearly 40 GW of projects in Vietnam have been without progress since 2022 due to the lack of incentives. Weak supporting policies and implementation of international partnerships such as Just Energy Transition Partnerships (JETP) are also cited as challenges in improving these projects.

Supporting Renewable & Phasing Out Coals

With the region’s abundant prospects, ASEAN must harness its potential to achieve, even surpass, the 35% renewable energy capacity target. At the same time, ASEAN member states must take the bold step and commit to end the use of coal and fossil fuels while improving their policy and incentive mechanisms to support renewable energy projects.

Janna Smith, a researcher at the Global Energy Monitor, said, “With the world now aiming to triple renewables capacity by 2030, governments need to make it easier to bring wind and solar power online. Switching to renewables now from coal and gas will save countries time and money on the path to a clean energy future.”

Read the full report here.

Editor: Nazalea Kusuma

Kresentia Madina

Reporter at Green Network Asia | Website | + posts

Madina is the Assistant Manager of Stakeholder Engagement at Green Network Asia. She holds a bachelor’s degree in English Studies from Universitas Indonesia. As part of the GNA In-House Team, she supports the organization's multi-stakeholder engagement across international organizations, governments, businesses, civil society, and grassroots communities through digital publications, events, capacity building, and research.