Malaysia, 19 February 2025 – ASEAN has become a strategic region with high economic growth and population density. This high activity has made the demand for energy in the ASEAN region continue to grow. To ensure that economic growth is in line with the need to maintain sustainable economic growth, systematic efforts are needed to transform the energy system.

The Institute for Essential Services Reform (IESR) through the Southeast Asia Energy Transition Coalition (SETC) views that as the ASEAN chairman in 2025, Malaysia has a strategic role to accelerate the growth of renewable energy and energy transition in ASEAN.

Dr. Norasikin Ahmad Ludin, Deputy Director of the Solar Energy Research Institute (SERI), Universiti Kebangsaan Malaysia, explained that the meeting between SETC coalition members and representatives of the Malaysian government aims to strengthen the commitment to energy transition in the Southeast Asia region.

“We will also listen to and observe Malaysia’s priority agenda in this year’s ASEAN chairmanship, especially those related to energy,” said Norasikin.

Fabby Tumiwa, Executive Director of the Institute for Essential Services Reform (IESR) proposed four pillars that can be implemented to transform ASEAN so that the goal of low-carbon economic growth can become a competitive economic system. These four pillars include first, accelerating renewable energy targets including accelerating the ASEAN Power Grid and initiating the ASEAN Just Energy Transition Partnership to increase ASEAN’s competitiveness. Second, making ASEAN a clean energy manufacturing hub considering the potential for critical minerals in ASEAN countries. Third, strengthening green investment and funding. Fourth, strengthening the workforce to welcome the energy transition era. This is important considering that currently there is no systematic mechanism to prepare the workforce for a career in sustainability.

Dr. Sufian Jusoh, Director of International Trade and Investment, Institute of Malaysia and International Study, explained several current priorities of the Malaysian Government including the development of electric vehicles including studies related to the use of hydrogen as an alternative fuel for private vehicles.

“We also conducted a study on the potential of ASEAN as a hub for the semiconductor industry and continue to encourage the creation of the ASEAN Power Grid interconnection,” he explained.

Sufian also highlighted the development trends of the technology industry such as data centers and massive artificial intelligence that require even greater energy.