The Southeast Asia region is expected to see rapid energy demand driven by economic growth and population growth over the next few decades. Policy support for energy sectors and co-operation among the ASEAN countries are crucial to enable the reallocation of capital towards sustainable solutions and to ensure active participation from a wide range of investors. Wide-scale investment is needed across the entire energy system in ASEAN, from supply to infrastructure to the end-use sectors. with significant investment directing into renewables, energy efficiency and enabling technologies and infrastructure.
As the biggest economy in the region, Indonesia plays significant role in the region’s effort in reaching net zero by mid-century, committed to mitigating climate change, actively promoting energy transition mechanisms. As a fossil fuel-reliant emerging economy, the challenges in transitioning to sustainable energy are immense, extending beyond environmental factors to economic and social dimensions, particularly in emerging sectors like renewable energy technologies and energy efficiency services. Identifying effective financial tools, given the context, requires understanding key investment barriers, potentially related to regulation, technology, and infrastructure. The private sector is pivotal in Indonesia’s energy transition and call call for substantial investment and innovation, and inform strategies for engagement. A successful transition in Indonesia could serve as a scalable model for ASEAN, driving regional sustainability and economic growth.
The event highlighted the essential mechanisms for attracting energy transition financing and provide insights into the financial instruments currently generating profits in clean energy projects. The event underscored the need for robust policy support and regional cooperation, as well as fosters private sector engagement, particularly those with multinational interests. By aligning corporate strategies with government priorities, the event sought to strike a balance between immediate returns and long-term sustainability. Participants gained insights into energy transition financing, exploring practical strategies and innovative financial mechanisms derived from successful case studies. This knowledge aimed to facilitate immediate growth and future-oriented planning, promising substantial benefits for all ASEAN stakeholders. The event catalyzed ASEAN’s energy transition, ensuring future sustainability, reducing greenhouse gas emissions, and curbing fossil fuel dependency, to contribute to a sustainable and resilient ASEAN community.
Find more on AEBF 2023 website here.