Deep Dive Workshop

Identifying the Enabling Frameworks for Renewable Energy Multi-Lateral Power Trade

Organized by: U.S. Agency for International Development (USAID) Regional Development Mission for Asia (RDMA), USAID Southeast Asia Smart Power Program (SPP), and ASEAN Centre for Energy (ACE)

The Association of Southeast Asian Nations (ASEAN) Power Grid (APG) is the most ambitious goal within ASEAN’s Plans of Action for Energy Cooperation. Regional electricity planning studies, such as the ASEAN Interconnection Masterplan Study III (AIMS III), have identified the significant benefits of RE-MPT across an APG that connects all ten ASEAN Member States. These include (a) improving regional energy security and resiliency through diversity of supply and demand; (b) unlocking the renewable energy potential needed to meet national and regional decarbonization targets; and (c) keeping electricity affordable through resource and capacity -sharing.

Despite this promise, RE-MPT remains in a very formative stage, especially in Southeast Asia. Total cross-border RE power trade in renewable energy—mostly hydropower from Laos to Thailand—was about 40 TWh in 2022, compared to 1100 TWH of total power generation in ASEAN. Bilateral (grid-to-grid) power exchange was 8.6 TWh, and RE-MPT was just 0.2 TWh – all from ASEAN’s only MPT arrangement, Lao-Thailand-Malaysia-Singapore Power Integration Project (LTMS-PIP).

This Deep Dive Workshop will explore the technical, regulatory and commercial frameworks needed to expand RE-MPT, in line with both the ASEAN Energy Ministers directive for a fully operational ASEAN Power Grid by 2045 and the ASEAN Carbon Neutrality Strategy to 2050.