The ASEAN Power Grid (APG) stands as a cornerstone of ASEAN's energy transition strategy, offering a pathway towards cleaner and more sustainable energy systems. With the region facing escalating climate risks and growing energy demand, the APG presents a transformative solution to facilitate the integration of renewable energy sources, enhance energy security, and reduce carbon emissions. By fostering cross-border power exchanges and promoting the adoption of renewable energy technologies, the APG aligns with ASEAN's commitments towards a low-carbon future.

To achieve the double goals of economic growth and climate targets, ASEAN member states require around $300 billion for their national power grid development, including $16 billion investment for 18 interconnection projects to facilitate energy exchange among ASEAN member states by 2040. Despite the evident benefits and long-term potential, limitations persist in securing the necessary investment to materialize these interconnection projects. Factors such as regulatory frameworks, political considerations, economic uncertainties, and the perceived risk associated with cross-border infrastructure investments pose significant barriers to accessing financing.

The urgency of advancing the APG agenda calls for concerted action from diverse stakeholders, including government agencies, multilateral institutions, private sector, and civil society organizations. Policymakers are tasked with creating an enabling regulatory environment and fostering political support for APG initiatives. Multilateral development banks play a pivotal role in providing technical assistance, financing solutions, and capacity-building support to accelerate APG development. Meanwhile, private sector engagement is essential for driving innovation, technology deployment, and project implementation. Civil society actors contribute by advocating for sustainable energy policies, promoting community engagement, and fostering stakeholder collaboration.

Considering these constraints, the session aims to foster dialogue, collaboration, and strategic partnerships among stakeholders to unlock the full potential of the APG in powering ASEAN's sustainable future. By highlighting the interconnectedness of energy, climate, and development agendas, the session seeks to renew political commitments and collective actions towards a resilient, inclusive, and low-carbon energy landscape in ASEAN.