Asean fast-tracks regional power grid cooperation


Deputy Prime Minister Datuk Seri Fadillah Yusof. — Bernama

KUALA LUMPUR: Asean member states have agreed to expedite the implementation of the Asean Power Grid initiative and regional energy connectivity efforts to strengthen energy security cooperation, says Deputy Prime Minister Datuk Seri Fadillah Yusof.

Fadillah, who is also the Energy Transition and Water Transformation Minister, said the agreement was reached during the latest Asean Ministers on Energy Meeting, which included discussions on the Trans-Asean Gas Pipeline and the sharing of available energy resources among Asean member states.

“Hopefully, by the next Asean Leaders’ Meeting (in November), we will be able to finalise or realise particular objectives,” he told reporters after delivering his keynote address at the AI Leadership Summit 2026 organised by Microsoft Malaysia here yesterday.

In terms of financing, Fadillah said commitments from multilateral institutions remained intact, while interest from international and private investors, including the European Union, continued to grow.

Domestically, he said Tenaga Nasional Bhd is set to invest RM40bil in the next two years to upgrade its grid system, including the smart grid system with artificial intelligence (AI) elements. 

As part of efforts to accelerate renewable energy initiatives and reduce reliance on conventional energy sources, he said the government has launched the large scale solar 5 (LSS5) with a 2,000 megawatts capacity targeting operations through 2027, and is now opening tenders for the LSS6 future rollouts.

He added that the government is also considering the possibility of LSS7, in addition to battery energy storage systems to guarantee grid reliability.

Meanwhile, at the event, Fadillah said Malaysia must boldly embrace innovation to stay competitive globally, guided by values, accountability, inclusivity and compassion.

“Because technology guided by integrity can become one of the greatest forces for national resilience, shared prosperity, and social good,” he said. 

He also said that to shape Malaysia’s place in AI economy, the country must build green-by-design AI infrastructure, democratise AI capabilities across all levels of society, and integrate AI as a force multiplier across industries

The deputy prime minister also urged Malaysians to transform from passive users of technology into active creators, thinkers and builders. — Bernama

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