SINGAPORE: The Association of Southeast Asian Nations (ASEAN) must strengthen energy security, accelerate regional electricity connectivity and mobilise investment for energy projects to meet growing demand and improve the region’s resilience, said its Secretary-General Dr Kao Kim Hourn.
He said these three priorities were closely linked and important to translating regional energy cooperation commitments into practical outcomes for member states.
"The priority now is to turn this commitment into practical results," he said in his keynote address at the Singapore International Energy Week (SIEW) Summit here.
Kao said ASEAN must improve its preparedness for energy supply disruptions, diversify its sources of supply and enhance energy efficiency amid uncertainties in global energy markets.
He also stressed the importance of regional cooperation in sharing information, conducting joint emergency exercises and strengthening arrangements to coordinate responses to potential disruptions.
On regional electricity connectivity, Kao said the ASEAN Power Grid could enable countries to share resources, transfer electricity to areas of demand and provide mutual support during supply disruptions.
He said the Laos-Thailand-Malaysia-Singapore (LTMS) Power Integration Project had demonstrated that multilateral electricity trade could work, providing a foundation for expanding regional cooperation.
However, he said stronger electricity interconnections would need to be supported by coordinated planning, transparent cross-border trading rules and reliable infrastructure, including arrangements for maintaining and repairing submarine power cables.
Kao also said that governments, private investors and multilateral financial institutions must work together to finance energy infrastructure and ensure regional plans could be translated into deliverable projects.
"I would encourage financial institutions to engage early and remain involved throughout the coordination effort.
"Different projects and stages of development require different forms of financing, grants and support for project operations," he said.
Kao also said governments need to establish clear rules for cross-border electricity trade and fair risk-sharing arrangements to encourage investment.
"Our cooperation will succeed when projects are completed and deliver tangible benefits across the region," said Kao.
In addition, he said Singapore’s ASEAN chairmanship in 2027 would provide an opportunity to advance regional energy commitments and strengthen implementation. - Bernama
