In order to achieve SDG7 in Southeast Asia: “Ensuring access to affordable, reliable, sustainable and modern energy for all”, ASEAN Centre for Energy (ACE) held a virtual webinar on 23 June 2021 to discuss efforts in escalating the progress and tackling the challenges of rapidly evolving energy markets. It is an official side event of the United Nation’s High-Level Dialogue on Energy: Ministerial-level Thematic Forums. The focus of the discussion is on how to enhance the robustness of energy policy and plan to reduce investment risks. Therefore, ASEAN can be a sustainable, equitable, and resilient energy community in reaching the SDG7 by 2030.   

Photo caption: Escalating the Progress of SDG7 in Southeast Asia webinar moderated by Dr. Zulfikar Yurnaidi

Opening remarks were delivered by the manager of ASEAN Climate Change and Energy Project (ACCEPT), Mr. Beni Suryadi. The webinar was moderated by senior research analyst of ACCEPT, Dr. Zulfikar Yurnaidi. The panelists were Ms. Elis Heviati, S.T., Coordinator of Investment and Cooperation in Bioenergy, Ministry of Energy and Mineral Resources of Indonesia; Dr. Mary Ann Quirapas-Franco, Research Fellow of Energy Studies Institute; Mr. Logan Knox, Director and CEO of UPC Renewables Vietnam; and Mr. Rizky Fauzianto, Team Leader of ASEAN German Energy Programme of GIZ.  

In relation to the SDG 7 progress in the region, 5 ASEAN Member States (AMS) have reached 100% electrification while 138.7 million ASEAN people still use traditional biomass for cooking. Substantial increase of energy demand will be met by renewable rnergy (RE),  and as of 2017 ASEAN had surpassed the 2020 regional target of achieving 21.6% energy intensity reduction. To escalate SDG 7 progress, socio-economic approaches, key stakeholder’s involvement, breaking the silos between sectors, and synchronizing with COVID-19 recovery are needed. 

Ms. Elis emphasized the importance of bioenergy role in RE and the implementation in Indonesia where as of now Indonesia has achieved B30 mandate in the transportation sector. However, many people in Indonesia still depend on traditional biomass for cooking. Government of Indonesia have been working hard to achieve the SDGs. Indonesia has not yet reached 100% electrification target, the rate is only 90.2% in 2020. In area with no access to electricity especially in remote and distant part of Indonesia, RE will take an important role to supply energy demand. The RE program includes the use of indigenous source such as communal solar PV, mini power hydro and mini biomass powerplant. To reduce the consumption of imported Liquid Petroleum Gas (LPG), there will be expansion of gas network up to 4 million new connections in 2024. To boost the investment, the government will offer private parties to get involved through the public-private partnership scheme.  

Dr. Mary pointed out that the main challenge for rural electrification is more than to survive everyday lives, but to see electricity as enabler to achieve sustainable development. Long term energy access of a community, energy resilience for disaster prone area, sustainable energy for socio economic activities, and community based RE projects need to be put into consideration. Dr. Mary then highlighted three issues. First, the provision of clean and affordable energy sources is more than a hardware issue; this problem cannot just be addressed by simply deploying renewables in the community and assuming that people would continue to use it. This means that any clean energy intervention should not only invest on the technology side of the project but also the people who will use the RE technology. Second, policy or any type of community development intervention would need to define how rural electrification in energy access measured. Third, from disaster preparedness and recovery perspective, there is consideration about how clean and RE technology could improve rural area’s energy resilience.    

Mr. Logan explained that the private sector like UPC Renewables has been able to do quite a lot in ASEAN from the past 5-7 years. RE projects in ASEAN has increased significantly. For example, in 2016, Vietnam had only around 100 MW of solar power, and now there are between 15,000-20,000 MW.  Green energy has grown dramatically over the last decade and became commercially attractive. To achieve our goal for the next nine years under SDG 7, probably there will be several trends that will help us, including cheaper storage. The private sector can contribute largely as long as they are given proper framework on the achievements and clear regulatory standards. 

Mr. Rizky described that GIZ has special focus on the achievement of SDG7, in conjunction with other SDGs, through several projects, such as those of clean energy topic in the region. For several years, the project has been proven as crucial to address the gap on regulatory frameworks, as well as strengthen investment and cooperation of all the stakeholders, such as the government, private sector, academia, and international organisation.  

Photo caption: Q&A session with the four panelists

Dr. Zulfikar then led the panelists to the Q&A session. Ms. Elis described that to fulfill electrification and RE target, Indonesian government will use local RE potential as it is more efficient, effective and affordable. The use of local RE potential will involve society engagement that will increase their sense of project ownership. Innovation in clean cooking and incentive and disincentive mechanism will be very important. Dr. Mary explained that RE project implementation in rural areas need continuous engagement in order to be a successful intervention. For example, in the Philippines, local community’s organisation and NGOs need to be more institutionalised in terms of rural electrification. Mr. Rizky mentioned that clean energy projects in Southeast Asia are growing. Challenges in matching between the donors and the recipients are there on technical side, but in the higher perspective they are quite manageable. Mr. Logan shared the case of Vietnam and pointed out that it is crucial to maintain sustainable growth of renewable energy penetration and to avoid a boom-and-bust cycles that has happened in some markets in Asia. 

Mr. Beni wrapped up the session with closing remarks by quoting Mr. Logan on the importance of continuous effort and collaboration. This is in line with ACCEPT purpose to improve the coherence between energy and climate policies through several studies and collaborative efforts to support the achievement of SDG7. He also promoted the ASEAN Researchers Network on Energy and Climate Change (ARNECC) as a platform of collaboration, especially with academe and research institutions.