0:02 Today's session entitled towards
0:04 regional inclusivity and sustainability
0:06 through the ASEAN power grid brings
0:08 together policy makers, industry
0:10 experts, financial institutions and
0:12 research partners to explore how
0:15 regional power integration can advance
0:17 ASEAN's collective energy transition
0:21 goals. The ASEAN power grid or APG
0:23 stands as a cornerstone of regional
0:25 cooperation connecting nations
0:27 strengthening energy security as well as
0:30 unlocking renewable energy potential for
0:32 a more inclusive as well as a more
0:34 sustainable future. So to initiate the
0:37 session may I invite back on stage Dr.
0:39 Nuki Aayotama, director for energy
0:41 policy and head of the Asia Zero
0:43 Emissions Center to deliver his opening remarks.
1:04 >> Uh thank you again uh excellencies.
1:06 It is my distinct honors to welcome you
1:10 to the 8th East Asia Energy Forum
1:12 convened as one of the plinary session
1:16 of the 25th Asan energy business forum
1:18 in the dynamics and also hospitalitable
1:21 city of Columpur and on behalf of the
1:23 economic research institute of uh Assean
1:26 and East Asia area and close partnership
1:27 with the energy research institute
1:30 network arin and also asan center for
1:34 energy and Malaysia Petra as the host. I
1:36 extend our deepest appreciation for all
1:39 your presence today in this important dialogue.
1:41 dialogue.
1:44 Over the past years, EAF has emerged as
1:47 a valued platform where policy makers,
1:50 industry leaders, and researchers
1:52 exchange views on the region's evolving
1:55 energy priorities from energy security
1:57 and affordability to sustainability and innovation.
1:59 innovation.
2:02 The forum supports evidence-based and
2:04 inclusive collaboration.
2:06 Last year in Fiantin, we focused on
2:09 inclusive and sustainable policy
2:11 direction and this year we focus on the
2:15 Assean power grid.
2:17 This Asian power grid is not only an
2:20 infrastructure project but also a
2:23 strategic enabler capable of unlocking
2:25 renewable energy, improving regional
2:28 reliability and also driving shared prosperity.
2:30 prosperity.
2:32 However, achieving this requires uh
2:34 achieving this target requires a
2:37 regulatory harmonization,
2:39 innovative financing and also stronger
2:42 partnership across sectors and borders.
2:44 In these efforts, three-parted
2:46 collaboration among government, industry
2:49 and academia is essential. Governments
2:51 provide the policy and crossber
2:54 frameworks. Industry delivers capital
2:56 and technologies.
2:58 This is where the Asia zero emission
3:00 community initiative supported by area
3:02 through the Asia zero emission centers
3:05 adds value.
3:06 Azac offer a regional framework for
3:09 pragmatic multipathway recreation a
3:11 bridging technology option financing
3:13 mechanism and country specific
3:16 priorities in line with the Assean plan
3:18 of action for energy cooperation or API
3:21 as stated by dat razibly
3:24 area remains committed to supporting
3:26 ASEAN through research innovation and
3:29 regional cooperation
3:31 within these activities.
3:33 Our contribution include work on grid
3:35 integration, crossber power trade
3:37 modeling and market design tools such as
3:39 the layout market approach which
3:41 provides a flexible framework for
3:43 regional integration
3:47 through EIF AIN Azac. We remain
3:50 committed to translating dialogue into
3:53 action with solution that reflect both
3:55 national realities and regional goals.
3:57 And I trust that today's deliberation
4:00 will generate valuable insight. And I
4:02 encourage you to be bold in your
4:05 exchange of ideas. And let us think
4:07 collectively about how to advance the
4:10 Asan power grid in a way that it is not
4:14 only technically feasible but also
4:16 politically grounded and socially
4:19 inclusive. And together we can position
4:21 Assean not only as growing energy
4:24 consumer but as a global hub of
4:27 sustainable innovation.
4:30 As Bach Minister Fuller once said, we
4:32 are called to be architect of the
4:35 future, not its victims.
4:39 The Assean power grid is our opportunity
4:42 to be such architects shaping a future
4:44 that is sustainable,
4:48 secure and prosperous for all. Again,
4:50 thank you so much for your attention and
4:52 look forward for the fruitful discussion
4:53 ahead. Thank you so much.
4:56 >> Well said. Thank you so much, Dr. Nuki.
4:57 Kindly make your [music] way and be seated.
4:59 seated.
5:01 And next up, ladies and gentlemen, we'll
5:03 be hearing the welcoming address by His
5:05 Excellency Tuan Akmar Nasula bin
5:07 Muhammad Nasia, the deputy minister of
5:09 energy transition and water
5:12 transformation of Malaysia. Deep Silaki,
5:15 his excellency Tuan Amma Nasula to
5:17 join us on stage for his welcome
5:44 Uh very good morning again. uh this is
5:48 very unusual to speak backto back two
5:51 different events in the same hall in the
5:54 same context and just now I also
5:57 realized that Dr. Razip just steal my
6:02 text almost similar but I think uh given
6:13 Dr. Yanuki Aya Utama the director of for
6:15 energy policy and head of Asia zero
6:18 emission center Ibu Madame Dana vice
6:21 minister public works of Indonesia. So
6:24 again is my privilege to be here at the
6:27 8 East Asia Energy Forum uh this
6:30 morning. First and foremost, allow me to
6:33 take this opportunity to thank area and
6:36 the government of Japan for the dialogue
6:38 partnership with ASEAN.
6:40 Our energy cooperation has been very
6:44 strong for the longest time and it is
6:47 imperative that it has supported ASEAN
6:50 to advance towards our regional energy
6:53 goals and cooperation
6:55 through the many initiative for energy
6:58 efficiency and conservation,
7:02 smart grid development, hydrogen and
7:04 ammonia technologies, lowcarbon
7:09 infrastructure and other topics Assean
7:12 have moved forward towards our regional
7:15 goal with the support of Japan. These
7:17 efforts are not only technical but they
7:21 are also deeply strategic. They help
7:24 ASEAN build the capabilities, confidence
7:27 and connectivity needed to transition
7:30 toward a cleaner and more integrated
7:32 energy future.
7:35 Looking forward as we prepare to
7:39 transition from APAT phase 2 to APA 2026 2030,
7:41 2030,
7:43 ASEAN is committed to strengthening
7:46 regional cooperation towards a more
7:50 sustainable and interconnected region.
7:54 The ASEAN power grid APG as Dr. Nuki mentioned
7:56 mentioned
8:00 remains a key initiative to strengthen
8:02 regional power interconnections,
8:05 energy security and electricity trade
8:09 across the Assean member states.
8:13 APG plays a critical role in balancing
8:16 supply and demand, unlocking renewable
8:20 energy potential and supporting a just
8:24 inclusive energy transition in line with
8:27 Malaysia's 2025 chairmanship team
8:31 inclusivity and sustainability.
8:34 Apart from the initiative in the APG,
8:37 natural gas, coal transformation,
8:39 energy efficiency,
8:43 renewable energy, energy policy planning
8:46 and nuclear energy will also be central
8:49 for ASEAN to achieve our regional targets.
8:51 targets.
8:53 We commend the support of area and the
8:55 government of Japan through regional
8:57 activities with the ASEAN center for
9:01 energy to implement the APA. We believe
9:03 Assean Japan collaboration will continue
9:06 to play a vital role in supporting ASEAN
9:10 to this journey. Let us use this forum
9:12 to deepen our partnerships, align our
9:15 priorities and accelerate our shared
9:18 goals. I invite all stakeholders to
9:20 actively engage in the sessions and days
9:23 ahead as the AABF is convening the
9:26 global energy stakeholders. Thank you again.
9:32 Thank you your excellency. Kindly remain
9:34 on stage. We are going to do one group
9:36 photo [music] op. I would like to invite
9:38 Dr. Nuki as well as all our
9:40 distinguished panelists, speakers and
9:43 [music] moderator for plenary 1 on stage
9:45 for a quick group photo op with [music]
10:32 Excellent. Thank you so much. Kindly be
10:33 [music] seated.
10:36 Dr. Wiraad, kindly remain on stage.
10:38 Jimasi once again, your excellency for
10:40 the welcome address.
10:43 Right. Ladies and gentlemen, to set the
10:46 scene for the panel discussion, would
10:49 like to invite Dr. Widowat Chan Tank and
10:50 the senior consultant on energy policy
10:53 area to now begin setting the scene.
11:14 Good morning ladies and gentlemen. So
11:19 welcome back to the the 8th EIF the uh
11:23 East Asia entity forum today here in Kuran.
11:31 So as you have heard you know from this
11:35 morning our deputy prime uh minister uh
11:38 executive director of as and uh the
11:41 director of energy of the ERA just
11:44 mentioned that the uh our region you
11:48 know the Southeast Asia uh slow common
11:52 transition cannot succeed in isolation.
11:56 So I think our region diverse geography,
11:59 uneven energy resources and fragmented
12:02 market structure definitely demand
12:06 crossber cooperation. So energy security
12:09 today hinges on interconnected as you
12:12 have heard low carbon system not just
12:16 domestic field supply. So that's why the
12:20 ASEAN uh power grid APG as you know is a
12:23 central to this vision linking nation to
12:27 the share infrastructure and cooperation
12:30 while ensuring of course resilient and affordable.
12:38 Ladies and gentlemen, the LA PDR
12:40 Thailand Malaysia Singapore power
12:42 integration project as you know LTMS
12:46 launches in 2022 marks the ASEAN first
12:50 multilateral clean electricity trade. So
12:52 for Singapore
12:55 which lacks domestic renewable resources
12:57 is proved that important you know the
13:00 clean power across border is both
13:03 possible and practical as you can see
13:05 Singapore trying to do now. So the
13:08 projects of like for example the LTMS
13:12 100 megawatt of LA hydro power we
13:16 Thailand we Malaysia is a start but you
13:19 know still far short of the gigawatt
13:21 scale imports that needed to meet
13:24 climate target and f growing and digital
13:28 economy that we are trying to do.
13:31 So while the LTMS prove technical
13:35 feibility is also reveal major hurden
13:38 for example scale remain limited
13:42 trading mechanism are stateto state not
13:45 market based yet and infrastructure gap
13:48 regoratory mismatches and technical
13:51 standards vary across country as you know.
13:53 know.
13:55 So apparently you know to addressing
13:59 this require political will that's very
14:01 important that's why on the other loom
14:03 we have amen meeting right this is very
14:06 important political view first
14:07 institutional reform and investorfriendly
14:09 investorfriendly policy
14:16 electricity demand in ASEAN is expected
14:18 to double by 2040 and driven by
14:22 industrialization and urbanization simultaneously
14:24 simultaneously
14:26 countries have committed to increase
14:28 renewable energy under the Asen pan of
14:30 action for corporation and the Paris
14:35 agreement. So yet natural re assets for
14:39 example the hydro power in Meong region,
14:41 solar in Indonesia and Thailand, win in
14:46 Vietnam and not even you know I mean
14:49 distribute evenly
14:52 without crossber trade. I think much
14:56 potential gap still go uncapped
14:59 but anyway fossil dependence persist elsewhere.
15:06 Asen chair this year 2025 Malaysia has
15:10 prioritized you know the APG try to
15:13 pushing for harmonized Greek code for
15:16 transparent trading rules and for
15:19 financing for interconnection.
15:22 So Malaysia also aims to become a clean
15:24 energy exporter through hybrid renewable
15:27 energy project and aims to boost
15:30 renewable energy to 40% of install
15:32 capacity by 2035.
15:35 So this leadership of Malaysia is
15:37 important to fostering regional trust
15:46 Singapore complements RTM RTMS of course
15:49 by exploring import rules you know
15:51 currently try to do from Vietnam,
15:54 Indonesia and Cambodia aiming for at
15:58 least 4 gawatt of low carbon import by 2035.
15:59 2035.
16:02 So it is investing you know in subse
16:05 cable is coming soon for solar and
16:08 energy storage while advocating for the
16:11 competitive Asan electricity market to
16:14 mobilize private capital and try to
16:23 A fully integrated regional market would
16:25 for example balance supply and demand
16:27 across countries, reduce carbon
16:30 intensity and cost and of course enhance
16:33 resilient against climate against fuel
16:36 price and geopolitical shock. So the
16:39 LTMS offer a model and with Malaysia
16:42 momentum, ASEAN can scale up into the
16:45 decarbonized interoperable
16:49 APG system, transforming power trade
16:52 into the pillar of prosperity and sustainability.
16:59 For the way forward beyond cable of
17:02 course success required first technical
17:07 up cooperation for grid reliability
17:10 need flexible market mechanism they
17:12 going to hear from panelists from now
17:14 alongside liquoratory alignment which is
17:17 very important to attract investment and
17:20 shaping policy to catalyze investment in
17:23 the Assean power grid. So for this the
17:26 Assean you know plan Asan power grid
17:29 represent more than infrastructure.
17:33 It is a symbol of Assean solidity.
17:36 Electricity will shape the region future
17:38 and deepening cooperation will ensure it
17:41 is cleaner, more affordable, more secure
17:43 and more inclusive.
17:46 Ladies and gentlemen, electricity will
17:50 define Southeast Asia future. you're
17:52 going to hear from today not just
17:55 empowering economies but in shaping our
17:57 collective resilient and sustainability.
18:01 So the APG offer a bold part forward.
18:04 Greener, more secure, more inclusive and
18:08 growth for all. But this vision will
18:11 only become reality if we scale up
18:13 integration grounded in trust,
18:16 innovation and share commitment. That's
18:20 why in in a this week you can see the
18:22 MOU will be signed for 10 country to
18:28 scale up the interconnection under APG.
18:31 So you know we trust that together we
18:33 can transform energy corporation into
18:36 the cornerstone of regional prospect
18:40 prosperity and power a greener stronger
18:43 assean future united. So ladies and
18:46 gentlemen the next session will show a
18:49 picture clear picture of APG toward
18:52 regional inclusivity and sustainability.
18:54 Thank you very much.
18:56 >> Thank you so much Dr. Wiraad for setting
18:59 the scene. And now ladies and gentlemen
19:01 for our eighth East Asia Energy Forum
19:03 panel, I would like to invite our
19:05 moderator for this session, Ichiro
19:06 Koutani, the senior research director
19:09 from EEJ [music]
19:12 on stage to moderate our panel
19:13 discussion. [music]
19:26 Uh welcome everyone to this plenary
19:28 session uh discussing about the Assean
19:29 power grid. Thank you very much for
19:31 joining uh this session.
19:35 Uh as everyone knows uh ASEAN power grid
19:38 is critical for enabling uh the
19:41 sustainable and prosper uh development
19:44 in this region. However, uh we also see
19:46 the challenges to materialize
19:49 progressing accelerating uh this plan
19:51 and this session I will discuss such
19:54 challenges uh in developing uh Assean
19:58 power grid and let me firstly invite uh
20:01 the four distinguished panelist uh the
20:04 firstly Dr. Pilapat uh senior energy
20:06 analyst power and system integration
20:18 [music] and Mr. Shaw Hayashi policy
20:21 fellow on energy transition and finance
20:31 and Dr. Hung Fuming, senior energy
20:46 and Dr. Chen Sun, senior vice president
20:48 for strategy and cooperation
20:52 development, Salawak Energy. [music]
21:04 The session will structure in two parts.
21:06 The first one is to listen for their
21:09 insight from our distinguished uh
21:12 panelist and followed by some critical
21:16 questions to those panelists. So without
21:18 further ado, I would like to uh proceed
21:22 to the first insight from Dr. Pilipat
21:30 Thank thanks very much and thank you for
21:32 the invitation to participate in these
21:35 sessions. Um first off uh I just like to
21:38 talk about in terms of the process of
21:41 regional integrations. It is a lengthy
21:44 process as shown in this uh figure here.
21:46 Um we have looked at some of the key
21:49 milestones of re regional integrations
21:52 globally that's including power grid as
21:54 well. So the first bilateral meeting is
21:57 the one that really um happened
22:00 relatively early as you can see that in
22:03 in Europe it's starting back in 1920 and
22:05 then for the Asan power grid it's right
22:08 in around the 1960s but what really
22:12 kicked off the multilateral is about the
22:16 agreement the signing of the MUS between
22:18 governments as you can see that the AEN
22:21 power grid was signed the MOU was signed
22:24 in 2007 seven and will be as Dr. Revat
22:26 highlighted that it will be renew it
22:30 will be the new one um this week.
22:32 So we have looked at the other key
22:34 milestone as well after the signing of
22:36 MOU is the establishments of the
22:39 regional entity such as the regulator as
22:42 you see here that the markets um outside
22:44 the RCN is you know have the the
22:47 regional entities ranging from Central
22:50 America, Eastern Africa, Western Africa,
23:01 Just want to
23:04 okay um the next one is that I just want
23:06 to highlight in terms of the market
23:07 integration levels we have classified
23:10 into three stages. The first one is the
23:13 early stage um and then the second
23:15 moving from early stages to the shallow
23:17 stage and then to the deep stage and the
23:20 levels is depending on the factors which
23:22 I've highlighted here that the first one
23:24 is about the hard infrastructure which
23:27 is the interconnections infrastructure
23:29 and then the rest is about the soft uh
23:32 infrastructure that's including
23:34 institutional architecture what the the
23:36 regions have in place and then in terms
23:39 of the planning and investment and
23:41 coordinations, how the planning has been
23:44 integrated uh at the national levels and
23:46 whether it's considered regional visions
23:48 and then the technical harmonizations
23:50 and the standards uh between the
23:52 jurisdictions that involve in the
23:54 multilateral trades and then the last
23:56 one is about commercial tradings and the
23:59 market designs and the country the
24:00 regions that are considered in the early
24:04 stage is the LTMS um the Lao Thailand,
24:07 Malaysia and Singapore but then the LTMS
24:09 also moving from early stage to a
24:11 shallow stage as well because the
24:13 development that we we have seen
24:16 especially over the past few years and
24:18 then for the shallow stage some of the
24:20 examples including the South African
24:22 power pool and then Central America or
24:25 CPAC and then for the deep stage where
24:29 there's a full grid infrastructure uh to
24:31 help with the multilateral trade is the
24:33 EU and then the Nordic electricity
24:36 market as well as the north some of
24:38 North American system including PJM
24:47 Just want to highlight that um key
24:50 stakeholders uh that [clears throat]
24:53 play a key roles in establishing the
24:56 regional integrations and to advance the
24:58 regional integrations including
25:01 governments, regulator and utilities.
25:02 For governments it provide the
25:05 politicals impose for crossber power
25:08 system integrations and to enforce the
25:10 regional regulations and then for
25:14 regulator is oversee and to ensure that
25:15 uh the integrations
25:20 are efficient and equitable and then the
25:22 another key stakeholders is utilities
25:24 including the system operators is the
25:27 driving force behind the regional level
25:29 technical harmonizations because they're
25:31 the one that deal with all the
25:33 technicals um doing the system
25:40 So I just want to end with the key
25:42 enabled factors for success of the
25:44 regional integrations. So that's
25:46 including strong political will to
25:48 cooperate and then sound crossber
25:50 trading rules and transmission
25:52 regulations and the last one is about
25:54 regional institutions with clear and
25:57 significant executive power. I just like
26:01 to um end my uh presentation here. Thank you.
26:02 you.
26:04 >> Thank you Dabat.
26:06 Uh he has clearly mentioned the
26:08 development stage of RSA power grid and
26:11 uh what we should do uh in harmonizing
26:13 the market. Thank you very much. And
26:32 Good morning everyone. Uh my name is Sho
26:34 Hayashi from area and covering
26:36 transition finance and carbon market
26:40 related projects and well as Pakniki
26:43 already mentioned our activities um well
26:45 transition finance um plays a crucial
26:48 role in enabling um and realizing all
26:50 the uh energy and decarbonization
26:54 related projects in the region. Um in in
26:57 order to uh realize them uh however uh
26:59 we we have a lot of uh different
27:02 obstacles uh we have we need the policy
27:05 coordination that will uh remove the
27:09 risks um uh for the business cases. Uh
27:11 also there are technical advancement uh
27:15 that is required and also uh maybe we
27:18 need the development of a carbon market
27:20 uh to make uh those projects financially
27:23 feasible and in order to um uh
27:25 debottleneck uh all those challenges
27:28 area uh is working on different layers
27:31 of projects uh on transition finance. Uh
27:34 the first is the ATF study group which
27:36 is basically a platform of uh different
27:39 stakeholders uh both private financial f
27:41 uh private and public financial
27:44 institutions as well as industry players
27:47 and government regulators. Um as a a
27:50 dialogue uh platform for everyone to
27:52 bring in their challenges. Um and also
27:55 we engage with individual stakeholders
27:59 to uh uh uh remove and uh uh support
28:03 them uh to uh take a step forward uh in
28:06 realizing the transition finance. And
28:08 lastly uh we provided knowledge support
28:13 tools uh which is meant to uh uh provide
28:16 the uh uh neutral or knowledges and uh
28:19 facts uh for the stakeholders to make
28:22 necessary decisions.
28:24 And just introducing a bit of our uh
28:28 outputs recently. Uh one of them is the
28:31 uh area ADB METI joint report on
28:33 transition finance uh that is going to
28:35 be uh officially launched um this week
28:39 as well. And uh the background here was
28:42 that uh there had been a significant
28:45 growth of uh uh green financing in the
28:48 region over the past uh decade. However,
28:51 uh our uh sense is that we need more
28:54 financing that has to go into uh not
28:58 only scaling up the renewables but the
29:00 uh uh financing for the building
29:03 necessary infrastructure and as well as
29:06 uh uh supporting decarbonization of the
29:08 hard to abate and uh high emitting
29:12 sectors. And in this context uh so APG
29:17 is obviously uh a huge um uh chunk of a
29:19 project uh that would require uh
29:28 and so uh we are also uh as area uh
29:30 investigating different options and
29:34 scenarios uh for the region um uh so uh
29:36 especially uh at the moment we are
29:38 working on the uh case of Sarowak and
29:40 also Vietnam
29:45 um and how uh those uh uh uh grid can
29:47 connected uh each other and to support
29:50 the decarbonization of the region. Uh
29:53 also uh we're uh uh we are going to
29:55 investigate the potential of the
29:59 underground uh undersea uh cable uh as a
30:02 means to uh
30:05 uh connected region um with a lot of
30:08 islands. Obviously
30:11 also uh we uh as a knowledge support
30:13 tool uh we developed the technology list
30:17 and perspectives or TLP uh which uh is
30:19 basically a list of uh hundreds of
30:22 technologies that will contribute uh to
30:24 the region's decarbonization
30:27 and also uh out of those 176
30:30 technologies uh we conducted deep dive
30:32 especially for the technology uh
30:34 transition related technologies
30:38 um uh so that uh for example uh uh we
30:42 provide the uh affordability of those
30:44 pro uh technologies as well as how much
30:46 decarbonization contribution they can
30:49 make uh how does it fit under the
30:53 current ASEAN uh taxonomy. So all those
30:56 uh analysis is provided in order to
30:57 support the decision making of the
31:02 stakeholders in the region. And so uh uh
31:04 under the energy midstream sector uh we
31:08 are uh uh we also uh have several
31:10 technologies listed up uh just as an
31:13 example. So it's not the only uh
31:16 technologies but uh for example HVDC uh
31:19 transmission system uh smart grid uh
31:23 utility scale batteries uh and VSSG and
31:26 DC micro grid um all of those uh
31:28 technologies uh require further
31:32 development and installment uh um and
31:35 therefore uh we need the collaboration
31:37 among different stakeholders to make uh
31:39 all those uh technologies financially
31:42 feasible. So I I'll stop here and pass
31:45 it to the next speaker. Thank you.
31:47 >> Thank you very much Mr. Hayashi for your
31:49 insight about the transition finance and
31:52 taxonomy for investment.
31:56 And next is uh Dr. Hungum uh for yours. Thank
31:56 Thank
31:58 >> thank you so much uh Kenis and a very
32:01 good morning uh excellency distinguished
32:04 participant lady and gentlemen. uh today
32:06 uh I want to introduce you a new
32:10 architecture of how we able to move a
32:12 power grid to the next level to be uh integrated
32:14 integrated
32:18 uh uh multilateral uh trading. So I
32:20 think this is under developed under area
32:24 study by understanding the complexity
32:28 within Azen how we able to treat each
32:30 country in a unique way at the same time
32:33 we able to allow country to advance and
32:36 participate in electricity market but I
32:38 think the first of all from the outset
32:41 of my talk I think it's important to uh
32:43 bring us in the same level I think the
32:46 more important when we talk about uh the
32:50 power trade trading currently power
32:52 trade just one way based on the power
32:55 purchasing agreement a power trade in a
32:57 way that demand supply in real time and
33:00 do you dispect in intraday in a minutes
33:03 so I think this is the absent in aan
33:06 context and first before power trade you
33:07 need to have hard and soft
33:10 infrastructure and we have that problem
33:12 I think we need to speed up the
33:15 interconnection across the ain
33:19 we identify around 18 key connection. So
33:23 to bring up around 18 gawatt by 2040 and
33:27 potentially toward around double by
33:30 2050s but currently only around seven uh
33:34 five to seven uh gawatt are being active
33:37 around eight uh uh interconnection in
33:40 place. Uh the more important we need to
33:44 understand the complexity uh around
33:46 three important thing. First regulation
33:49 and policy. We know that we already
33:51 talked about harmonization and other
33:54 because in a regional power trade you
33:57 need a system planning uh uh and system
34:00 planning operator. These two are
34:02 important. So you need to have the
34:05 country to deregulate to join a regional
34:08 regulation. So country need to align
34:11 their policy and regulation toward
34:13 regional trading. And then I think there
34:16 are also country have in place subsidy
34:19 energy security concern and others. So
34:23 how the new architect of the uh ledger
34:26 market can allow each or asin country to
34:32 additional barrier in term of data and
34:35 sharing because you country need to to
34:37 share the real time data so that you can
34:41 match demand and supply. you can have uh
34:44 a day ahead market and then you form
34:46 intraday and disparage electricity in
34:49 the last minute. So this all the element
34:51 important that country need to do and
34:53 also investment in the interconnectivity.
34:54 interconnectivity. So
34:57 So
34:59 what is the layer market mean? I think
35:02 we respect the national sovereignty and
35:05 all the contact complexity in the
35:07 country including the subsidi subsidy
35:10 and we able to allow country to
35:13 participate based on their their their
35:16 condition. So what actually we
35:19 understand is the current system we look
35:23 at it it have bilateral trade existing
35:25 and it have link bilateral trade like
35:28 electricity agreement from Lao through
35:30 Thailand through Malaysia to Singapore
35:33 and then also you have a domestic
35:36 platform a kind of auction where
35:39 Malaysia sell renewable to electricity
35:42 to to a uh to Singapore and what are
35:47 absent is within the PPA uh uh power
35:50 purchasing agreement long-term contracts
35:52 I think that existing
35:55 but they are absent of short-term spot
35:59 market where allow country to exchange
36:02 electricity and optimize the grid. So I
36:05 think this quite important that if
36:09 country able to also combine long-term
36:12 and short-term uh trading this allow
36:15 country to participate in the gradually
36:18 in the integrate electricity market and
36:20 we understand various condition of the
36:22 country that this is what we do the
36:27 mapping and so both long-term
36:30 the ledger market allow the exist
36:32 long-term and short-term trading. So
36:34 what is proposed new under the area
36:37 study here is a short-term electricity
36:40 trade combined with the long-term PPA.
36:43 So but in this condition I think country
36:48 need to some extent I think uh harmonize
36:50 and discuss in term of interconnection
36:53 uh physical interconnection and also
36:56 some of the harmonization of the
36:59 regulation and uh in order to allow this
37:01 uh market gradually to to be trade in
37:04 the Aian region. I hope the layer market
37:08 could support gradually uh for moving
37:10 from bilateral trade toward multilateral
37:13 trade in in the near future. I stop here
37:15 and because we don't have time we can
37:17 talk outside if you are interested about
37:19 it. Uh thank you so much. Back to you.
37:21 Good news. Thank you.
37:24 >> Thank you Dr. Hung Humin to introduce
37:27 our new idea of layered market module.
37:30 Thank you very much. And lastly from Dr.
37:35 change soon to share your insights.
37:38 >> Thank you. Thank you.
37:40 Very good morning ladies and gentlemen
37:42 and thank you for our fellow panelists
37:44 to share about the ideas, the challenges
37:47 and the various interesting idea like
37:50 the multi uh multi-layer the layered um
37:53 trading system as we progress on the ASA
37:56 power grid. Um my sharing will be a lot
38:00 simpler um for utility for business we
38:03 see there's a no there's expiration for
38:05 ashan power grid of course um but as we
38:08 deal with the different parties we are
38:10 building one interconnection no one
38:13 connection at a time right so we working
38:15 on looking at every single deal and try
38:18 to get one deal across um so that the
38:21 team can proceed so let let me uh have a
38:25 quick introduction on um Sowa S energy.
38:28 Um, basically we are on the Bono Island
38:31 somehow in the middle of AEAN, right?
38:34 Um, there are three countries on Bio.
38:37 Uh, Malaysia besides Sarawak with Sabah
38:40 the the next state and also with Brunai
38:42 and Galamantan, Indonesia.
38:44 So we are wholly owned by the S
38:47 government uh vertically integrated. So
38:50 and we have over 100 years of uh history
38:53 in supplying electricity in Sarowak and
38:55 we are the largest renewable energy
38:57 developer in Malaysia. Uh that is
38:58 because we have a large portfolio of
39:01 hydropower. Okay. So our approach in
39:04 developing or providing a sustainable uh
39:07 energy is by developing the indigenous
39:09 energy resources that we have. Okay. We
39:11 have hydropower potential and we do have
39:14 gas and coal as well which we use as a
39:17 way to uh provide energy security and
39:20 diversity and also in ter of managing
39:22 the affordability electricity in the
39:25 state. So we have 60% of our generation
39:27 capacity come hydrop power today but we
39:30 generated more than 75% of our energy
39:33 using hydropower last year. Okay. And
39:35 building on our foundation of hydropower
39:38 will continue to increase our um
39:40 portfolio generation and now we have
39:43 started on our solar program itself. So
39:45 with about six gawatt of generation
39:48 capacity today uh we are aiming to
39:49 achieve 10 gawatt by the end of this
39:51 decade that mean five years time and
39:54 also adding another 5 gawatt that mean
39:57 15 gawatt by 2035. But while doing that
39:59 we have made a commitment to maintain at
40:02 least 60% of our generation capacity
40:05 from renewable energy. One interesting
40:08 aspect of our business on SAR is that
40:10 twothird of our generation actually go
40:12 to industrial customer. Okay. So we have
40:15 a huge industry um that actually uh
40:18 started about 15 years ago uh initiated
40:20 by SR government in bringing the heavy
40:23 indust heavy energy intensive industry
40:25 as a way of uh developing our energy
40:28 resources in the state.
40:29 So as we talk about interconnection I
40:31 just want to share a little bit about
40:33 the interconnection that we have the
40:34 major interconnection that often been
40:37 spoken about for Sowa is basically the
40:38 interconnection between Sawa and West
40:43 Kalamantan. So it is a 128 kilometer 275
40:47 KV transmission line. Um it's completed
40:50 in 2016. We started trading power uh
40:52 with West Kalamantan for almost 10 years
40:55 now. Initially 50 megawatt during the
40:57 off peak during the night time and 170
41:00 megawatt during the daytime ps peak
41:03 period. But over the years the needs and
41:05 you know have changed. So today we have
41:08 an agreement of 80 megawatt um for 24
41:11 hours but
41:13 sh my fellow panelist earlier you know
41:15 there's a long-term agreement but we do
41:17 have short-term arrangements as well. So
41:18 on the day-to-day basis depend on the
41:21 capacity we have depend on the needs on
41:24 the other side of West Kton we do
41:26 exchange more than that so as much as
41:29 over 300 megawatt uh sometimes okay but
41:31 the other thing I want to mention also
41:33 when we talk about APG we often talk
41:35 about the big project the big
41:38 transmission line I just want to say
41:40 that in fact we have border no crossber
41:43 trading for a lot longer many decades we
41:45 have connection at the distribution
41:47 level basically Here showing on the map
41:50 here we actually three uh connection
41:51 with west kalimantan as well and
41:53 supplying to the border towns in the
41:55 villages and for many many years now and
41:59 recently we also upgraded it to 33 KV to
42:01 increase the power exchange. So over the
42:04 last 10 years we have exchanged more
42:07 than 10 terowatt hour of energy between
42:10 saw and west kalimantan.
42:12 So we can see that there are many future
42:14 mutual benefit to gain from each other
42:16 once the interconnection is there. All
42:18 right. So I later on we'll share a
42:19 little bit more about the what are the
42:21 elements required to make this
42:23 collaboration successful.
42:27 So from here we see that um Sarowak and
42:28 particularly Bonio sitting at the heart
42:30 of ASEAN have opportunity for us to play
42:34 a big part in for the ASEAN power grid.
42:36 So building of our success we for the
42:38 interconnection with West Kanton. Today
42:40 we are building the line to Sabah right
42:43 our neighboring state and and hopefully
42:45 everything go well we will start
42:47 exchanging the first electron before the
42:49 end of this year. We are also working
42:51 with our counterparts in Brunai as well
42:53 as Kalamantan to have further
42:56 interconnection with them as well.
43:00 So looking beyond Borneo, we also
43:02 working uh with TMBB and Shunjaya Tanaga
43:04 here and Peninsula Malaysia on the
43:06 interconnection to West Malaysia here
43:09 and also another project looking at
43:11 interconnecting with Singapore as well.
43:13 Right. All these link are more
43:16 complicated subc cable using HVDC
43:18 technology and at a much higher
43:20 transmission capacity of 100 1,000
43:25 megawatt each. Okay. Or even higher
43:27 for us. Um,
43:30 Sarawa is small. I think we only have
43:33 population 3 million people, right? But
43:35 we see that we from our experience with
43:37 some of the interconnection and some of
43:39 the power trading. We have something to
43:41 offer. We can contribute to making Asan
43:43 power grid, you know, sharing our
43:45 experience and how to progress to the
43:47 next step in realizing the Asian power
43:50 grid. But we but we think that Bono grid
43:53 know among the four areas 15 on the
43:56 island we have a big part to play and we
43:59 are working towards con constructing or
44:02 developing a strong and resilient grid
44:04 that will serve the needs of everyone on
44:06 the island but also as a kind of
44:09 foundation to support a power grid.
44:16 >> Thank you very much. uh we now rec uh re
44:18 recognize the potential of little energy
44:21 in the Solabak state and the ambition to
44:24 extend uh those supply to other regions.
44:28 Although we are coming to the uh 10:00
44:30 please allow me to extend five minutes
44:33 for asking one question for each and let
44:35 me start from the uh question to Dr. Pilabat.
44:37 Pilabat.
44:38 uh you explained about the uh
44:41 development stage of uh different
44:43 regions for interconnection of a power
44:48 grid and from those uh lessons what AEAN
44:51 can learn from those legions uh
44:52 different region has a different
44:55 inhalent natures nevertheless of those
44:58 different natures what do you see the
45:00 opportunity for this asan leion to learn
45:02 from those experiences
45:06 >> thanks very much um given a short on
45:08 time I just want to just mention that I
45:11 show in my slide that um there's a long
45:13 process lengthy process in terms of
45:15 developing regional interconnections. I
45:17 think the key aspect is the political
45:20 will and which has already been shown uh
45:23 with the enhanced APGMOU.
45:26 Another one is also in terms of the
45:29 having the sound uh crossber training
45:33 rules at the to to begin with as we can
45:34 learn from you know others other other
45:37 regions particularly in South Africa
45:39 where there's on a voluntary basis
45:41 there's no need to change anything
45:44 within the national jurisdictions and
45:46 another one is about having the regional
45:50 institutions just to overseas I think
45:52 I'll just leave it uh you know those
45:54 three key aspects there just to be considered.
46:06 Uh I'm sorry uh I heard that the vice
46:10 president is coming to uh session so we
46:13 have to close now. Uh I'm very sorry
46:16 about this uh inter uh introduction but
46:18 uh uh we have to stop now. So thank you
46:20 very much for joining this session and
46:22 we are going to close. Thank you very much.
46:24 much.
46:26 >> Thank you so much. We're so [music] so
46:27 sorry that we had to cut this short.
46:29 Once again thank you to all our esteemed
46:32 panelists as well as to our moderator