ASEAN Renewable Energy Integration Analysis

ASEAN Renewable Energy Integration Analysis

Overview of the ASEAN Power Grid and Renewable Integration

The ASEAN Power Grid (APG) is a proposed set of cross-border transmission lines aiming to fully interconnect the ten ASEAN member states (AMS). Initiated in 1997 and reaffirmed in 2012, the APG serves as a tool for regional economic growth and development, facilitating efficient and secure meeting of rising demand.

Key Findings and Analysis

1. Impact of Multilateral Power Trading and Cross-Border Interconnectors:

   • The study assesses the value of regional power system integration in accommodating the growing share of variable renewable energy (VRE), consisting of solar and wind generation.
   • Multilateral power trading and expanded cross-border interconnectors can reduce operational costs, but CO2 emissions may increase due to higher operation and exports of coal-fired generation.
   • To unlock the full benefits of interconnectors and multilateral power trade, the VRE share should align with the IEA's Sustainable Development Scenario (approximately 25% VRE generation by 2035).

2. Regional Renewable Energy Potential:

   • Southeast Asia's energy demand has grown by 60% in the past 15 years.
   • The cost of renewable energy, particularly solar PV and onshore wind, has decreased significantly, making it cost-competitive with conventional generation technologies.
   • The ASEAN Plan of Action for Energy Cooperation (APAEC) 2016-2025 sets a target of 23% renewable energy by 2025.

3. Benefits of Cross-Border Interconnectors:

   • Security of Supply: Enhanced regional security of supply through effective utilization and resource sharing.
   • Economic Benefits: Achieved through measurable savings in peak capacity needs and dispatching cost-effective generating units.
   • Integration of VRE: Facilitates cost-effective and reliable integration of variable renewable energy (VRE) into the power system.

4. Current Status and Future Scenarios:

   • The share of RE is forecast to account for around 20% of electricity generation in ASEAN by 2035.
   • Cross-border interconnection is crucial for facilitating renewable energy integration.
   • The APG is currently in various stages of development, with most progress in the North region (Cambodia, Lao PDR, Thailand, and Vietnam).

5. System Integration Phases:

   • System integration can be classified into different phases based on the impact of VRE at the system level.
   • Current phases range from no significant impact to VRE determining the operation pattern of the system.
   • Future scenarios suggest that higher shares of VRE can be accommodated without excessive curtailment, leading to reductions in both costs and emissions.

Conclusion

Cross-border interconnectors play a vital role in enhancing regional energy security, achieving economic benefits, and facilitating the integration of variable renewable energy. As the share of VRE continues to grow, strategic investments in infrastructure and policy measures will be essential to maximize the benefits of the ASEAN Power Grid.