Greater Mekong Subregion countries are in varying stages of economic development but share common goals concerning energy security and environmental protection. Progress have been made in promoting renewable energy, clean fuels, and energy efficiency, but new energy solutions remain crucial to the subregion’s advancement.
The GMS Economic Cooperation Program Strategic Framework 2030 (GMS-2030) emphasizes cross-border power trade, establishment of regional grid codes, development of regional markets, and expanding clean energy investments with a greater role for the private sector. GMS-2030, endorsed and adopted at the 7th GMS Summit of Leaders in September 2021, aims to provide a new setting for the development of this subregion for the next decade.
The Regional Power Trade Coordination Committee (RPTCC) managed regional power trade in the subregion from 2004–2022. In July 2022, at the 29th RPTCC meeting, the committee formally transitioned to the GMS Energy Transition Taskforce (ETTF).
The ETTF pursues activities across the following workstreams:
Demand for energy is surging, and by some estimates demand for energy in the lower Mekong countries – Cambodia, the Lao People's Democratic Republic, and Viet Nam – is expected to nearly triple from 317 terawatt-hours in 2012 to 815 terawatt-hours in 2025.
Rapidly improving economies have allowed GMS countries to respond to this demand with extensive power generation projects. Gas-fired plants are expected to nearly double to about 54 plants with 24,000 megawatts during the same period. Renewable sources such as solar, wind, and biomass are not yet prevalent in the subregion, but the number of projects is increasing rapidly.
GMS countries are addressing the complexities of meeting this surging energy demand by taking a regional approach that allows for the most cost-efficient projects using a diverse range of energy sources. They are also sharing experiences and lessons learned.
Countries are enhancing the regional coordination of power trading, including the exchange of information on energy sector plans and projects. The ultimate goal is to provide an adequate supply of energy throughout the subregion at an affordable price, and to bring the economic benefits of a reliable energy supply to people in rural areas, while at the same time encouraging investment.
GMS countries are addressing the complexities of meeting this surging energy demand by taking a regional approach that allows for the most cost-efficient projects using a diverse range of energy sources.They are also sharing experiences and lessons learned.
Works are underway for greater integration of renewable energies in countries’ energy development. In July 2021, an ADB knowledge and support TA: Accelerating the Clean Energy Transition in Southeast Asia (SEA) was approved to support countries in SEA to accelerate transition to cleaner forms of energy.
Facilitating Power Trade in the Greater Mekong Subregion, published in 2022, reflects a 5-year endeavor among government officials and representatives from utilities with the support of international experts to reach an agreement on a range of complex technical and institutional issues in establishing a common Regional Grid Code (RGC) for the GMS. The report addresses the technical and operational issues of interconnections along with the steps that are required to harmonize national grid codes within an overarching regional structure of the RGC.
The GMS Road Map for Expanded Cooperation in the Energy Sector is helping guide efforts in planning and implementing projects for power generation, cross-border interconnections, and for improving country transmission systems. National projects are being developed with an eye toward the development of regional power trade arrangements that will increase efficiency and lower energy costs for consumers.
The Update of the GMS Regional Master Plan for the period 2009-2025 (i) simulated the regional power system with existing and potential planned power interconnections, (ii) ran simulations of the model for a variety of regional power system scenarios, (iii) identified the potentially beneficial regional interconnection projects based on the Master Plan, and (iv) compiled a list of priority projects according to their merits.
Related
• Facilitating Power Trade in the Greater Mekong Subregion
• GMS Road Map for Expanded Energy Cooperation
• Update of the GMS Regional Master Plan
• Study: Building a Sustainable Energy Future - The Greater Mekong Subregion
• Regional Power Trade Coordination Committee (RPTCC)
Focal Persons at the Asian Development Bank
Hyunjung Lee (lead)
Energy Sector Office
Sectors Group
Atsumasa Sakai
Energy Sector Office
Sectors Group
Other Concerned Staff & Consultants
Joao Aleluia
Energy Sector Office
Sectors Group
Architrandi Priambodo
Energy Sector Office
Sectors Group
Minnie Zarah Ramas
Energy Sector Office
Sectors Group
Jeffrey Almera
Energy Sector Office
Sectors Group
Pinsuda Alexander
Regional Cooperation and Integration Unit
Southeast Asia Department
Rafaelita Jamon
Regional Cooperation and Integration Unit
Southeast Asia Department/GMS Secretariat
Send inquiries to GMS Secretariat.
Great strides were made in bringing power to the people by innovative policies, new technologies, and increased financing, but the region is unlikely to reach energy access targets by 2030. . Photo credit: ADB.
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The Asian Development Bank (ADB) and Monsoon Wind Power Company Limited (Monsoon) signed a $ 692.55 million nonrecourse project financing package to build a 600-megawatt wind power plant in Sekong and Attapeu provinces in the southern region of the Lao People’s Democratic Republic (Lao PDR) to export and sell power to neighboring Viet Nam. Comprising 133 wind turbines, the project will be the largest wind power plant in Southeast Asia and the first in the Lao PDR.
ADB President Masatsugu Asakawa visits the National Solar Park on 11 November. Photo by ADB.
A partnership between the Asian Development Bank (ADB) and Electricite du Cambodge (EDC), Cambodia’s national power utility, to develop a 100-megawatt (MW) National Solar Park reached a milestone with the park’s first 60 MW solar photovoltaic (PV) power generation plant connecting to the national grid. ADB President Masatsugu Asakawa marked the occasion with a visit to the solar park on 11 November, during which he initiated the start of power delivery.
This project delivers a high-impact and sustainable transport solution for Viet Nam while helping it meets climate goals and continue to support climate finance in the region. Photo:Vinfast
The Asian Development Bank (ADB) mobilized a $135 million financing package for VinFast Trading and Production Joint Stock Company (VinFast) for manufacturing Viet Nam’s first fully-electric public transport bus fleet and first national electric vehicle (EV) charging network. The assistance will support Viet Nam’s efforts to achieve net-zero greenhouse gas emissions and expand high-tech manufacturing industries.
Greater Mekong Subregion Secretariat
Regional Cooperation and Operations Coordination Division,
Southeast Asia Department, Asian Development Bank
Address: 6 ADB Avenue, Mandaluyong City 1550, Metro Manila, Philippines
Telephone: +63 2 8632 4444 Fax: +63 2 8636 2226
