Energy

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:

  1. 1. Sustaining GMS cooperation on regional power trade
  2. 2. Technology capacity building programs on renewable energy, energy storage in improving grid stability; leveraging electric vehicles
  3. 3.Accelerating energy efficiency programs to promote more competitive industries through energy cost savings
  4. 4.Training on green financing and green bonds to support GMS countries in raising finance for their transition to cleaner energy

New Energy Solutions Needed for the GMS

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)

Contact Persons

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. 

Special Meeting of the GMS Subregional Energy Sector Forum (Special SEF): Summary of Discussions

The Special SEF meeting was held to refine and finalize the GMS Road Map for Expanded Energy Cooperation, for endorsing it to the 15th GMS Ministerial Meeting to be held in Thailand in June 2009. Formulated in line with the recommendations of the recently completed GMS Energy Strategy Study, the Road Map was earlier presented at the SEF meeting in Ho Chi Minh City, Viet Nam and at the GMS Senior Officials' Meeting (SOM) in Bangkok, Thailand, both held in November 2008. These meetings agreed to further review and hold internal consultations on the Road Map.

Sixth Meeting of the Planning Working Group (PWG-6) of the Regional Power Trade Coordination Committee (RPTCC-7)

The PWG-6 meeting will revisit/ review the results and accomplishments under the regional technical assistance project (RETA) 6304 (Regional Power Trade Coordination and Development), particularly in the areas of training, database/ website development, master plan study, and studies on performance standards and transmission regulation.

Second Meeting of the GMS Subregional Energy Sector Forum (SEF-2): Summary of Discussions

The SEF-2 meeting will discuss the medium term (2008-2015) road map for expanded GMS energy cooperation and will consider the proposed work plan for realizing the road map, after a careful assessment of the priority activities and timetable of the work plan. The first SEF meeting held in Bangkok in December 2004, agreed to establish the SEF to oversee the expansion of cooperation to other energy sub-sectors per the request of the GMS countries.

Fifth Meeting of the Planning Workshop Group (PWG-5) of the Regional Power Trade Coordination Committee (RPTCC): Summary of Discussions

The PWG-5 meeting was held to: (i) decide on chairmanship for the PWG and FG, and firm up the system for rotation and tenure of chairmanship; (ii) update on and advance the progress of priority RPTCC studies and activities, such as the studies on performance standards and transmission regulation, training programs, and the power sector database and website; (iii) provide updates of each GMS country's power generation and transmission development plans; (iv) discuss priority GMS interconnections for ADB support and other priority projects in the master plan and their relation to country powe

Sixth Meeting of the Regional Power Trade Coordination Committee (RPTCC-6)

The RPTCC-6 meeting was held to undertake the following: (i) confirm the FG-4 agreements and recommendations on the next steps and timelines of priority RPTCC studies and activities; (ii) discuss updates on the ongoing and proposed technical assistance to the RPTCC; (iii) review, refine and set the milestones for preparation of the proposed MOU on the power trade road map and Action Plan on Energy; and (iv) brief GMS representatives on the experiences in developing other regional energy markets.

5th Meeting of the Regional Power Trade Coordination Committee (RPTCC-5) Siem Reap, Cambodia, 15-16 June 2006

In the last meeting (RPTCC-4) held in Yangon, the RPTCC members deliberated on the key institutional arrangements for the stage 1 of the Regional Power Trade Operating Agreement (RPTOA), particularly on the establishment of the Focal Group (FG), its TOR and capacity building plan. Since then the FG and the Planning Working Group (PWG) have been established, and their meetings held. The RPTCC-4 meeting also discussed practices/ experiences in regional power trade in other regions to serve as initial lessons in design of power market arrangements.

2nd Meeting of the Focus Group (FG-2) of the Regional Power Trade Coordination Committee (RPTCC-6)

The Focal Group was established with the holding of the its first meeting (FG-1) in Hanoi in January 2006. The earlier FG-1 meeting agreed on the appointment of the authorities (chair and co-chair), the setting up of communication channels/ procedures, prioritization of activities, and the establishment of the Planning Working Group (PWG). PRC was appointed chair for the next two years, with ADB as co-chair. The FG-2 meeting was co-organized by the Ministry of Industry, Mines and Energy (MIME) of Cambodia and the Asian Development Bank (ADB).


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