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. 

1st Meeting of the Focal Group (FG-1) of the Regional Power Trade Coordination Committee (RPTCC-4)

The establishment of the Focal Group (FG) was agreed during the RPTCC-4 meeting held in Yangon in September 2005, to coordinate the implementation of the RPTCC activities in each GMS country. The FG was the first institution created for the implementation of the Regional Power Trade Operating Agreement (PTOA). The list of FG members was recently finalized based on nominations submitted by the GMS countries. The FG-1 meeting was attended by FG members nominated by the six GMS member countries, as well as by representatives of AFD, Soluziona, World Bank and ADB.

First Planning and Consultation Workshop on the GMS Energy Strategy

About 70 participants attended the First Planning and Consultation Workshop on the Greater Mekong Subregion (GMS) Energy Sector Strategy held in Bangkok, Thailand on 31 July 2006. The participants included senior government officials and policy makers from the GMS member economies, as well as representatives from academia, civil society, development partners, and the private sector.

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

The RPTCC-5 meeting was held to: (i) discuss and decide on the recommendations of the FG for priority RPTCC activities, and confirm the work plans for both the PWG and FG; (ii) take stock of various ongoing and planned ADB assistance to the GMS energy sector, and (iii) discuss and derive lessons from recent experiences in developing regional energy markets.

Third Meeting of the Regional Power Trade Coordination Committee (RPTCC-3): Summary of Discussions

The Third Meeting of the Regional Power Trade Coordination Committee (RPTCC-3) was held in Vientiane, Lao PDR on 7-8 April. The meeting was co-organized by the Ministry of Industry and Handicrafts (MIH) of Lao PDR and the Asian Development Bank (ADB).

The RPTCC-3 meeting discussed the following:

Second Meeting of the Regional Power Trade Coordination Committee (RPTCC-2): Summary of Discussions

The Second Meeting of the Regional Power Trade Coordination Committee (RPTCC-2) was held in Bangkok, Thailand on 1-2 December. The Meeting was co-organized by the Energy Policy and Planning Office (EPPO), Ministry of Energy (MOE) of the Kingdom of Thailand, and the Asian Development Bank (ADB).



Pages