Investment in energy generation is on the rise across Southeast Asia, but a new report from consultancy TBH reveals that the real challenge lies in infrastructure and connectivity. As industrial growth and urbanisation increase electricity demand, the report argues that simply building more generation capacity will not suffice. Instead, the focus should be on moving, storing, and stabilising power, as well as enhancing cross-border connections for energy sharing.
The report, “Connecting Southeast Asia’s Energy Future,” examines the energy transition in Malaysia, Thailand, Indonesia, Vietnam, the Philippines, and Singapore. It emphasises the need for coordinated planning in generation, transmission, storage, and connectivity to achieve sustainable energy outcomes. Ali Nami, Director and Energy Lead at TBH, stated, “The ability to coordinate these investments and translate them into reliable outcomes will play a major role in shaping the region’s long-term energy future.”
Key insights from the report include Malaysia’s growing role as a data centre hub, Thailand’s expansion of solar energy, and Indonesia’s complex delivery challenges across its island network. Vietnam faces transmission network strains due to rapid industrial growth, whilst the Philippines focuses on energy resilience with offshore wind opportunities. Singapore is positioning itself as a hub for low-carbon electricity imports and cross-border energy connectivity.
The report also highlights the ASEAN Power Grid concept and the ASEAN Plan of Action for Energy Cooperation 2026-2030 as pivotal for regional energy integration. Michael Tan, TBH’s Country Manager for Malaysia, noted the importance of careful planning and coordinated investment to support the region’s energy growth. The full report is available for download on TBH’s website.
