Southeast Asia finds itself at the cusp of a profound transition towards renewable energy sources. A joint report by McKinsey & Company and the Singapore Economic Development Board (EDB) unveils the vast clean energy potential within the region, comprising 16 terawatts (TW) from solar power and 1 TW from wind energy.
Despite this promising outlook, the current non-business renewable energy penetration stands at a modest 5 percent as of 2022, necessitating urgent action to accelerate adoption.
To attain the goal of achieving net zero emissions between 2050 and 2060, Southeast Asia must significantly boost annual capacity additions for solar and wind power. This imperative was underscored in the report released on Tuesday, May 14, 2024, as reported by SQ.
Thankfully, the report delineates a strategic pathway forward. It underscores several avenues for catalyzing renewable energy expansion, including fostering collaborative ecosystems among governmental bodies, businesses, and research institutions.
Moreover, substantial investment opportunities lie in the development of renewable energy projects and clean energy manufacturing, attracting both domestic and international stakeholders.
Regional cooperation and power purchase agreements (PPAs) are identified as pivotal mechanisms for unlocking clean energy resources and enabling cross-border electricity trade, thereby bolstering the region’s energy resilience.
Furthermore, Southeast Asian countries can leverage technological advancements like battery storage and smart grids to optimize the integration of renewable energy into their electricity grids, yielding environmental and economic dividends.
The report projects that nurturing a robust renewable energy manufacturing sector could yield revenues ranging from US$90 to US$100 billion by 2030, while concurrently generating millions of new job opportunities.
In essence, by seizing these opportunities, Southeast Asia can not only realize its clean energy aspirations but also unlock substantial economic rewards.
Source Link : https://asiatoday.id/read/southeast-asia-has-the-potential-to-produce-17-tw-of-renewable-energy
