Sarawak Key To ASEAN's Green Energy Push
Arthur D. Little Southeast Asia partner and head of energy, utilities, and resources practice, Trung Ghi
By Siti Radziah Hamzah
KUALA LUMPUR, July 6 (Bernama) -- The Sarawak-linked segment of the ASEAN Power Grid (APG) is shaping up to be a crucial enabler of regional decarbonisation efforts, supplying low-carbon hydropower to displace fossil fuel generation across Southeast Asia, said an expert.
Prime Minister Datuk Seri Anwar Ibrahim reportedly said that Sarawak has the potential to become the main energy hub for Malaysia and ASEAN. The state could also play a key role in the APG initiative with its rich energy resources, including hydropower, gas and hydrogen.
Trung Ghi, Arthur D. Little Southeast Asia partner and head of energy, utilities, and resources practice, said the tripartite cooperation of this scale strengthened regulatory alignment and accelerated institutional readiness.
The move comes as Sarawak eyes a nearly threefold increase in renewable energy capacity to 15 gigawatts (GW) by 2035, positioning the state as a regional energy anchor.
According to Sarawak Energy's 2035 Strategic Plan, this expansion includes continued hydropower development, solar scale-up, and hydrogen deployment.
'The 15GW target is ambitious but feasible with the right enablers. Continued hydropower development, solar scale-up and hydrogen deployment will be critical. If realised, it would significantly boost Sarawak's export capacity while enhancing domestic energy security,' Trung told Bernama in a written interview recently.
Malaysia is currently exploring two cross-border transmission routes - one overland via Peninsular Malaysia and another via a direct undersea cable to Singapore.
Trung said the route that secures financing, permits and offtake agreements first is likely to move ahead. 'Cost-efficiency and geopolitical alignment are key considerations. A route through Peninsular Malaysia may be quicker and cheaper, while direct access to Singapore's premium market could offer higher commercial returns,' he added.
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