It is estimated that by 2050, the Southeast Asian region shall be as much as 30 percent less prosperous because of the consequences of worldwide warming and extreme weather conditions. However, increasing renewable energy production capability within the region could provide opportunities for Southeast Asian countries to create recent jobs and meet growing energy demand while significantly reducing greenhouse gas emissions.
These are the conclusions of the most recent study published throughout the meeting of ASEAN finance ministers and central bank governors organized by the Asian Development Bank (ADB), Bloomberg Philanthropies, the ClimateWorks Foundation and Sustainable Energy for All (SEforALL).
Advances in Southeast Asia’s photovoltaics (PV), battery and electric two-wheeler industries unlock revenue potential of $90 billion to $100 billion by 2030. Additionally, there is important potential to create roughly 6 million jobs within the renewable energy sector by 2050.
A recent report titled “Renewable Energy Production: Opportunities for Southeast Asia” explains how supporting the event of the region’s clean energy production sector will help countries within the region unlock enormous economic potential while mitigating the consequences of climate change.
Seizing this chance will rely upon policies tailored to every country within the region. These include stimulating domestic demand for renewable energy, ensuring cost competitiveness, improving the business climate and expanding access to export markets. Regional cooperation also has a very important role to play in providing further support by increasing trade between ASEAN countries.
This report outlines the vision and potential achievements that Southeast Asia can realize in pursuit of several goals. First, in terms of a more sustainable future, the region can realize its ambitions. One of them is to extend the production capability of photovoltaic modules from 70 GW to the range of 125-150 GW by 2030.
Additionally, the region is pursuing regional development of the battery manufacturing value chain, with the goal of accelerating demand at each national and regional levels. Southeast Asia also goals to turn out to be a regional and global export hub for battery cell production, achieving a goal of 140-180 gigawatt hours (GWh) by 2030.
Another motion into consideration is to extend production capability within the region for the assembly of electrical two-wheeled vehicles (E2W). The region’s goal is to shift production from a production range of 1.4 to 1.6 million units per 12 months to succeed in roughly 4 million units by 2030. All these efforts are geared toward achieving sustainable growth and contributing more to economies of scale and environmental protection in Southeast Asia.
The report also highlights how Southeast Asia can leverage its wealthy history of regional cooperation to extend competitiveness within the renewable energy industry and achieve net zero emissions targets.
The announcement follows a collaboration launched earlier this 12 months between the African Climate Foundation, Bloomberg Philanthropies, the ClimateWorks Foundation and Sustainable Energy for All.
With these discoveries, South Asia’s prospects for a sustainable future are brightening. With comprehensive political, technical and financial support, the sector has a strategic role to play in helping developing countries within the region move away from dependence on coal-based energy sources.
This is not going to only have a positive impact on the environment by reducing greenhouse gas emissions, but will even increase the competitiveness of local industry, create recent jobs and stimulate long-term economic growth. This transformation not only paves the strategy to a more sustainable future, but additionally creates opportunities for inclusive progress within the region.
