JAKARTA ( Bernama ): Malaysia has called on Asean member states to take bold, collective action to close the financing gap in the region’s clean energy transition, emphasising the need for trillions of dollars to avoid jeopardising climate and development goals.
Speaking at a local power community around on Friday, Malaysia’s Permanent Representative to Asean, Datin Sarah Al Bakri Devadason, stressed the necessity of moving away from fossil fuels while ensuring environmental and social equality.
” Access to clean, economical, and reliable power is not only about powering homes or business. It is about protecting the environment and the freedom of potential years”, she said.
Citing the Asean Centre for Energy (ACE), she said local electricity demand could increase by over 60 per share by 2040, and warned that relying on regular options risks derailing climate goals.
According to Sarah, Asean has committed to increasing the share of renewable energy to 23 per cent of overall primary energy source by 2025.
However, a study by the International Renewable Energy Agency ( IRENA ) estimated that Asean will need around US$ 29.4 trillion by 2050 to fully transition to renewables and most of which remains unfunded, she noted.
She also highlighted the AseanTaxonomy for Sustainable Finance ( ATSF), updated in March 2024, as a key tool for attracting sustainable investment.
The classification is the first in the world to identify power transition funding through both green and yellow categories.
Sarah reaffirmed Malaysia’s devotion, as Asean Chair, to advance , cross-sector cooperation and innovative leasing to drive equitable and sustainable energy transition.
” Up, we can create an Asean that is not only financially resilient, but also environmentally responsible and socially inclusive”, she concluded.
The celebration, co-organised with ACE, was attended by representatives from Asian member states, the political corps, financial organizations, civil society, and industry professionals. – Bernama