ASEAN can save $67 billion with solar instead of gas expansion – report

MANILA, Philippines – The Association of Southeast Asian Nations (ASEAN) could save $67 billion if it replaces $109 billion worth of planned gas expansion with solar energy, according to a new analysis by global energy think tank Ember.

Ember estimated that solar energy can deliver the same electricity at a cost of $42 billion, half of what is needed for the gas expansion. This report comes out as the US-Israeli war in Iran continues to destabilize the global oil trade.

“Developing and emerging economies in Asia will be at higher risk if energy prices continue to escalate,” Dinita Setyawati, senior analyst at Ember, said.

“While energy saving can be an initial short-term solution, the pivot to homegrown renewables can provide more options to buffer future energy shocks,” Setyawati added.

ASEAN’s energy outlook estimates that gas expansion in the region could reach almost 200 gigawatts. Projections in the region’s outlook “highlight the critical role that natural gas will continue to play” in the future.

It also maintains that “growing reliance” on natural gas imports “could pose challenges for energy security.” The think tank warned that prolonged high prices and a drawn out Middle East crisis would widen disparities among ASEAN countries and within them.

Call to move away from fossil fuels

Muyi Yang of Ember said breaking the dependence on oil and gas does not just mean an energy switch but “a full economic transformation.”

“Oil and gas are far more than just fuels,” said Yang. “From fertilizers to high-tech polymers, they are the building blocks of modern life, leaving Asia’s industrial base deeply dependent on them.”

International climate group 350.org urged global leaders to transition away from fossil fuels and protect citizens from rising costs.

“Governments must act now to stop oil and gas companies profiting from the war – by taxing their windfall profits to finance protections for ordinary people,” said Anne Jellema of 350.org.

A recent report from the World Meteorological Organization confirmed that 2015 to 2025 were the hottest 11 years on record, sounding the alarm that the world is in a “state of emergency.”

In the Philippines, coal continues to dominate the power mix by 44%, followed by renewable energy at 29%, oil-based at 14%, and natural gas at 13%. Malampaya, a depleting source of indigenous natural gas, supplies 20% of Luzon’s requirements. – Rappler.com