Resilience or retreat? New survey sounds alarm on ASEAN’s clean energy vulnerabilities AURORATOTO GROUP

SINGAPORE: A recent survey by the Sustainable Energy Association of Singapore (SEAS), entitled “State of the Energy Transition in ASEAN,” disclosed a region at a crossroads. Once demarcated by audacious determination and swift impetus, Southeast Asia’s clean energy drive is now bound toward a more moderate, robust stage—one that admits the increasing challenges posed by geopolitical pressures, infrastructure divides, and financial difficulties.

The city-state continues to hold the top spot as the region’s clean energy frontrunner, with 51.4% of energy experts still seeing it as the most significant and dominant player, but confidence has chilled in comparison to 2024, when an imposing 95% held that assessment. The modification echoes a more viable and cooperative regional image, with Vietnam (13.3%) and Malaysia (14.3%) developing as dependable leaders.

Even so, Singapore’s long-term value is still clear. Industry voices say the city-state is best positioned to lead on complex issues like carbon pricing and the development of a unified carbon market (29.5%), followed closely by solar energy integration (21.9%).

“This year’s survey tells a story of a transition under strain, but not in retreat,” said SEAS Chairman Edwin Khew. “We’re moving from inspiration to implementation. Singapore must now focus on strengthening regional resilience—using our strengths in finance, policy, and diplomacy to support a cleaner, more connected ASEAN.”

The road to net zero is proving far from smooth. While ASEAN’s clean energy sector has matured over the years, some foundational issues remain stubbornly unresolved.

Industry experts face three deep-rooted challenges: outmoded grid setup (73%), regulatory ambiguity (67%), and inadequate access to funding (56%), and the region isn’t operating in a vacuum. Over half of respondents (52.4%) say that rising political tensions in Asia are now a key risk to the energy transition—closely followed by energy protectionism and fragile global supply chains.

In this environment, regional alliance isn’t just a ‘nice-to-have’ but an inevitability. More than half of the respondents (66.7%) have confidence that robust cross-border management is vital to building supply chain flexibility and hastening the energy evolution.

“The growing focus on infrastructure like grid upgrades and battery storage tells us the market is evolving beyond hype into real-world problem-solving,” said Sharad Somani, Partner and Head of Infrastructure at KPMG Asia Pacific. “But without policy certainty and unified standards, investors will stay cautious. It’s time to align governance with ambition.”

Despite the headwinds, optimism in key clean technologies remains remarkably strong. Solar energy continues to lead the charge, with 83.8% of professionals seeing it as the most scalable option over the next five years. Green hydrogen—once a fringe idea—is gaining traction too, now backed by 57.1% of respondents.

However, what’s changed is where investment is going. Instead of pouring funds into shiny new projects, stakeholders are now putting their money where the grid is. Energy storage (65.7%) and transmission upgrades (41.9%) are now viewed as mission-critical to keeping the transition on track.

The limelight focuses on the Asia Clean Energy Summit (ACES), slated from the 28^th to the 30^th of October this year, at the Sands Expo and Convention Centre, all through the Singapore International Energy Week (SIEW). The conference will pool the world’s select few to confront the problems cited in the SEAS survey.

This year’s agenda will include deep dives into carbon market mechanisms, energy storage, and grid modernisation—plus the debut of a brand-new Bioenergy track, signalling the region’s expanding interest in alternative renewables.

The path to net zero will necessitate joint accountability, regional partnership, and a readiness to deal with the less fashionable—but indispensable—work of creating and nurturing resilient systems.