Southeast Asia, home to more than half a billion people, remains stubbornly hooked on fossil fuel, raising doubts over countries' ability to meet phase-out timelines due to financial bottlenecks and wavering global commitment on climate change. The region is also likely to miss its renewable energy production goal of 23% by end of the year.
Between 2020 and 2024, Southeast Asia approved only 10 projects, according to GEM's data, indicating that fossil fuel financing may be accelerating this year. The units, based in Indonesia, Malaysia, Vietnam, Brunei and Myanmar, are set to boost gas development across the region, making it harder for countries to transition to cleaner energy sources.
"Since companies and countries are unlikely to abandon gas developments before reserves are fully depleted," the researchers said in the report, "these developments would have a significant lifespan and would lock in gas as a substantial component of the region's energy mix".
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Still, final investment decisions on such projects have a history of delays, so it's hard to predict whether they will all be rolled out, GEM said.
Chart: Bloomberg
