Phase change energy storage prices in Southeast Asia

To facilitate the energy transition, a key accelerator in the process is the collaboration within the Southeast Asia countries. The ASEAN Power Grid, an initiative for regional interconnection of power grids is expected to help alleviate energy accessibility, reliability and affordability issues in the region. Methodology

However, fossil fuel investment decreased from USD 70 billion in 2015 to USD 50 billion in 2025 while clean energy investment reached USD 47 billion, up from 30 billion in 2015. Given the challenges of accessing international capital markets, Southeast Asia's capital markets have relied on domestic commercial lending.

Two major Southeast Asia-wide initiatives were developed to facilitate the energy transition in the region. At the heart of the energy transition within the region, this roadmap highlighted seven key strategies and areas of focus, including the ASEAN Power Grid (APG), Energy Efficiency and Conservation and Renewable Energy.

Despite the crucial role that BESS play in facilitating the energy transition, Southeast Asia's BESS market remains in its early stages, marked by a lack of significant BESS policies. Implementing policies to foster a competitive market environment for BESS can attract investors and lead to widespread adoption of the BESS.

Solar energy is expected to lead the energy transition in Southeast Asia, given its declining cost and abundance of sunlight in the region. With the cost of solar reaching parity or even lower compared to conventional power sources such as gas-fired power generation, solar PV capacity has been climbing.

Today, Southeast Asia remains a net energy importer and continues to import more than 40% of its total energy supply7. As reserves continue to deplete, the region will need to import more fossil fuels to cater to its rising demand.