ASEAN Renewable Energy Integration Analysis

Flexibility benefits of cross-border power trade

About this report

In support of the development of the ASEAN Power Grid (APG), the IEA has undertaken a quantitative assessment of the impact of regional power system integration in ASEAN to accommodate the growing share of variable renewable energy (VRE), which consists of solar and wind generation. The analysis explores the impact of multilateral power trading (MPT) and expanded cross-border interconnectors as well as the value of flexibility resources for the APG from economic, operational, environmental and policy-related perspectives. Cross-border interconnectors with MPT in ASEAN can promote effective asset utilisation and resource sharing that benefits regions. This will enhance the flexibility of the ASEAN power sector to accommodate an increasing share of renewables, particularly solar and wind, in a cost-effective, reliable, and environmentally sustainable manner.