Malaysia’s national oil company Petronas has called for stronger regional collaboration to support the global energy transition.
As more countries in Southeast Asia make strides towards embracing the global energy transition, Petronas has called for greater collaboration among the governments of the 10 Asean members, energy players, and the public and private sectors to collectively leverage on each other’s strengths to achieve a sustainable, low-carbon future.
“While the region has made a start towards carbon neutral energy pathways, there remain further opportunities to strengthen regional cooperation and create the right ecosystem to promote a wider usage of energy from clean and sustainable sources, particularly solar and wind,” said Petronas chief executive Tengku Muhammad Taufik Tengku Aziz.
“The shift towards a low-carbon future will require coordinated and collective action from all stakeholders,” he told the Asean Energy Business Forum 2020.
Asean countries already have collectively endorsed ambitious targets that seek to improve the rate of energy efficiency improvement, limit emissions from fossil fuels and expand the role of renewables especially in the power sector – positive signs that the region is moving in the right direction.
'Moving at a different pace'
Tengku Muhammad Taufik added that government support and intervention in developing and implementing supportive energy policies and business-friendly regulations are pivotal for businesses to survive, while public-private sector collaboration will help attract technology-based Foreign Direct Investment as well as technology proprietorships and solutions providers.
Tengku Muhammad Taufik also pointed out that it is important to address the energy trilemma of security, sustainability and affordability.
“The Asean energy transition in the context of the energy trilemma is moving at a different pace as the region is mostly made up of developing economies with competing national economic and social agenda," he said.
'Balancing the energy trilemma'
"Even though energy security remains the top priority for Asean, its economies need to strike the right balance between energy affordability and energy security,” Tengku Muhammad Taufik said.
“In this regard, Petronas is committed to continuously deliver energy while balancing the energy trilemma," he said.
In addition to wind and solar, Petronas also sees opportunities in new energy sources that will complement its global liquefied natural gas portfolio. That includes hydrogen, where the company is now working towards sustainable coalitions with technology providers to develop zero-emission hydrogen fuel from bio-based products and carbon engineering.