Page 97 - Ebook HTKH 2024

important milestone, demonstrating a strong transformation in the country's energy
policy.

Indonesia has also set a goal to increase the use of renewable energy to 23% by
2025. The country is investing heavily in hydropower and wind power projects, and is
looking for solutions to reduce its dependence on coal, an energy source that accounts
for a large proportion of the country's energy mix.
Thailand has implemented a program to encourage investment in solar energy and
biomass energy, with the goal of reaching 30% renewable energy by 2037. The Thai
government has introduced many preferential policies for renewable energy
development projects, including subsidies and tax breaks.

However, countries such as Malaysia and the Philippines are still heavily
dependent on fossil energy sources, despite small strides in the development of
renewable energy. Malaysia still relies on oil and gas and coal, while the Philippines
still relies heavily on traditional energy sources.
Carbon intensity and CO2 emission targets
Countries in the ASEAN region are committed to implementing CO2 emission

reduction targets according to the Nationally Determined Contribution (NDC) within
the framework of the Paris Agreement on climate change. However, the majority of
countries have not yet achieved enough carbon reductions to meet the target of limiting
global temperatures to 1.5°C.
Table 2. Carbon intensity and NDC of some ASEAN countries in 2022
Carbon intensity Annual carbon reduction is Carbon reduction required to
Country
2022 (%) needed to achieve NDC (%) achieve the target of 1.5°C (%)
Indonesian -21,3 6,5 17,2
Thailand 1,8 6,4 17,2

Vietnam 6,5 2,5 17,2
Malaysia 2,5 7,2 17,2

Philippines 0,1 13,6 17,2
Singapore 10,8 8,9 17,2
Source: 2023 Net Zero Emissions Economic Index Report
The above data shows that the majority of ASEAN countries still face major

challenges in achieving the NDC targets as well as the 1.5°C target. Indonesia, with
its high carbon intensity, needs to drastically reduce its emissions to meet its
commitments. Meanwhile, countries such as Vietnam and the Philippines, although
there have been efforts to reduce emissions, the rate of reduction is still slow compared
to requirements.
3.2. Assessment of the current situation of the green economy in ASEAN
In recent years, the ASEAN region has made certain strides in pursuing a green
economy, however, the development situation still faces many different challenges and

opportunities depending on each country. ASEAN countries have become aware of the
importance of sustainable development, minimizing negative environmental impacts,

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