Cambodia's Clean Energy Transition
Cambodia's Energy Sector has made tremendous progress over the past 20 years.
From experiencing frequent power cuts in the capital city, and having very limited electricity access in rural areas, the country is now able to ensure stable electricity access in Phnom Penh and a village electrification rate over 98%.
From experiencing frequent power cuts in the capital city, and having very limited electricity access in rural areas, the country is now able to ensure stable electricity access in Phnom Penh and a village electrification rate over 98%.
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With a target of 100% electrification by 2030, the country is on its way to modernizing its electricity grid, increasing the quality of its energy distribution, and ensuring a mix of domestic renewable energy sources. Taking the average for 2019 - 2022, roughly half of Cambodia's electricity generation came from renewable energy sources including hydropower (roughly 44%) and solar (about 6%).100%
Despite this rapid and remarkable progress, some challenges still need to be addressed.
As of 2023, half of Cambodia's current electricity generation system continues to rely on fossil fuels, while the other half relies on hydropower.
To meet future energy demand, and to ensure access to cleaner sources of energy, the country has the opportunity to utilise its immense solar potential owed to Cambodia's advantageous natural environment.
This can help to decrease the country's electricity cost, (currently among the highest in the region), while supporting the government's ongoing work to decrease the tariff rates.
In addition, despite the impressive increase of rural village electrification noted above, reliability and access costs remain as opportunities for improvement.
During Cambodia's ASEAN Chairmanship in 2022, Cambodia's Prime Minister indicated the importance of the energy transition and the resulting need for "… policies, laws and regulations on clean energy, environmental protection and energy resource management…"
As Cambodia's energy transition continues to unfold, its government has begun to develop such policy initiatives to adopt variable renewable energy, and is opening the door to increased investment and development.
However, this policy environment remains nascent and much more remains on the transition pathway.
As of 2023, half of Cambodia's current electricity generation system continues to rely on fossil fuels, while the other half relies on hydropower.
To meet future energy demand, and to ensure access to cleaner sources of energy, the country has the opportunity to utilise its immense solar potential owed to Cambodia's advantageous natural environment.
This can help to decrease the country's electricity cost, (currently among the highest in the region), while supporting the government's ongoing work to decrease the tariff rates.
In addition, despite the impressive increase of rural village electrification noted above, reliability and access costs remain as opportunities for improvement.
During Cambodia's ASEAN Chairmanship in 2022, Cambodia's Prime Minister indicated the importance of the energy transition and the resulting need for "… policies, laws and regulations on clean energy, environmental protection and energy resource management…"
As Cambodia's energy transition continues to unfold, its government has begun to develop such policy initiatives to adopt variable renewable energy, and is opening the door to increased investment and development.
However, this policy environment remains nascent and much more remains on the transition pathway.
Pictures are from EnergyLab's events.
At EnergyLab, we are committed to supporting an energy transition: that is just; that increases Cambodia's energy security; that fuels its economic competitiveness; and, that helps mitigate GHG emissions.
In this regard, we will continue to work with the government, the private sector, and all development partners to support clean energy policies and initiatives that help meet Cambodia's priorities to this end.
In this regard, we will continue to work with the government, the private sector, and all development partners to support clean energy policies and initiatives that help meet Cambodia's priorities to this end.
Eurocham kindly provided the photos for an Energy Transition event they organised and invited EnergyLab to facilitate.