The Rethinking Energy in Southeast Asia report presented three power system models for Vietnam, the Philippines, and Indonesia to provide a roadmap to future clean power systems to help countries across the region find their optimal paths to Net Zero.

Through its modelling, Wärtsilä found that by 2050, small amounts of fossil fuels are still likely to be used in the region’s optimal energy mixes, however suggested that green hydrogen could be used as substitute as it becomes more widely available.

Additionally, the report suggested that by producing green hydrogen through electrolysis, the countries could act as a key balancing solution to ensure power supplies always match demand, during periods of low power production from wind and solar.

For Indonesia specifically, Wärtsilä predict that the nation’s emissions should peak between 2030-2035, by utilising a combination of renewables, energy storage, balancing plants running on hydrogen, as well as carbon capture and storage (CCS).

The Indonesian focussed modelling highlighted green hydrogen as the “final piece of the puzzle” to achieve Net Zero in the country. It read, “with excess power from a high renewables system used to produce hydrogen-based sustainable fuels. The modelling projects a proportion of hydrogen-based fuels will be both economically feasible and applicable to assist the latter stages of the power sector’s decarbonisation (from 2045 onwards).”

The report concluded that achieving Net Zero in the region is both technically and commercially viable, however, stressed that, “Deep multi-year, data-led planning is needed to maximise new and complex opportunities, from accelerated renewables growth to hydrogen, and to prevent investment in new fossil fuel baseload assets.

“Crucially, the technologies required are available today and the pathway is technically and commercially viable.”

Commenting on the report, Frederic Carron, Vice-President of Middle East Asia, at Wärtsiä Energy, said, “Sustainable fuels will play an integral role in the last stages of the energy transition in Southeast Asia, enabling countries to overcome the final hurdle to Net Zero power systems.

“A thriving sustainable fuel sector can play a transformative role in decarbonising multiple sectors, from energy to transport. This is a golden opportunity for Southeast Asia, but action is needed today to scale up renewable energy and ensure we set ourselves up for future success.”