Can Asean Power Grid slash electricity prices?
Connecting Southeast Asia’s power grids is one thing. Making electricity more affordable for households and businesses across the region is another.
The ASEAN Power Grid (APG) aims to connect the electricity networks of Southeast Asian nations, but turning this vision into reality is not without challenges. While the grid could enhance resiliency by allowing electricity to flow from surplus-producing countries to those in need, the costs and regulatory complexities could impact electricity prices for consumers.
For Singapore's Energy Market Authority chief executive Puah Kok Keong, it is too early to determine whether the APG will lead to lower electricity bills. Both Singapore and the Philippines, which have some of the highest electricity rates in the region, have liberalized electricity markets and do not provide broad-based subsidies to consumers, leaving households and businesses to bear most of the costs.
In Singapore, the government offers utility rebates to residents in public housing units, while the Philippines provides a 100-percent discount for low-income families consuming less than 50 kilowatt-hours of electricity per month. Puah believes that greater regional power integration, regulatory certainty, and improved technology could help bring down power costs in the long run, with the APG set to be a key topic at the 2026 Singapore International Energy Week.
Written by urgent.news from Philippine Star Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
