Low carbon energy systems and indicator framework for Cambodia, Lao PDR and Myanmar

Abstract

Though the economies in Southeast Asia have been experiencing growth over the years, they also face economic, social and environmental challenges, primarily due to substantial exploitation of natural resources and the region's vulnerability to climate change. The lower income countries of the Mekong Sub region, namely, Cambodia, Lao PDR and Myanmar, with low electrification rates, have the potential to promote low carbon energy systems through regional cooperation and trade in the energy sector, and foster economic growth, while preserving the natural resources and the environment. Scenario analysis on the energy development in these countries (until 2035) indicates that regional cooperation is beneficial to the countries through energy reducing energy investments, improving energy security, reduce emissions of local pollutants in the region, amongst other benefits. To assist in understanding the pathway and trend, indicators based on the elements of socio-economic context, environmental and resource productivity, natural asset base, environmental quality of life, and economic opportunities and policy response, have been listed, which could be further aggregated to obtain a composite index. This could thus help in monitoring and analysing that considers economy, environment and social factors. Measures to be considered for the promotion of low carbon energy systems in CLM countries has been discussed in terms of free trade in low-carbon technology and services, integration of carbon markets, managing the regional financial reserves, coalition for regional innovation systems, and partnerships for collective learning and capacity building. Strategies to promote regional cooperation have been suggested that when incorporated with the indicators noted can provide detailed analysis for the policy makers on the growth path being taken, targets being achievable or otherwise, impacts of specific policies, and the role of issues, such as regional cooperation.