Operationalizing the ASEAN Power Grid Requires A Stronger Private Sector Role

Chief Operating Officer IBC William Sabandar joined distinguished panelists at the High-Level Connectivity Forum, organized by the Department of Foreign Affairs of the Philippines and the Economic Research Institute for ASEAN and East Asia (ERIA), to discuss how ASEAN can move from conceptualizing the ASEAN Power Grid (APG) to making it a functioning regional reality on August 26, 2026.

The APG has been conceptualized and engineered for decades. Today, the challenge is no longer simply designing the vision but building the trust, confidence, investment, and commercial mechanisms needed to operationalize it.

IBC supports ASEAN’s shared ambition to advance the APG as a critical pathway toward greater energy security, affordability, and access, enabled through effective cross-border electricity connectivity across the region.

William emphasized that “trust” must be at the heart of the APG. Building trust among governments, market actors, investors, and financing institutions will create the confidence required to develop the infrastructure, regulatory frameworks, and commercial mechanisms necessary for deeper regional power connectivity.

While governments, financing institutions, and other key actors are increasingly ready to support the APG, IBC believes that the private sector must play a more active role. Ultimately, demand and commercial feasibility should serve as important anchors for the development of cross-border power projects, ensuring that connectivity is not only politically supported but also economically sustainable.

One compelling example is Borneo, where cross-border electricity connectivity is already taking place. With existing infrastructure, resources, and ongoing cooperation among countries, Borneo offers a practical platform for exploring how regional power integration can be scaled up. Further development of the Borneo electricity network could provide a real-world benchmark for the ASEAN Power Grid.