
- •Abstract
- •Foreword
- •Acknowledgements
- •Executive summary
- •Many models of multilateral power trade
- •Minimum requirements
- •Proposed trade models for ASEAN
- •Findings and recommendations
- •Highlights
- •Overview of study
- •Categories of multilateral power trade
- •International experiences in multilateral power trading
- •Minimum requirements for establishing multilateral power trading
- •Political requirements
- •Technical requirements
- •Institutional requirements
- •Building upon existing efforts
- •LTMS–PIP
- •Proposed trade models for ASEAN
- •Harmonised bilateral trading
- •Secondary trading model
- •Primary trading model
- •Conclusion
- •1. Introduction
- •Models of cross-border power trade
- •ASEAN principles for developing multilateral power trade
- •Overview of ASEAN’s energy sector
- •References
- •2. AMS perspectives
- •APG region: North
- •Cambodia
- •Planned development, including cross-border integration
- •Planned development, including cross-border integration
- •Myanmar
- •Planned development, including cross-border integration
- •Thailand
- •Planned development, including cross-border integration
- •Viet Nam
- •Planned development, including cross-border integration
- •APG region: South
- •Indonesia (Sumatra)
- •Planned development, including cross-border integration
- •Malaysia (Peninsular)
- •Planned development, including cross-border integration
- •Singapore
- •Planned development, including cross-border integration
- •Malaysia (Sarawak and Sabah)
- •Planned development, including cross-border integration
- •APG region: East
- •Brunei Darussalam
- •Planned development, including cross-border integration
- •Indonesia (West Kalimantan)
- •Planned development, including cross-border integration
- •The Philippines
- •Planned development, including cross-border integration
- •References
- •3. Regional perspectives
- •Existing regional integration efforts among AMS
- •LTMS–PIP
- •BIMP–EAGA interconnectivity project
- •Building off existing efforts: The GMS grid codes
- •References
- •4. International case studies
- •Primary power trading arrangements
- •Power pooling in PJM’s eastern territory
- •The measurable value of markets in the PJM region
- •ISO New England
- •Market overview
- •Market structure
- •Nord Pool
- •Governing agreements and regulation
- •Market overview
- •Market structure
- •Policy and regulation
- •Secondary power trading arrangements
- •SAPP
- •SIEPAC
- •Market overview
- •Nascent power trading arrangements
- •SARI/EI
- •Market overview
- •Market structure
- •Key findings: Lessons for ASEAN
- •Drivers and benefits
- •Design options and minimum requirements
- •The need for enabling institutions
- •Financial implications of regional institutions
- •References
- •5. Establishing multilateral power trade in an ASEAN context
- •Minimum requirements for establishing multilateral power trade
- •Harmonised technical standards (grid codes)
- •Summary of minimum level of grid code harmonisation
- •Building off existing efforts: The GMS grid codes
- •External (third-party) access to domestic grids
- •Wheeling charge methodology
- •Data and information sharing requirements
- •Dispute resolution mechanism
- •Other minimum requirements
- •Funding implications of stepwise implementation
- •Role of institutions
- •Overview of existing ASEAN regional institutions
- •ASEAN Secretariat
- •HAPUA
- •AERN
- •Mechanism for settling transactions
- •Potential role of a CCP
- •Optional requirement: Trading currency or currencies
- •Potential options for regional institutions in ASEAN
- •References
- •6. Models for establishing multilateral power trade in ASEAN
- •Overview of proposed models
- •Establishing harmonised bilateral trade with wheeling
- •Overview of trade model
- •Additional requirements and analytical gaps
- •Potential role of institutions
- •Example transaction
- •Establishing a secondary trading model
- •Overview of trade model
- •Additional requirements and analytical gaps
- •Potential role of institutions
- •Example transaction
- •Establishing a primary trading model
- •Overview of trade model
- •Additional requirements and analytical gaps
- •Potential role of institutions
- •Example transaction
- •7. Implications for ASEAN stakeholders
- •Utilities
- •Regulators
- •Investors
- •Consumers
- •Acronyms and abbreviations
- •Table of contents
- •List of figures
- •List of tables
Establishing Multilateral Power Trade in ASEAN |
Regional perspectives |
flexibility in the definition of the GMS grid codes, either so they may be changed to be more appropriate for all of the AMS, or so that their implementation can be tailored as necessary to APG subregions.
The AMS as a whole can also learn from some of the difficulties that arose during the development of the GMS grid codes, including:
significant concerns about data sharing
delay in establishment of the RPCC
discussions regarding the need for a planning code.
Within the GMS effort, most of the countries have expressed concerns about data sharing. This is not a problem isolated to the GMS or ASEAN context. In most of the world, grid data have some degree of national or jurisdictional security status, making them difficult or even illegal to share.
In the context of multilateral power trading, though, it is important to note that the data that need to be shared are unlikely to have this level of sensitivity. More often than not, it is the data related to grid planning and harmonised/integrated capacity calculation methodologies that have the highest sensitivity. While the AMS may well benefit from sharing sensitive data with one another, it is not a minimum requirement to establish multilateral trading. As a result, lack of detailed data sharing on more sensitive topics should not delay efforts to develop multilateral trading in an ASEAN context. Relevant data issues may instead be addressed through parallel processes, or at some later point.
Another GMS discussion with split opinions is on the need for a regional planning code. Similar to the discussion on the sharing of sensitive data, while a regional planning code for the ASEAN region may have benefits, it is not a minimum requirement for multilateral trading. Co-ordinated regional planning is important, but it can also be done in parallel to the development of multilateral power trading or at some later stage in the process. It is also not necessary for AMS to participate in regional planning exercises. Instead, regional planning could be organised by APG region (North, South and East), or perhaps even among smaller subsets of AMS.
In summation, the GMS effort offers many important learning points for the APG. Most importantly, it offers a starting point for the AMS to work from, which could be beneficial in terms of accelerating the work within the ASEAN region.
References
Greater Mekong Subregion (2019a), Conference Proceedings, (webpage), greatermekong.org, https://greatermekong.org/conference-proceedings?page=1.
Greater Mekong Subregion (2019b), 24th Meeting of the Regional Power Trade Coordination Committee, (webpage), greatermekong.org, https://greatermekong.org/24th-meeting-regional-power-trade- coordination-committee-rptcc-24-0.
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