Photo 1. Panellists and moderator in the session “Outlook & Roadmap: Opportunity, Challenge, and Investment for Smart Grid Indonesia” (Photo Source: Decagrid Symposium Organiser)
On 21 October 2025, the ASEAN Centre for Energy (ACE) was invited to join the DECAGRID: Empowering Smart Grids with Mission-Critical Networks in the PLN head office in Jakarta, Indonesia, to celebrate the 10-year journey of Prakarsa Jaringan Cerdas Indonesia (PJCI / Indonesia Smart Grid Association). The event brought together the participation of government, industry, academia, communities, and other energy stakeholders, which featured several keynote speeches, panel discussions, papers submission gallery, and youth energy competitions.
Represented by Rika Safrina, Senior Analyst of Energy Modelling and Policy Planning, ACE had the honor to join as one of the speakers in a session about “Outlook & Roadmap: Opportunity, Challenge, and Investment for Smart Grid Indonesia”, to share the perspectives on ASEAN’s collective vision for smart grid development and regional power interconnection, by emphasising the role of Indonesia as a leader in achieving ASEAN’s sustainable energy goals. Rika began by explaining the roles of the ASEAN Centre for Energy (ACE) as catalyst, knowledge hub, and think tank, and how ACE worked under the guidance of the ASEAN Plan of Action for Energy Cooperation (APAEC). APAEC is a series of policy documents that support the implementation of ASEAN multilateral energy cooperation. During the 43rd ASEAN Ministers on Energy Meeting and its associated meetings on 14-17 October 2025 in Kuala Lumpur, under Malaysia’s ASEAN Chairmanship, the region just endorsed the new APAEC 2026-2030, which will serve as a strategic blueprint for integrated energy cooperation under seven programme areas.
Photo 2. Rika Safrina from ACE sharing insights on smart grid and regional power interconnection development in ASEAN and how Indonesia can take the role in their advancement. (Photo Source: Decagrid Symposium Organiser).
The first programme area, called ASEAN Power Grid (APG), is expected to enhance regional energy security and connectivity by developing grid infrastructure and market frameworks. Some of the action plans under APG are “to advance grid modernisation and digitalisation of the ASEAN power system to ensure its capability towards energy transition”. Therefore, the region already acknowledges the benefits of smart grids in increasing renewable energy (RE) development.
As of 2023, the RE share in ASEAN achieved 14% in total primary energy supply and 33.5% in Installed Capacity. Based on the 8th ASEAN Energy Outlook, the demand for energy in ASEAN by 2050 in the Baseline Scenario is projected to be 2.6 times above the 2022 level, with fossil fuels still dominating the energy mix. To accelerate the transition to cleaner energy, ASEAN has outlined several targets and strategies. For example, in the new APAEC, the region aims to achieve a RE share of 30% in the energy mix and 45% in installed capacity by 2030. The Member States also have their own national RE targets to achieve net-zero emissions, such as Indonesia by 2060 or sooner.
With these increasing interests in grid integration of RE, especially solar and wind with a higher degree of variability and complexity, and the growing demand for data centres that will further overwhelm the grids, the traditional power systems need to shift to a modernised grid where intelligent monitoring, control and supply-demand optimisation are possible to efficiently deliver sustainable, economic and secured electricity supplies. This is where a smart grid can be utilised. It integrates the requirements and abilities of all stakeholders in the power generation, distribution and consumption cycle to efficiently manage the entire system, reduce costs and environmental impacts, and increase the network’s reliability, flexibility and stability. The ASEAN Member States have made some progress in implementing smart grid, in their national system through national development plans/policies and pilot projects.
Most implemented projects focus on monitoring the demand side. For example, PLN in Indonesia has conducted several pilot projects of advanced metering infrastructure since 2014. Indonesia can leverage its ongoing grid modernisation initiatives and national energy digitalisation as regional demonstration models. With ACE support, these projects can serve as knowledge-sharing platforms for other Member States, showcasing lessons learned, technical frameworks, and scalable business models that suit diverse market conditions. As one of the region’s largest energy markets and a key player in ASEAN energy policy, Indonesia is well-placed to serve as both a testing ground and regional convenor for smart grid solutions supporting ASEAN’s energy transition.
Through PLN’s involvement in HAPUA, Indonesia could coordinate research and development (R&D) partnerships among universities, research institutes, and utilities to advance interoperable technologies and data systems. As mentioned in the ACE policy brief, smart grid implementation in ASEAN faces diverse challenges across countries due to differences in policies, infrastructure readiness, and market maturity. Common obstacles include high upfront investment costs, limited financial and business models to ensure returns, and cybersecurity concerns.
To advance progress, the region can accelerate smart grid development by (i) identifying country-specific needs and priority applications, (ii) introducing financial incentives to attract investment, (iii) forming dedicated working groups and forums, (iv) enhancing R&D in relevant technologies, and (v) enacting supportive policies for grid integration. These collective efforts can help ASEAN countries speed up smart grid deployment and facilitate greater integration of RE into their power systems.
With a tagline, “There is no transition without smart grid”, the session also welcomed other esteemed panellists from PLN, GIZ, KORIKA (AI Innovation & Industry Research Collaboration of Indonesia), Siemens, and Indonesia Energy Transition Implementation Joint Office (Rumah Paten). ACE congratulates the PJCI for its 10-year dedication to advancing Indonesia’s electricity sector through smart energy systems, and the Centre stands ready to support Indonesia and other AMS in accelerating these innovative technologies. (RS)
