SAFIR-SAREP Regional Regulatory Dialogue on ‘Enhancing Electricity Regulatory Ecosystem for Accelerating Clean Energy Transition and Achieving Net Zero Ambitions in the South Asia Region’

Power system and its regulation is undergoing rapid transformation across the globe due to various socio, economic, technological, and climate change factors, and South Asia (SA) region is also impacted by this change. From integrating new technologies and renewable energy sources to responding to consumers and climate change, electricity systems are constantly evolving to address environmental and social goals thereby bringing complexity.

South Asia region is highly vulnerable to the adverse impact of climate change and decarbonising energy sector is crucial in the fight against climate change. Increasing population, rising energy demand, growth in the manufacturing sector, extreme weather conditions such as heatwaves in India and Pakistan, climate change vulnerabilities, regional and global geopolitical events have intensified regional energy security concerns.

Regulation is the management of complex systems according to a set of rules, standards, and trends. While electricity regulation depends on the political economy of the jurisdiction that creates it, for ensuring just clean energy transition and achieving net zero goals, regulators will have to play an important role in ensuring a smooth and balanced transition in a manner that is affordable and sustainable with minimal environmental and socioeconomic repercussions—and it requires regulatory leaders to navigate the difficult trade-offs. Regulators can provide a level playing field and provide businesses the certainty they need to invest in clean energy transition and net zero projects while protecting the interest of consumers.

While SA countries are at different stage of regulatory evolution, a coordinated and harmonized regional regulatory framework and complementary mechanisms in SA shall help in deepening cross border electricity trade, enhancing regional energy and climate security, accentuating clean energy transition, and facilitating in achieving net zero goals.

Considering the long-term nature, scale of change and ramification of clean energy transition, there is a need to enhance the electricity regulatory ecosystem and develop coordinated and complementary regulatory framework among SA regulators for accelerating clean energy transition and in achieving net zero ambitions.

In the above context and to explore and discuss critical issues and long-term prospects for regulation of the dynamically evolving power system in the region, the First edition of the SAFIR-SAREP Regional Regulatory Dialogue on “Enhancing Electricity Regulatory Ecosystem for Accelerating Clean Energy Transition and Achieving Net Zero Ambitions in the South Asia Region” was organised on September 18, 2023, from 10.00-13.00 Hrs at the Hotel Le Meridien, New Delhi, India.

The SAFIR-SAREP Regional Regulatory Dialogue had expert presentations from South Asia, Southern African, and ASEAN region covering Regional Clean Energy Transition-Current Scenario & Future Regional Outlook, SAPP Pool Plan for facilitating regional renewable energy deployment and clean energy transition in SAPP Region, and ASEAN Power Interconnection.

Around 25 Regulators from South Asian countries participated in the Dialogue. Regulators deliberated upon a) What role Regulators and Regulatory Initiatives to be undertake in South Asia to accelerate Clean Energy Transition and facilitate achieving Net Zero Goals b) taking in account Clean Energy Outlook of South Asia, what key experiences and lessons from international regional experience can be useful for the region c) What are prospects of Cross Border Electricity Trade (CBET) for accelerating clean energy transition in an optimal and sustainable manner d ) What kind of cross border electricity trade model would be suitable for South Asia and e) Roadmap and Action Plan for South Asian Regulators for accelerating Clean Energy Transition and facilitate in achieving Net Zero Goals.

Concept Note and Agenda:

• SAFIR-SAREP Regional Regulatory Dialogue on “Enhancing Electricity Regulatory Ecosystem for Accelerating Clean Energy Transition and Achieving Net Zero Ambitions in the South Asia Region”

Presentations:

• “Regional Clean Energy Transition in South Asia: Current Scenario & Futrue Regional Outlook”
• Regional Energy Cooperation and Regulatory Approaches for Achieving Clean Energy Transition and Net Zero Goals in the ASEAN Region – ASEAN Power Interconnection
• Enhancing Electricity Regulatory Ecosystems Southern African Power Pool Presentation