ASEAN Power Grid in 2026: new funding, new interconnections and what they mean for testing

Southeast Asia's electricity demand is expected to triple by 2040, driven by industry, data centres, electric vehicles and urban growth. Connecting the region's grids through the ASEAN Power Grid (APG) is now treated as one of the main ways to meet that demand, and 2026 has brought new money and new detail on the projects involved.

New funding for cross-border links

In April 2026 the Asian Development Bank committed US$25 million through a multi-partner fund, backed by Australia, Canada, the European Union, Germany and the United Kingdom, to prepare cross-border energy and transmission projects in the region (The Star / Bernama). It adds to the APG Financing Initiative launched in 2025, which includes up to US$10 billion from ADB over ten years and US$2.5 billion from the World Bank.

Where the projects stand

Figures presented at TransTech ASEAN 2026 in Jakarta in April give a picture of the work ahead:

• ASEAN targets 45 % renewables in installed capacity by 2030, from about 33 % today.
• Of 18 priority interconnection projects, nine were complete as of 2025, adding about 10.2 GW; around 5.5 GW more is expected in the near term.
• About US$800 billion of generation and transmission investment is needed by 2045.
• Philippines: the Mindanao–Visayas Interconnection, a ±350 kV, 450 MW HVDC link with 184 circuit-km of submarine cable and 422 km of overhead DC line, reached full bipolar operation in early 2024.
• Indonesia: PLN is studying Java–Kalimantan and Sumatra–Java corridors and multi-terminal HVDC to relieve congestion.
• Malaysia: the Peninsula–Sarawak interconnection is estimated at about US$10 billion.
• Vietnam: a proposed Vietnam–Malaysia–Singapore corridor would carry about 2 GW of Vietnamese wind power.

"The future of energy in Southeast Asia will not be determined by how much we build, but by how well we connect." — Daniel Tampubolon, PLN

What it means for testing

Interconnectors are only the most visible part. Behind every link are new substations, transformers, switchgear and many kilometres of land and submarine cable, and the national grids on both sides must be reinforced to carry the power. All of this has to be tested at commissioning and then maintained in a hot, humid climate where insulation and contacts age quickly.

• Cables: after-installation AC withstand tests with a series resonant system, and fast cable fault location to keep outages short.
• Substations: transformer, circuit breaker and instrument transformer tests at commissioning and in routine maintenance.
• Insulation in humid climates: regular insulation resistance and polarization index and tan delta tests to catch moisture early.

HUAC supplies test equipment to utilities, contractors and industrial users in Southeast Asia. If you are planning commissioning work on a new line, cable or substation, send us the asset list and we will suggest a test set.

Sources

• The Star / Bernama, "ADB-led funding boost Asean power grid as the region faces energy insecurity", 10 April 2026.
• Southeast Asia Infrastructure, "Southeast Asia's Grid Ambitions: Conference highlights of TransTech ASEAN 2026".