ERIA–ASEAN Validate Work Plan to Advance ASEAN Carbon Neutrality

Jakarta, 5 August 2026: ERIA, in collaboration with the ASEAN Secretariat's Analysis and Monitoring on Finance and Socio-Economic Issues Division (AMFSED), convened the Validation Workshop on the ASEAN Carbon Neutrality Work Plan.

Held pursuant to the mandate of the ASEAN Task Force on Carbon Neutrality (ATF-CN), the hybrid workshop brought together ATF-CN representatives, ASEAN Sectoral Bodies, ASEAN Secretariat divisions, the ASEAN Business Advisory Council, and the Sustainable Finance Institute Asia. The workshop sought feedback on the draft Work Plan and aimed to build consensus on priority actions to advance the ASEAN Strategy for Carbon Neutrality, endorsed by the ASEAN Economic Community Council (AECC) in 2023.

The Work Plan will serve as the principal framework for co-ordinating, operationalising, and monitoring the implementation of the Strategy across relevant ASEAN bodies.

Workshop Proceedings

Opening the workshop, Ambassador Robert E. A. Borje, ATF-CN Chair and Vice Chairperson and Executive Director of the Climate Change Commission (CCC) of the Philippines, highlighted the Strategy's economic potential. He noted estimates of a US$5.3 trillion increase in regional GDP and the creation of up to 66 million jobs by 2050. Citing regional milestones such as the Enhanced Memorandum of Understanding on the ASEAN Power Grid (APG) and the inclusion of remanufactured products under the upgraded ASEAN Trade in Goods Agreement (ATIGA), he encouraged participants to provide candid feedback to inform the ATF-CN and AEC Council deliberations in November.

Mr Satvinder Singh, Deputy Secretary-General of ASEAN for the ASEAN Economic Community (AEC), reaffirmed the ASEAN Secretariat's support, highlighting initiatives including the APG financing facility, regional biofuel feedstock mapping, and the development of carbon capture, utilisation, and storage (CCUS) policy frameworks. He also underscored the importance of private sector engagement, noting that industrial groups account for around 60% of ASEAN's power generation capacity.

Dr Nuki Agya Utama, Director for Energy Policy and Head of the Asia Zero Emission Center at ERIA, urged greater cross-sectoral co-ordination to balance decarbonisation, energy security, and economic resilience.

Ms Latifahaida Abdul Latif, Assistant Director of AMFSED, outlined the rationale behind the Work Plan, noting that it aims to address implementation gaps in the Strategy, including unclear operational roadmaps and limited monitoring mechanisms.

Breakout sessions focused on two core tracks. Morning discussions focused on sustainable finance and green industry initiatives, including alignment with the ASEAN Taxonomy for Sustainable Finance, harmonisation of measurement, reporting, and verification (MRV) standards for regional carbon markets, integration of circular products into the ASEAN Trade in Goods Agreement (ATIGA), and opportunities to green regional manufacturing value chains.

Afternoon discussions examined cross-border power trading, regional energy transition priorities, and policy frameworks for CCS/CCUS infrastructure. Participants also discussed social dimensions, including labour mobility, green skills taxonomies, and just transition practices, while validating the proposed outputs, key performance indicators (KPIs), and outcomes for each initiative under the draft Work Plan.

Key Takeaways

Six key takeaways emerged from the discussions:

1. Prioritise harmonising member states' existing national standards and regulations rather than developing new regional frameworks.
2. Grant Lead Sectoral Bodies clear mandates to undertake specific activities before supporting bodies undertake complementary activities.
3. Strengthen evidence-based justification before setting medium- and long-term targets, particularly those related to ATIGA, just transition financing, green jobs and skills, and labour market demand.
4. Structure future Work Plan reviews to evaluate progress on short-term items and diagnostic activities, given their importance in enabling longer-term outputs and KPIs.
5. Leverage existing monitoring frameworks and KPIs maintained by the relevant Sectoral Bodies before developing new metrics, to avoid duplication.
6. Refine KPIs to focus on implementation and practical outcomes.

Way Forward

Feedback from the workshop will be incorporated into the next draft of the Work Plan in consultation with the ASEAN Secretariat. Following further review at the next ATF-CN meeting, the document will undergo intersessional consultations before being submitted to the 28th AEC Council Meeting in November 2026.

The workshop concluded with participants reaffirming their shared commitment to turning the Strategy into a practical, regionally owned framework. ERIA will continue supporting the ATF-CN through the finalisation and subsequent implementation of the Work Plan.