Japan is accelerating its efforts to strengthen clean energy cooperation with Southeast Asian countries, a move underscored by recent high-level visits and major investment deals. In the past few weeks, former Japanese Prime Minister Fumio Kishida has toured Indonesia and Malaysia as a representative of the Asia Zero Emissions Community (AZEC), a Japan-led initiative that promotes regional decarbonization.
Kishida’s diplomatic mission follows a similar trip by current Prime Minister Shigeru Ishiba, who traveled across Vietnam and the Philippines in late April. Both leaders emphasized Japan’s commitment to partnering with ASEAN nations on low-carbon energy development.
A key milestone in this push came on May 5, when ASEAN Secretary-General Kao Kim Hourn met with Kishida and AZEC Special Advisor Takio Yamada in Jakarta. Discussions centered on expanding the deployment of renewable energy and adopting advanced decarbonization technologies such as carbon capture, green hydrogen and green ammonia.
The AZEC framework now includes 10 countries: Australia, Brunei, Cambodia, Indonesia, Laos, Malaysia, Singapore, the Philippines, Thailand and Vietnam. Japan aims to export its clean technology and support these countries in achieving carbon neutrality.
One standout project highlighted during Kishida’s visit was the Muara Laboh geothermal power plant in West Sumatra, Indonesia. A consortium of Japanese and Indonesian firms has finalized a financial deal worth $500 million to expand the plant, adding 80 megawatts of capacity.
After Indonesia, Kishida is scheduled to visit Malaysia, where preparations are underway for the AZEC Ministerial and Leaders’ Meeting in October. Malaysia, as this year’s ASEAN chair, will co-host the summit alongside Japan and help launch new joint projects.
Beyond clean energy goals, Japan’s engagement also carries strategic weight. As noted in local reports, Tokyo is keen to reinforce ASEAN’s ties with the United States, particularly amid shifting global trade dynamics and China’s growing influence in the region.
Japan’s intensified outreach through AZEC signals its ambition to lead the region’s transition toward sustainable energy while reinforcing geopolitical alliances in Southeast Asia.
