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Future of Energy 2020

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A SPECIAL REPORT BY What s next Cambodia The opportunity to take up the sun is now VISION IN THE MAKING H E Say Sam Al on evidence and consequence CHARCOAL 2 0 Cleaner leaner and sustainable solutions for better cooking MOVING ELECTRIC EV s are entering the lifestyle mainstream GREEN BUILDING Live and work in eco friendly structures BROUGHT TO YOU BY

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FUTURE OF ENERGY POSTCARD FROM THE FUTURE I am writing this from Australia and we ve had really beautiful postcard weather But it also felt like a postcard from the future for the first time in South Australia s history 100 of customer electricity needs were matched by the sun and the wind Historically Australia has been powered by coal but those plants are old and increasingly being replaced by cleaner cheaper solar and wind power Solar and wind have no fuel costs And it also costs less to build 1 MW of solar or wind than 1MW of coal Analysis supported by the Australian Government and UNDP both show that Cambodia s electricity costs will be reduced by integrating more solar and wind power which translates to lower energy prices for households and businesses While Cambodia is currently only at 3 solar and wind production we are grateful to Australia and other nations for figuring out how we can run on high share of solar and wind Coal can be stockpiled but until recently solar and wind power could not be hoarded for later use However technology is changing fast and storage options like batteries and hydro are being implemented along with forecasting technology and data modeling all help to provide benefits for grid stability Cambodia has a real advantage over Australia around half of Cambodia s electricity is already produced from hydropower which can rapidly adjust to the variability of sun and wind output Coal on the other hand is very rigid and these power plants are slow to react to changing energy demands In the next few months Cambodia s policy makers will be finalising future electricity plans with support from organisations and countries around the world including ADB Australia AFD UNDP the US the EU and UK It s certainly the most exciting time of my 20 year career more than half of it spent supporting a positive energy future for Cambodia As the Minister of Environment p 20 points out long gone are the days of choosing between supporting the environment or the economy as this transition brings much needed investment within Cambodia It also brings more meaningful jobs cheap clean electricity and retaining existing businesses like H M who have a 100 renewable energy commitment to their customers Cambodia is also improving energy security by embracing homegrown renewables rather than importing coal gas and electricity from neighbours Clean energy can truly support sustainable economic development in the country which is why we host Clean Energy Week each year showcasing green energy opportunities in Cambodia This annual edition of the Future of Energy Magazine is a celebration of where Cambodia is today and what we can do for tomorrow How clean energy will remake geopolitics The Economist Magazine published at the same month Australia hit record breaking solar and wind levels Bridget McIntosh Country Director for EnergyLab Cambodia Welcome to Clean Energy Week 2020 With over 30 events taking place there is something for everyone From policy makers to students investors to building owners IT professionals and technical experts anyone who cares about the environment and Cambodia s economic future will find something of interest The clean energy transition won t happen without collective effort and we need to bring in the skills expertise and motivations from all sectors of society within and outside the energy industry Join in engage and learn how clean energy can help shape Cambodia s sustainable economic future Many thanks to all our partners promoting clean energy in Cambodia A special thanks to our sponsors and funders Australian Embassy UNDP European Union funded Switch Asia Heinrich B ll Stiftung Oxfam and SNV CONTENTS 4 BRIEFS A quick look at what s important 6 A BETTER GRID Supply vs green 10 The Australian green success story 12 THE LOOK OF LOVE 13 2 FUTURE OF ENERGY 2019 LESSONS LEARNED A message from a young Cambodian THE TIME IS NOW The potential of renewables 14 KHMER GREEN CHARCOAL 20 IN THE MARKET 22 A sustainable alternative to cooking with wood 15 16 GreenYellow has found its stance on renewables SMART TECH Better ways to energize 18 SPEEDING UP Electric vehicles as a green alternative LEADING THE WAY H E Say Sam Al on a vision in the making Improving buildings to house a better lifestyle 24 STRUCTURAL GREEN VILLAGE VOICE A technology to address energy challenges in emerging markets 26 Youth learns for a better future LEARNING SUSTAINABILITY 2020 21 FUTURE OF ENERGY 3

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FUTURE OF ENERGY POSTCARD FROM THE FUTURE I am writing this from Australia and we ve had really beautiful postcard weather But it also felt like a postcard from the future for the first time in South Australia s history 100 of customer electricity needs were matched by the sun and the wind Historically Australia has been powered by coal but those plants are old and increasingly being replaced by cleaner cheaper solar and wind power Solar and wind have no fuel costs And it also costs less to build 1 MW of solar or wind than 1MW of coal Analysis supported by the Australian Government and UNDP both show that Cambodia s electricity costs will be reduced by integrating more solar and wind power which translates to lower energy prices for households and businesses While Cambodia is currently only at 3 solar and wind production we are grateful to Australia and other nations for figuring out how we can run on high share of solar and wind Coal can be stockpiled but until recently solar and wind power could not be hoarded for later use However technology is changing fast and storage options like batteries and hydro are being implemented along with forecasting technology and data modeling all help to provide benefits for grid stability Cambodia has a real advantage over Australia around half of Cambodia s electricity is already produced from hydropower which can rapidly adjust to the variability of sun and wind output Coal on the other hand is very rigid and these power plants are slow to react to changing energy demands In the next few months Cambodia s policy makers will be finalising future electricity plans with support from organisations and countries around the world including ADB Australia AFD UNDP the US the EU and UK It s certainly the most exciting time of my 20 year career more than half of it spent supporting a positive energy future for Cambodia As the Minister of Environment p 20 points out long gone are the days of choosing between supporting the environment or the economy as this transition brings much needed investment within Cambodia It also brings more meaningful jobs cheap clean electricity and retaining existing businesses like H M who have a 100 renewable energy commitment to their customers Cambodia is also improving energy security by embracing homegrown renewables rather than importing coal gas and electricity from neighbours Clean energy can truly support sustainable economic development in the country which is why we host Clean Energy Week each year showcasing green energy opportunities in Cambodia This annual edition of the Future of Energy Magazine is a celebration of where Cambodia is today and what we can do for tomorrow How clean energy will remake geopolitics The Economist Magazine published at the same month Australia hit record breaking solar and wind levels Bridget McIntosh Country Director for EnergyLab Cambodia Welcome to Clean Energy Week 2020 With over 30 events taking place there is something for everyone From policy makers to students investors to building owners IT professionals and technical experts anyone who cares about the environment and Cambodia s economic future will find something of interest The clean energy transition won t happen without collective effort and we need to bring in the skills expertise and motivations from all sectors of society within and outside the energy industry Join in engage and learn how clean energy can help shape Cambodia s sustainable economic future Many thanks to all our partners promoting clean energy in Cambodia A special thanks to our sponsors and funders Australian Embassy UNDP European Union funded Switch Asia Heinrich B ll Stiftung Oxfam and SNV CONTENTS 4 BRIEFS A quick look at what s important 6 A BETTER GRID Supply vs green 10 The Australian green success story 12 THE LOOK OF LOVE 13 2 FUTURE OF ENERGY 2019 LESSONS LEARNED A message from a young Cambodian THE TIME IS NOW The potential of renewables 14 KHMER GREEN CHARCOAL 20 IN THE MARKET 22 A sustainable alternative to cooking with wood 15 16 GreenYellow has found its stance on renewables SMART TECH Better ways to energize 18 SPEEDING UP Electric vehicles as a green alternative LEADING THE WAY H E Say Sam Al on a vision in the making Improving buildings to house a better lifestyle 24 STRUCTURAL GREEN VILLAGE VOICE A technology to address energy challenges in emerging markets 26 Youth learns for a better future LEARNING SUSTAINABILITY 2020 21 FUTURE OF ENERGY 3

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EnergySpecial Shorts FUTURE OF ENERGY NEW ENERGY PROJECTS IN THE KINGDOM The Cambodian Government approved many solar projects after the 2019 power shortages reaching 400MW of solar power with prices ranging from 3 877 7 6c kWh An 80MW wind project was approved but no agreement with EDC reached These were followed by 4 065MW of coal projects including buying 2 400MW from Laos at 7 7c kWh and a hydro project at 7 9c kWh Laos Odor Mean Chey Pursat 90 MW 2021 2 400 MW 2025 2027 265 MW 2021 2022 Banteay Meanchey 30 MW 2022 Kampong Chhnang Koh Kong 700 MW 2023 2024 60 MW 2021 60 MW 2022 Battambang 60 MW 2022 Svay Rieng 20 MW 2021 Total New Capacity MW 400 4065 Kompong Speu Solar 80 MW 2019 Preah Sihanouk 700 MW 2022 2023 Coal ENERGY MIX CAMBODIA V S WORLD As the cost of renewable energy drops the rest of the world is moving away from fossil fuels towards renewable energy Cambodia is trending in the opposite direction with only 26 generation from renewable energy in 2030 Renewables Nuclear Fossil Fuels Imports Unclassified Source EnergyLab BNEF IEA EDC EAC 4 FUTURE OF ENERGY 2020 21 2050 2050 7 2030 Cambodia PUSHING RENEWABLE ENERGY IN SOUTHEAST ASIA A number of important industrial players in Cambodia including H M Adidas Decathlon Gap Chip Mong Insee Timberland Kipling The North Face Gap Schneider and Specialised Bicycles have engaged with the Ministry of Economy and Finance to strengthen industry in Cambodia by embracing renewable energy The 260 RE100 companies worldwide have made a commitment to go 100 renewable and prioritize investment and operations in countries that are aligned with this goal They are calling for the Cambodian government to move away from coal and gas and increase the share of renewable energy in the grid Improved rooftop solar arrays and programs that support Corporate PPAs like those being developed in Vietnam and globally are essential elements of this strategy Vietnam SOLAR AND WIND IS BOOMING Cambodia ELECRICKET In 2020 state power utility Vietnam Electricity EVN updated incentives for wind and solar projects that include guaranteed prices contracts and a policy for rooftop solar By September 2020 there is already over 5 100MW of solar installed and an additional 7 000MW of wind energy approved an investment totalling roughly 15 billion Vietnam s new Power Development Plan PDP is set to be released in early 2021 and will likely cancel 15GW of planned coal power instead focusing heavily on solar and wind energy The University of Technology Sydney s analysis of renewable energy in Vietnam indicated that jobs could double in this sector by 2025 eventually employing 520 000 people provided Cricket House has created a unique way to support farmer income opportunities in the form of a solar powered cricket incubator The solar power runs the controls in the device that manage the humidity and temperature to ensure optimum conditions Renewable energy capacities as of September 2020 7 36 3 12 2GW 54 Solar Small hydro Wind Biomass Source Energy Regulatory Authority of Vietnam Ministry of Industry and Trade BloombergNEF Note Excludes large hydro the opportunity to retrain those working in coal projects and transition them into these long term high value and sustainable jobs 2030 Thailand BETTING ON A GREENER FUTURE 9 2018 2018 26 16 12 24 29 43 49 34 74 48 Cambodia 60 Global 69 Thailand has recently set impressive targets to help minimise the country s reliance on depleting oil and gas reserves and maximise wind centralised and rooftop solar PV Initially policy makers were worried about introducing significant amounts of solar and wind into the grid However the International Energy Agency helped them analyse minimum and maximum scenarios for variable output against demand on a 15 minute basis to ensure reliability The results were striking leading Thai policy makers to choose the maximum scenario modelled and the IEA helped provide clear technical solutions for how this could be achieved

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EnergySpecial Shorts FUTURE OF ENERGY NEW ENERGY PROJECTS IN THE KINGDOM The Cambodian Government approved many solar projects after the 2019 power shortages reaching 400MW of solar power with prices ranging from 3 877 7 6c kWh An 80MW wind project was approved but no agreement with EDC reached These were followed by 4 065MW of coal projects including buying 2 400MW from Laos at 7 7c kWh and a hydro project at 7 9c kWh Laos Odor Mean Chey Pursat 90 MW 2021 2 400 MW 2025 2027 265 MW 2021 2022 Banteay Meanchey 30 MW 2022 Kampong Chhnang Koh Kong 700 MW 2023 2024 60 MW 2021 60 MW 2022 Battambang 60 MW 2022 Svay Rieng 20 MW 2021 Total New Capacity MW 400 4065 Kompong Speu Solar 80 MW 2019 Preah Sihanouk 700 MW 2022 2023 Coal ENERGY MIX CAMBODIA V S WORLD As the cost of renewable energy drops the rest of the world is moving away from fossil fuels towards renewable energy Cambodia is trending in the opposite direction with only 26 generation from renewable energy in 2030 Renewables Nuclear Fossil Fuels Imports Unclassified Source EnergyLab BNEF IEA EDC EAC 4 FUTURE OF ENERGY 2020 21 2050 2050 7 2030 Cambodia PUSHING RENEWABLE ENERGY IN SOUTHEAST ASIA A number of important industrial players in Cambodia including H M Adidas Decathlon Gap Chip Mong Insee Timberland Kipling The North Face Gap Schneider and Specialised Bicycles have engaged with the Ministry of Economy and Finance to strengthen industry in Cambodia by embracing renewable energy The 260 RE100 companies worldwide have made a commitment to go 100 renewable and prioritize investment and operations in countries that are aligned with this goal They are calling for the Cambodian government to move away from coal and gas and increase the share of renewable energy in the grid Improved rooftop solar arrays and programs that support Corporate PPAs like those being developed in Vietnam and globally are essential elements of this strategy Vietnam SOLAR AND WIND IS BOOMING Cambodia ELECRICKET In 2020 state power utility Vietnam Electricity EVN updated incentives for wind and solar projects that include guaranteed prices contracts and a policy for rooftop solar By September 2020 there is already over 5 100MW of solar installed and an additional 7 000MW of wind energy approved an investment totalling roughly 15 billion Vietnam s new Power Development Plan PDP is set to be released in early 2021 and will likely cancel 15GW of planned coal power instead focusing heavily on solar and wind energy The University of Technology Sydney s analysis of renewable energy in Vietnam indicated that jobs could double in this sector by 2025 eventually employing 520 000 people provided Cricket House has created a unique way to support farmer income opportunities in the form of a solar powered cricket incubator The solar power runs the controls in the device that manage the humidity and temperature to ensure optimum conditions Renewable energy capacities as of September 2020 7 36 3 12 2GW 54 Solar Small hydro Wind Biomass Source Energy Regulatory Authority of Vietnam Ministry of Industry and Trade BloombergNEF Note Excludes large hydro the opportunity to retrain those working in coal projects and transition them into these long term high value and sustainable jobs 2030 Thailand BETTING ON A GREENER FUTURE 9 2018 2018 26 16 12 24 29 43 49 34 74 48 Cambodia 60 Global 69 Thailand has recently set impressive targets to help minimise the country s reliance on depleting oil and gas reserves and maximise wind centralised and rooftop solar PV Initially policy makers were worried about introducing significant amounts of solar and wind into the grid However the International Energy Agency helped them analyse minimum and maximum scenarios for variable output against demand on a 15 minute basis to ensure reliability The results were striking leading Thai policy makers to choose the maximum scenario modelled and the IEA helped provide clear technical solutions for how this could be achieved

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FUTURE OF ENERGY HOW TO BUILD A BETTER GRID Cambodia s recent turn to coal fired energy has raised eyebrows among investors But for those in the renewables sector there are still plenty of reasons to look on the bright side BY ANDREW HAFFNER F or most of us this year hasn t exactly gone as expected Though not of pandemic proportions something similar could be said for the renewables sector in Cambodia If 2018 19 was the year of green energy growth for Cambodia then 2020 may herald a carbon expansion Until not long ago the Kingdom sat in a favourable position of drawing roughly 80 of its power from renewable or hydroelectric sources with the remaining 20 coming from carbon fuels But if a slate of coal fired projects announced this year come online as expected that 80 20 split in the power supply is expected to reverse by 2030 That kind of shift would place the grid at odds with national goals for sustainable development a turn that comes as major figures in the garment industry warn that doubling down on coal could push carbon counting brands to leave the country and outsource production elsewhere Still even with the seeming embrace of coal energy experts aren t counting out renewables Stuart Thorncraft an energy consultant and one of the architects of a 2017 solar master plan for the Kingdom is looking on the bright side I m very optimistic about Cambodia despite the coal 6 FUTURE OF ENERGY 2020 21 The signing and groundbreaking ceremony on December 18 2019 to build two coal fired power plants in Preah Sihanouk province by the Cambodia International Investment and Development Group CIIDG and China Huadian Hong Kong Co Ltd CHDHK projects Thorncraft said I wouldn t see it as a doom and gloom scenario just because they re building some coal Still for many the recent embrace of coal feels like shifting ground Last year was a strong one for Cambodia s renewable energy sector particularly the solar field In 2019 the Kingdom installed a total solar capacity of about 120MW a little less than a third of which came from rooftop solar systems By last August four solar projects with a total capacity of 140MW had been approved by the state for construction across four provinces bringing the total solar energy capture to 410MW in projects either built under construction or approved Considering that number stood at only about 10MW in 2017 Cambodia seemed to be taking major strides toward a greener grid even as it expanded total energy output However this past year added a bend to that course amidst a ballooning in planned investments in coal fired power As the Covid 19 pandemic took a bite out of the global economy and dampened the Kingdom s annual prospects the Cambodian government approved 4 065MW of coal projects to come online through 2027 including a scheme to purchase 2 400MW of electricity from a plant sitting just over the border in Laos Aside from the Laotian produced energy the remaining 1 600MW would come from three different plants built within Cambodian borders That roster includes a 700MW project planned for construction by major domestic development firm the Royal Group in Koh Kong national park another 700MW in Sihanoukville by the Cambodia International Investment and Development Group CIIDG and China Huadian Hong Kong Co Ltd CHDHK Rounding out the pool is a 270MW installation proposed for Odour Meanchey province The project announcements would represent a considerable amount of the total energy in Cambodia s grid But Han Phoumin senior energy economist with the Economic Research Institute for ASEAN and East Asia puts the fossil developments in a more long term perspective of development If you take it all into account solar energy in Cambodia increased quite suddenly Phoumin said I think what politicians and people in government want to see is cheaper electricity and a good transition which can include changes to energy governance and upgraded transmission infrastructure Phoumin thinks it ll also include more investments in renewables as well as a fossil pivot from coal to cleanerburning natural gas providing consistent power to a country that is increasingly ravenous for it Thanks to increasing electrification and massive economic growth electricity demand now grows by an average of about 17 annually Electricite du Cambodge EDC the French monikered national utility has reported last year s increase in demand was even higher at more than 23 It may come as no surprise then that even as Cambodian households clamour for more energy the industrial and commercial sectors remain the biggest consumers in the country Last year the Electricity Authority of Cambodia EAC reported industry uses amounted to 31 26 percent of 2019s total electricity consumption of 10 287 540MWh That same year commercial consumers bought a little more than 35 while the residential sector bought nearly 33 52 Statistics from the EDC further highlight that growth in domestic supply and demand As the Kingdom weans itself off energy imports from neighbouring countries total domestic power generation last year hit 8 986 330MWh According to the utility over the past 15 years the capacity I think what politicians and people in government want to see is cheaper electricity and a good transition which can include changes to energy governance and upgraded transmission infrastructure A total of 410MW solar projects are either built under construction or approved in Cambodia of Cambodian power sources has increased 14 5 times over The amount of energy delivered to consumers has increased 12 times over in that same period of time In light of that growth the EDC has aired some skepticism on the ability of renewables and specifically solar to provide adequate consistent power across the country And while local green energy boosters are quick to promote their product they re finding much of their arguments are being made for them by macroeconomics and globalised supply chains It is now indisputable that all countries will benefit from investing in clean energy technologies as soon as possible Tina Redshaw British Ambassador to Cambodia wrote in an email The rapidly falling cost of renewables means that solar and wind power are now cheaper than new coal and gas power plants in two thirds of the world s countries By 2030 or before it will be cheaper to build new wind or solar capacity than continue operating coal in all markets Christer Horn af minne the Cambodia and Vietnam country manager of Swedish clothing line H M Group took a similar tack while arguing for a greener grid He stated in an email that the brand can celebrate the Kingdom s current ratio of renewable to fossil fuel based energy 2020 21 FUTURE OF ENERGY 7

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FUTURE OF ENERGY HOW TO BUILD A BETTER GRID Cambodia s recent turn to coal fired energy has raised eyebrows among investors But for those in the renewables sector there are still plenty of reasons to look on the bright side BY ANDREW HAFFNER F or most of us this year hasn t exactly gone as expected Though not of pandemic proportions something similar could be said for the renewables sector in Cambodia If 2018 19 was the year of green energy growth for Cambodia then 2020 may herald a carbon expansion Until not long ago the Kingdom sat in a favourable position of drawing roughly 80 of its power from renewable or hydroelectric sources with the remaining 20 coming from carbon fuels But if a slate of coal fired projects announced this year come online as expected that 80 20 split in the power supply is expected to reverse by 2030 That kind of shift would place the grid at odds with national goals for sustainable development a turn that comes as major figures in the garment industry warn that doubling down on coal could push carbon counting brands to leave the country and outsource production elsewhere Still even with the seeming embrace of coal energy experts aren t counting out renewables Stuart Thorncraft an energy consultant and one of the architects of a 2017 solar master plan for the Kingdom is looking on the bright side I m very optimistic about Cambodia despite the coal 6 FUTURE OF ENERGY 2020 21 The signing and groundbreaking ceremony on December 18 2019 to build two coal fired power plants in Preah Sihanouk province by the Cambodia International Investment and Development Group CIIDG and China Huadian Hong Kong Co Ltd CHDHK projects Thorncraft said I wouldn t see it as a doom and gloom scenario just because they re building some coal Still for many the recent embrace of coal feels like shifting ground Last year was a strong one for Cambodia s renewable energy sector particularly the solar field In 2019 the Kingdom installed a total solar capacity of about 120MW a little less than a third of which came from rooftop solar systems By last August four solar projects with a total capacity of 140MW had been approved by the state for construction across four provinces bringing the total solar energy capture to 410MW in projects either built under construction or approved Considering that number stood at only about 10MW in 2017 Cambodia seemed to be taking major strides toward a greener grid even as it expanded total energy output However this past year added a bend to that course amidst a ballooning in planned investments in coal fired power As the Covid 19 pandemic took a bite out of the global economy and dampened the Kingdom s annual prospects the Cambodian government approved 4 065MW of coal projects to come online through 2027 including a scheme to purchase 2 400MW of electricity from a plant sitting just over the border in Laos Aside from the Laotian produced energy the remaining 1 600MW would come from three different plants built within Cambodian borders That roster includes a 700MW project planned for construction by major domestic development firm the Royal Group in Koh Kong national park another 700MW in Sihanoukville by the Cambodia International Investment and Development Group CIIDG and China Huadian Hong Kong Co Ltd CHDHK Rounding out the pool is a 270MW installation proposed for Odour Meanchey province The project announcements would represent a considerable amount of the total energy in Cambodia s grid But Han Phoumin senior energy economist with the Economic Research Institute for ASEAN and East Asia puts the fossil developments in a more long term perspective of development If you take it all into account solar energy in Cambodia increased quite suddenly Phoumin said I think what politicians and people in government want to see is cheaper electricity and a good transition which can include changes to energy governance and upgraded transmission infrastructure Phoumin thinks it ll also include more investments in renewables as well as a fossil pivot from coal to cleanerburning natural gas providing consistent power to a country that is increasingly ravenous for it Thanks to increasing electrification and massive economic growth electricity demand now grows by an average of about 17 annually Electricite du Cambodge EDC the French monikered national utility has reported last year s increase in demand was even higher at more than 23 It may come as no surprise then that even as Cambodian households clamour for more energy the industrial and commercial sectors remain the biggest consumers in the country Last year the Electricity Authority of Cambodia EAC reported industry uses amounted to 31 26 percent of 2019s total electricity consumption of 10 287 540MWh That same year commercial consumers bought a little more than 35 while the residential sector bought nearly 33 52 Statistics from the EDC further highlight that growth in domestic supply and demand As the Kingdom weans itself off energy imports from neighbouring countries total domestic power generation last year hit 8 986 330MWh According to the utility over the past 15 years the capacity I think what politicians and people in government want to see is cheaper electricity and a good transition which can include changes to energy governance and upgraded transmission infrastructure A total of 410MW solar projects are either built under construction or approved in Cambodia of Cambodian power sources has increased 14 5 times over The amount of energy delivered to consumers has increased 12 times over in that same period of time In light of that growth the EDC has aired some skepticism on the ability of renewables and specifically solar to provide adequate consistent power across the country And while local green energy boosters are quick to promote their product they re finding much of their arguments are being made for them by macroeconomics and globalised supply chains It is now indisputable that all countries will benefit from investing in clean energy technologies as soon as possible Tina Redshaw British Ambassador to Cambodia wrote in an email The rapidly falling cost of renewables means that solar and wind power are now cheaper than new coal and gas power plants in two thirds of the world s countries By 2030 or before it will be cheaper to build new wind or solar capacity than continue operating coal in all markets Christer Horn af minne the Cambodia and Vietnam country manager of Swedish clothing line H M Group took a similar tack while arguing for a greener grid He stated in an email that the brand can celebrate the Kingdom s current ratio of renewable to fossil fuel based energy 2020 21 FUTURE OF ENERGY 7

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FUTURE OF ENERGY But current plans to skew the balance more in favor of the latter have already given pause to H M and other manufacturers For companies with 100 renewable energy commitments whether under broad industry initiatives such as RE100 or SBTi or their own such a negative movement represents a worrying future Aminne wrote in an email He wrote that the added fees represented by carbon offset credits and other methods producers might need to meet climate goals will likely play a strong role in deciding where to place orders in the future Countries that demonstrate a clear roadmap to removing fossil fuels from their grids support energy efficiency and encourage rooftop solar installation will signal their intention to retain and attract companies and brands with clear renewable energy commitments Aminne stated The demands of industry could present a double edged sword for Cambodia In its push to compete with regional peers and woo manufacturers with better access to electricity the Kingdom might very well lose investor interest if it expands power generation too quickly at the expense of the environment H M is hardly alone in pushing for greener energy As consumers grow anxious about their own contributions to climate change major brands have become increasingly vocal with commitments to reduce carbon emissions Earlier this year H M joined a group of other producers including apparel companies Adidas Puma and Gap U S bicycle maker Specialized and even regional concrete firm Chip Mong Insee penned a letter to the Cambodian government arguing that increased coal investments were making the country less attractive to the manufacturers who drive a large part of the national economy Meanwhile regional competitors in ASEAN including Vietnam Thailand and Myanmar are pushing ahead to bulk up their own power grids with more renewable energy Vietnam in particular is plunging into solar with global 8 FUTURE OF ENERGY 2020 21 After the 2019 power shortages the Cambodian government approved 4 065MW of coal projects to come online through 2027 consultancy McKinsey Company declaring in a recent study that the country could save money create jobs and meet its power needs by doubling down on a renewable led power strategy Further afield China an influential ally and key trading partner for Cambodia is advancing its own renewable agenda at a rapid clip The rising power caught global attention last month by pledging to go carbon neutral by 2060 Such a feat may not be in immediate reach of the EDC but that s not for lack of sunshine The marginal expansion of the solar field in the Kingdom this year belies findings from the solar master plan the utility developed in 2017 with partners such as Thorncraft and funding from the Asia Development Bank ADB Studies from that 2017 plan estimated solar infrastructure could be reasonably installed to meet as much as 45 of peak demand load for the grid which in 2025 could work out to roughly 2 173MW That s a great deal more than the 650MW capacity the EDC now expects to be in place by that year Not long after that master plan was completed ADB published a 2018 energy assessment and strategic roadmap that found plenty more bright spots for solar investment Per the roadmap Cambodia enjoys some of the highest solar resources in the Greater Mekong Subregion with an estimated 8 000MW beaming into the Kingdom every year This was recently confirmed yet again with a detailed analysis from Australian funded consultancy IES which hinted at natural potential in Cambodia for high quality solar projects of an even greater scale than that found by ADB In the broader field of renewables IES also completed a wind analysis for the Kingdom that identified more than 6 000MW in wind energy potential Thorncraft says the EDC and others in the Kingdom are well aware of that potential bounty even as they take steps to increase coal fired power They ve decided that solar will play a role and they know the potential for solar in their country is exceptional Thorncraft said But at the same time they re very concerned about the rapid rate of demand that s been really high and they ve already had blackouts Bridget McIntosh country director of EnergyLab is feeling optimistic even in light of the ongoing pandemic Covid 19 has actually helped the energy sector in a way by slowing that rapid demand growth by around a third McIntosh said Solar and wind projects can be built quickly so they can incrementally meet the demand as it rises each year Gas and coal projects on the other hand take many many years to build and move Cambodia further away from energy independence and security The competitive economics of renewables she added plus the combination of abundant free fuel from sun and wind make for a strong outlook for renewables to balance the grid for years to come 9 FUTURE OF ENERGY 2019 2020 21 FUTURE OF ENERGY 9

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FUTURE OF ENERGY But current plans to skew the balance more in favor of the latter have already given pause to H M and other manufacturers For companies with 100 renewable energy commitments whether under broad industry initiatives such as RE100 or SBTi or their own such a negative movement represents a worrying future Aminne wrote in an email He wrote that the added fees represented by carbon offset credits and other methods producers might need to meet climate goals will likely play a strong role in deciding where to place orders in the future Countries that demonstrate a clear roadmap to removing fossil fuels from their grids support energy efficiency and encourage rooftop solar installation will signal their intention to retain and attract companies and brands with clear renewable energy commitments Aminne stated The demands of industry could present a double edged sword for Cambodia In its push to compete with regional peers and woo manufacturers with better access to electricity the Kingdom might very well lose investor interest if it expands power generation too quickly at the expense of the environment H M is hardly alone in pushing for greener energy As consumers grow anxious about their own contributions to climate change major brands have become increasingly vocal with commitments to reduce carbon emissions Earlier this year H M joined a group of other producers including apparel companies Adidas Puma and Gap U S bicycle maker Specialized and even regional concrete firm Chip Mong Insee penned a letter to the Cambodian government arguing that increased coal investments were making the country less attractive to the manufacturers who drive a large part of the national economy Meanwhile regional competitors in ASEAN including Vietnam Thailand and Myanmar are pushing ahead to bulk up their own power grids with more renewable energy Vietnam in particular is plunging into solar with global 8 FUTURE OF ENERGY 2020 21 After the 2019 power shortages the Cambodian government approved 4 065MW of coal projects to come online through 2027 consultancy McKinsey Company declaring in a recent study that the country could save money create jobs and meet its power needs by doubling down on a renewable led power strategy Further afield China an influential ally and key trading partner for Cambodia is advancing its own renewable agenda at a rapid clip The rising power caught global attention last month by pledging to go carbon neutral by 2060 Such a feat may not be in immediate reach of the EDC but that s not for lack of sunshine The marginal expansion of the solar field in the Kingdom this year belies findings from the solar master plan the utility developed in 2017 with partners such as Thorncraft and funding from the Asia Development Bank ADB Studies from that 2017 plan estimated solar infrastructure could be reasonably installed to meet as much as 45 of peak demand load for the grid which in 2025 could work out to roughly 2 173MW That s a great deal more than the 650MW capacity the EDC now expects to be in place by that year Not long after that master plan was completed ADB published a 2018 energy assessment and strategic roadmap that found plenty more bright spots for solar investment Per the roadmap Cambodia enjoys some of the highest solar resources in the Greater Mekong Subregion with an estimated 8 000MW beaming into the Kingdom every year This was recently confirmed yet again with a detailed analysis from Australian funded consultancy IES which hinted at natural potential in Cambodia for high quality solar projects of an even greater scale than that found by ADB In the broader field of renewables IES also completed a wind analysis for the Kingdom that identified more than 6 000MW in wind energy potential Thorncraft says the EDC and others in the Kingdom are well aware of that potential bounty even as they take steps to increase coal fired power They ve decided that solar will play a role and they know the potential for solar in their country is exceptional Thorncraft said But at the same time they re very concerned about the rapid rate of demand that s been really high and they ve already had blackouts Bridget McIntosh country director of EnergyLab is feeling optimistic even in light of the ongoing pandemic Covid 19 has actually helped the energy sector in a way by slowing that rapid demand growth by around a third McIntosh said Solar and wind projects can be built quickly so they can incrementally meet the demand as it rises each year Gas and coal projects on the other hand take many many years to build and move Cambodia further away from energy independence and security The competitive economics of renewables she added plus the combination of abundant free fuel from sun and wind make for a strong outlook for renewables to balance the grid for years to come 9 FUTURE OF ENERGY 2019 2020 21 FUTURE OF ENERGY 9

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FUTURE OF ENERGY The Tesla Big Battery in Hornsdale is supporting South Australia to achieve periods of 100 solar and wind H E Pablo Kang Australian Ambassador to Cambodia RENEWABLE ALLY With Cambodia s increasing demand for energy what lessons can Australia share with the Kingdom about renewable energy In October this year a record 56 of all electricity in Australia s National Electricity Market came from solar and wind In South Australia that figure was 100 What lessons can Australia share with Cambodia about renewable energy It really is incredible Australians are known as early adopters of technology so it s not surprising that now 1 in 5 households have solar on their homes and that a new solar panel is installed in Australia every six and a half minutes This comes at a time when much of our coalpowered electricity infrastructure is retiring forecasts indicate more than 60 of Australia s coal fired power stations will close by 2040 So we are in the midst of an energy transition shifting towards a decentralised digitised and decarbonised system with solar wind and storage plants scattered across the country Our experience holds several lessons for Cambodia particularly given Cambodia s increasing demand for energy and significant solar power generation potential A key lesson is that it s important to consider that technological advances and increased investment are continuing 10 FUTURE OF ENERGY 2020 21 to reduce the cost of renewable energy generation transmission storage and utilisation Of course in Cambodia the cost of energy should be a key consideration in the energy mix Australia s innovations in the areas of clean hydrogen long duration energy storage CO2 compression transport and storage low emission steel and soil carbon measurement will support this trend At the same time demand is likely to increase for products manufactured with renewable energy This will further increase the overall economic benefits from transitioning to solar and wind power for countries like Cambodia Another lesson is that transitioning to clean energy can be a key feature of the country s COVID 19 economic recovery For example in September the Australian Government announced a new AUD 1 9 billion domestic investment package to enable the rapid deployment of new and emerging low emissions technologies that support a sustainable economic recovery from COVID 19 This is on top of the AUD 11 1 billion the Australian Government has already invested into more than 700 clean energy projects with a total value of AUD 39 billion We are Transitioning to clean energy can be a key feature of the country s COVID 19 economic recovery committed to making clean energy technologies globally scalable commercial and achievable By comparison Cambodia generates less than 2 of output from solar is Australia just too far ahead for Cambodia to share any useful lessons Australia s electricity system is indeed very different from Cambodia s But we have had our fair share of challenges too including that our traditional energy system has been so reliant on fossil fuels Our large landmass also creates challenges for transmission of electricity over large distances from centralised generators Cambodia on the other hand is already producing half of its energy from renewables Three lessons stand out First the importance of integrated systems planning Our Australian Electricity Market Operator AEMO recently completed their Integrated Systems Plan out to 2040 The plan details how Australia can transition to a modern and efficient energy system that is reliable affordable sustainable and secure AEMO s analysis shows that if the Plan is fully implemented consumers could benefit by AUD 11 billion in reduced power bills More exciting is that by 2035 there could be periods where 90 of energy demands are met by renewable generation Second the importance of not confusing variability with unpredictability People know that solar and wind power is variable but that does not mean it is unpredictable In fact with new technologies and forecasting experience AEMO can now plan electricity resources a day hours or minutes ahead depending on clouds and the wind to ensure reliable and sustainable electricity supply As Cambodia moves towards integrating cheaper solar and wind this forecasting experience and technology will be crucial AEMO met with senior Cambodian government officials last year we are keen to build on this engagement and share our knowledge with Cambodia Third the importance of maintaining flexibility Australia s system is largely dominated by coal plants and we have learned they need to be more flexible in ramping up and down to meet energy demands So Cambodia can ensure that any contracts for new coal projects provide flexibility to take advantage of more solar and wind power as it becomes cheaper Solar and wind costs are projected to be cheaper than new thermal generation over all time horizons by 2050 but the cost of firming is still an issue To firm the variable nature of renewables we need to explore new flexible dispatchable resources including utility scale pumped hydro large scale battery storage systems virtual power plants and so on How is Australia supporting clean energy in Cambodia Our flagship AUD 49 million infrastructure program in Cambodia Investing in Infrastructure 3i is assisting Cambodia to develop a Renewable Energy Strategic Plan with Royal Government of Cambodia counterparts from the Ministry of Mines and Energy Electricit du Cambodge the Electricity Authority of Cambodia and the Ministry of Economy and Finance We are also funding the Asian Development Bank s work preparing Cambodia s Power Development Plan to assist with electricity planning to 2040 And of course we ve been a founding sponsor of Clean Energy Week since the inaugural CEW back in 2018 The Renewable Energy Strategy Plan sounds interesting Can you tell us more about what this involves What type of analysis is needed for the Plan Our team of Australian experts looked at the potential from large scale solar wind farms rooftop solar as well as remote and off grid electrification options Based on this information and current and future electricity plans analysts modelled how much renewable energy can be integrated into the grid and what the costs and savings could look like Early results suggest integrating more solar and wind into the grid can lower total grid electricity costs The work also highlights the importance of diversity in terms of types of generation as well as location For example one of the benefits of solar is that it can be located close to major cities like Phnom Penh reducing investment in transmission costs Any final thoughts you d like to leave us with Australia and Cambodia are mutually concerned with energy access reliability security and cost The Royal Government of Cambodia has done a commendable job expanding and strengthening the grid Sometimes renewables are framed as undermining grid stability but renewables can actually boost reliability Dispersed energy can reach very remote households and reduce the need for expensive grid infrastructure For example Okra Solar is an Australian tech company working here in Cambodia on distributed solar and smart microgrids that make it commercially viable to energise last mile households Rapid technological advances in smart grids and batteries are helping with integration Australia looks forward to continuing to share our knowledge and experience to support Cambodia s goal to expand access to affordable reliable and sustainable energy for all Cambodians Australian Embassy has supported Clean Energy Week since 2018 Okra Solar created a technology that allows solar panels and batteries to be connected together resulting in the creation of mini solar grids 2020 21 FUTURE OF ENERGY 11

Page 11

FUTURE OF ENERGY The Tesla Big Battery in Hornsdale is supporting South Australia to achieve periods of 100 solar and wind H E Pablo Kang Australian Ambassador to Cambodia RENEWABLE ALLY With Cambodia s increasing demand for energy what lessons can Australia share with the Kingdom about renewable energy In October this year a record 56 of all electricity in Australia s National Electricity Market came from solar and wind In South Australia that figure was 100 What lessons can Australia share with Cambodia about renewable energy It really is incredible Australians are known as early adopters of technology so it s not surprising that now 1 in 5 households have solar on their homes and that a new solar panel is installed in Australia every six and a half minutes This comes at a time when much of our coalpowered electricity infrastructure is retiring forecasts indicate more than 60 of Australia s coal fired power stations will close by 2040 So we are in the midst of an energy transition shifting towards a decentralised digitised and decarbonised system with solar wind and storage plants scattered across the country Our experience holds several lessons for Cambodia particularly given Cambodia s increasing demand for energy and significant solar power generation potential A key lesson is that it s important to consider that technological advances and increased investment are continuing 10 FUTURE OF ENERGY 2020 21 to reduce the cost of renewable energy generation transmission storage and utilisation Of course in Cambodia the cost of energy should be a key consideration in the energy mix Australia s innovations in the areas of clean hydrogen long duration energy storage CO2 compression transport and storage low emission steel and soil carbon measurement will support this trend At the same time demand is likely to increase for products manufactured with renewable energy This will further increase the overall economic benefits from transitioning to solar and wind power for countries like Cambodia Another lesson is that transitioning to clean energy can be a key feature of the country s COVID 19 economic recovery For example in September the Australian Government announced a new AUD 1 9 billion domestic investment package to enable the rapid deployment of new and emerging low emissions technologies that support a sustainable economic recovery from COVID 19 This is on top of the AUD 11 1 billion the Australian Government has already invested into more than 700 clean energy projects with a total value of AUD 39 billion We are Transitioning to clean energy can be a key feature of the country s COVID 19 economic recovery committed to making clean energy technologies globally scalable commercial and achievable By comparison Cambodia generates less than 2 of output from solar is Australia just too far ahead for Cambodia to share any useful lessons Australia s electricity system is indeed very different from Cambodia s But we have had our fair share of challenges too including that our traditional energy system has been so reliant on fossil fuels Our large landmass also creates challenges for transmission of electricity over large distances from centralised generators Cambodia on the other hand is already producing half of its energy from renewables Three lessons stand out First the importance of integrated systems planning Our Australian Electricity Market Operator AEMO recently completed their Integrated Systems Plan out to 2040 The plan details how Australia can transition to a modern and efficient energy system that is reliable affordable sustainable and secure AEMO s analysis shows that if the Plan is fully implemented consumers could benefit by AUD 11 billion in reduced power bills More exciting is that by 2035 there could be periods where 90 of energy demands are met by renewable generation Second the importance of not confusing variability with unpredictability People know that solar and wind power is variable but that does not mean it is unpredictable In fact with new technologies and forecasting experience AEMO can now plan electricity resources a day hours or minutes ahead depending on clouds and the wind to ensure reliable and sustainable electricity supply As Cambodia moves towards integrating cheaper solar and wind this forecasting experience and technology will be crucial AEMO met with senior Cambodian government officials last year we are keen to build on this engagement and share our knowledge with Cambodia Third the importance of maintaining flexibility Australia s system is largely dominated by coal plants and we have learned they need to be more flexible in ramping up and down to meet energy demands So Cambodia can ensure that any contracts for new coal projects provide flexibility to take advantage of more solar and wind power as it becomes cheaper Solar and wind costs are projected to be cheaper than new thermal generation over all time horizons by 2050 but the cost of firming is still an issue To firm the variable nature of renewables we need to explore new flexible dispatchable resources including utility scale pumped hydro large scale battery storage systems virtual power plants and so on How is Australia supporting clean energy in Cambodia Our flagship AUD 49 million infrastructure program in Cambodia Investing in Infrastructure 3i is assisting Cambodia to develop a Renewable Energy Strategic Plan with Royal Government of Cambodia counterparts from the Ministry of Mines and Energy Electricit du Cambodge the Electricity Authority of Cambodia and the Ministry of Economy and Finance We are also funding the Asian Development Bank s work preparing Cambodia s Power Development Plan to assist with electricity planning to 2040 And of course we ve been a founding sponsor of Clean Energy Week since the inaugural CEW back in 2018 The Renewable Energy Strategy Plan sounds interesting Can you tell us more about what this involves What type of analysis is needed for the Plan Our team of Australian experts looked at the potential from large scale solar wind farms rooftop solar as well as remote and off grid electrification options Based on this information and current and future electricity plans analysts modelled how much renewable energy can be integrated into the grid and what the costs and savings could look like Early results suggest integrating more solar and wind into the grid can lower total grid electricity costs The work also highlights the importance of diversity in terms of types of generation as well as location For example one of the benefits of solar is that it can be located close to major cities like Phnom Penh reducing investment in transmission costs Any final thoughts you d like to leave us with Australia and Cambodia are mutually concerned with energy access reliability security and cost The Royal Government of Cambodia has done a commendable job expanding and strengthening the grid Sometimes renewables are framed as undermining grid stability but renewables can actually boost reliability Dispersed energy can reach very remote households and reduce the need for expensive grid infrastructure For example Okra Solar is an Australian tech company working here in Cambodia on distributed solar and smart microgrids that make it commercially viable to energise last mile households Rapid technological advances in smart grids and batteries are helping with integration Australia looks forward to continuing to share our knowledge and experience to support Cambodia s goal to expand access to affordable reliable and sustainable energy for all Cambodians Australian Embassy has supported Clean Energy Week since 2018 Okra Solar created a technology that allows solar panels and batteries to be connected together resulting in the creation of mini solar grids 2020 21 FUTURE OF ENERGY 11

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FUTURE OF ENERGY THE BIG PICTURE Congratulations to Khunsreynine Rath for being shortlisted for the inaugural Clean Energy Week Photography Competition Powering Clean Energy Sustaining Our Life Sustaining Our Future Construction of Dai Phong Wind Project in Vietnam by The Blue Circle RENEWABLE ENERGY To lower cost of electricity in the Kingdom AS Sustainable energy is not always about 200 solar panels on a 20 hectare farming land Yet this can be seen as one small solar panel equipped with battery on a floating house of a 4 member family There is no right time to invest in renewable energy so why not start from now Why not start from us To sustain the future start by sustaining the present our stepping stone As a result the next generation can have something inspiring to look up to Thus we young Cambodians are willing to follow the pattern of using more of clean energy Khunsreynine Rath 12 FUTURE OF ENERGY 2020 21 Cambodia continues to experience economic growth with foreign direct investment FDI reaching USD 3 7 billion in 2019 power demand continues to rise with the increase in living standards urbanization growth and industrialization To date Cambodia is primarily reliant on different energy sources hydro coal fuel oil and imported power According to Power Development Plan PDP 2020 2030 the energy mix of Cambodia will see a sharp rise of coal fired power generation 4 300 MW in the years to come much of it comes from imported generation from coal power plants in Laos To address the growing energy demand adopting renewables RE such as wind and solar not only could help Cambodia to achieve full energy independence and sustainable energy development but also to deliver electricity at a very competitive price As wind produces during both dry and rainy seasons and is available day and night it can perfectly complement other variable generations such as solar and hydro to provide a suitable constant energy supply Australia is a good example of such a combination with over 30GW of its installed capacity from renewable sources such as wind 7GW and solar 16GW replacing coal power plants not able to compete In other ASEAN countries solar and wind are both added to the energy generation mix for the diversification they bring irrespective of their price Cambodia is uniquely positioned today to take advantage of the cheap wind and solar energy costs In recent years solar projects have been constructed in the Kingdom at a price between 7 0 and 7 6 US kWh or US 3 87 kWh in the case of ADB led tender whereas wind is being proposed at 6 85 US kWh Such cheap RE prices were not available to developing countries a decade ago Compared to coal and fuel oil generation combination of solar and wind is at least 30 cheaper with the benefit of securing a fixed Cambodia has the chance today to replace imported power and imported fossil fuels with locally produced clean and cheaper energy price for the long term as it does not depend on any fuel and carbon liability This is in line with the government goals to reduce the cost of electricity for both commercial and residential users in Cambodia Each renewable energy has its own merits and advantages It would not make sense to develop one and leave the other highlights Olivier Duguet CEO of The Blue Circle Cambodia has the chance today to replace imported power and imported fossil fuels with locally produced clean and cheaper energy This chance cannot be missed to make Cambodia enter into the 21st century of energy 2020 21 FUTURE OF ENERGY 13

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FUTURE OF ENERGY THE BIG PICTURE Congratulations to Khunsreynine Rath for being shortlisted for the inaugural Clean Energy Week Photography Competition Powering Clean Energy Sustaining Our Life Sustaining Our Future Construction of Dai Phong Wind Project in Vietnam by The Blue Circle RENEWABLE ENERGY To lower cost of electricity in the Kingdom AS Sustainable energy is not always about 200 solar panels on a 20 hectare farming land Yet this can be seen as one small solar panel equipped with battery on a floating house of a 4 member family There is no right time to invest in renewable energy so why not start from now Why not start from us To sustain the future start by sustaining the present our stepping stone As a result the next generation can have something inspiring to look up to Thus we young Cambodians are willing to follow the pattern of using more of clean energy Khunsreynine Rath 12 FUTURE OF ENERGY 2020 21 Cambodia continues to experience economic growth with foreign direct investment FDI reaching USD 3 7 billion in 2019 power demand continues to rise with the increase in living standards urbanization growth and industrialization To date Cambodia is primarily reliant on different energy sources hydro coal fuel oil and imported power According to Power Development Plan PDP 2020 2030 the energy mix of Cambodia will see a sharp rise of coal fired power generation 4 300 MW in the years to come much of it comes from imported generation from coal power plants in Laos To address the growing energy demand adopting renewables RE such as wind and solar not only could help Cambodia to achieve full energy independence and sustainable energy development but also to deliver electricity at a very competitive price As wind produces during both dry and rainy seasons and is available day and night it can perfectly complement other variable generations such as solar and hydro to provide a suitable constant energy supply Australia is a good example of such a combination with over 30GW of its installed capacity from renewable sources such as wind 7GW and solar 16GW replacing coal power plants not able to compete In other ASEAN countries solar and wind are both added to the energy generation mix for the diversification they bring irrespective of their price Cambodia is uniquely positioned today to take advantage of the cheap wind and solar energy costs In recent years solar projects have been constructed in the Kingdom at a price between 7 0 and 7 6 US kWh or US 3 87 kWh in the case of ADB led tender whereas wind is being proposed at 6 85 US kWh Such cheap RE prices were not available to developing countries a decade ago Compared to coal and fuel oil generation combination of solar and wind is at least 30 cheaper with the benefit of securing a fixed Cambodia has the chance today to replace imported power and imported fossil fuels with locally produced clean and cheaper energy price for the long term as it does not depend on any fuel and carbon liability This is in line with the government goals to reduce the cost of electricity for both commercial and residential users in Cambodia Each renewable energy has its own merits and advantages It would not make sense to develop one and leave the other highlights Olivier Duguet CEO of The Blue Circle Cambodia has the chance today to replace imported power and imported fossil fuels with locally produced clean and cheaper energy This chance cannot be missed to make Cambodia enter into the 21st century of energy 2020 21 FUTURE OF ENERGY 13

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FUTURE OF ENERGY The solar farm in Kampong Cham generates 1 5MW of electricity SUSTAINABLE CHARCOAL ENERGY SOLUTIONS Established in 2018 GreenYellow has found its Khmer Green Charcoal provides a sustainable alternative to wood charcoal for cooking niche in Cambodia BY PHANNARO NHEM BY SOPHEAVUTHTEY BORIN IN Cambodia charcoal holds great significance in Khmer households especially those in the provinces where gas stoves are still a luxury According to the World Health Organization WHO around 3 billion people still cook using solid fuels including traditional wood charcoal In Phnom Penh alone 100 000 tons of charcoal are consumed every year which is equivalent to 600 000 tons of wood In an attempt to meet this demand charcoal production is one of the main causes of deforestation in Cambodia Based on a NASA Earth Observatory report in 2015 Cambodia had one of the highest rates of deforestation in the world Charcoal is a primary source of energy in households and thanks to the growing number of BBQ eateries in Phnom Penh at the restaurant level as well With this in mind Khmer Green Charcoal a 2012 registered company founded by Carlo Fig Talamanca is on a mission to provide a more sustainable alternative to wood charcoal for cooking Originally launched in 2010 as a joint project between two organizations KGC has grown to be an award winning social enterprise as well as Cambodia s biggest provider of environmentally friendly char briquettes To continue achieving our objective what is important is to provide our customers with high standards of quality and customer service If our char briquettes are not good enough customers don t buy them Only when you can give them a product they actually want then everyone wins said Francesco Carocci an Italian project manager who joined KGC in 2017 Unlike traditional charcoal KGC s charcoal is made with a combination of burnt charcoal and coconut shells For the raw material we get them from various coconut stores sold in kilograms said Seang Phalla a Khmer Project Manager who prior to working for KGC spent her childhood with Pour un Sourire d Enfant Cambodia PSE As of now KGC has 2 main charcoal products Diamond and Premium Char Briquettes as well as fire starters made with coconut fibers and candle wax leftovers collected from pagodas around Phnom Penh Recently KGC has also started selling sustainable wood charcoal called KjuonGo coming from certified sustainable forests Chemical free made of coconut shells and waste biomass and burning for about 5 hours KGC points out that their R The char briquettes are made of coconut shells and waste biomass I see Cambodian people going in the right direction becoming more aware about environmental aspects as well as valuing more and more clean and sustainable energy Francesco Carocci left and Seang Phalla right are project managers of Khmer Green Charcoal 14 FUTURE OF ENERGY 2020 21 products make no smoke no spark and have an attractive and consistent shape Located in Steung Meanchey KGC produces 4 tons of charbriquettes per day and supplies over 6 500 charcoal sellers restaurants street food vendors and households throughout the city As sales skyrocketed in 2019 KGC planned to expand in Cambodia by building a new factory 5 times larger than the current space however Covid 19 put their plan on hold Because we sold well in 2019 we were expected to have an amazing 2020 But when Covid 19 first hit hard we lost 70 of our sales as less people were going to restaurants or buying food from street vendors said Francesco Beyond its environmental impact helping people suffering from financial hardship is KGC s primary goal Employing people living in the Steung Mean Chey area KGC s founders believe with fair wages their employees will be able to support their children s education and improve their future When asked about the challenge of raising brand awareness for its green aspect Francesco said It is a big challenge as Cambodia is not yet as sensitive to environmental sustainability as other countries For Cambodia to have more awareness and understanding about clean and sustainable energy Francesco believes education and increased public discussion is the key Having entirely renewable energy doesn t happen in one year as in other countries it takes some time Nevertheless I see Cambodian people going in the right direction becoming more aware about environmental aspects as well as valuing more and more clean and sustainable energy Francesco concluded enewable energy refers to green energy solutions that promise a clean and sustainable future and in tropical countries GreenYellow French company continues to address the rising needs of energy not only in Cambodia but in the neighboring countries of Vietnam and Thailand as well An energy management firm GreenYellow has more than 2 000 energy efficiency projects and 300 MWp of solar projects Energy efficiency refers to the reduction of a facility s energy use while maintaining the same level of services improving electrical equipment and bringing automation to the facility Many retail companies such as shopping malls and supermarkets in Vietnam and Thailand are already practising the energy efficiency model from GreenYellow via crucial combinations of automatic setting systems efficient equipment and monitoring technology The company s intriguing Energy Service Company ESCO business model shares the savings from clients while paying for the cost of the equipment make GreenYellow popular among various private enterprises Projects are implemented at low cost for clients and GreenYellow installs all the equipment automation and monitoring systems using 50 of the energy savings to cover the cost of equipment while the other 50 is equally split between The company s intriguing Energy Service Company ESCO business model generates income through the 75 share of savings from clients the company and client GreenYellow was developed with two main fields of focus energy efficiency and solar energy projects However the nucleus of GreenYellow in Cambodia is only solar energy production rather than energy efficiency as Cambodia s market remains small compared to the neighbouring countries despite increasing energy consumption Another limiting factor is the scale effect and the lack of multi site companies in the Kingdom In Thailand one retail company might have 300 locations across the nation so a single contract can lead to many projects for different locations In Cambodia the company must target projects one by one A process made more challenging due to technical reasons particularly the unstable grid irregular voltage and power cuts Recently GreenYellow built a project with a solar farm in Kampong Cham generating 1 5MW of electricity and they are currently managing projects with private companies to provide sustainable and green energy In addition the company has other solar projects under construction that will generate a total of about 5MW Currently the cost of solar energy is as low as 6 cents per kWh for big operations and 7 to 10 cents per kWh for companies with smaller projects GreenYellow focuses on providing solar solutions to these private firms and developing utility projects to support Cambodia in its energy transition Solar energy is not readily available for households in Cambodia however a large number of companies in the Kingdom can reap substantial benefits from green and carbon free power particularly solar energy 2020 21 FUTURE OF ENERGY 15

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FUTURE OF ENERGY The solar farm in Kampong Cham generates 1 5MW of electricity SUSTAINABLE CHARCOAL ENERGY SOLUTIONS Established in 2018 GreenYellow has found its Khmer Green Charcoal provides a sustainable alternative to wood charcoal for cooking niche in Cambodia BY PHANNARO NHEM BY SOPHEAVUTHTEY BORIN IN Cambodia charcoal holds great significance in Khmer households especially those in the provinces where gas stoves are still a luxury According to the World Health Organization WHO around 3 billion people still cook using solid fuels including traditional wood charcoal In Phnom Penh alone 100 000 tons of charcoal are consumed every year which is equivalent to 600 000 tons of wood In an attempt to meet this demand charcoal production is one of the main causes of deforestation in Cambodia Based on a NASA Earth Observatory report in 2015 Cambodia had one of the highest rates of deforestation in the world Charcoal is a primary source of energy in households and thanks to the growing number of BBQ eateries in Phnom Penh at the restaurant level as well With this in mind Khmer Green Charcoal a 2012 registered company founded by Carlo Fig Talamanca is on a mission to provide a more sustainable alternative to wood charcoal for cooking Originally launched in 2010 as a joint project between two organizations KGC has grown to be an award winning social enterprise as well as Cambodia s biggest provider of environmentally friendly char briquettes To continue achieving our objective what is important is to provide our customers with high standards of quality and customer service If our char briquettes are not good enough customers don t buy them Only when you can give them a product they actually want then everyone wins said Francesco Carocci an Italian project manager who joined KGC in 2017 Unlike traditional charcoal KGC s charcoal is made with a combination of burnt charcoal and coconut shells For the raw material we get them from various coconut stores sold in kilograms said Seang Phalla a Khmer Project Manager who prior to working for KGC spent her childhood with Pour un Sourire d Enfant Cambodia PSE As of now KGC has 2 main charcoal products Diamond and Premium Char Briquettes as well as fire starters made with coconut fibers and candle wax leftovers collected from pagodas around Phnom Penh Recently KGC has also started selling sustainable wood charcoal called KjuonGo coming from certified sustainable forests Chemical free made of coconut shells and waste biomass and burning for about 5 hours KGC points out that their R The char briquettes are made of coconut shells and waste biomass I see Cambodian people going in the right direction becoming more aware about environmental aspects as well as valuing more and more clean and sustainable energy Francesco Carocci left and Seang Phalla right are project managers of Khmer Green Charcoal 14 FUTURE OF ENERGY 2020 21 products make no smoke no spark and have an attractive and consistent shape Located in Steung Meanchey KGC produces 4 tons of charbriquettes per day and supplies over 6 500 charcoal sellers restaurants street food vendors and households throughout the city As sales skyrocketed in 2019 KGC planned to expand in Cambodia by building a new factory 5 times larger than the current space however Covid 19 put their plan on hold Because we sold well in 2019 we were expected to have an amazing 2020 But when Covid 19 first hit hard we lost 70 of our sales as less people were going to restaurants or buying food from street vendors said Francesco Beyond its environmental impact helping people suffering from financial hardship is KGC s primary goal Employing people living in the Steung Mean Chey area KGC s founders believe with fair wages their employees will be able to support their children s education and improve their future When asked about the challenge of raising brand awareness for its green aspect Francesco said It is a big challenge as Cambodia is not yet as sensitive to environmental sustainability as other countries For Cambodia to have more awareness and understanding about clean and sustainable energy Francesco believes education and increased public discussion is the key Having entirely renewable energy doesn t happen in one year as in other countries it takes some time Nevertheless I see Cambodian people going in the right direction becoming more aware about environmental aspects as well as valuing more and more clean and sustainable energy Francesco concluded enewable energy refers to green energy solutions that promise a clean and sustainable future and in tropical countries GreenYellow French company continues to address the rising needs of energy not only in Cambodia but in the neighboring countries of Vietnam and Thailand as well An energy management firm GreenYellow has more than 2 000 energy efficiency projects and 300 MWp of solar projects Energy efficiency refers to the reduction of a facility s energy use while maintaining the same level of services improving electrical equipment and bringing automation to the facility Many retail companies such as shopping malls and supermarkets in Vietnam and Thailand are already practising the energy efficiency model from GreenYellow via crucial combinations of automatic setting systems efficient equipment and monitoring technology The company s intriguing Energy Service Company ESCO business model shares the savings from clients while paying for the cost of the equipment make GreenYellow popular among various private enterprises Projects are implemented at low cost for clients and GreenYellow installs all the equipment automation and monitoring systems using 50 of the energy savings to cover the cost of equipment while the other 50 is equally split between The company s intriguing Energy Service Company ESCO business model generates income through the 75 share of savings from clients the company and client GreenYellow was developed with two main fields of focus energy efficiency and solar energy projects However the nucleus of GreenYellow in Cambodia is only solar energy production rather than energy efficiency as Cambodia s market remains small compared to the neighbouring countries despite increasing energy consumption Another limiting factor is the scale effect and the lack of multi site companies in the Kingdom In Thailand one retail company might have 300 locations across the nation so a single contract can lead to many projects for different locations In Cambodia the company must target projects one by one A process made more challenging due to technical reasons particularly the unstable grid irregular voltage and power cuts Recently GreenYellow built a project with a solar farm in Kampong Cham generating 1 5MW of electricity and they are currently managing projects with private companies to provide sustainable and green energy In addition the company has other solar projects under construction that will generate a total of about 5MW Currently the cost of solar energy is as low as 6 cents per kWh for big operations and 7 to 10 cents per kWh for companies with smaller projects GreenYellow focuses on providing solar solutions to these private firms and developing utility projects to support Cambodia in its energy transition Solar energy is not readily available for households in Cambodia however a large number of companies in the Kingdom can reap substantial benefits from green and carbon free power particularly solar energy 2020 21 FUTURE OF ENERGY 15

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FUTURE OF ENERGY SMART FUTURE We look at the cutting edge technologies for Renewable Energy 4 1 TESLA CARS SUPPORT THE GRID OF THE FUTURE Electric vehicles EV are one of the keys to unlocking the clean energy transition in Cambodia and around the world As we all know solar power is the cheapest form of electricity in the world but the sun doesn t shine at night and when it s cloudy it can have significantly less output One solution is batteries let s say in cars to soak up cheap solar energy during the day while you re at work and release it back into the grid at night It s certainly cheaper than the Electricit du Cambodge the Electricity Authority of Cambodia EDC using a diesel generator to run during those short hours of peak demand and since these EV batteries will be distributed throughout Phnom Penh in people s homes they can support the grid across the huge network of demand That s why Tesla s announcement to include vehicle to grid technology is huge news for the clean energy transition Tesla has already sold 1 million cars around the world and as a global leader other carmakers are likely to follow suit In fact the Nissan Leaf all electric car already offers vehicle to grid capabilities and is currently being trialed in Japan These batteries are very large and could easily power a home with air conditioning if there was a blackout 1 16 FUTURE OF ENERGY 2020 21 2 3 2 SMART METERING Did you know there are over 300 independently owned electricity grid operators in Cambodia selling electricity to households and businesses throughout the country These grid operators known as REEs send out technicians to read the electricity meter usually by climbing a ladder and calling out the readings to their colleague below If there is a blackout in agriculture areas they usually rely on customers to call and report it As tech becomes cheaper worldwide so too have metering and monitoring costs and technology companies such as SparkMeter from the US or Village Energy from Australia and featured on page 24 provide affordable meters that can be installed at every house They can automatically connect to the grid owner and notify them on the mobile phone via app if the power is out These apps can also arrange for remote meter reading billing processing payments and facilitating e payments saving headaches for customers and grid operators 3 CHASING THE CLOUDS Solar power is cheap It also needs the sun and while clouds don t stop solar output they do reduce it If you re the operator of an electricity system using more and more cheap solar power the future of your energy systems will increasingly depend on the weather This is why globally development and investment in forecasting technology for solar and wind is booming CloudCAM is one example of new tech out of Australia that detects nearby clouds measures cloud cover locates clouds and cloud shadows and predicts their future locations It is designed for the solar energy industry where rapid and significant changes in solar power output result from cloud events and CloudCAM can be used to ensure effective integration of solar power to the grid It detects predicts and provides forecasts more than 15 minutes in advance long enough to be able to prepare another form of power generation say ramping up output from hydroelectric to balance the reduced solar production This can work together with satellite based meteorological analysis for longer predictions eg 24 hours ahead As they say solar and wind is variable but it is not unpredictable 4 STORING POWER FROM THE SUN AND WIND Storing some of that cheaper electricity is essential to providing consistent power and it also helps as a short term buffer while other sources respond to changes in energy output Cambodia s existing hydroelectric dams are an excellent way to store electricity via their impoundments Electricity can be released or stopped depending on solar or wind output Battery storage is another way to manage power and the costs of batteries have come down significantly in the last few years as China pushes forward its demand and production output making a previously cost prohibitive technology far more accessible In 2020 the Asian Development Bank announced it will provide support for Cambodia s first battery with a 16MWh storage project While the grid generally acts as a balancer of variable renewable energy sources proper storage support is necessary to effectively harness renewable energy and incorporate it into the existing grid far into the future 5 OPERATING THE ELECTRICITY SYSTEM WITH VARIABLE SOLAR AND WIND INPUT Indulge us while we get a bit technical Electricity grid systems must stay within a small frequency range of 50hz to properly function They need to constantly respond to and resist frequency changes which happen if there is significant power demand or a supply problem Traditional grids relied on the inertia of huge spinning machines at coal fired power stations to provide the momentary power that gives other system security devices time to respond to and manage frequency and voltage over the grid A grid with less inertia contributes to system weaknesses impacts frequency stability on the grid and can have other implications regarding voltage These days in countries with very high amounts of solar and wind power and no coal power stations there is a need for another way to provide that inertia Enter grid forming inverters that produce synthetic inertia These tools have controls that allow wind solar or battery inverters to produce voltage and frequency levels similar to traditional generators however these won t be necessary for a long time in Cambodia Inertia and system strength issues aren t a problem until there is 30 40 solar and wind generation and since Cambodia currently only produces about 3 of its energy using solar these systems remain future considerations 5 Present Grid Generator Inverter Future Grid Fewer synchronous generators More variable inverter based generation More distributed generation and controllable loads 2020 21 FUTURE OF ENERGY 17

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FUTURE OF ENERGY SMART FUTURE We look at the cutting edge technologies for Renewable Energy 4 1 TESLA CARS SUPPORT THE GRID OF THE FUTURE Electric vehicles EV are one of the keys to unlocking the clean energy transition in Cambodia and around the world As we all know solar power is the cheapest form of electricity in the world but the sun doesn t shine at night and when it s cloudy it can have significantly less output One solution is batteries let s say in cars to soak up cheap solar energy during the day while you re at work and release it back into the grid at night It s certainly cheaper than the Electricit du Cambodge the Electricity Authority of Cambodia EDC using a diesel generator to run during those short hours of peak demand and since these EV batteries will be distributed throughout Phnom Penh in people s homes they can support the grid across the huge network of demand That s why Tesla s announcement to include vehicle to grid technology is huge news for the clean energy transition Tesla has already sold 1 million cars around the world and as a global leader other carmakers are likely to follow suit In fact the Nissan Leaf all electric car already offers vehicle to grid capabilities and is currently being trialed in Japan These batteries are very large and could easily power a home with air conditioning if there was a blackout 1 16 FUTURE OF ENERGY 2020 21 2 3 2 SMART METERING Did you know there are over 300 independently owned electricity grid operators in Cambodia selling electricity to households and businesses throughout the country These grid operators known as REEs send out technicians to read the electricity meter usually by climbing a ladder and calling out the readings to their colleague below If there is a blackout in agriculture areas they usually rely on customers to call and report it As tech becomes cheaper worldwide so too have metering and monitoring costs and technology companies such as SparkMeter from the US or Village Energy from Australia and featured on page 24 provide affordable meters that can be installed at every house They can automatically connect to the grid owner and notify them on the mobile phone via app if the power is out These apps can also arrange for remote meter reading billing processing payments and facilitating e payments saving headaches for customers and grid operators 3 CHASING THE CLOUDS Solar power is cheap It also needs the sun and while clouds don t stop solar output they do reduce it If you re the operator of an electricity system using more and more cheap solar power the future of your energy systems will increasingly depend on the weather This is why globally development and investment in forecasting technology for solar and wind is booming CloudCAM is one example of new tech out of Australia that detects nearby clouds measures cloud cover locates clouds and cloud shadows and predicts their future locations It is designed for the solar energy industry where rapid and significant changes in solar power output result from cloud events and CloudCAM can be used to ensure effective integration of solar power to the grid It detects predicts and provides forecasts more than 15 minutes in advance long enough to be able to prepare another form of power generation say ramping up output from hydroelectric to balance the reduced solar production This can work together with satellite based meteorological analysis for longer predictions eg 24 hours ahead As they say solar and wind is variable but it is not unpredictable 4 STORING POWER FROM THE SUN AND WIND Storing some of that cheaper electricity is essential to providing consistent power and it also helps as a short term buffer while other sources respond to changes in energy output Cambodia s existing hydroelectric dams are an excellent way to store electricity via their impoundments Electricity can be released or stopped depending on solar or wind output Battery storage is another way to manage power and the costs of batteries have come down significantly in the last few years as China pushes forward its demand and production output making a previously cost prohibitive technology far more accessible In 2020 the Asian Development Bank announced it will provide support for Cambodia s first battery with a 16MWh storage project While the grid generally acts as a balancer of variable renewable energy sources proper storage support is necessary to effectively harness renewable energy and incorporate it into the existing grid far into the future 5 OPERATING THE ELECTRICITY SYSTEM WITH VARIABLE SOLAR AND WIND INPUT Indulge us while we get a bit technical Electricity grid systems must stay within a small frequency range of 50hz to properly function They need to constantly respond to and resist frequency changes which happen if there is significant power demand or a supply problem Traditional grids relied on the inertia of huge spinning machines at coal fired power stations to provide the momentary power that gives other system security devices time to respond to and manage frequency and voltage over the grid A grid with less inertia contributes to system weaknesses impacts frequency stability on the grid and can have other implications regarding voltage These days in countries with very high amounts of solar and wind power and no coal power stations there is a need for another way to provide that inertia Enter grid forming inverters that produce synthetic inertia These tools have controls that allow wind solar or battery inverters to produce voltage and frequency levels similar to traditional generators however these won t be necessary for a long time in Cambodia Inertia and system strength issues aren t a problem until there is 30 40 solar and wind generation and since Cambodia currently only produces about 3 of its energy using solar these systems remain future considerations 5 Present Grid Generator Inverter Future Grid Fewer synchronous generators More variable inverter based generation More distributed generation and controllable loads 2020 21 FUTURE OF ENERGY 17

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FUTURE OF ENERGY GREEN MOVEMENT With millions of motorbikes on the streets of Cambodia there is a significant market for electric vehicles but attitudes and education about EVs have to catch up with the technology available IN 20 years it is predicted that over half of the world s vehicles will be electric with economics and costs being the main drivers it is 7 times cheaper to run an electric vehicle As the costs of making electric motorbikes and cars go down it is predicted by 2025 the price of an Electric Vehicle EV will be the same as traditional vehicles Global policy makers are also driving this demand working to reduce climate emissions and improve local air quality Thirteen countries including the UK and China along with 31 cities and regions have announced plans to ban the new sale of diesel and fossil fuel vehicles and car companies are responding There are soon to be over 500 models of electric cars buses and motorbikes around the world with Mercedes Benz Jaguar Land Rover and Volvo already pledging to go fully electric over the next four years Air pollution solution Air pollution is a big issue in Cambodia and is only set to get worse as the population increases The number of vehicles per year is growing at 13 and nearly half of those are motorbikes which research has shown emit more pollution than cars Electric Vehicles on the other hand release no direct emissions While air pollution in Cambodia isn t as bad as neighbouring countries like Vietnam Thailand or China the air quality is rapidly deteriorating 18 FUTURE OF ENERGY 2020 21 300 Shared Electric motorbikes will be in Phnom Penh by 2021 Electric motorbikes have landed in Cambodia but while the technology is here the perceptions and understanding about this important innovation are lagging behind EnergyLab is leading an 18 month project with Oyika Building the Electric Mobility Ecosystem in Cambodia funded by the Cambodia Climate Change Alliance CCCA Innovation Grant The focus is on changing people s behaviour from driving petrol powered vehicles to electric motorbikes by supporting a new rideshare technology as well as improving access to knowledge and education around electric vehicles By the end of 2021 this project will see 300 electric motorbikes in Phnom Penh under the Go2 ride share brand as well as an annual electric mobility showcase The e in Electric can soak up the sun So what do electric vehicles have to do with renewable energy Solar and wind power are getting cheaper every year so they will continue to replace traditional dirty energy sources In some countries there is already more solar energy produced than is used during daylight hours so the batteries in EVs can soak up this cheap power and release it back into the grid when the sun goes down In the future Electricit du Cambodge the Electricity Authority of Cambodia EDC s grid could benefit by directly communicating OYIKA Battery swapping Customers no longer need to wait for their electric vehicle to fully charge all they need to do is look for the nearest station to swap their battery Available anytime You may spot the bright yellow Go2 bikes around Phnom Penh They re available to rent by the minute through your smartphone app BMW Looking to wow your friends with your new car EV Car Cambodia can help you with their electric BMWs It is predicted by 2025 the price of an EV will be the same as traditional vehicles via automatic signals with EVs For example the grid could send a signal to the car please charge now late at night when demand is low or during a sunny and windy day when there is an excess of power being generated or alternatively please don t charge now when there is a peak demand for electricity from households and factories At this time with traditional and dirty energy sources the EDC would have to turn on an expensive and dirty diesel or oil generator to meet that peak demand The Cambodia Climate Change Alliance CCCA is a multi donor initiative implemented by the National Council for Sustainable Development and funded by the European Union Sweden and UNDP LEVDEO THADA A beautiful funky and swift electric motorbike with colours to suit any rider LevDeo has the full range of cars for all of your driving needs Featured is the e SUV and they also have an e Hatchback e Sedan and e MPV VOLTRA Assembled in Cambodia with two models available for purchase Voltra is Cambodia s only home grown electric motorbike 2020 21 FUTURE OF ENERGY 19

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FUTURE OF ENERGY GREEN MOVEMENT With millions of motorbikes on the streets of Cambodia there is a significant market for electric vehicles but attitudes and education about EVs have to catch up with the technology available IN 20 years it is predicted that over half of the world s vehicles will be electric with economics and costs being the main drivers it is 7 times cheaper to run an electric vehicle As the costs of making electric motorbikes and cars go down it is predicted by 2025 the price of an Electric Vehicle EV will be the same as traditional vehicles Global policy makers are also driving this demand working to reduce climate emissions and improve local air quality Thirteen countries including the UK and China along with 31 cities and regions have announced plans to ban the new sale of diesel and fossil fuel vehicles and car companies are responding There are soon to be over 500 models of electric cars buses and motorbikes around the world with Mercedes Benz Jaguar Land Rover and Volvo already pledging to go fully electric over the next four years Air pollution solution Air pollution is a big issue in Cambodia and is only set to get worse as the population increases The number of vehicles per year is growing at 13 and nearly half of those are motorbikes which research has shown emit more pollution than cars Electric Vehicles on the other hand release no direct emissions While air pollution in Cambodia isn t as bad as neighbouring countries like Vietnam Thailand or China the air quality is rapidly deteriorating 18 FUTURE OF ENERGY 2020 21 300 Shared Electric motorbikes will be in Phnom Penh by 2021 Electric motorbikes have landed in Cambodia but while the technology is here the perceptions and understanding about this important innovation are lagging behind EnergyLab is leading an 18 month project with Oyika Building the Electric Mobility Ecosystem in Cambodia funded by the Cambodia Climate Change Alliance CCCA Innovation Grant The focus is on changing people s behaviour from driving petrol powered vehicles to electric motorbikes by supporting a new rideshare technology as well as improving access to knowledge and education around electric vehicles By the end of 2021 this project will see 300 electric motorbikes in Phnom Penh under the Go2 ride share brand as well as an annual electric mobility showcase The e in Electric can soak up the sun So what do electric vehicles have to do with renewable energy Solar and wind power are getting cheaper every year so they will continue to replace traditional dirty energy sources In some countries there is already more solar energy produced than is used during daylight hours so the batteries in EVs can soak up this cheap power and release it back into the grid when the sun goes down In the future Electricit du Cambodge the Electricity Authority of Cambodia EDC s grid could benefit by directly communicating OYIKA Battery swapping Customers no longer need to wait for their electric vehicle to fully charge all they need to do is look for the nearest station to swap their battery Available anytime You may spot the bright yellow Go2 bikes around Phnom Penh They re available to rent by the minute through your smartphone app BMW Looking to wow your friends with your new car EV Car Cambodia can help you with their electric BMWs It is predicted by 2025 the price of an EV will be the same as traditional vehicles via automatic signals with EVs For example the grid could send a signal to the car please charge now late at night when demand is low or during a sunny and windy day when there is an excess of power being generated or alternatively please don t charge now when there is a peak demand for electricity from households and factories At this time with traditional and dirty energy sources the EDC would have to turn on an expensive and dirty diesel or oil generator to meet that peak demand The Cambodia Climate Change Alliance CCCA is a multi donor initiative implemented by the National Council for Sustainable Development and funded by the European Union Sweden and UNDP LEVDEO THADA A beautiful funky and swift electric motorbike with colours to suit any rider LevDeo has the full range of cars for all of your driving needs Featured is the e SUV and they also have an e Hatchback e Sedan and e MPV VOLTRA Assembled in Cambodia with two models available for purchase Voltra is Cambodia s only home grown electric motorbike 2020 21 FUTURE OF ENERGY 19

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FUTURE OF ENERGY EVIDENCE BASED APPROACH As the world continues on a trajectory towards clean and renewable energy Cambodia pursues a future in solar and wind power We interviewed H E Say Sam Al Minister of Environment to talk about the future of clean energy in the kingdom Project Manager Chia Chi Hsu Editor Stew Post Contributors Andrew Haffner Bridget McIntosh Melissa Liu Sokphalkun Out Susanne Bodach Yvonne Power Thank you Excellency Minister for sparing your time to discuss the future of energy developments in Cambodia with us in particular in the context of the country s efforts to ensure sustainable development and to address climate change What are your thoughts about clean energy in Cambodia Energy is critical to Cambodia s prosperous future When clean energy was very expensive we faced difficult choices between economic growth and protecting the environment Now we have seen incredible cost reductions for solar and wind power so clean energy allows us to support economic growth and help protect the environment as well as to participate with the international community to reduce greenhouse gas emissions We are not the only ones making this analysis Regional and global trends indicate strong growth of renewable energy in national energy mixes I have often heard you talk about the importance of evidence based policy development What areas of analysis has the Ministry considered It is essential to develop policy based on evidence for example together with counterparts from the Ministry of Mines and Energy Electricit du Cambodge the Electricity Authority of Cambodia EDC Electricity Authority of Cambodia and Ministry of Economy and Finance MEF we are finalising an analysis of the economic benefits of solar power We knew that on a unit cost of c kWh basis solar and wind are cheaper than coal or gas This analysis also looked at all the externalities such as health impacts along with medical and productivity costs from air pollution and showed that the economic cost of fossil fuels such as coal is greater than we first understood This gives stronger evidence for decision making when planning Cambodia s electricity future A few years ago our National Council for Sustainable Development worked with the MEF to model the economic impacts of climate change for Cambodia The results were startling even with a scenario of less than a 2 C temperature 20 FUTURE OF ENERGY 2020 21 Designer Navet Tab Publisher Tassilo Brinzer Publishing Director Arne Deepen The Chip Mong Insee Cement CMIC floating solar in Kampot H E Say Sam Al Minister of Environment of Cambodia Cambodia has come a long way since 2017 increasing from 10MW to 410MW of solar energy increase climate change could reduce GDP 10 by 2050 if no additional measures were taken We used this evidence to work with the MEF to add important aspects of climate change adaptation to the National Budget We are also working with the MEF on ensuring Cambodia s continued attractiveness to investors with a commitment to sustainability We are talking for example with companies who have commitments to their customers to use renewable energy for factories sourced in Cambodia under the RE100 initiative in order to understand the specific barriers they face We are committed to working closely with the MEF to ensure that the system wide economic benefits of renewable energy are integrated into Cambodia s electricity planning policies and regulations We believe the new electricity tariffs for industrial and commercial customers will ensure there are no barriers for factories wishing to invest in renewable energy With the economics of solar energy we feel Cambodia can differentiate itself as a low carbon investment destination and outcompete other countries to retain these high quality businesses Cambodia has progressed well with the approval and construction of solar farms in the last year Are there any targets or plans for renewable energy into the future Yes Cambodia has come a long way since 2017 increasing from 10MW to 410MW of solar energy This is a promising start and I am sure we can go a lot further and much faster too Cambodia has made commitments under the Cambodian Sustainable Development Goals via SDG7 and we are currently revising our Nationally Determined Contributions NDCs to the global climate change community which will include a clear target for solar energy in 2030 The new Power Development Plan is under review and we expect it will include clear targets for renewable energy How do you think clean energy contributes to Cambodia s future Our Government has been very successful in expanding access to electricity across the country to over 90 of the villages Our analysis shows we can include much more clean solar and wind power at a lower economic cost And let s not forget energy productivity using energy more efficiently so we can produce more output from the same unit of energy input It is an investment in the future of Cambodia that supports economic diversification since renewable energy creates more jobs than traditional fossil fuel projects as well as less reliance on imports from foreign countries The Rectangular Strategy actually states we will encourage and increase investment in clean energy and renewable energy especially solar power while reducing the production of energy from unclean sources to ensure long term energy security editorial globemediaasia com ADVERTISING SALES www globemediaasia com info globemediaasia com 855 0 93 999 012 General Manager Daniel Marchette Business Manager Chea Eak Muy Channel Manager Chia Chi Hsu Administration Accounting Manager Ngorn Bunchon Accounting Manager Chry Sok Lay Administrator Maliesphuong Kao A SPECIAL REPORT BY What s next Cambodia The opportunity to take up the sun is now VISION IN THE MAKING H E Say Sam Al on evidence and consequence Cover image of H E Say Sam Al credits to Oxfam CHARCOAL 2 0 Cleaner leaner and sustainable solutions for better cooking MOVING ELECTRIC EV s are entering the lifestyle mainstream GREEN BUILDING Live and work in eco friendly structures BROUGHT TO YOU BY Printed By Sok Heng Printing House All content is owned by the publisher and may not be reproduced without prior permission Globe Media Asia 6A Street 294 12301 Phnom Penh Cambodia Tel 855 0 23 223 747 info globemediaasia com 2019 FUTURE OF ENERGY 21

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FUTURE OF ENERGY EVIDENCE BASED APPROACH As the world continues on a trajectory towards clean and renewable energy Cambodia pursues a future in solar and wind power We interviewed H E Say Sam Al Minister of Environment to talk about the future of clean energy in the kingdom Project Manager Chia Chi Hsu Editor Stew Post Contributors Andrew Haffner Bridget McIntosh Melissa Liu Sokphalkun Out Susanne Bodach Yvonne Power Thank you Excellency Minister for sparing your time to discuss the future of energy developments in Cambodia with us in particular in the context of the country s efforts to ensure sustainable development and to address climate change What are your thoughts about clean energy in Cambodia Energy is critical to Cambodia s prosperous future When clean energy was very expensive we faced difficult choices between economic growth and protecting the environment Now we have seen incredible cost reductions for solar and wind power so clean energy allows us to support economic growth and help protect the environment as well as to participate with the international community to reduce greenhouse gas emissions We are not the only ones making this analysis Regional and global trends indicate strong growth of renewable energy in national energy mixes I have often heard you talk about the importance of evidence based policy development What areas of analysis has the Ministry considered It is essential to develop policy based on evidence for example together with counterparts from the Ministry of Mines and Energy Electricit du Cambodge the Electricity Authority of Cambodia EDC Electricity Authority of Cambodia and Ministry of Economy and Finance MEF we are finalising an analysis of the economic benefits of solar power We knew that on a unit cost of c kWh basis solar and wind are cheaper than coal or gas This analysis also looked at all the externalities such as health impacts along with medical and productivity costs from air pollution and showed that the economic cost of fossil fuels such as coal is greater than we first understood This gives stronger evidence for decision making when planning Cambodia s electricity future A few years ago our National Council for Sustainable Development worked with the MEF to model the economic impacts of climate change for Cambodia The results were startling even with a scenario of less than a 2 C temperature 20 FUTURE OF ENERGY 2020 21 Designer Navet Tab Publisher Tassilo Brinzer Publishing Director Arne Deepen The Chip Mong Insee Cement CMIC floating solar in Kampot H E Say Sam Al Minister of Environment of Cambodia Cambodia has come a long way since 2017 increasing from 10MW to 410MW of solar energy increase climate change could reduce GDP 10 by 2050 if no additional measures were taken We used this evidence to work with the MEF to add important aspects of climate change adaptation to the National Budget We are also working with the MEF on ensuring Cambodia s continued attractiveness to investors with a commitment to sustainability We are talking for example with companies who have commitments to their customers to use renewable energy for factories sourced in Cambodia under the RE100 initiative in order to understand the specific barriers they face We are committed to working closely with the MEF to ensure that the system wide economic benefits of renewable energy are integrated into Cambodia s electricity planning policies and regulations We believe the new electricity tariffs for industrial and commercial customers will ensure there are no barriers for factories wishing to invest in renewable energy With the economics of solar energy we feel Cambodia can differentiate itself as a low carbon investment destination and outcompete other countries to retain these high quality businesses Cambodia has progressed well with the approval and construction of solar farms in the last year Are there any targets or plans for renewable energy into the future Yes Cambodia has come a long way since 2017 increasing from 10MW to 410MW of solar energy This is a promising start and I am sure we can go a lot further and much faster too Cambodia has made commitments under the Cambodian Sustainable Development Goals via SDG7 and we are currently revising our Nationally Determined Contributions NDCs to the global climate change community which will include a clear target for solar energy in 2030 The new Power Development Plan is under review and we expect it will include clear targets for renewable energy How do you think clean energy contributes to Cambodia s future Our Government has been very successful in expanding access to electricity across the country to over 90 of the villages Our analysis shows we can include much more clean solar and wind power at a lower economic cost And let s not forget energy productivity using energy more efficiently so we can produce more output from the same unit of energy input It is an investment in the future of Cambodia that supports economic diversification since renewable energy creates more jobs than traditional fossil fuel projects as well as less reliance on imports from foreign countries The Rectangular Strategy actually states we will encourage and increase investment in clean energy and renewable energy especially solar power while reducing the production of energy from unclean sources to ensure long term energy security editorial globemediaasia com ADVERTISING SALES www globemediaasia com info globemediaasia com 855 0 93 999 012 General Manager Daniel Marchette Business Manager Chea Eak Muy Channel Manager Chia Chi Hsu Administration Accounting Manager Ngorn Bunchon Accounting Manager Chry Sok Lay Administrator Maliesphuong Kao A SPECIAL REPORT BY What s next Cambodia The opportunity to take up the sun is now VISION IN THE MAKING H E Say Sam Al on evidence and consequence Cover image of H E Say Sam Al credits to Oxfam CHARCOAL 2 0 Cleaner leaner and sustainable solutions for better cooking MOVING ELECTRIC EV s are entering the lifestyle mainstream GREEN BUILDING Live and work in eco friendly structures BROUGHT TO YOU BY Printed By Sok Heng Printing House All content is owned by the publisher and may not be reproduced without prior permission Globe Media Asia 6A Street 294 12301 Phnom Penh Cambodia Tel 855 0 23 223 747 info globemediaasia com 2019 FUTURE OF ENERGY 21

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FUTURE OF ENERGY A key element of any green building project is sourcing building materials locally and decreasing the carbon footprint simply through passive design and improved logistics GREEN AND HEALTHY BUILDINGS Building a cleaner and greener cambodia BY SUSANNE BODACH C limate change is the defining issue of our future and the greening of sectors like energy production and transportation are at the forefront of new policies and investments However we also need to look at where and how we live In Cambodia about half of the primary energy is consumed in buildings According to a national forecast buildings energy consumption will be more than double until 2040 resulting in more greenhouse gas emissions In every crisis however there are opportunities Energyefficient and environmentally friendly green buildings are just such an opportunity and a truly massive one at that Green buildings consume less energy are eco friendly and provide healthy indoor environments Improving air quality inside the building is particularly important as many people spend 90 of their time indoors Not surprisingly big brands and global corporations are taking the lead in greening the building sector With the rising concern of climate change and social equity brands must now promise that their sustainability agenda goes beyond greenwashing For example international powerhouse Starbucks announced earlier this year that 10 000 of its retail 22 FUTURE OF ENERGY 2020 21 Vattanac Tower one of the tallest buildings in Phnom Penh is a certified green building In Cambodia about half of the primary energy is consumed in buildings According to a national forecast buildings energy consumption will more than double until 2040 locations worldwide will be green certified by 2025 and all new company owned stores must achieve the internationally recognized LEED certification LEED stands for Leadership in Energy and Environmental Design and provides third party verification that the building is truly eco friendly In Thailand green construction has seen a 54 annual growth rate in recent years and there are now over 5 million square meters of these eco friendly structures in the country Thanks to their higher resale value and rental prices office spaces make up 40 of all green buildings with the retail hotel and industrial sectors trailing Cambodia has only about 10 certified green buildings with the Vattanac Tower one of the tallest buildings in Phnom Penh and the Exchange Square shopping mall being conspicuous examples Another green building is the ACLEDA Institute of Business which consumes 35 less energy and 44 less water than conventional designs New green building projects in the capital are underway such as the Odom project a mixed use twin tower at Norodom Boulevard Odom not only features an inspiring and innovative architectural design but will also use local construction materials and utilize passive energy reduction and rainwater harvesting Beside private sector initiative the Royal Government of Cambodia is also interested in promoting green buildings The National Council for Sustainable Development NCSD is developing guidelines and a certification process for green buildings in Cambodia with support from Korea NCSD will also pilot the national certification scheme in at least one residential and one office building Green buildings are becoming more attractive because of their reduced energy footprints but also the healthier and more comfortable living environments they provide People who live and work in green buildings enjoy the health benefits associated with the eco friendly building materials used in construction For instance most green building plans avoid using plastics in construction that can lead to health issues associated with respiratory problems and increased risks of cancer A key element of any green building project is sourcing building materials locally and decreasing the carbon footprint simply through passive design and improved logistics This approach also improves community involvement stimulates the surrounding economy and opens doors for local innovation The new Odom project will use local construction materials and utilize passive energy reduction and rainwater harvesting Dr Susanne Bodach is Managing Director of BEE Incorporation in Cambodia BEE is one of the most experienced green building consultancies worldwide and has managed over 300 LEED projects across 25 countries The ACLEDA Institute of Business consumes 35 less energy and 44 less water than conventional designs WHAT IS A GREEN BUILDING When people hear about Green Buildings they think of building developments with more trees or vegetation elements in the fa ade design but a green building is more than that Green buildings are economically feasible eco friendly and energyefficient structures that have a long service life and most importantly provide us with safe and comfortable living and working environments Green buildings are economically feasible and environmentally friendly starting from the planning phase throughout construction and continuing during operation and habitation Green buildings have the following characteristics Use between 20 60 less energy because of climate adapted design and energy efficient technologies Use clean energy like solar panels Reduce water consumption and waste generation Promote the use of local materials and recycling Improved indoor air quality Non toxic and green construction materials Promote a healthy and environmentally conscious lifestyle Provide a comfortable indoor and outdoor environment 2020 21 FUTURE OF ENERGY 23

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FUTURE OF ENERGY A key element of any green building project is sourcing building materials locally and decreasing the carbon footprint simply through passive design and improved logistics GREEN AND HEALTHY BUILDINGS Building a cleaner and greener cambodia BY SUSANNE BODACH C limate change is the defining issue of our future and the greening of sectors like energy production and transportation are at the forefront of new policies and investments However we also need to look at where and how we live In Cambodia about half of the primary energy is consumed in buildings According to a national forecast buildings energy consumption will be more than double until 2040 resulting in more greenhouse gas emissions In every crisis however there are opportunities Energyefficient and environmentally friendly green buildings are just such an opportunity and a truly massive one at that Green buildings consume less energy are eco friendly and provide healthy indoor environments Improving air quality inside the building is particularly important as many people spend 90 of their time indoors Not surprisingly big brands and global corporations are taking the lead in greening the building sector With the rising concern of climate change and social equity brands must now promise that their sustainability agenda goes beyond greenwashing For example international powerhouse Starbucks announced earlier this year that 10 000 of its retail 22 FUTURE OF ENERGY 2020 21 Vattanac Tower one of the tallest buildings in Phnom Penh is a certified green building In Cambodia about half of the primary energy is consumed in buildings According to a national forecast buildings energy consumption will more than double until 2040 locations worldwide will be green certified by 2025 and all new company owned stores must achieve the internationally recognized LEED certification LEED stands for Leadership in Energy and Environmental Design and provides third party verification that the building is truly eco friendly In Thailand green construction has seen a 54 annual growth rate in recent years and there are now over 5 million square meters of these eco friendly structures in the country Thanks to their higher resale value and rental prices office spaces make up 40 of all green buildings with the retail hotel and industrial sectors trailing Cambodia has only about 10 certified green buildings with the Vattanac Tower one of the tallest buildings in Phnom Penh and the Exchange Square shopping mall being conspicuous examples Another green building is the ACLEDA Institute of Business which consumes 35 less energy and 44 less water than conventional designs New green building projects in the capital are underway such as the Odom project a mixed use twin tower at Norodom Boulevard Odom not only features an inspiring and innovative architectural design but will also use local construction materials and utilize passive energy reduction and rainwater harvesting Beside private sector initiative the Royal Government of Cambodia is also interested in promoting green buildings The National Council for Sustainable Development NCSD is developing guidelines and a certification process for green buildings in Cambodia with support from Korea NCSD will also pilot the national certification scheme in at least one residential and one office building Green buildings are becoming more attractive because of their reduced energy footprints but also the healthier and more comfortable living environments they provide People who live and work in green buildings enjoy the health benefits associated with the eco friendly building materials used in construction For instance most green building plans avoid using plastics in construction that can lead to health issues associated with respiratory problems and increased risks of cancer A key element of any green building project is sourcing building materials locally and decreasing the carbon footprint simply through passive design and improved logistics This approach also improves community involvement stimulates the surrounding economy and opens doors for local innovation The new Odom project will use local construction materials and utilize passive energy reduction and rainwater harvesting Dr Susanne Bodach is Managing Director of BEE Incorporation in Cambodia BEE is one of the most experienced green building consultancies worldwide and has managed over 300 LEED projects across 25 countries The ACLEDA Institute of Business consumes 35 less energy and 44 less water than conventional designs WHAT IS A GREEN BUILDING When people hear about Green Buildings they think of building developments with more trees or vegetation elements in the fa ade design but a green building is more than that Green buildings are economically feasible eco friendly and energyefficient structures that have a long service life and most importantly provide us with safe and comfortable living and working environments Green buildings are economically feasible and environmentally friendly starting from the planning phase throughout construction and continuing during operation and habitation Green buildings have the following characteristics Use between 20 60 less energy because of climate adapted design and energy efficient technologies Use clean energy like solar panels Reduce water consumption and waste generation Promote the use of local materials and recycling Improved indoor air quality Non toxic and green construction materials Promote a healthy and environmentally conscious lifestyle Provide a comfortable indoor and outdoor environment 2020 21 FUTURE OF ENERGY 23

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FUTURE OF ENERGY INNOVATIVE VILLAGE Digitizing the grid for cheaper cleaner and more reliable energy V illage Energy is a startup company born out of Australia a country of extremes For Australian electricity grid operators these great distances combined with small populations extremely hot weather and highly variable loads pose many challenges Australian ingenuity has provided reliable economic off grid supply to these communities for decades pioneering solutions for microgrids like peak shaving demand management and energy storage Many of these companies are now applying the same technologies to the developing world where low cost low maintenance energy systems are being deployed as a vital way to lift people out of poverty One such company is rising startup Village Energy The Australian firm has developed a technology adopted by rural electricity distributors in India and Indonesia that optimises the economic and technical performance of their grid edge systems Their technology platform is tailored specifically to addressing energy challenges like reliability and quality of supply in emerging markets Village Energy has created a metering and control device that is low cost and once installed captures detailed household supplyand demand data and then applies machine learning algorithms and artificial intelligence to autonomously control local grids in real time That AI helps make decisions to avoid power cuts by prioritising local energy sources and balancing available energy to primary needs Households are connected to the platform via a mobile app that can monitor their consumption pay bills manage budgets and control connections All this reduces operating and equipment costs for grid operators and also makes billing and metering significantly easier Digitisation means operators know the status 24 FUTURE OF ENERGY 2020 21 of their grids in real time they no longer need to rely on customers calling to tell them they have no electricity In trials in India the grid operators were skeptical at first but they are now happy and want more I spoke to our customers they all are happy about this project and people from other microgrids are asking for expansion said a satisfied Technical Director in India Others are signing up quickly Devtosh Chaturvedi Managing Director of FEDCO said We are confident that with the introduction of this technology our cost of service to consumers residing in rural areas will be drastically reduced without compromising consumer service after signing an agreement with Village Energy Village Energy has now turned its attention to supporting rural electricity grids in Cambodia Cambodia has made rapid progress increasing access to electricity for villages and consumers but progress has been achieved at a cost It is time now to turn our attention to strengthening the reliability and quality of electricity supply which would enable families A device that is low cost and once installed captures detailed household supply anddemand data and then applies machine learning algorithms and artificial intelligence to autonomously control local grids in real time and businesses to flourish said H E Ty Norin in response to a World Bank report on energy Village Energy has signed an MOU with Cambodia based Engineering Procurement and Construction EPC and Operation and Maintenance O M contractor Lighting Engineering Solutions LES to help implement the Village Energy platform across rural Cambodia Village Energy s technology has the potential to deliver incredible operating efficiencies by improving reliability and better utilising existing resources and assets without large capital investments We are excited to be partnering with them to bring this technology to the Cambodian energy market said Sokun Sum CEO of LES The Village Energy team aims at strengthening the reliability and quality of electricity supply in Cambodia 2019 FUTURE OF ENERGY 25

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FUTURE OF ENERGY INNOVATIVE VILLAGE Digitizing the grid for cheaper cleaner and more reliable energy V illage Energy is a startup company born out of Australia a country of extremes For Australian electricity grid operators these great distances combined with small populations extremely hot weather and highly variable loads pose many challenges Australian ingenuity has provided reliable economic off grid supply to these communities for decades pioneering solutions for microgrids like peak shaving demand management and energy storage Many of these companies are now applying the same technologies to the developing world where low cost low maintenance energy systems are being deployed as a vital way to lift people out of poverty One such company is rising startup Village Energy The Australian firm has developed a technology adopted by rural electricity distributors in India and Indonesia that optimises the economic and technical performance of their grid edge systems Their technology platform is tailored specifically to addressing energy challenges like reliability and quality of supply in emerging markets Village Energy has created a metering and control device that is low cost and once installed captures detailed household supplyand demand data and then applies machine learning algorithms and artificial intelligence to autonomously control local grids in real time That AI helps make decisions to avoid power cuts by prioritising local energy sources and balancing available energy to primary needs Households are connected to the platform via a mobile app that can monitor their consumption pay bills manage budgets and control connections All this reduces operating and equipment costs for grid operators and also makes billing and metering significantly easier Digitisation means operators know the status 24 FUTURE OF ENERGY 2020 21 of their grids in real time they no longer need to rely on customers calling to tell them they have no electricity In trials in India the grid operators were skeptical at first but they are now happy and want more I spoke to our customers they all are happy about this project and people from other microgrids are asking for expansion said a satisfied Technical Director in India Others are signing up quickly Devtosh Chaturvedi Managing Director of FEDCO said We are confident that with the introduction of this technology our cost of service to consumers residing in rural areas will be drastically reduced without compromising consumer service after signing an agreement with Village Energy Village Energy has now turned its attention to supporting rural electricity grids in Cambodia Cambodia has made rapid progress increasing access to electricity for villages and consumers but progress has been achieved at a cost It is time now to turn our attention to strengthening the reliability and quality of electricity supply which would enable families A device that is low cost and once installed captures detailed household supply anddemand data and then applies machine learning algorithms and artificial intelligence to autonomously control local grids in real time and businesses to flourish said H E Ty Norin in response to a World Bank report on energy Village Energy has signed an MOU with Cambodia based Engineering Procurement and Construction EPC and Operation and Maintenance O M contractor Lighting Engineering Solutions LES to help implement the Village Energy platform across rural Cambodia Village Energy s technology has the potential to deliver incredible operating efficiencies by improving reliability and better utilising existing resources and assets without large capital investments We are excited to be partnering with them to bring this technology to the Cambodian energy market said Sokun Sum CEO of LES The Village Energy team aims at strengthening the reliability and quality of electricity supply in Cambodia 2019 FUTURE OF ENERGY 25

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FUTURE OF ENERGY Solar Lab Tour visited 20 high schools in multiple provinces SOGE HANDS ON SOLAR TRAINING One of Cambodia s oldest solar companies Solar Green Energy SOGE offers practical solar internships and training for students The training in electricity and electronics mechanics and IoT controls both theoretical and practical is an excellent opportunity for students wanting to build and install solar systems After training some students are offered jobs or continue on to work for other companies Contact Thida Kheav 855 81 904 849 Clean Energy Internship provide a small allowance job readiness training regular mentoring and coaching to students from all backgrounds NEXT GENERATION TO CLEAN ENERGY Education and internships are empowering Cambodia s youth to embrace clean energy technologies G lobal demand for clean energy is soaring and with that increased demand comes the need for a skilled workforce to be part of this exciting new industry It s not just about engineers and technicians it also involves sales marketing finance business development policy and regulation That means here in Cambodia there is a chance for future generations to aspire to career paths that not only support their families but also contribute to a cleaner environment for Cambodia Here s a selection of ways young people can be involved in Clean Energy Cambodian high school students make their own solar electricity EnergyLab s Solar Lab Tour visited 20 schools in Phnom Penh Takeo Kandal and Kampong Speu to teach high school students about clean energy and how to build their very own solar cell The intention was to inspire Cambodian high school students to love science solar power and learn about clean energy and the future of technological innovation Two Dutch university students travelled all the way from the Netherlands to train 24 Cambodian university 26 FUTURE OF ENERGY 2020 21 There is a chance for future generations to aspire to career paths that not only support their families but also contribute to a cleaner environment for Cambodia Attendees in the EnergyLab Incubation programme mentored by Ms Vansonita Men ambassadors how to make a solar cell Together they travelled to teach high school students for 2 weeks and had fun with 3 000 students in just 11 days Clean Energy Internship Practicing for the Future Internships are a great chance for students to get out of the classroom and into the reality of the working world EnergyLab organizes a Clean Energy Internship for around 15 university students from July September each year Students are provided a small allowance job readiness training regular mentoring and coaching to support them throughout their internship EnergyLab welcomes new companies looking for interns to get in touch if they would like to offer students a chance to learn about what it s like to work in the clean energy industry Students from all backgrounds are welcome there are internships across all disciplines including marketing and business sales engineering finance and more Supporting entrepreneurs to innovate in clean energy Energy is critical across our entire economy and with the reduced cost of digital tech solar tech and batteries there are huge possibilities for innovation EnergyLab supports aspiring entrepreneurs to take an idea from a concept all the way through to a startup business with customers and income Over the next four years EnergyLab with support from the EU Switch program will run the Clean Energy and Agri fishery Incubation Program working with aspiring entrepreneurs to identify challenges and innovate solutions in Cambodia s agriculture and fisheries ecosystem Anyone with an idea or who is already tinkering with a new business concept can participate SIREA Sirea is a French automation and solar energy company with a training centre at Institute of Technology of Cambodia They run an annual training program each year about automation and energy from November to mid December It is an opportunity for the students to practice their manual skills on a complex product but also to introduce the necessity for automation in energy management systems Weekly training covers theory and practical aspects of electrical components breakers fuse wires and the methodologies to create a system In 2019 Sirea trained 17 final year technicians from ITC s Genie lectrique nergie GEE department every weekend for 5 weeks Sirea is planning to continue this program into the future Email t rioux sirea fr INSTITUTE OF TECHNOLOGY OF CAMBODIA ITC The Institute of Technology of Cambodia has a 2 year vocational training for electrical students and a 4 year Bachelor degree in energy and electrical engineering ITC has a partnership with Sirea a French company who provides electrical systems that coordinate solar batteries and grid connection ROYAL UNIVERSITY OF PHNOM PENH RUPP The Royal University of Phnom Penh Bachelor of Science in Physics Degree includes 2 subjects specifically about renewable energy The courses were developed in collaboration with Engineers Without Borders Australia POUR UN SOURIRE D ENFANT PSE The PSE Institute in Phnom Penh trains young Cambodians from disadvantaged backgrounds giving them the essential skills needed to find a decent job and ensure their successful integration into professional and social life in Cambodia PSE offers professional streams in four schools including electrical installations Officially recognised by the Royal Government of Cambodia it provides diplomas recognised by the Ministry of Labour and Vocational Training 2020 21 FUTURE OF ENERGY 27

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FUTURE OF ENERGY Solar Lab Tour visited 20 high schools in multiple provinces SOGE HANDS ON SOLAR TRAINING One of Cambodia s oldest solar companies Solar Green Energy SOGE offers practical solar internships and training for students The training in electricity and electronics mechanics and IoT controls both theoretical and practical is an excellent opportunity for students wanting to build and install solar systems After training some students are offered jobs or continue on to work for other companies Contact Thida Kheav 855 81 904 849 Clean Energy Internship provide a small allowance job readiness training regular mentoring and coaching to students from all backgrounds NEXT GENERATION TO CLEAN ENERGY Education and internships are empowering Cambodia s youth to embrace clean energy technologies G lobal demand for clean energy is soaring and with that increased demand comes the need for a skilled workforce to be part of this exciting new industry It s not just about engineers and technicians it also involves sales marketing finance business development policy and regulation That means here in Cambodia there is a chance for future generations to aspire to career paths that not only support their families but also contribute to a cleaner environment for Cambodia Here s a selection of ways young people can be involved in Clean Energy Cambodian high school students make their own solar electricity EnergyLab s Solar Lab Tour visited 20 schools in Phnom Penh Takeo Kandal and Kampong Speu to teach high school students about clean energy and how to build their very own solar cell The intention was to inspire Cambodian high school students to love science solar power and learn about clean energy and the future of technological innovation Two Dutch university students travelled all the way from the Netherlands to train 24 Cambodian university 26 FUTURE OF ENERGY 2020 21 There is a chance for future generations to aspire to career paths that not only support their families but also contribute to a cleaner environment for Cambodia Attendees in the EnergyLab Incubation programme mentored by Ms Vansonita Men ambassadors how to make a solar cell Together they travelled to teach high school students for 2 weeks and had fun with 3 000 students in just 11 days Clean Energy Internship Practicing for the Future Internships are a great chance for students to get out of the classroom and into the reality of the working world EnergyLab organizes a Clean Energy Internship for around 15 university students from July September each year Students are provided a small allowance job readiness training regular mentoring and coaching to support them throughout their internship EnergyLab welcomes new companies looking for interns to get in touch if they would like to offer students a chance to learn about what it s like to work in the clean energy industry Students from all backgrounds are welcome there are internships across all disciplines including marketing and business sales engineering finance and more Supporting entrepreneurs to innovate in clean energy Energy is critical across our entire economy and with the reduced cost of digital tech solar tech and batteries there are huge possibilities for innovation EnergyLab supports aspiring entrepreneurs to take an idea from a concept all the way through to a startup business with customers and income Over the next four years EnergyLab with support from the EU Switch program will run the Clean Energy and Agri fishery Incubation Program working with aspiring entrepreneurs to identify challenges and innovate solutions in Cambodia s agriculture and fisheries ecosystem Anyone with an idea or who is already tinkering with a new business concept can participate SIREA Sirea is a French automation and solar energy company with a training centre at Institute of Technology of Cambodia They run an annual training program each year about automation and energy from November to mid December It is an opportunity for the students to practice their manual skills on a complex product but also to introduce the necessity for automation in energy management systems Weekly training covers theory and practical aspects of electrical components breakers fuse wires and the methodologies to create a system In 2019 Sirea trained 17 final year technicians from ITC s Genie lectrique nergie GEE department every weekend for 5 weeks Sirea is planning to continue this program into the future Email t rioux sirea fr INSTITUTE OF TECHNOLOGY OF CAMBODIA ITC The Institute of Technology of Cambodia has a 2 year vocational training for electrical students and a 4 year Bachelor degree in energy and electrical engineering ITC has a partnership with Sirea a French company who provides electrical systems that coordinate solar batteries and grid connection ROYAL UNIVERSITY OF PHNOM PENH RUPP The Royal University of Phnom Penh Bachelor of Science in Physics Degree includes 2 subjects specifically about renewable energy The courses were developed in collaboration with Engineers Without Borders Australia POUR UN SOURIRE D ENFANT PSE The PSE Institute in Phnom Penh trains young Cambodians from disadvantaged backgrounds giving them the essential skills needed to find a decent job and ensure their successful integration into professional and social life in Cambodia PSE offers professional streams in four schools including electrical installations Officially recognised by the Royal Government of Cambodia it provides diplomas recognised by the Ministry of Labour and Vocational Training 2020 21 FUTURE OF ENERGY 27

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