Infrastructure Asia on Cambodia’s Energy Investment and Regional Connectivity

Résumé détaillé

As Cambodia’s economy expands, its demand for energy and modern infrastructure continues to grow. Meeting that demand while ensuring reliable, ...

As Cambodia’s economy expands, its demand for energy and modern infrastructure continues to grow. Meeting that demand while ensuring reliable, affordable and sustainable energy will require substantial investment and stronger regional cooperation. Infrastructure Asia helps bridge the gap between governments, businesses and financiers to turn infrastructure plans into viable projects. Cambodianess’ Sao Phal Niseiy speaks with Lavan Thiru, Executive Director of Infrastructure Asia, about Cambodia’s investment opportunities, financing challenges and energy transition.

Sao Phal Niseiy: Southeast Asia needs substantially more investment in power grids and energy storage than public budgets and traditional lenders can provide. Which financing mechanisms – such as blended finance, green bonds and public-private partnerships – offer the greatest potential to close this gap, and what is needed to scale them?

Lavan Thiru: The scale of investment required is substantial. The IEA’s Southeast Asia Energy Outlook 2026 estimates that annual investment in grids and storage needs to increase from around $13 billion today to $50 billion by 2050 to meet the region’s announced energy and climate pledges. It also estimates that planned cross-border interconnections under the ASEAN Power Grid will require $27 billion by 2040. Limited public resources must therefore be used strategically to attract private investment while keeping electricity affordable and reliable. Blended finance, green bonds and public-private partnerships (PPPs) each play complementary roles.

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