Energy transition policies in southeast Asia and China: scoping out the ‘just’ aspect - Stockholm Environment Institute
Published December 25, 2025
Energy Transition Policies in Southeast Asia and China: Examining the Just Aspect
The energy transition in Southeast Asia and China has gained significant attention, particularly in the context of ensuring that these transformations are equitable and just. The Stockholm Environment Institute (SEI) has conducted extensive research to explore the policies driving this transition and the implications for social justice across the region.
As Southeast Asia and China move towards greener energy sources, the importance of integrating social equity into energy transition strategies cannot be overstated. The concept of a ‘just transition’ emphasizes that the shift from fossil fuels to renewable energy should not only focus on environmental sustainability but also prioritize the social and economic well-being of affected communities.
The Role of Policy in Energy Transition
Policy frameworks play a crucial role in shaping the energy landscape in both Southeast Asia and China. Governments in these regions are formulating strategies to meet international climate commitments while also addressing local energy needs. The SEI highlights that effective policies must consider the diverse socio-economic contexts of different countries and regions.
In Southeast Asia, countries such as Indonesia, Vietnam, and the Philippines are making strides towards renewable energy adoption. However, the transition is often accompanied by challenges, including reliance on coal, inadequate infrastructure, and limited access to technology. Policymakers are tasked with creating inclusive frameworks that facilitate the participation of marginalized groups in the energy transition process.
China, as a global leader in renewable energy production, is also navigating its transition. The government has implemented ambitious policies aimed at reducing carbon emissions and increasing the share of renewables in its energy mix. Yet, the rapid pace of change raises concerns about the social implications of these policies, particularly for workers in traditional energy sectors.
Understanding Just Transition
The ‘just transition’ framework is essential for addressing the potential social impacts of energy transitions. It encompasses strategies that ensure no one is left behind, particularly workers and communities that may be adversely affected by the shift away from fossil fuels. This approach advocates for the development of new job opportunities, retraining programs, and social safety nets to support those impacted by the transition.
In Southeast Asia, the need for a just transition is particularly pressing given the region's reliance on coal and other fossil fuels for economic growth. The SEI report emphasizes that as countries aim to reduce their carbon footprints, they must also prioritize the livelihoods of those who depend on fossil fuel industries. This includes engaging with local communities to understand their needs and aspirations, as well as ensuring their voices are heard in policy discussions.
Key Findings from the Stockholm Environment Institute
The SEI's research identifies several key findings regarding the energy transition in Southeast Asia and China:
- Policy Integration: There is a critical need for integrating social equity considerations into energy policies. This involves assessing the potential impacts of energy transition strategies on different population groups and ensuring that benefits are distributed fairly.
- Stakeholder Engagement: Engaging a diverse range of stakeholders, including community members, workers, and local organizations, is vital for developing effective and inclusive energy policies. This participatory approach can help identify potential challenges and opportunities within the transition process.
- Capacity Building: Strengthening the capacity of local governments and communities to implement and benefit from renewable energy initiatives is essential. This includes providing training and resources to enable communities to actively participate in the energy transition.
- Investment in Renewable Energy: Increased investment in renewable energy technologies is necessary to support the transition. This includes not only financial investment but also technological support to ensure that communities can access and utilize renewable energy sources effectively.
Challenges to Achieving a Just Transition
Despite the progress being made, several challenges remain in achieving a just transition in Southeast Asia and China. One significant barrier is the entrenched interests of fossil fuel industries, which can impede the adoption of renewable energy policies. Additionally, the lack of infrastructure and investment in clean energy technologies presents further hurdles.
Moreover, there is a need for comprehensive data collection and analysis to inform policy decisions. Understanding the socio-economic impacts of energy transitions requires robust data on employment, income levels, and community needs. The SEI underscores the importance of evidence-based policymaking to ensure that transitions are not only environmentally sustainable but also socially equitable.
Recommendations for Policymakers
To facilitate a just energy transition, the SEI offers several recommendations for policymakers in Southeast Asia and China:
- Develop Inclusive Policies: Policymakers should prioritize the development of inclusive energy policies that consider the needs of marginalized communities and workers in traditional energy sectors.
- Enhance Stakeholder Collaboration: Building partnerships with local communities, civil society organizations, and the private sector can foster collaboration and ensure that diverse perspectives are included in the decision-making process.
- Invest in Education and Training: Governments should invest in education and training programs to equip workers with the skills needed for jobs in the renewable energy sector. This will help facilitate a smooth transition for those affected by the decline of fossil fuel industries.
- Strengthen Social Safety Nets: Establishing robust social safety nets can provide support for individuals and communities during the transition period, minimizing the socio-economic impacts of job losses in traditional energy sectors.
Conclusion
The energy transition in Southeast Asia and China presents both opportunities and challenges. As these regions strive to meet their climate goals, the importance of ensuring that the transition is just and equitable cannot be overlooked. The findings from the Stockholm Environment Institute highlight the need for inclusive policies, stakeholder engagement, and investment in capacity building to support affected communities.
By prioritizing social equity in energy transition strategies, Southeast Asia and China can pave the way for a sustainable future that benefits all members of society. The journey towards a just transition is complex, but with concerted efforts and a commitment to inclusivity, it is achievable.
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