Buyers' Toolkit

Currently, 51% of Cambodia's power generation comes from traditional sources, 45% from hydropower and less than 5% from renewables, with a national electricity access rate at 98.27%. The newly established 100-MW solar plant in Kandal province is the largest in the country, capable of powering 100,000 households. Apart from the mentioned project, Cambodia's renewable energy market has seen limited progress recently, making it one of the less proactive ASEAN countries in terms of energy development.

As manufacturing is the major contributor to Cambodia’s economy, it will take time for the rise in energy transition awareness and the significant growth in renewable energy demand, leaving the government with insufficient incentive to promote diversified renewable energy purchasing.

In 2018, the Cambodian government announced that it aims to achieve 25% renewable energy generation by 2030. While Cambodia's installed renewable energy capacity is still far from reaching its target, the country has a booming niche market for electric vehicles, with many players in the electric transportation sector making long-term commitments to using green energy. Additionally, Cambodia has received funding from international organizations to support its energy transition, such as the $1 billion climate change funding from the World Bank and the $500 million energy transition funding from the Asian Development Bank.