Buyers' Toolkit
Brunei
Procurement Methods
Unbundled REC | O |
Domestic REC | X |
DPPA | X |
VPPA | X |
Green electricity tariff | X |
Self-consumption | O |
Insight
Renewable energy development in Brunei is still immature, resulting in the low proportion of electricity generated from renewable sources, at less than 1%. Recently, the government has introduced net metering, which allows self-consumption solar installations to sell surplus electricity to the grid. In addition, regulations and guidelines for large-scale solar projects and grid connections will be progressively implemented.
Brunei's oil and gas exports contribute nearly 60% of its GDP, which poses a considerable challenge to the country's energy transition, as it directly impacts its main source of revenue. Moreover, the government is still heavily subsidizing fossil fuel power generation, which raises costs of renewables and thus makes the energy transition even more difficult.
With a target of 10% renewable energy use by 2035, Brunei will focus on the development of solar energy in the future and introduce policies accordingly.