Singapore 2027 ASEAN chair: green deal, power grid push — SkimNews
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- Singapore will assume the ASEAN chairmanship in 2027, with the Green Economic Framework Agreement (Gefa) and the Digital Economy Framework Agreement (Defa) as key priorities, said Satvinder Singh, deputy secretary-general for the ASEAN Economic Community.
- Defa, a regional government-to-government agreement harmonising digital trade rules including cross-border data flows, is scheduled to be signed at the 49th ASEAN Summit in November 2026, while Gefa is set to guide regional cooperation in emerging green industries.
- ASEAN's energy import bill is expected to rise by close to US$200 billion (S$256 billion) next year due to higher oil and gas prices, and Singh argued those funds should be redirected toward green investments rather than enriching oil and gas companies.
- About 80% of oil transported through the Strait of Hormuz from the Gulf flowed to Southeast Asia before the Iran war began, leaving the region particularly exposed to the Middle East energy supply disruptions Singh identified as one of the most pressing challenges.
- The ASEAN Power Grid, a cross-border electricity trading initiative discussed for about two decades, would allow countries like Cambodia, Laos and Myanmar to supply hydropower to industrialised economies such as Thailand, Indonesia, Malaysia, Singapore and the Philippines, Singh said.
- Singh also called for more open professional rules across ASEAN as AI, digital transformation and sustainability reporting reshape demand for skills, noting that ACCA-qualified accountants and others still face barriers to practising in other member states.
- ASEAN's economy grew by nearly 5% in 2025 despite overlapping challenges from Middle East energy disruptions and a fragmenting global trading system, with the Philippines set to conclude its 2026 chairmanship at the November summit before Singapore takes over.
Why it matters: Singapore inherits the ASEAN chair with the region staring at a projected US$200 billion surge in energy import costs, and Singh is using the moment to argue for redirecting that money into the long-stalled ASEAN Power Grid and green transition. Because roughly 80% of Gulf oil flowing through the Strait of Hormuz was headed to Southeast Asia before the Iran war, the push to share regional hydropower addresses a concrete supply vulnerability that decades of fossil fuel imports have masked.
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