Tapping into new markets: the Project Development Programme Southeast Asia

Project description

Title: Project Development Programme Southeast Asia
Commissioned by: German Federal Ministry for Economic Affairs and Energy (BMWi) as part of its initiative ‘renewables – Made in Germany’
Country: Thailand, Viet Nam, Myanmar
Overall term: 2011 to 2018

Context

Southeast Asia is one of the world’s most dynamic economic regions in the world, and is characterised by a rapidly growing demand for energy. The search for cost-effective alternatives to fossil fuels is significant here, as are the concerns about the environment and climate. Renewable energy options are gaining traction, and there is great interest across the region in German technologies and know-how.

A challenging business climate in Southeast Asia tends to restrict the development of markets for innovative products and services, which is a particular strength and unique selling point of German providers. Other hurdles include a lack of technical and business resources and shortfalls in the expertise of local partners, as well as insufficient transparency regarding the current market situation, promotion opportunities and changes in the contract law.

Objective

German renewable energy enterprises have made progress in tapping into Southeast Asian markets. Developing countries and emerging economies are benefiting from knowledge exchange and cooperation in the technology sector.

Approach

The Project Development Programme Southeast Asia helps German companies in the renewable energy sector to access the Thai, Vietnamese and Myanmanese markets. It supports bilateral business partnerships and contributes to the promotion of sustainable market structures as well as the wider use of renewable energy. The programme creates tangible added value for German companies by promoting the development of quality- and performance-oriented markets for cutting-edge German technology. It is also working with its business partners to expand local competences.

The entry of German companies into the market creates a win-win situation. Their involvement contributes to the transfer of technology and knowledge, while supporting sustainable development in the respective countries. On behalf of the Federal Ministry for Economic Affairs and Energy (BMWi), the programme provides a range of services, both for the participating German companies and in the partner countries. This includes sharing information, forging contacts, support for showcase projects and marketing, awareness raising, and advisory services on the prevailing business conditions.

The programme supports cooperation between German and local companies, and assists them in different phases as they tap into new markets or develop showcase projects. In doing so, it promotes sustainable market structures and the wider use of renewable energy. Since foreign trade promotion structures are already in place in the participating countries, the programme coordinates its measures closely with the relevant German chambers of commerce. This brings together the synergies, experience and networks of foreign trade promotion and development cooperation.

Results

GIZ has been implementing the Project Development Programme Southeast Asia since 2011. Besides its activities to share information and prompt contacts between German and local companies, the programme has also supported, for example, the initiation of municipal renewable energy projects in Thailand. And it has advised public decision makers in Indonesia and the Philippines on the formulation and publication of net metering regulations, and on the reduction of administrative barriers to renewable energy projects.

Project development in Southeast Asia. German photovoltaic companies training Filipino counterparts at the German Solar Training Week © GIZ