Cambodia has over 15 million inhabitants but can provide power consistently to only 13% of its population. In a largely rural area, most people have devices like smartphones, but with unreliable sources of power, many people lug rechargeable batteries over long distances to be charged with an industrial generator. 

Background

75% of the population lives in rural areas, but less than 7% can access electricity. Population growth has led to a need for economic growth, which has led to electricity demand increasing tenfold. 

Rural areas often experience rolling blackouts contributing to reliable energy issues, along with health care and clean water accessibility in Cambodia. Power and gas prices remain extremely high, and citizens are forced to walk miles to find water or sources of energy to fuel their lives. One-quarter of the population lives off the grid, using their own homes to provide power. 

However, technological advances have proven to stimulate economic growth in Cambodia, providing several solutions to the energy crises that provide renewable energy. In 2021, just over half of the country’s energy came from renewable sources, 44.17% from hydropower and 7% from solar and biomass. Renewable energy in Cambodia has increased generation to 372 megawatts by 362 since 2017, to reach 1815 megawatts of solar energy by 2030. 

In the past five years, Cambodia has reduced its diesel and fuel oil consumption from 89% to 9%. In 2021, Minister for Mines and Energy, Suy Sem, shut down approvals for new power plants powered by coal. Authorities intend to focus on “making fossil fuels cleaner, developing batteries and energy storage systems and focusing on energy efficiency. Through such measures, authorities aim to target the energy supplies’ security, accessibility, affordability and reliability across Cambodia,” according to Energytracker Asia. 

In 2020, access to electricity in rural areas increased to 97%. Areas that have not received electricity are difficult to reach, but solar-powered mini-grids provide a more reliable and affordable source of renewable energy in Cambodia. 

Renewable Energy Sources in Cambodia

Solar power is an easy solution for this area because Cambodia is one of the few countries that experiences up to eight full hours of sunlight every day. It is a low-cost solution with the business community embracing it as a way to cut the high electricity costs of the rest of the country. 

Wind power may also be a solution, but it is vastly underused. Hypothetically, it could provide 3,665 GWh in the way of total annual electricity capacity. 

China was the main source of coal to fuel Cambodia, but with its decision to stop overseas coal exporting, Cambodia has been able to reach more green sources of energy. Major companies such as H&M, Nike, Adidas and Puma have urged the government to find cleaner energy sources as well. 

There are more possibilities for employment in the move to a resource-efficient society, creating jobs in environmental services including organic farming and sustainable production. The economic growth for Cambodia in this sector has increased significantly. In 2017, only 0.3% of the population was employed in electricity, gas, steam and air conditioning, but only a year later, nearly 5.5% of people were employed in hydropower. This growing sector of renewable energy in Cambodia is an opportunity for job growth for both men and women.

Due to COVID-19, the Gross Domestic Product hovered around 6%, but in 2022 decreased to 4.8%, placing Cambodia back on the path toward economic stability. Exports remain largely the cause of this growth.

Final Thoughts

Capitalizing on renewable energy resources is one of the best ways to stimulate economic growth in Cambodia due to the accessibility of solar, wind and even hydropower because of climate conditions in the area. Growing awareness has paved the way for generating accessibility for rural areas, a crucial resource for farmers. This not only helps lift them out of poverty due to investment opportunities for businesses, but it also provides possibilities for future generations to take advantage of natural resources to create a cleaner environment for all. 

– Jennifer Arias
Photo: Unsplash