The power market in Brunei is expected to register a CAGR of more than 1.5% during the forecast period of 2022-2027. The Bruneian power market was relatively unharmed by the COVID-19 pandemic, as the market has been growing at a slow pace since 2017.
Brunei has significant solar potential, and the Bruneian government is trying to utilize the solar potential of the country. The government has committed to a target of installing 100 MWp of solar capacity by 2025, which is expected to drive the demand for players in the solar energy segment of the Bruneian power market during the forecast period.
To achieve its goal of generating 30% of its primary energy consumption from renewables by 2035, the Bruneian government plans to encourage private sector participation through public-private partnerships by financing and undertaking the development of new renewable energy projects in the country.
Factors such as growing population, urbanization, and power consumption are expected to drive the demand in the Bruneian power market. However, the relatively nascent stage of the renewable energy industry and a lack of government incentives for renewable project developers are expected to restrain the market's growth during the forecast period.
Source: Author (2020). As a whole, Brunei Darussalam has a hydrogen supply potential of 2.7 Mtoe, with fossil fuel– derived hydrogen accounting for 90% of the total.
Brunei’s population and energy and fuel requirements are concentrated in Bandar Seri Begawan, the capital city. Therefore, the maximum distance from the domestic hydrogen production site to the domestic hydrogen demand site will be 200 km. Source: Ministry of Energy (2014).