Buyers' Toolkit

Currently, Timor-Leste lacks a renewable energy policy, relying solely on international funding programs. At the end of 2021, the Asian Development Bank (ADB) had granted a US$35 million loan to Timor-Leste to upgrade its power infrastructure, including the installation of distribution automation systems, distribution transformers, smart meters, as well as the rehabilitation of low- and medium-voltage distribution circuits, and implementation of the prepaid card system. On the other hand, the UN House in Timor-Leste has taken the lead in piloting the use of solar panels for power generation. The 300 kW solar panels installed at the UN House can fulfil 75% of its electricity demand during daylight hours, serving as a demonstration for the country.

With only 1% renewable energy share in 2019, Timor-Leste has yet to see significant demand for green energy. In addition, its poor infrastructure, including the power grid, has led to frequent power outages in many areas and higher electricity prices than in neighboring countries, which the government has yet to develop plans to address.

In the short term, Timor-Leste will continue to focus on demonstration projects through collaborating with international organizations. As part of the United Nations Development Programme (UNDP), 80 technicians from Indonesia and Timor-Leste completed solar training and are preparing to return to their home countries to contribute to energy transition in rural areas. In addition, the UN's Accelerating Clean Energy Access to Reduce Inequality in Energy Transition (ACCESS) program aims to provide 25 villages in Timor-Leste with stable and sustainable electricity supply. This program also collaborates with the National University of East Timor to explore the feasibility of installing solar pumps.