background image

Riding the rails to a sustainable future: the high-speed transformation of travel in Asia (Part 1 of 2)

author image

By Alex Hong

· 10 min read


1. Introduction: the quest for sustainable travel in Asia

With its expanding economies and growing demand for travel, Asia is at a pivotal point in the global challenge to find sustainable travel solutions. Increased accessibility and a growing middle class in emerging economies are driving the tourism boom in the Asia-Pacific area. The infrastructure and ecology of the area are being strained by this surge, thus it is imperative to strike a balance between economic expansion and measures to lessen its negative effects on the environment. For the area to remain healthy in the long run, sustainable travel options are essential.   

According to the United Nations World Tourism Organisation (UNWTO), 362 million tourists visited Asia and the Pacific in 2019, and this number is predicted to rise sharply over the next several years. With this expansion comes a greater obligation to reduce travel's negative environmental effects. Although aviation technology has revolutionised connection and made our planet smaller, its carbon footprint is unsustainable. For short-to-medium distances, high-speed rail (HSR) presents a viable substitute, particularly in the ASEAN area. 

2. The rise of HSR in Asia: a historical perspective

China's astounding advancements in HSR technology have had a profoundly revolutionary impact. China has the largest high-speed rail system in the world, with a network that spans more than 40,000 km and transports billions of people every year. With the promise of improved connectivity and economic expansion, this technology has progressively spread throughout Southeast Asia. 

2.1. Early development and expansion

Beginning in the late 20th century, China's HSR journey gained impetus in the early 2000s because of substantial government funding and technology developments. An impetus was the 2008 Beijing Olympics, which gave the world a glimpse of China's HSR potential. With the goal of promoting economic growth and enhancing regional connections, China has since spent trillions of yuan building its HSR network. 

Technology transfer and cooperation with foreign partners were key components of China's early HSR development. They developed a system that suited their requirements by enhancing and adapting already-existing technologies. China's success in HSR has been largely attributed to strong government assistance. This covers financial assistance, policy backing, and expedited land purchase procedures. China acknowledged the long-term advantages of HSR for national cohesion, economic growth, and transportation. 

2.2. Proliferation in ASEAN

Chinese HSR technology has been adopted by a number of ASEAN nations; projects are currently being carried out in Thailand, Indonesia, and Laos. One example of how HSR might revolutionise regional communication is the China-Laos railway, which has been in operation since December 2021. By connecting Kunming, China, and Vientiane, Laos, this 1,035-kilometer railway line cuts the three-day road trip time to just ten hours. 

An excellent illustration of how HSR may improve connectivity within ASEAN and promote trade, tourism, and interpersonal interactions is the China-Laos railway. It is anticipated that the railway will accelerate Laos' economic expansion, especially in the travel and logistics industries. Additionally, it increases access to healthcare and education and generates jobs. Through technology transfer from China to Laos, the project contributes to the development of local HSR construction and operation skills.

2.3. Addressing concerns

Concerns have been raised about the application of HSR in ASEAN, notwithstanding the possible advantages. These include concerns about recipient nations' debt loads, possible environmental effects during construction, and geopolitical ramifications of China's expanding might. It is imperative that ASEAN countries thoroughly consider these issues and make sure that HSR projects are carried out in an open and long-lasting way. 

Particularly for the smaller ASEAN economies, worries about debt loads are legitimate. Thorough risk assessment and financial planning are essential to preventing unmanageable debt from resulting from HSR investments. Deforestation and habitat loss are two environmental effects of HSR line construction. Reforestation and wildlife corridors are examples of mitigation strategies that ought to be put into practice. China's increasing sway over the area has some nations on edge. Making sure that HSR initiatives aren't utilised as political leverage is crucial.

2.4. HSR as a pillar of China's economic dominance

One of the main factors supporting China's ascent to economic supremacy has been the quick construction of HSR. This strategy's fundamental idea is to use infrastructure development—more especially, HSR—to boost regional connectivity, promote economic growth, and ease the flow of people and products. Consequently, this enhances domestic consumption, draws in foreign capital, and fortifies China's standing in the international economy. HSR stimulates economic growth by generating employment, boosting travel, and encouraging creativity. HSR has been essential to China's economic revolution by linking various parts of the country and expanding its reach to adjacent nations. 

China's investment in HSR is a component of a larger infrastructure-led economic strategy. This has boosted economic activity and connected large areas of the nation. HSR has made it easier for people and products to travel around, increasing domestic consumption and opening up new markets for companies. China is becoming a more appealing location for global investment because of its improved infrastructure, which includes HSR.

2.5. Debating the costs and benefits: the Indonesian case

A major project within China's Belt and Road Initiative (BRI), the Jakarta-Bandung high-speed railway project in Indonesia has drawn criticism and criticism. The project's estimated $6 billion cost and Indonesia's capacity to pay back the related debts have drawn criticism. According to others, the project will leave Indonesia with unmanageable debt and is not fiscally feasible. Nonetheless, the project's supporters contend that long-term economic growth depends on the construction of infrastructure, including HSR. They cite the historical evidence that infrastructure investments—like those in highways and railroads—have been essential in propelling economic growth in numerous nations. By enhancing connectivity, enabling trade, and encouraging tourism, HSR can stimulate economic activity. Additionally, it has the potential to directly and indirectly generate jobs in building and operation as well as adjacent businesses. 

Proponents further contend that the worries over Indonesia's capacity to repay the loans are exaggerated. They highlight Indonesia's dedication to budgetary management and robust economic growth. Additionally, they emphasise how the HSR project has the potential to produce substantial economic gains that could partially offset its expenses. The complicated factors involved in carrying out major infrastructure projects are brought to light by the controversy surrounding the Jakarta-Bandung HSR project. HSR has the potential to boost economic growth and enhance connectivity, despite legitimate worries about debt and economic viability. The project's success ultimately rests on meticulous planning, open execution, and efficient administration. 

The controversy surrounding the Jakarta-Bandung HSR project emphasises how crucial it is to carry out in-depth cost-benefit studies prior to starting major infrastructure projects. Making sure that funding agreements for HSR projects are long-term and do not result in undue debt loads is essential. The costs and risks of HSR projects can be effectively shared through public-private partnerships (PPPs).

3. The SAF dilemma: a temporary fix?

With the launch of Sustainable Aviation Fuel (SAF), the aviation sector is likewise working to become more environmentally friendly. Airlines will be required to include a blend of SAF in their fuel mix beginning in 2026. SAF has its own set of difficulties even though its goal is to lower carbon emissions. 

3.1. Cost implications

At the moment, SAF costs more than traditional jet fuel. According to the International Air Transport Association (IATA), the cost of SAF can be two to four times more than that of traditional jet fuel. This would probably result in higher ticket costs, which could affect how affordable and accessible travel is, particularly in ASEAN, where short-haul air travel is widespread.

Passengers may decide against flying due to the higher cost of SAF, particularly on short-haul trips where HSR would be a better option. To promote the use of SAF and increase its price competitiveness, governments may need to think about offering subsidies or other incentives. The current cost of SAF is estimated to be around US$2,350 per tonne (2024 prices, approximately), which is 3.1 times that of jet fuel. It is expected to take up to 2050 for the prices to normalise 

3.2. Environmental limitations

SAF isn't a perfect answer. Due to its dependency on biomass feedstocks, its production may result in deforestation and compete with the production of food. The replacement impact emphasises its limitations even more, as rising demand for biofuels may unintentionally lead to an increase in land use for feedstock agriculture. Additionally, SAF does not completely remove lifecycle greenhouse gas emissions, even though it can lower them when compared to traditional jet fuel. 

Making sure that SAF is made from sustainable feedstocks that don't interfere with food production or cause deforestation is essential. To completely comprehend SAF's environmental impact, from feedstock production to end use, a thorough lifecycle study is required. About 1.9 million tonnes of SAF are expected to be produced by the end of 2024, which only accounts for 0.53% of the demand for aviation fuel. 

4. HSR: a compelling alternative for sustainable travel

HSR is a more attractive option for environmentally friendly travel given the drawbacks of SAF, especially for short to medium distances. 

4.1. Current network and future potential

Although ASEAN's existing HSR network is still in its infancy, initiatives like the high-speed rail line between Jakarta and Bandung and the China-Laos railway show promise. Regional travel may undergo a revolution if HSR networks in ASEAN continue to grow and integrate. To do this, ASEAN leaders must work together on cross-border initiatives and standardise rules. 

In the future, it would be easy to go from Singapore to Bangkok or Kuala Lumpur to Hanoi via high-speed train. This is how an ASEAN-wide integrated HSR network is envisioned. A network like that would not only make travel easier but also encourage regional economic growth and integration. In order to realise this goal, ASEAN nations must cooperate to standardise safety rules, technical standards, and customs processes.

4.2. Benefits of HSR

HSR offers numerous advantages:

  • Reduced carbon footprint: HSR has far lower carbon emissions per passenger kilometre than flying. The International Energy Agency (IEA) estimates that high-speed rail generates about 12 grams of CO2 per passenger kilometre, while domestic aeroplanes emit 133 grams

  • Enhanced connectivity: By increasing connectivity between cities and regions, HSR can promote travel, business, and cross-cultural interactions. According to World Bank estimates, enhanced transport connectivity can boost a nation's GDP by 3.5% to 7.5%

  • Economic growth: By creating jobs and improving infrastructure, HSR projects can boost the economy. According to an Asian Development Bank (ADB) study, HSR initiatives can result in a number of important economic advantages, such as more jobs and tourism-related income

Transportation Carbon Emissions 04122024edit

Particularly for short-to-medium distances, HSR is a far more environmentally friendly form of transportation than flying. In the battle against climate change, this is essential. By drastically cutting down on travel times between cities, HSR can increase efficiency and production. Travellers find modern HSR trains to be an appealing alternative because of their efficient scheduling, comfortable seating, and onboard amenities.

4.3. Addressing challenges

To fully realize the potential of HSR, ASEAN needs to address challenges such as:

  • Financing: Large-scale HSR projects may have significant challenges in obtaining funding Public-private collaborations and creative finance methods can assist in overcoming this obstacle

  • Land acquisition: It can be difficult and time-consuming to acquire property for HSR routes Effective and transparent land acquisition procedures are essential

  • Regional cooperation: For HSR networks to function smoothly, effective cross-border cooperation is necessary. To support the growth of cross-border HSR projects, ASEAN must fortify regional cooperation structures and standardise laws

ASEAN nations might investigate a range of financing alternatives, including private sector investment, green bonds, and multilateral development banks. Simplifying land acquisition procedures is essential for preventing HSR project delays and cost overruns. The establishment of a regional HSR network requires more collaboration and integration among ASEAN member states.

illuminem Voices is a democratic space presenting the thoughts and opinions of leading Sustainability & Energy writers, their opinions do not necessarily represent those of illuminem.

Did you enjoy this illuminem voice? Support us by sharing this article!
author photo

About the author

Alex Hong is a Director at AEIR (Singapore), part of Sync Neural Genesis AG, spearheading innovations in wireless energy. He serves as the Ambassador of Southeast Asia for the Global Blockchain Business Council and chairs blockchain initiatives at the Global Sustainability Foundation Network. Appointed as LinkedIn’s Top Voices (Green) since 2022, Alex is a leading ESG thought leader. Additionally, he is the Chief Sustainability Coordinator at YNBC, advisory board member for the Green Computing Foundation and the European Carbon Offset Tokenization Association (ECOTA) Expert.

Other illuminem Voices


Related Posts


You cannot miss it!

Weekly. Free. Your Top 10 Sustainability & Energy Posts.

You can unsubscribe at any time (read our privacy policy)