Analysis of the Impact of the Penetration of Electric Vehicles in Cambodia

Date:
26 June 2025Category:
Energy, Environment and Climate ChangeType:
Research Project ReportsTags:
Energy, Cambodia, Electric Vehicle, EVPrint Article:
Electric vehicles (EVs) are globally recognised as a key option for achieving carbon neutrality in the final energy consumption sector, particularly in road transport. In Cambodia, the road transport sector currently relies primarily on gasoline and diesel, which are imported from countries such as Singapore and Viet Nam. In contrast, hydropower remains the dominant source of electricity generation in Cambodia. Therefore, a policy promoting EV adoption is well-suited to the Cambodian context, as it would reduce CO₂ emissions by shifting from petroleum-based fuels to electricity, especially when powered by zero-emission sources like hydropower.
Moreover, transitioning to EVs could significantly reduce the country's reliance on gasoline and diesel imports, thereby decreasing the outflow of national wealth. However, such a transition may result in considerable economic losses for the domestic oil industry.
This report analyses the potential impacts of EV penetration in Cambodia, including the economic impact on the oil industry, required additional investments in the power sector, positive effects on the macroeconomy, changes in the energy and CO₂ emissions landscape, and the necessary infrastructure to support EV adoption. For this analysis, ERIA applies EV penetration scenarios aligned with the initial stages of EV deployment in Cambodia.