ADB calls for connected power systems as energy risks mount, warning that regional cooperation is becoming increasingly critical as Asia and the Pacific face growing energy security challenges, rising demand, and geopolitical uncertainty.
ADB calls for connected power systems to strengthen regional energy security
Speaking at the opening session of the Asia Clean Energy Forum (ACEF) 2026 in Manila, Asian Development Bank (ADB) President Masato Kanda urged countries across the region to work together to create a cleaner, more resilient, and interconnected energy network capable of delivering reliable electricity across national borders.
Kanda said recent global developments have highlighted the vulnerability of national energy systems and underscored the need for stronger regional collaboration.
“We have been painfully reminded in recent weeks that, when it comes to energy security, no country can go it alone,” he said.
According to the ADB President, building interconnected power infrastructure is essential not only for strengthening energy resilience but also for supporting economic growth and ensuring affordable access to electricity for millions of people.
ADB estimates that more than 350 million people across Asia and the Pacific continue to experience limited access to energy, while over 53 million people remain without electricity altogether. The institution noted that ongoing geopolitical tensions and conflict in West Asia have further exposed the region’s energy vulnerabilities, particularly for countries heavily dependent on imported fuel supplies.
At the same time, energy demand across the region is expected to rise sharply in the coming years. ADB forecasts that electricity demand could nearly double by 2030 as economies continue to expand, urbanization accelerates, and industries become increasingly dependent on digital technologies.
One of the fastest-growing sources of electricity consumption is expected to be artificial intelligence-driven data centers, which require significant amounts of power to support computing operations. Combined with population growth and industrial development, this trend is placing additional pressure on existing power systems and energy infrastructure.
Against this backdrop, the ADB is promoting greater regional integration through its flagship Pan-Asia Power Grid Initiative. The initiative aims to move beyond traditional bilateral energy projects and establish a coordinated regional electricity market that allows power to flow more efficiently across borders.
The Pan-Asia Power Grid Initiative is designed to connect national and regional power networks, enabling countries to share electricity resources, improve grid reliability, and better integrate renewable energy generation into their energy mix. By creating stronger cross-border transmission links, the initiative seeks to reduce energy shortages, improve resilience during supply disruptions, and support long-term decarbonization goals.
ADB has set ambitious targets for the Pan-Asia Power Grid Initiative by 2035. The program is expected to mobilize approximately $50 billion in investment, with the development bank providing half of the required financing. The initiative also aims to connect 22,000 circuit-kilometers of transmission infrastructure across the region.
In addition, the project is expected to facilitate the integration of 20 gigawatts of renewable energy capacity into a regional power system, helping countries expand the use of cleaner energy sources while reducing dependence on fossil fuels.
ADB estimates that the initiative could reduce power-sector carbon emissions by 15 percent and support the creation of around 840,000 jobs across participating economies. These outcomes are expected to contribute to both economic development and climate objectives, while enhancing regional energy security.
The call for greater power connectivity comes as governments throughout Asia seek to balance economic growth, environmental commitments, and energy affordability. Regional power trading is increasingly viewed as a practical solution that can help countries manage fluctuating electricity demand, maximize renewable energy resources, and strengthen resilience against future energy shocks.
As policymakers gather at the Asia Clean Energy Forum, ADB’s message is clear: closer cooperation and cross-border energy integration will be essential if Asia and the Pacific are to meet rising electricity demand, improve energy access, and build a more secure and sustainable energy future.