Asia-Pacific Energy Leaders Assert Steady Progress in Transition to Sustainable Energy

In a significant affirmation of commitment to sustainability, nearly two-thirds of energy leaders in the Asia-Pacific region express confidence in the pace of the energy transition, according to the Asia Pacific Energy Transition Readiness Index 2025, conducted by ABB's Energy Industries Division. This index surveyed over 4,000 executives responsible for automation, electrification, digitalization, and sustainability across various industries and markets, revealing both promising opportunities and formidable challenges.

Anders Maltesen, president of ABB's Energy Industries Division for Asia, underscores the necessity of combining policy certainty, technological advancement, financial investment, and collaborative efforts to accelerate readiness for the energy transition. The survey highlights a marked momentum toward digital transformation, with 71% of respondents identifying artificial intelligence and automation as pivotal enablers in this journey. Companies are increasingly poised to harness AI for data-driven energy management and invest in smart grid solutions that facilitate interoperability.

The findings reflect a robust increase in transition-related investments, with 99% of organizations reporting heightened spending in the past year. Expectations for growth in transition investments are set to more than double in the next five years, as over 73% of companies plan to allocate at least 10% of their capital expenditures to these initiatives.

Automation, electrification, and digitalization are emerging as critical levers for enhancing efficiency, sustainability, and resilience in operations. Digitalization and automation are prioritized by 38% and 35% of respondents, respectively, while electrification is pivotal for decarbonization efforts.

However, the survey also reveals existing challenges that necessitate collaboration across sectors. A significant 62% of executives advocate for stronger government incentives, while 60% call for enhanced cross-regional collaboration on grid infrastructure and 56% emphasize the need for increased private sector investment.

Notably, the research indicates that solar energy is spearheading the region's transition, with 73% of surveyed organizations already utilizing it and 45% planning substantial expansions in the next five years. Hydropower and wind energy are also prevalent, while emerging renewable sources such as green hydrogen, bioenergy, and geothermal energy are progressively gaining traction, signaling a dynamic shift toward a more sustainable energy future in the Asia-Pacific region.