Follow India Renewable Energy News on WhatsApp for exclusive updates on clean energy news and insights

ADB Commits $10 Billion to Accelerate ASEAN Power Grid Development

In a major boost to Southeast Asia’s energy integration, Asian Development Bank (ADB) President Masato Kanda announced a $10 billion commitment to fast-track the development of the ASEAN Power Grid. The initiative aims to connect the electricity networks of all 10 ASEAN nations by 2045, thereby bolstering regional energy security, connectivity, and economic resilience for the bloc’s 670 million citizens.

The funding will support cross-border interconnections, national grid enhancements, and renewable energy projects to enable efficient power trade across the region. This forms part of ADB’s broader strategy, which also includes $27 billion in programmed financing over the next three years to advance ASEAN’s development priorities — from boosting competitiveness to enhancing human capital and climate resilience.

Speaking at the 12th ASEAN Finance Ministers and Central Bank Governors' Meeting, Kanda addressed concerns over global trade tensions and their impact on growth, particularly for the most vulnerable. He stressed that regional cooperation and connectivity through projects like the ASEAN Power Grid will be key to safeguarding economic stability and long-term investment.

With ASEAN’s energy demand projected to triple by 2050, Kanda highlighted the urgent need for modern, interconnected energy systems. The ASEAN Power Grid, he stated, offers transformative potential for industries and communities, while also fostering regional economic integration and clean energy access.

ADB’s renewed commitment signals strong institutional backing for ASEAN’s energy transition, aligning with broader goals of sustainable development, energy access, and regional cooperation.