IEA Urges Southeast Asia to Boost Clean Energy Investments

The International Energy Agency (IEA) has called for Southeast Asia to increase clean energy investments to $190 billion by 2035, which is five times the current level, to meet climate goals amid rising energy demands. The region, projected to account for 25% of global energy demand growth by 2035, is experiencing a 4% annual increase in electricity demand, primarily driven by rising temperatures and air conditioning use. The IEA warns that Southeast Asia's carbon dioxide emissions could increase by 35% by mid-century due to continued reliance on fossil fuels, especially as the region met its entire 3.6% rise in electricity demand last year through fossil sources. Additionally, only 2% of global clean energy investments are directed toward Southeast Asia, which holds 9% of the world’s population and 5% of global energy demand. The report emphasizes the urgency to diversify energy strategies and invest in renewable technologies, as the region risks deepening its dependence on fossil fuels. These recommendations come at a time when the energy transition is hampered by delays in closing coal power plants and insufficient expansion of clean energy technologies.